FMCG firms to report single-digit volume growth in Q2
Ahead of the release of Q3 results from various companies, PackMan got a hold of what the equity firms had to say about the market. According to financial services, companies that supplied essentials to consumers saw a fairly stable quarter. They did however attribute major disruptions to the heavy rainfall across the country. Analysts expect companies like Colgate, Varun Beverages (PepsiCo bottler), and Britannia to see growth in the September quarter, especially year-on-year.

Time for packaging converters to up their game.

Massive jump in first-week festive sales
According to a leading business portal, sales in the first week of the festive season reached Rs 54,000-crore. According to analysts PackMan has been speaking to at the sundry packaging events in and around the country — this figure is expected to reach a staggering Rs one-lakh crore by the end of the festive season.

That’s a lot of packaging. No wonder the Indian Institute of Packaging says, the Indian packaging industry will notch up to USD 130-billion by 2028.

Quick commerce for the win 
As was the sentiment at the 11th Specialty Films & Flexible Packaging Global Summit at Jio, quick commerce applications have changed the way customers shop. At the summit, Saugata Gupta managing director and CEO at Marico said, “The FMCG industry in India is undergoing a transformative change, driven by the rise of e-commerce, quick commerce, and evolving consumer behaviours.”

According to leading FMCG companies, packaging is making a big difference — because consumers browse quick commerce platforms largely by observing the packaging. Colourful packaging that displays the brand identity, the product’s USPs, and any other information is currently coming out on top.

Dabur shares tank 6%, Marico hits new high
Dabur shares fell to a three-month low after the company had predicted a weak quarter. This fall has been attributed to the heavy rains, which hit beverage sales. PackMan has heard that this decline resulted in the company’s worst intraday performance since early 2022.

At the recent Elite Plus summit, Saugata Gupta, managing director and CEO of Marico said, “The packaging industry faces a significant challenge in the form of environmental degradation caused by non-recyclable materials.” Gupta stated that “global food and consumer goods production accounts for 60% of greenhouse gas emissions, 80% of water usage and 66% of tropical forest loss.” 

Marico is taking steps to address this issue. Gupta shared that “95% of Marico’s portfolio is recyclable” and the company has “been able to significantly reduce plastic used in our reject bags over time.” Marico is also incorporating post-consumer recycled PET in its oil bottles and working to replace PVC shrink sleeves with PET.

PepsiCo India clocks double-digit revenue growth in Q3
In the third quarter of the calendar year 2024, PepsiCo saw a double-digit growth in its revenue. While developed markets like Europe and the Americas saw decent growth, PackMan heard that it was the emerging markets like India, Egypt, and Vietnam that spearheaded the organic growth of the company’s revenue.

Yeh dil maange more, PET bottles…