Elections are coming, and snack makers are licking their lips
Packaged food and beverage companies are stepping up supplies on the ground ahead of the coming general election, as large rallies and outdoor gatherings raise demand for low-priced biscuits, snacks and beverages. The Election Commission of India (ECI) announced dates for the 2024 Lok Sabha election on 16 March. Voting will start on 19 April, and go on till 1 June, across seven phases.
“With the upcoming elections and the dates declared, we are expecting some buoyancy in the market and good spending on ground. Consumers also get more disposable incomes, different parties dole out freebies or even cash. For our category, it does have an impact.
We will have to wait and watch. But it will be positive, given the number of rallies. Wherever rallies happen, we see a large congregation of people," said Krishnarao Buddha, senior category head, Parle Products.
Election months typically see a 10-15% jump in demand for the company’s brands as out-of-home mobility increases. “Accordingly, we are gearing up to stock as well," he said. Parle Products sells brands such as Parle-G biscuits and Hide & Seek cookies.
Dairy cooperative Gujarat Cooperative Milk Marketing Federation (GCMMF) that markets dairy products under the Amul brand said the general election, coupled with a strong summer, will help in an uptick in demand for low-priced beverages such as shakes, lassi and even ice-creams. "Any economic activity has a direct impact on business. Large congregations—be it religious, political or even melas help the sale of soft drinks and other beverages.
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