FMCG

How often do you come across these products? Possibly, every time you go grocery shopping.

Most of these brands might also be a part of your everyday routine. Basically, these popular products fall under the FMCG category.

In this article:

  1. FMCG Full form
  2. Characteristics of FMCG products
  3. Types of FMCG and its varied range of products
  4. Impact of Covid-19 on FMCG sector
  5. List of top FMCG companies in India
  6. Historical performance of Nifty FMCG index

What is the Full Form of FMCG? – FMCG Full Form

The full form of FMCG is Fast Moving Consumer Goods. As the name suggests, these products are quick to leave the shelves of a store or supermarket. Because of their high demand and short shelf life, they are called fast moving.

FMCG industry includes products that are used by customers on a daily basis like:

Major industry Category Listed stocks
Personal care Ador Multiproducts Ltd

Cupid Ltd

Gillette India Ltd

Jlmorison India Ltd

Procter Gamble Hygiene

S H Kelkar and Company Limited

Bajaj Consumer Care Limited

Dabur India Ltd

Godrej Consumer Products Ltd

Marico Ltd

Paramount Cosmetics India

Colgate Palmolive India

Emami Ltd

Hindustan Unilever Ltd

Novateor Research Laboratories

Radix Industries India Limit

Packaged food Anjani Foods Limited

Bkv Industries Ltd

Coastal Corporation Ltd

Gold Coin Health Foods Ltd

Hindustan Foods Ltd

Kmg Milk Food Ltd

Lotus Chocolate Coltd

Modern Dairies Ltd

Prabhat Dairy Limited

Simran Farms Ltd

Suryo Foods Industries Ltd

Vaghani Techno Build Ltd

Zydus Wellness Ltd

Britannia Industries Ltd

Nestle India Ltd

Uniroyal Marine Exports Ltd

Future Consumer Limited

Shah Foods Ltd

Super Bakers India Ltd

Edible oils Ajanta Soya Ltd

Bcl Industries Limited

Diligent Industries Ltd

Gokul Refoils Solvent Ltd

Kriti Nutrients Ltd

Nkindustries Ltd

Ruchi Soya Industries Ltd

Ambar Protein Industries Limit

Prima Industries Ltd

Sagar Soya Products Ltd

Jrfoods Ltd

Vegetable Products Limited

Vijay Solvex Ltd

Prime Industries Ltd

Natraj Proteins Ltd

Cleaning and laundry products Hipolin Ltd

Jyothy Labs Limited

Pee Cee Cosma Sope Ltd

Cigarettes and Tobacco Godfrey Phillips India Ltd

NTC Industries Ltd

Vst Industries Ltd

Golden Tobacco Ltd

Raghunath International Ltd

ITC Ltd

Sinnar Bidi Udyog Ltd

Breweries Associated Alcohols Breweries

Ifb Agro Industries Ltd

Mount Shivalik Industries Ltd

Tilaknagar Industries Ltd

Winsome Breweries Ltd

United Breweries Ltd

Globus Spirits Ltd

Khoday India Ltd

Radico Khaitan Ltd

United Spirits Ltd

Stationery Gala Global Products Limited

MPS Ltd

Unick Fix A Form And Printers

Repro India Ltd

Kiran Print Pack Ltd

Sundaram Multi Pap Ltd

Over the counter drugs Glaxosmithkline Pharmaceutical (Crocin and Vitamin D3)

Dabur (Honitus cough syrup)

According to a survey, 94% of people worldwide recognise Coca Cola’s logo. So, you can simply imagine the popularity and demand of FMCG products.

FMCG

With such high demand and a wide range of products, FMCG has constantly been the 4th largest sector in India and the most widespread industry in the world.

Characteristics of FMCG products

1. FMCG products are frequently purchased

FMCG products are used on a daily basis and hence they need to be bought frequently. Examples of such products are milk, bread, medicines, stationery, etc.

2. FMCG products are usually available at an affordable price

As this industry provides essential goods which are used on everyday basis, most them are available at a low rate.

3. Short shelf life

Certain FMCG products are perishable in nature. Hence, they have to be consumed before they expire. Products like milk and bread, etc. expire within days.

Types of FMCG and its varied range of products

The FMCG sector is divided into three major categories.

FMCG

Let’s look at each of these sectors in detail.

1. Food and beverages

The food and beverages industry holds 19% weightage in the FMCG sector. This section is further classified into four types:

The food and beverages industry holds 19% weightage in the FMCG sector. This section is further classified into four types:

Type of food and beverage Example
Confectionery Lollipops, jawbreakers, candy canes, small pieces of chocolate, fruits and nuts
Staple food Flour, sugar, salt, grains, beans, nuts
Non-alcoholic beverage Smoothies, cold drink, tea, coffee
Other foods Sauces, jams, pickles

Here are some of the popular range of products associated with food and beverages industry.

FMCG

2. Health care

Health care holds 31% of weightage in the sector. It includes over the counter drugs, vitamins & dietary supplements. Over the counter drugs are medicines that we can purchase without a prescription.

Here are a few popular range of products from the health care sector.

FMCG

3. Household and personal care

Household and personal care has 50% weightage in FMCG sector. It includes fabric care, surface care, home insecticides, haircare, skincare and a lot more.

Here are a few popular range of products associated with household and personal care.

FMCG

Impact of Covid-19 on FMCG sector

As Covid-19 hit the Indian economy, many sectors experienced a setback. These majorly included aviation, travel and tourism and real estate sectors.

FMCG industries selling essentials were doing well as essential products were in high demand. But, the overall industry was affected due to supply chain breakdowns and stock piling. Many companies had to cut down their operations during lockdown. Hence, the average growth rate of FMCG sector declined to 6.6% in first 3 quarters of FY 2020.

FMCG

Source: Statista

List of top FMCG companies in India

Company Name Star rating NSE Scrip code Market Cap (in Rs cr) Industry
HUL 5 stars HINDUNILVR Rs 5,33,432 Household & Personal products
Nestle India 5 stars NESTLEIND Rs  1,65,535 Food & Beverages
ITC 5 stars ITC Rs 2,56,886 Cigarettes & FMCG others
Britannia Industries 3 stars BRITANNIA Rs 90,229 Food & Beverages
Dabur India 5 stars DABUR Rs  99,020 Household & Personal products
Godrej Consumer Products Ltd 2 star GODREJCP Rs 73,977 Household & Personal products
Marico Ltd 5 stars MARICO Rs 54,405 Household & Personal products
Colgate Palmolive 5 stars COLPAL Rs 41,876 Household & Personal products
Procter & Gamble Hygiene Healthcare Ltd 5 stars PGHH Rs  43,954 Household & Personal products
Gillette India 3 stars GILLETTE Rs 17,960 Household & Personal products

*Market cap as on 15th April 2021

You can also track the performance of the FMCG sector using NSE’s Nifty FMCG index and BSE’s FMCG index. Both of these indexes can give a good overall picture of how the FMCG stocks are performing.

NSE’s Nifty FMCG index consisting of 15 top FMCG companies listed on NSE.

Company Market Capitalization

(Rs in Crores)

Samco’s star rating
Britannia Industries Ltd. 88,981 5 star
Colgate Palmolive (India) Ltd. 42,317 5 star
Dabur India Ltd. 1,01,088 5 star
Emami Ltd. 23,517 3 star
Godrej Consumer Products Ltd. 75,395 2 star
Hindustan Unilever Ltd. 5,77,817 5 star
ITC Ltd. 2,54,424 5 star
Jubilant Foodworks Ltd. 36,573 1 star
Marico Ltd. 54,617 5 star
Nestle India Ltd. 1,62,771 5 star
Procter & Gamble Hygiene & Health Care Ltd. 44,216 5 star
Tata Consumer Products Ltd. 60,813 1 star
United Breweries Ltd. 29,118 1 star
United Spirits Ltd. 39,507 1 star
Varun Beverages Ltd. 28,792 1 star

BSE’s FMCG index consists of 63 listed companies listed on BSE.

Company Market Capitalization

(Rs in Crores)

Samco’s star rating
ADF Foods Ltd 1,836 1 star
Advanced Enzyme Technologies Ltd 3,989 2 star
Agro Tech Foods Ltd. 2,022 1 star
Apex Frozen Foods Ltd 637 1 star
Associated Alcohols & Breweries Ltd 727 1 star
Avadh Sugar & Energy Ltd 403 1 star
Avanti Feeds Ltd 6,295 3 star
AVT Natural Products Ltd 669 1 star
Bajaj Consumer Care Ltd 4,339 5 star
Bajaj Hindusthan Sugar Ltd 722 1 star
Balrampur Chini Mills Ltd 5,483 1 star
Bombay Burmah Trading Corp Ltd. 8,343 1 star
Britannia Industries Ltd. 88,981 3 star
CCL Products (India) Ltd. 3,217 2 star
Colgate-Palmolive India Ltd 42,317 5 star
Cupid Ltd 290 1 star
Dabur India Ltd 1,01,485 5 star
Dalmia Bharat Sugar and Industries Ltd 29,027 1 star
DFM Foods Ltd 1,810 1 star
Dhampur Sugar Mills Ltd. 1,356 1 star
Dwarikesh Sugar Industries Ltd 653 1 star
EID Parry India Ltd 5,654 1 star
Emami Ltd 24,180 3 star
Eveready Industries India Ltd 2,047 1 star
Future Consumer Ltd 1,365 1 star
Gillette India Ltd 17,923 3 star
Globus Spirits Ltd 908 1 star
Godfrey Phillips India Ltd 4,520 1 star
Godrej Agrovet Ltd 9,554 1 star
Godrej Consumer Products Ltd 74,866 2 star
Gujarat Ambuja Exports Ltd 3,056 1 star
Heritage Foods Ltd 1,458 1 star
Hindustan Foods Ltd 4,198 1 star
Hindustan Unilever Ltd 5,78,593 5 star
ITC Ltd 2,55,962 5 star
Jyothy Labs Ltd 5,106 2 star
Kaveri Seed Co Ltd 3,439 1 star
Kokuyo Camlin Ltd 538 1 star
KRBL Ltd 4,316 3 star
LT Foods Ltd 2,292 1 star
Marico Ltd 54,760 5 star
Mrs. Bectors Food Specialities Ltd 2,117 1 star
Nath Biogene India Ltd 648 1 star
Nestle India Ltd 1,66,374 5 star
Parag Milk Foods Ltd 943 1 star
Prataap Snacks Ltd 1,258 1 star
Procter & Gamble Hygiene & Health Care Ltd 10,542 3 star
Radico Khaitan Ltd 6,895 1 star
S H Kelkar and Company Ltd 1,887 1 star
Shree Renuka Sugars Ltd 2,133 1 star
Tasty Bite Eatables Ltd 3,761 1 star
Tata Coffee Ltd. 2,224 1 star
Tata Consumer Products Ltd 61,864 1 star
Triveni Engineering & Industries Ltd. 2,463 1 star
United Breweries Ltd 29,089 1 star
Uttam Sugar Mills Ltd. 392 1 star
VADILAL INDU 646 1 star
Varun Beverages Ltd 28,665 1 star
Venky’s India Ltd 2,210 1 star
Vishwaraj Sugar Industries Limited 465 1 star
VST Industries Ltd. 4,988 5 star
Waterbase Ltd 463 1 star
Zydus Wellness Ltd 13,478 1 star

Historical performance of Nifty FMCG index

FMCG

Historical Performance of BSE’s FMCG index

FMCG

To conclude, FMCG industry will always be in high demand as we use their products on daily basis. No matter what happens in the future, you will never stop brushing your teeth or stop taking a bath.

Even during the great Indian recession of 2008 and Covid-19 pendamic, FMCG stocks were performing better than other sectors.

To know more about which FMCG stocks to buy in India – Click here.

Or watch the video here.

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