‘Household FMCG spending to touch ₹20k by mid-2025’

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₹17,792, according to data in the FMCG Pulse update by Kantar. The market researcher said FMCG spends per household is expected to touch ₹20,000 by the end of 2025, as consumers spend more on a range of categories, including personal and household care, and packaged food. “In the last one year, an average household spent ₹17,792 on FMCG, growing at a strong 8% over the previous year.

Since the start of the pandemic, average spending has grown by ₹3,403. Around 39% of this incremental spending has come this year, while the pandemic year moving annual total (MAT) or sales over the 12 months till April 2021) contributed 35% of the incremental growth. At this rate, FMCG spends per household might be touching ₹20,000 by end of 2025," the report released on Wednesday added.

One reason for the surge in consumer expenditure can be attributed to the general escalation in prices of daily essentials. Kantar said value growth has outpaced volume growth during this period, indicating that consumers are now paying higher prices for the same quantity of good. The FMCG data captures sales of 50 categories and sub-categories, and includes unbranded products.

Household spending rose across categories and not just for staples like flour and edible oil. The number of categories where household expenditure surpassed ₹1,000 annually has also grown since the onset of the pandemic, indicating a significant surge in consumption of packaged goods. “This high growth is not a result of the addition of atta, but a general rise in spending across categories, and accelerated over the last two quarters.