FMCG (fast moving consumer goods )market is expected to reach from the current level of US$ 49 billion to US$ 103.7 bn by 2020, according to ASSOCHAM and MRRSIndia.com report.
The rural FMCG market in India is expected to grow at a CAGR of 14.6%.
FMCG Companies such as Nestle, Dabur, ITC and Amul will reduce prices post GST announcement.Recently, Nestle, Godrej Consumer Products announced price cuts across their brands.
In the 23rd GST Council meeting, as many as 178 items of daily use were moved from the higher tax bracket of 28% to 18%, while a uniform 5% tax was prescribed for all restaurants, both air-conditioned and non-AC.
FMCG sector was the worst hit on account of GST.