In what can be a big boost for fast moving consumer goods (FMCG) companies including Hindustan Unilever Ltd (HUL), Marico and Dabur India, government run Canteen Stores Department (CSD), which serves defence personnel and is the single largest client for most consumer goods companies, is set to plan a massive online expansion.
The Canteen Stores Department (CSD), India's largest retail network, supplies FMCG items to armed forces personnel at a discounted rate.
Dilip G Piramal, Chairman,VIP Industries is confident of maintaining margins at current levels and expects margins to improve on back of volume growth.
Kolkata-based FMCG maker Emami is expecting its margins will see some improvement going ahead, helped by lower cost of raw materials like menthol.