{"id":1127,"date":"2019-10-30T16:03:02","date_gmt":"2019-10-30T10:33:02","guid":{"rendered":"https:\/\/www.grainmart.in\/news\/?p=1127"},"modified":"2019-10-30T16:03:03","modified_gmt":"2019-10-30T10:33:03","slug":"economic-slowdown-affect-growth-in-fmcg-sector-lowest-in-7-years","status":"publish","type":"post","link":"https:\/\/www.grainmart.in\/news\/economic-slowdown-affect-growth-in-fmcg-sector-lowest-in-7-years\/","title":{"rendered":"Economic Slowdown Affect: Growth in FMCG Sector lowest in 7 years"},"content":{"rendered":"\n<p>The economic slowdown in the country is <a href=\"https:\/\/www.grainmart.in\/news\/nobel-laureate-abhijit-banerjee-warning-economy-in-a-tailspin\/\">showing its impact<\/a>. The growth rate in the Fast-Moving Consumer Goods (FMCG) sector reached the lowest ebb in seven years. The main reason responsible for decrease is the decline in the growth rate of rural India.<\/p>\n\n\n\n<h5 class=\"wp-block-heading\"><strong>The Downturn<\/strong><\/h5>\n\n\n\n<p>Data released by research company, <a href=\"https:\/\/www.nielsen.com\/in\/en\/insights\/\">Nielsen<\/a>, revealed that the rural market\u2019s growth rate declined to 5% in quarter3 of 2019. The growth rate in 2018 was 20%. The rural market has a 36% share in FMCG sales and was growing at a faster pace than the urban market. The sales grew by 8% in the urban sector whereas the rural market grew by 14% in the previous year. The growth rate of the overall FMCG market has declined to 7.3% from 16.2% in Q3 of 2019.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<figure class=\"wp-block-image is-resized\"><img fetchpriority=\"high\" decoding=\"async\" src=\"https:\/\/www.grainmart.in\/news\/wp-content\/uploads\/2019\/10\/FMCG.jpg\" alt=\"\" class=\"wp-image-1128\" width=\"480\" height=\"315\" srcset=\"https:\/\/www.grainmart.in\/news\/wp-content\/uploads\/2019\/10\/FMCG.jpg 683w, https:\/\/www.grainmart.in\/news\/wp-content\/uploads\/2019\/10\/FMCG-300x197.jpg 300w\" sizes=\"(max-width: 480px) 100vw, 480px\" \/><figcaption>FMCG Goods at a Supermarket<\/figcaption><\/figure>\n\n\n\n<p><\/p>\n\n\n\n<p>The descent in farmer\u2019s income has severely affected landless workers. The workers constitute two-third of the entire rural households. The Nielsen data also revealed the fact that the slowdown has worst-hit Northern India whereas the demand in Southern India, especially in the urban market, remained almost the same. The rural market growth stood at 1% as compared to 17% last year. Besides, there is a decrease in consumption in urban areas due to the high prices of commodities. This is because of the increasing gap in unemployment rates from 3.6% in Q1 to 10% in Q3 of 2019, thus reducing the disposable income of households. Many small manufacturers have exited the market due to the prevailing situation.<\/p>\n\n\n\n<h5 class=\"wp-block-heading\"><strong>Reasons for Decline<\/strong><\/h5>\n\n\n\n<p>This fall in the FMCG sector is accounted for floods in almost thirteen states in the country, low wages, and high inflation.\u00a0 The reduction in consumption is contributing to the low GDP of the country. Nielsen lowered down its annual growth prediction from 11-12% to 9-10% in July. The growth rate is further expected to decline in the range of 6.5-7.5% in quarter 4 of 2019.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Due to economic slowdown  growth rate in FMCG sector touched the lowest ebb in seven years. Decline in the growth rate of Rural India.<\/p>\n","protected":false},"author":13,"featured_media":1129,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[3825,3823,2705,3822,3833,3827,3832,2519,3831,3828,3824,3830,3829],"class_list":["post-1127","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-consumption-decline","tag-fast-moving-consumer-goods","tag-floods","tag-fmcg","tag-fmcg-sector","tag-growth-rate","tag-high-inflation","tag-inflation","tag-low-wages","tag-nielsen","tag-rural-india","tag-urban-india","tag-urban-market"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.1 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Economic Slowdown Affect: Growth in FMCG Sector lowest in 7 years<\/title>\n<meta name=\"description\" content=\"Due to economic slowdown growth rate in FMCG sector touched the lowest ebb in seven years. 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Decline in the growth rate of Rural India.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.grainmart.in\/news\/economic-slowdown-affect-growth-in-fmcg-sector-lowest-in-7-years\/\" \/>\n<meta property=\"og:site_name\" content=\"Grainmart News\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/grainmart.in\" \/>\n<meta property=\"article:published_time\" content=\"2019-10-30T10:33:02+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2019-10-30T10:33:03+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.grainmart.in\/news\/wp-content\/uploads\/2019\/10\/images.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"679\" \/>\n\t<meta property=\"og:image:height\" content=\"451\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Gurneel Kaur\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@Grainmart1\" \/>\n<meta name=\"twitter:site\" content=\"@Grainmart1\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Gurneel Kaur\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/www.grainmart.in\\\/news\\\/economic-slowdown-affect-growth-in-fmcg-sector-lowest-in-7-years\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.grainmart.in\\\/news\\\/economic-slowdown-affect-growth-in-fmcg-sector-lowest-in-7-years\\\/\"},\"author\":{\"name\":\"Gurneel Kaur\",\"@id\":\"https:\\\/\\\/www.grainmart.in\\\/news\\\/#\\\/schema\\\/person\\\/2207bccbf6af27486201b6b7db8c3b53\"},\"headline\":\"Economic Slowdown Affect: Growth in FMCG Sector lowest in 7 years\",\"datePublished\":\"2019-10-30T10:33:02+00:00\",\"dateModified\":\"2019-10-30T10:33:03+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/www.grainmart.in\\\/news\\\/economic-slowdown-affect-growth-in-fmcg-sector-lowest-in-7-years\\\/\"},\"wordCount\":317,\"commentCount\":4,\"publisher\":{\"@id\":\"https:\\\/\\\/www.grainmart.in\\\/news\\\/#organization\"},\"image\":{\"@id\":\"https:\\\/\\\/www.grainmart.in\\\/news\\\/economic-slowdown-affect-growth-in-fmcg-sector-lowest-in-7-years\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/www.grainmart.in\\\/news\\\/wp-content\\\/uploads\\\/2019\\\/10\\\/images.jpg\",\"keywords\":[\"consumption decline\",\"fast moving consumer goods\",\"floods\",\"FMCG\",\"fmcg sector\",\"growth rate\",\"high inflation\",\"inflation\",\"low wages\",\"nielsen\",\"rural india\",\"urban india\",\"urban market\"],\"articleSection\":[\"News\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/www.grainmart.in\\\/news\\\/economic-slowdown-affect-growth-in-fmcg-sector-lowest-in-7-years\\\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/www.grainmart.in\\\/news\\\/economic-slowdown-affect-growth-in-fmcg-sector-lowest-in-7-years\\\/\",\"url\":\"https:\\\/\\\/www.grainmart.in\\\/news\\\/economic-slowdown-affect-growth-in-fmcg-sector-lowest-in-7-years\\\/\",\"name\":\"Economic Slowdown Affect: Growth in FMCG Sector lowest in 7 years\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.grainmart.in\\\/news\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/www.grainmart.in\\\/news\\\/economic-slowdown-affect-growth-in-fmcg-sector-lowest-in-7-years\\\/#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/www.grainmart.in\\\/news\\\/economic-slowdown-affect-growth-in-fmcg-sector-lowest-in-7-years\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/www.grainmart.in\\\/news\\\/wp-content\\\/uploads\\\/2019\\\/10\\\/images.jpg\",\"datePublished\":\"2019-10-30T10:33:02+00:00\",\"dateModified\":\"2019-10-30T10:33:03+00:00\",\"description\":\"Due to economic slowdown growth rate in FMCG sector touched the lowest ebb in seven years. 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