At 38 Fmcg Growth In June Quarter Slowest In A Year

Breaking: FMCG Industry Records Lowest Volume Growth in Over a Year

Slowdown in FMCG Volumes

The Fast-Moving Consumer Goods (FMCG) industry has recorded a volume growth of 3.8% during the June 2024 quarter, marking the lowest growth rate in over a year, according to data released by NielsenIQ on Thursday. This represents a significant slowdown from the previous quarter's growth of 8.2% and the year-on-year growth of 6.4% in June 2023.

Macroeconomic Headwinds Impacting Staple Consumption

The slowdown in FMCG volumes has been attributed to macroeconomic headwinds, including inflation and interest rate hikes, which have impacted the consumption of staple goods. The NielsenIQ report indicates that the food sector has been particularly affected, with growth slowing down to 2.4% in the June quarter as compared to 4.8% in the previous year.

Slowdown Across Categories

The decline in FMCG volumes has been observed across various categories, with both essential and non-essential goods being impacted. This slowdown is a reflection of the overall slowdown in consumer spending as households adjust to the rising cost of living and tightening financial conditions.