http://www.google.co.in/#q=about+fmcg&hl=en&biw=1366&bih=643&prmd=ivnsu&source=univ&t bs=nws:1&tbo=u&sa=X&ei=yRFxTaz6KpDPrQf90tnRCg&ved=0CFIQqAI&fp=3f881d2b67f183b3 FMCG sector is an ever growing sector and is currently in a boom phase.

There are many jobs in FMCG sector at diiferent levels like sales, supply chain, manager, operations, purchasing, supervisor, administration, general management, product development, HR, Finance and marketing. FMCG sector is famous for jobs that are not only well paying but also gives the best perks and bonuses. Freshers are looking for jobs in FMCGsector as these jobs will give them the best career in the industry.
S. NO. Companies
Hindustan Unilever Ltd. ITC (Indian Tobacco Company) Nestl India GCMMF (AMUL) Dabur India Asian Paints (India) Cadbury India Britannia Industries Procter & Gamble Hygiene and Health Care Marico Industries

1. 2. 3. 4. 5. 6. 7. 8 9. 10.

KRChoksey has come out with its report on FMCG sector. FMCG sector registered a strong top line growth of 19.1% to Rs 21300 crores in Q3FY11 on the account of strong volume growth seen across the segments. Results for our KRC FMCG Universe were largely inline with our estimates with top line growth of 15% y-o-y. Nestle, GSKCHL & ITC being the top performers registering Net sales growth of 24%, 21% & 19% respectively, on the account of strong volume growth across their categories. EBITDA for the sector was up 13% y-o-y in Q3FY11 on the back of strong momentum in the topline. However margins for the sector continued to remain under pressure & declined by 108 bps y-o-y & for KRC FMCG universe by 59 bps y-o-y mainly due to significant rise in the key raw material prices (Palm oil, copra, Tea, Coffee). PAT for FMCG sector grew by 13% yo- y. Volume growth continues to drive topline: Despite high inflation, FMCG sector continued to witness healthy toplne growth of 19.1% y-o-y primarily driven by the strong volume growth & limited price hikes seen in Q3FY11. Among the KRC universe, Nestle registered highest growth of 24% y-oy, driven by 27% y-o-y increase in the domestic offtake. HUL continued to post strong topline growth of 11.6% led by 13% volume growth in domestic consumer business. GSKCHL grew by 21% y-o-y with robust volume growth of 18% & 13% in Boost & Horlicks respectively. ITCs topline was up by 19% y-o-y, reporting growth of 19% yo- y in cigarette segment (volume up by2-3%) & 24% y-o-y in the FMCG-Others segment. Colgate registered steady topline growth of 14% driven by volume growth of 13% &24% in the Toothpaste & Toothbrush categories. We believe topline growth for HUL, ITC,

Nestle, GSKCHL & Colgate to be steady going forward on the back of product mix, strong brand equity & presence across price points. Input cost inflation leads to Gross profit margin contraction: Significant rise in input costs led to decline in gross margins for the sector. Prices for the key raw materials like palm oil, copra, edible oil, Tea, coffee, PE, milk & barley continued to remain high leading to higher raw material consumption as % to sales for the sector. Gross margins for HPC players like HUL(-216 bps), GCPL(-81 bps), Marico(-530 bps), Emami(-553 bps) & dabur(-282 bps) declined on y-o-y basis due to significant increase in prices of Palm oil(+55%) ,Copra(+62%), Menthol(+75%) & LLP(+35%). As a result, to mitigate rising costs, players like Marico, Emami, Dabur, GCPL & Nestle have taken price hikes in the range of 3-15% in selective brands. Input cost inflation continues to remain key concern for the sector & we do not anticipate any price cuts in Q4FY11 especially in the HPC segment where the raw materials are crude linked derivatives. No decline in Competitive Intensity: Competitive intensity continues to remain high not only with the growth in domestic players but also aggressive strategies by MNC players like P&G, Reckitt Beckinser etc. This is evident from 16% y-o-y increase in the ASP expenses. In the HPC segment we saw ASP expenses as a % to sales increasing for Colgate (626 bps), GCPL(+243bps) & HUL(+73 bps) on the account of brand promotions, new product launches & pushing new categories whereas players like Marico, Emami, Dabur & Britannia reduced promotional expenses to mitigate the rising raw material costs, resulting in moderate decline of 12 bps y-o-y in ASP expenses as a % to sales for the sector. Thus despite EBITDA growth of 13% y-o-y, rising raw material prices along with higher ASP expenses continued to limit margin expansion for the sector in Q3FY11. EBITDA margins for the sector declined by 108 bps y-o-y. Positive measures in Budget to boost FMCG sector growth: We believe measures by the government to improve agricultural output, rural infrastructure & enhance supply chain would reduce raw material costs & boost the consumption in the rural markets which currently account for 40% of the FMCG volumes. This is positive for companies like HUL, ITC, Nestle, & Dabur which have strong presence in the rural markets. Views- We expect the growth story to remain intact for the FMCG sector considering the positive budget measures & significant under penetration in many FMCG categories. We believe Foods (Beverages, packaged food, ice-cream) & emerging HPC categories (Skin care, deodorants and Baby oils) to be the key growth areas. We believe diversified presence, robust product mix & strong supply chain would be the key to maintain robust volumes & healthy margins. Considering above key points we maintain our positive outlook on Nestle, ITC & GSKCHL on the account of presence in diversified categories, global presence & strong product mix. Disclaimer: The views and investment tips expressed by investment experts on moneycontrol.com are their own, and not that of the website or its management.Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

http://www.moneycontrol.com/news/brokerage-recos-sector-report/volume-growthintactfmcg-space-krchoksey_527513.html

News:
FMCG firms, GCPL and Emami, have expressed interest in acquiring Chennai-based Henkel India's haircare business, reportsBusiness Standard. Henkel has proposed to dispose its movable assets and other components of the haircare division, subject to shareholders' approval. The move is part of its attempts to restructure operations in India, the report adds. HSBC India has been given the mandate to sell Henkels haircare business. A Mahendran, managing director, GCPL, said, "While we are interested in Henkel, we have to first study the information memorandum before moving forward," the report says.

Source: Business Standard

Budget 2011 effect on FMCG:

FMCG stocks react positively to Budget 2011
The FMCG sector will be one of the biggest beneficiaries of the Budget proposals. FMCG stocks have reacted positively, putting in a stellar performance in the two trading sessions following the Budget. The 20-scrip ET FMCG index has gained 6.4% in two days, the biggest gain among the ET sector indices. The upward revision in the income-tax exemption limit will improve disposable income, and this is a positive for FMCG companies. The reduction in corporate tax surcharge and levy of excise duty on certain products will also benefit the sector. ITC and Procter and Gamble Health and Hygiene will be the major beneficiaries, while Nestle and Hindustan Unilever will have a marginal negative impact from the Budget proposals. The 250 basis point (bps) reduction in corporate tax surcharge will benefit all consumer companies. It is likely to reduce the tax incidence by 0.8%. A 50 bps increase in the Minimum Alternative Tax will hardly impact the FMCG companies as their tax rates are much higher than the effective MAT rates. The Budget proposes an excise duty of 1% on products such as sauces, ketchups, soups and instant food mixes and tea and coffee pre-mixes. Nestle derives a major chunk of its sales from these items. However, a solid December 2010 quarter reaffirmed its ability to pass on the additional burden to its customers. It achieved a volume growth of 17% despite price hikes across all categories. Hence, the Budget proposal will not have any adverse effect on its sales. Other FMCG players such as HUL, ITC and GSK Consumer Healthcare have lesser exposure to these product categories. Hence, the Budget proposals will have negligible impact on their earnings. When the surcharge tax reduction is taken into account, these duties will hardly make any difference to them. The excise duty reduction from 10% to 1% on sanitary napkins will benefit P&G Health and Hygiene. The company's stock has gained around 11% after the budget. The stock price of ITC has gained over 11% after the Budget left the excise duty on cigarettes unchanged. ITC has been able to achieve a volume growth of 5% over the past four years. The unchanged excise duty will allow ITC to improve profit margins by making small price hikes. Though the budget has been good for the consumer sector as a whole, the newly-introduced excise duties on certain food items may be a precursor to the higher duty rate under the proposed Goods and Service Tax, to be implemented from FY12.

http://articles.economictimes.indiatimes.com/2011-03-02/news/28649208_1_excise-duty-fmcgstocks-budget-proposals

Food categories drive growth in FMCG market

04 Mar 2011

According to a recently released findings by Nielsen, over the last year, the growth of the FMCG sector has been primarily fuelled by the foods segment, which contributes around 52 percent to the total FMCG market for branded packaged goods. The foods segment also accounts for 65 percent of the incremental FMCG sales in value terms with categories such as refined oils (consumer packs), non-refined oils, biscuits, packaged tea and salty snacks driving this growth.

Within the non-foods segment, personal care categories such as skin creams and toilet soaps have driven incremental sales. This rapid growth has been driven by wider, more systemic trends that have shaped the growth of these categories through changes in consumer motivation and behaviour.

Growth in the impulse segment (often described as unplanned, on-the-go products that are easily available and affordable by urban consumers seeking instant gratification) is being driven by key national players as well as local/ regional players that have introduced a large number of variants or new formats. Also, an explosion in variants, price points and pack sizes to capture a larger share of wallet is acting as a catalyst. Key impulse categories such as biscuits, chocolates, salty snacks and confectionery are clocking high double-digit growth rates and rapid increments in retail presence. This trend has also been abetted by the emergence of the modern trade format in India.

On the product formulation front, newer attributes such as low fat, sugar free, baked and whole grain are being introduced to entice and attract various consumer segments by creating greater relevance and empathy with consumers needs, observes Roosevelt DSouza, executive director, The Nielsen Company. The FMCG product portfolio is growing to accommodate the health and wellness segment, which caters to the increasingly affluent, urban, health-conscious Indian. This portfolio is no longer about preventive or supportive nutrition, instead it reflects a mix of indulgence, invigoration and narcissism. This trend explains the emergence of modified products. For instance, chewing gums, usually considered an item of impulse for children and youngsters, have now assumed a new avatar as an oral health aid for adults.

In the last decade, Indian consumers have seen growing urbanisation, increasing disposable income and lack of time,

prompting them to move towards convenience food products. This trend appears to have stabilised most noticeably in the breakfast and mid-meal segment with these categories gaining consumer acceptance. Marketers, too, have spent their time getting these products right to make them available to the Indian consumer across geographic zones and fine-tuned to local tastes. This process will continue as the market evolves and those who win at innovating based on consumers needs and preferences are more likely to create winning brands, says DSouza.

http://www.imagesfood.com/news.aspx?Id=2521&topic=2