PowerPoint-Prsentation
0501001502012201220252025202013283600100004000300020002012202020122020Source:
World Bank, Emami Reports, Dabur Reports, AC Nielsen, McKinsey
Global Institute (MGI) titled The Bird of Gold, Booz & Company,
Aranca Research37110050100150201220122020CAGR: 14.7%CAGR:
13.3%Favourable demographics and rise in income level to boost FMCG
marketRise in rural consumption to drive the FMCG marketTotal
consumption expenditure set to increaseOverall FMCG market expected
to increase at a CAGR of 14.7 per cent to USD110.4 billion during
201220The rural FMCG market expected to increase at a CAGR of 17.7
per cent to USD100 billion during 201225 The overall rural FMCG
consumption continues to grow at 12.5 per cent during 2013-14Total
consumption expenditure to reach nearly USD3,600 billion by 2020
from USD1,328 billion in 2012CAGR: 17.7% 10012Source: Emami
Reports, Dabur Reports, AC Nielsen, McKinsey Global Institute (MGI)
titled The Bird of Gold, Aranca ResearchNote: Germany population is
estimated to reach 81.26 million by
20167809009509008508007507002011203020112030CAGR:
0.8%16026701002003002011201620112016
CAGR: 4.3%CAGR: 10.8%41163120008006002010202020102020Indias
working population to be more than double the total population of
the US (361.6 million) by 2030Indias middle income class to be
thrice the total population in Germany by 2016Rural Indias per
capita disposable income set to increaseWorking population (aged
between 15 and 64 years) estimated to increase from 780 million in
2011 to 900 million by 2030Indias middle income population
estimated to reach 267 million by 2016 from 160million in 2011Rural
Indias per capita disposable income is estimated to rise to USD631
in 2020 from USD411 in 2010FDI into the country in that
periodSource: Emami, E - Estimates by AC Nielsen, Nexus Novus, Live
Mint, Jan 13, Aranca ResearchThe engineering sector is
delicensed;I1n0v0epsetmr ecennt taFpDpIroisvaallloowf
uepdtion1th0e0 percseencttofroreign equity in single brandretail
and 51 per cent in multi-brandDue to policy support, there
wasIcnuitmiautilvaetisvelikFeDFI oofoUd SSDe1c4u.0ribtyillBioilnl
ainntdodthireecstecctaosrhotvrearnsAfperrils2u0b0s0idieFserberaucahrya2b0o12u,tm40akpienrgcuepnt8.o6f
pheorucseenhtooldfstointalGGrroowwiinngg ddeemmaannddRising incomes
and growing youth population have been key growth drivers of the
sectorBrand consciousness has also aideddemandFirst Time Modern
Trade Shoppers spend is estimated to triple to USD1 billion by
2015Tier II/III cities are witnessingfaster growth in modern
tradeAttractive opportunitiesLow penetration levels in rural market
offers room for growthDisposable income in rural India has
increased due to the direct cash transfer schemeGrowing demand for
premium productsExports is another growth segmentPolicy
supportretailIndiaThe minimum capitalisation forforeign FMCG
companies to invest in India is USD100 millionHigher
investmentsIndustry has witnessed healthy FDI inflow, as the sector
accounted for3.0 per cent of the countrys totalFDI inflow over
April 2000 to October 2013Many players are expanding into new
geographies and categoriesOrganised retail share is expected to
double to 14-18 per cent of the overall retail market by
20152013FMCGmarket size: USD44.9billion2020EFMCGmarket size:
USD135billionAdvantageIndiaSource: HUL, Aranca Research Notes: OTC
is over the counter products; ethicals are a range of pharma
productsFMCGHousehold carePersonal careFood & BeveragesFabric
wash, Household cleanersOral care, hair care, skin care,
cosmetics/deodorants, perfumes, feminine hygiene and paper
productsHealth beverages, staples/cereals, bakery products, snacks,
chocolates, ice cream, tea/coffee/soft drinks, processed fruits and
vegetables, dairy products, and branded flourHealth careOTC
products and ethicalsSource: Dabur Annual Report 2011-12, Economic
Times Apr 2013, May 2013, Emami Annual Report 2011-12, Mckinsey
Global Institute, Aranca ResearchFMCG is the fourth largest sector
in the Indian economy
The FMCG sector has grown at an annual average of about 11 per
cent over the last decade
Retail market in India is estimated to reach USD450 billion by
2015, with organised retail accounting for a 1418 per cent share;
this is likely to boost revenues of FMCG companiesIndian FMCG
industry (USD billion)Gross block of FMCG industry (USD
billion)Market size of chocolates (USD million)Market size of
personal care (USD billion)HULs share in FMCG market(Personal Care)
(Per cent)>50
