FMCG firms in India struggle with weak urban sales but see rural recovery hopes for FY26.

FMCG companies in India saw a weak performance in the fourth quarter of FY25, mainly due to poor urban demand and increased competition. However, rural markets showed recovery signs, supported by reduced inflation and higher government spending. Companies remain hopeful for a better outlook in the second half of FY26, expecting improvements from lower inflation and favorable weather conditions.