FMCG Market in india is going through challenging times. On one hand, consumer demand has shifted from the safety point of view while on the other hand, the industry is also facing supply chain related problems. Drop in sales in Q2 is yet another challenge that the industry has faced lately. Nielsen Q2 2020 FMCG report suggests the same. As a result, the industry had to reinvent its approach and strategy towards manufacturing. Elaborating on his experience, Harsha V Agarwal, Director, Emami says, “The pandemic outbreak followed by the lockdown had posed many challenges on multiple fronts but we have been able to navigate through these and reach the consumers. Post initial glitches, we have been able to stabilise the production to cater to the existing demand. In the post lockdown scenario, there has certainly been significant improvement in both production and capacity utilisation. Manpower situation too has improved compared to earlier and we expect the scenario to improve further in the coming days.”
In this regard, the Nielsen report also highlights, “As the situation improved in June, we saw that Traditional Trade and E-Commerce channels bounced back strongly. Consumers prioritised spending on essential foods during the locked down quarter. We saw an interesting trend in the non-food categories. After sharper declines in Apr-May the segment registered a notable bounce back in June with Unlock 1.0. This recovery was particularly seen among Personal Care and Home Care categories.”
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