This comes as good news for the sector, which has been going through a dull phase.
Godrej Consumer Products Ltd. said demand conditions in India strengthened progressively during the third quarter.
“We remain confident of a gradual improvement in consumption over the coming quarters, supported by falling inflation and improving affordability following lower GST rates,” the company said in its third-quarter update.
In a stock exchange filing, Godrej said its Standalone business is well positioned to deliver double-digit revenue growth for the October-December quarter.
The company expects to deliver double-digit value growth in the home care segment and mid-single-digit value growth in the personal care segment, driven by a marked recovery in the soaps category.
Another FMCG major, Dabur, noted early signs of demand recovery were witnessed in the third quarter, aided by GST rate revisions.
“Favourable macroeconomic conditions and recent tax reforms are expected to support a sustained recovery in demand and improvement in revenue trajectory in the coming quarters,” it said.
“Post trade stabilisation, consumer sentiment improved in urban and rural areas. Rural demand continued to outperform urban demand in the third quarter as well,” the company said in its quarterly update filing with the stock exchange.
Dabur expects its domestic Home & Personal care business to grow in double digits on the back of strong growth in Hair Oils and Oral care categories.
Key brands which are likely to record healthy volume-led growth include the Dabur Amla franchise, Dabur Almond, Dabur Anmol, Dabur Red Toothpaste and Meswak. Majority of the portfolio continued to outpace category growth and is expected to register market share gains during the quarter, the company said.
Overall, Healthcare business is expected to report low single-digit growth, Dabur said.
