The Hindu Business Line : Godrej Consumer looking at buys in FMCG business

"We are constantly looking at acquisitions in soaps and other FMCG businesses but at the same time we are also looking at launches in variants and positions in the existing categories," Mr Adi Godrej, Chairman and Managing Director, GCPL said on Thursday. He said the company's decisions would be driven by economic value added.

"We are looking at new products but do not want to launch any `me too' products. Our goal is to be the fastest growing FMCG company," he said. The company is poised for a good growth in a year where FMCG sales have been accelerating. "Normal growth rates are getting restored," he said.

Toilet soaps are growing at 7 per cent and hair colours at 28 per cent.

Overall consumption in both rural and urban areas is expected to grow strongly. In soaps, GCPL has a huge opportunity to grow as its market share is 8 per cent and in personal care the focus is to grow the under penetrated market. The hair colour market, according to Mr Godrej, has the potential to grow faster than soaps.

The company is redeploying its savings in tax and excise duties on brand building.

In terms of aligning with modern retailing, he said the company would maintain partnership with modern retailing, which is growing at 30 per cent. However, only four per cent of FMCG sales go through this route. "Modern retail will rise but will not dominate," he said.

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Godrej Consumer looking at buys in FMCG business