Mumbai, September 18: On the back of good monsoon season this year and a boost in rural incomes, the current economic slowdown in the FMCG market could improve in the second half of the current fiscal 2020, according to a BNP Paribas report. Hit by the economic slowdown, some of the FMCG companies witnessed a trend of a slump in volume growth over the last three quarters. Economic Slowdown 2019: 40,000 Diamond Workers in Gujarat Go Jobless, 250 Diamond Units Shut in 1 Year.

An Economic Times report mentions that the rising PM-Kisan enrolments could boost rural incomes. Dabur India is hopeful of seeing signs of revival in the coming quarters. CFO of the company Lalit Malik as quoted in the report said, "We are facing headwinds in the short term with the overall demand slowdown, coupled with the agrarian crisis, increased unemployment and liquidity crunch with dealers."

ITC is also hopeful that the growth trajectory will improve on the back of several measures announced by the government to improve the economic slowdown in the country.  The report further mentioned that the employment situation in the country is worsening, rural wage growth has remained low and the wholesale channel is yet to recover fully after the GST implementation. It is a grim situation all around with several sectors reeling under huge losses and numerous job slashes taking place.

(The above story first appeared on LatestLY on Sep 18, 2019 10:21 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).