The new GST regime will make products more affordable for consumers, helping to lift demand, said T Krishnakumar, director at Reliance Consumer Products (RCPL). The company has begun production of new packs and aims to place them in the market by the end of the month.
“In India, one of the biggest barriers to consumption is affordability. GST reform is a move in the right direction, and it will benefit consumption growth, without a doubt,” Krishnakumar told The Times of India in an interview before the rollout of the revised tax rates. The new slabs will be effective from Monday, coinciding with the start of Navratri.
Around 65% to 70% of RCPL’s portfolio, which covers food, beverages, confectionary and personal care, will fall under the new GST regime. The company, which competes with multinationals such as Unilever, Nestlé and PepsiCo as well as Indian players like Dabur and ITC, has reduced prices across its brands. These include Maliban cookies, Masti Oye! snacks and Glimmer soaps. For the time being, it is cutting prices of small packs since weight adjustments in fresh packs take longer.
“Small packs outnumber large packs for us by a substantial margin in all categories except staples,” Krishnakumar said. He added that this time, frequent government notifications had helped businesses shift smoothly to the new system. RCPL did not face significant hurdles in inventory management. “Our stocks tend to last only for 10-12 days on retail shelves, so it hasn’t been much of an issue,” he said.
RCPL started operations in November 2022. Its reach across India is still narrower than that of established rivals. The company, which is set to become a direct subsidiary of Reliance Industries, reported revenues of $1.4 billion (over Rs 11,000 crore) in FY25. Much of its growth in the fast-moving consumer goods business has come from acquisitions and joint venture tie-ups, a path Krishnakumar said it will keep following while also building its own brands.
The company has drawn up a plan to become a national player across product segments in three years. “We have started expanding geographies. Our branded staples and beverages portfolio will become fully national by March 2026. We will keep expanding in other categories and in three years’ time, we will be a national player across segments. We are just about entering the general merchandise category (brooms, washing kits etc) and this too will be scaled nationally in three years,” Krishnakumar said.
RCPL’s acquisition approach has largely centred on picking up old, struggling heritage Indian brands and reviving their growth.
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“In India, one of the biggest barriers to consumption is affordability. GST reform is a move in the right direction, and it will benefit consumption growth, without a doubt,” Krishnakumar told The Times of India in an interview before the rollout of the revised tax rates. The new slabs will be effective from Monday, coinciding with the start of Navratri.
Around 65% to 70% of RCPL’s portfolio, which covers food, beverages, confectionary and personal care, will fall under the new GST regime. The company, which competes with multinationals such as Unilever, Nestlé and PepsiCo as well as Indian players like Dabur and ITC, has reduced prices across its brands. These include Maliban cookies, Masti Oye! snacks and Glimmer soaps. For the time being, it is cutting prices of small packs since weight adjustments in fresh packs take longer.
“Small packs outnumber large packs for us by a substantial margin in all categories except staples,” Krishnakumar said. He added that this time, frequent government notifications had helped businesses shift smoothly to the new system. RCPL did not face significant hurdles in inventory management. “Our stocks tend to last only for 10-12 days on retail shelves, so it hasn’t been much of an issue,” he said.
RCPL started operations in November 2022. Its reach across India is still narrower than that of established rivals. The company, which is set to become a direct subsidiary of Reliance Industries, reported revenues of $1.4 billion (over Rs 11,000 crore) in FY25. Much of its growth in the fast-moving consumer goods business has come from acquisitions and joint venture tie-ups, a path Krishnakumar said it will keep following while also building its own brands.
The company has drawn up a plan to become a national player across product segments in three years. “We have started expanding geographies. Our branded staples and beverages portfolio will become fully national by March 2026. We will keep expanding in other categories and in three years’ time, we will be a national player across segments. We are just about entering the general merchandise category (brooms, washing kits etc) and this too will be scaled nationally in three years,” Krishnakumar said.
RCPL’s acquisition approach has largely centred on picking up old, struggling heritage Indian brands and reviving their growth.
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