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FMCG market in rural India to touch $100 bn by 2025: Nielsen

25 Nov 2010 Evaluate

The fast moving consumer goods (FMCG) market in rural India is tipped to touch $100 billion (around Rs 45,735 crore) by 2025 on the back of 'unrelenting' demand driven by rising income levels, according to a study by research firm The Nielsen Company. Rural India accounts for more than half of sales in some of the largest FMCG categories.

While the ability of lower priced packs to improve accessibility is known, their pace and presence has been unrelenting. In addition, premium skin care brands typically associated with the urban population are growing nearly twice as fast in rural areas. At present, rural consumers spend about $9 billion per annum on FMCG items and product categories such as instant noodles, deodorant and fabric, with the pace of consumption growing much faster than urban areas, as per the findings.

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