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As global FMCG companies battle inflation, local investors may feel the heat

Global consumer companies have flagged inflation risks to their outlook. Their strategies to combat it may see their domestic units also change course

August 03, 2021 / 09:08 AM IST
As global FMCG companies battle inflation, local investors may feel the heat

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When global consumer companies face a big challenge, their response has implications on their subsidiaries across the world. Investors in foreign-owned FMCG stocks should keep a watch as global consumer companies tackle inflation. Central banks have been relatively cool to rising inflation, saying that it is transitory and attributable to solvable problems such as pent-up demand or supply bottlenecks. But global consumer companies are seeing enough durability in inflation to caution investors about a risk to their outlook. On Friday,...

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