Moneycontrol PRO
you are here: HomeNewsIndia

Coronavirus pandemic | FMCG cos ramp up production to meet rising demand

FMCG majors such as Hindustan Unilever, ITC, Parle, Amul and Godrej Consumer have raised production to meet increased demand due to the novel coronavirus outbreak

March 23, 2020 / 10:59 AM IST
  • bselive
  • nselive
Todays L/H

Fast moving consumer goods (FMCG) companies are increasing production to keep up with rising demand as consumers rush to buy essential groceries on account of the coronavirus outbreak, The Economic Times reported.

FMCG majors such as Hindustan Unilever, ITC, Parle, Amul and Godrej Consumer Products (GCPL) have raised production, the report said.

This is a sea change from last year, when companies were reducing production due to lower demand.

Moneycontrol could not independently verify the report.

The Centre has advised companies to close factories to contain the spread of COVID-19, but have permitted production of groceries, pharmaceuticals, and hygiene products.


COVID-19 Vaccine

Frequently Asked Questions

View more
How does a vaccine work?

A vaccine works by mimicking a natural infection. A vaccine not only induces immune response to protect people from any future COVID-19 infection, but also helps quickly build herd immunity to put an end to the pandemic. Herd immunity occurs when a sufficient percentage of a population becomes immune to a disease, making the spread of disease from person to person unlikely. The good news is that SARS-CoV-2 virus has been fairly stable, which increases the viability of a vaccine.

How many types of vaccines are there?

There are broadly four types of vaccine — one, a vaccine based on the whole virus (this could be either inactivated, or an attenuated [weakened] virus vaccine); two, a non-replicating viral vector vaccine that uses a benign virus as vector that carries the antigen of SARS-CoV; three, nucleic-acid vaccines that have genetic material like DNA and RNA of antigens like spike protein given to a person, helping human cells decode genetic material and produce the vaccine; and four, protein subunit vaccine wherein the recombinant proteins of SARS-COV-2 along with an adjuvant (booster) is given as a vaccine.

What does it take to develop a vaccine of this kind?

Vaccine development is a long, complex process. Unlike drugs that are given to people with a diseased, vaccines are given to healthy people and also vulnerable sections such as children, pregnant women and the elderly. So rigorous tests are compulsory. History says that the fastest time it took to develop a vaccine is five years, but it usually takes double or sometimes triple that time.

View more

To catch all live updates on the coronavirus pandemic, click here

GCPL has raised soap and hand wash production by 30 percent and 3.5 times, respectively, the article quotes its Managing Director Vivek Gambhir as saying. “It’s a combination of our own plant and third-party manufacturers with spare capacities, which will come up into effect by April. The situation is pretty dynamic right now,” Gambhir said.

“We are seeing a surge in demand for two weeks and don’t want any unnecessary panic with supply shortages and prices going up. We want to ensure we don’t go out of stock at any point of time,” Mayank Shah, Category Head at Parle Products, told the publication. He added that there may be a lull in the coming months once the crisis is over.

But the panic buying by consumers may still not compensate for the declining sales in January and February, the report noted.
Moneycontrol News
first published: Mar 23, 2020 10:59 am

stay updated

Get Daily News on your Browser
ISO 27001 - BSI Assurance Mark