ITC, Ruchi Soya among top 50 fastest growing consumer companies
New Delhi: Two Indian firms – ITC Limited and Ruchi Soya – have been ranked 15th and 20th among the fastest growing consumer companies across the globe during June 2009-2010, a study by research and advisory firm Deloitte said Tuesday.
“Indicative of the tough economic times, for the second year in a row, all but seven of the fastest growing companies were in the food, drink and tobacco or the electronic product sectors,” said the fourth annual global powers of the consumer products industry 2011 report.
There were three companies in the personal and household products sector, two home improvement product companies, one tyre manufacturer and one fashion goods company amongst the fastest 50.
“Currently, while India is represented by only two companies, there is a huge potential as large Indian conglomerates in the consumer business sector are witnessing strong growth due to growing consumerism and modernisation of Indian retailing,” said Rajan Divekar, senior director, Deloitte (India).
“As the Indian retail industry modernises, the cost of distribution is likely to fall, suppliers will have an incentive to invest in technology and consumers will gain access to cheaper, fresher and safer products,” he added.
According to the report, the biggest single opportunity for global consumer product companies comes from the emerging middle classes in developing economies, with an estimated 70 million new consumers expected to enter the global middle classes each year.
However, in order to exploit this opportunity, companies must prepare for radical innovation to deliver the right products at price points that are typically well below equivalent products in the developed world, he added.