Team Blitz India
NEW DELHI: Rural India has reported positive consumption growth in the January-March quarter of 2023 after a gap of six straight quarters, a report by data analytics firm NIQ said.
The rural market, which contributes around 35 per cent of FMCG sales, “sees a revival in volumes” with a further drop in price growth, said the FMCG Quarterly Snapshot from NIQ on May 10.
The rural market had a positive consumption growth of 0.3 per cent, which is the “first time after six quarters”, while the urban markets maintained the momentum with 5.3 per cent, it said.
The market previously saw consumption growth in April-June 2021 and had declined in subsequent quarters to the October-December period, 2022.
Overall, the FMCG industry witnessed a volume growth of 3.1 per cent and value growth of 10.1 per cent in the March quarter.
“This value growth is driven by a revival in consumption in rural markets and traditional trade which were under duress for more than a year,” it said.
