Rural Areas Surpass Urban FMCG Growth in Dec Qtr

Rural markets continue to surge, while metro markets continue to drag the urban volume growth of the FMCG industry, which achieved a 10.6% growth in value terms in the December quarter of 2024, according to a report from data analytics firm NielsenIQ.

- Press Trust of India

NEW DELHI:

Rural areas have surpassed the large urban markets in growth for the fourth consecutive quarter, according to the latest NielsenIQ FMCG Quarterly Snapshot.

Helped by festive demand in the October-December period, the FMCG industry largely had a consumption-driven growth, in which the overall volume was up 7.1% despite a 3.3% average price increase due to prevalent inflationary pressures.

However, the FMCG industry also has a "higher unit growth than volume growth," indicating a "preference shift of consumers towards smaller packs in consumption" due to high food inflation.