ITC is looking to launch at least 10 new products in the next six months spanning packaged foods and personal care. Branded staples will be given a boost with an entry into areas such as potatoes and onions
Shares of fast moving consumer goods (FMCG) companies were in focus with the S&P BSE Index up more than 2% hitting a new high on the BSE.
index hit record high of 11,085 in intra-day trade surpassed its previous high of 11,047 recorded on February 1, 2018.
At 01:47 pm; the S&P BSE FMCG
index, the largest gainer among sectoral indices, was up 2.1% as compared to 0.45% rise in the S&P BSE Sensex.
In past two weeks, the FMCG
index has outperformed the market by surging 7% after private forecaster Skymet said monsoon
in India is likely to be normal with no chances of drought this year. On comparison, the benchmark index was up 5% during the same period.
The Indian Meteorological Department’s (IMD) has also predicted southwest monsoon
(April-September) to be at 97% of the long period average (LPA) with a margin of error of +/- 5%.
ITC, Godrej Consumer Products
were up more than 3% today. Hindustan Unilever, Nestle India, Gujarat Ambuja Exports and Godrej Consumer Products
from the FMCG
index hit their respective record highs on the BSE.
A normal monsoon
is expected to benefit the overall economy and to support rural consumption. The rating agency CRISIL said a normal monsoon
is crucial to push economic growth, which slowed last year under the lingering impact of demonetisation and disruptions due to implementation of the goods and services tax (GST), both of which impacted private consumption demand as well as exports.