{"id":61407,"date":"2026-05-07T05:21:29","date_gmt":"2026-05-07T05:21:29","guid":{"rendered":"https:\/\/www.europesays.com\/ch\/61407\/"},"modified":"2026-05-07T05:21:29","modified_gmt":"2026-05-07T05:21:29","slug":"nestle-india-looks-for-volume-led-growth-despite-price-volatility-amid-geopolitical-uncertainties-2","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ch\/61407\/","title":{"rendered":"Nestle India looks for volume-led growth despite price volatility amid geopolitical uncertainties"},"content":{"rendered":"<p>FMCG major <a class=\"stockpage_articles\" href=\"https:\/\/www.cnbctv18.com\/market\/stocks\/nestle-india-ltd-share-price\/NI\/\" target=\"_blank\" rel=\"noopener nofollow\">Nestle<\/a> is concerned over \u2019volatility\u2019 in prices due to rising input costs amid geopolitical uncertainties, even though it chases a volume-driven growth in the new fiscal, said its Chairman and Managing Director Manish Tiwary.<\/p>\n<p>The maker of Maggi noodles, Nescaf\u00e9 and KitKat struck a cautious note, saying it will \u201dwait and watch\u201d as \u201dnobody can predict the situation two months down the line\u201d amid \u201dgeopolitical tensions, some concerns around the monsoon\u201d, and fluctuating commodity costs.<\/p>\n<p>\nNestle India remains focused on expanding consumption and penetration, with a strategy centred on driving volumes while offering better value to consumers and leveraging technology to improve operational efficiencies, he said.<br \/>\u201dTimes are volatile. It\u2019s a difficult thing for anyone to predict what\u2019s going to happen even two months down the line,\u201d Tiwary told PTI in an interaction.<br \/>\nHe did not mention any immediate price hike, but said volatility in the market due to current geopolitical tensions is creating cost pressure as there is a surge in raw materials and crude-linked packaging rates.<\/p>\n<p>The bulk of Netsle\u2019s production is done in the country, and more than 97% of our own material is sourced locally, he said.<\/p>\n<p>Nonetheless, this \u201dwould still not insulate us from further inflation\u201d as it will depend on how the political situation changes in the Middle East.<br \/>\u201dSo, that is something which we have to be ready for. So, that\u2019s a little bit of a yellow flag in the future which we see,\u201d he said, adding the company will also internally try to optimise through cost efficiencies.<\/p>\n<p>Most FMCG companies have announced a fresh round of price hikes of around 3 to 5% in the March quarter, on account of a 15-20% surge in raw material costs, high crude oil prices that are impacting packaging, and a weakening rupee.<\/p>\n<p>On Thursday, the CEO and MD of leading FMCG firm HUL, Priya Nair, said it will implement \u201dcalibrated price increases\u201d to manage rising input costs due to a surge in raw materials and crude-linked packaging rates.<\/p>\n<p>Tiwary noted that despite volatility, Nestl\u00e9 India has seen \u201dthe right momentum\u201d led largely by volume growth across its businesses during FY26. The company also stepped up advertising investments significantly in the second half of the fiscal year to support its core brands.<\/p>\n<p>When asked about Nestle India\u2019s outlook for FY27, he said: \u201dWe will continue to look at volume, let penetration grow.<\/p>\n<p>According to Tiwary, Nestle\u2019s strategy to invest behind core brands to drive volume-led growth, backed by a disciplined cost optimisation with leveraging technology, is paying dividends.<br \/>\u201dGoing forward, we continue to stick to our strategy to drive volume-led growth, fuelled by investment behind this brand, and we will continue to be very disciplined in our execution,\u201d he said.<\/p>\n<p>Besides, Nestle India is also open to acquisition if it finds the right fit.<br \/>\u201dThis is a very comprehensive portfolio to sort of take our business to the next four to five years. At the same time, there is a team which keeps on looking at new spaces, possibly to see acquisitions,\u201d he said.<\/p>\n<p>Nestle India, which is expanding its presence in the rural market as per its \u2019Rurban\u2019 strategy, has taken distribution spokes from 25,000 to 45,000.<br \/>\u201dI think my rural market, the rural business, will grow much faster than the overall sales,\u201d said Tiwary.<\/p>\n<p>Nestle, which is opening its tenth India factory in Odisha, will continue to invest in volume-led growth, which also gives leverage for cost optimisation. \u201dSo, we will continue to invest. We see that demand in the country,\u201d said Tiwary.<\/p>\n<p>Nestle India\u2019s total revenue in FY26 was at \u20b923,194.95 crore, up 14.46% year-on-year. Its Q4 profit was also up at \u20b91,110.9 crore, while revenue from the sale of products was at 6,723.75 crore.<\/p>\n","protected":false},"excerpt":{"rendered":"FMCG major Nestle is concerned over \u2019volatility\u2019 in prices due to rising input costs amid geopolitical uncertainties, even&hellip;\n","protected":false},"author":2,"featured_media":9414,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[126],"tags":[33676,32961,32960,199,200,33683,33842,30174,32959],"class_list":{"0":"post-61407","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-nestle","8":"tag-fmcg-sector","9":"tag-geopolitical-uncertainties","10":"tag-input-cost-volatility","11":"tag-nestle","12":"tag-nestle-india","13":"tag-price-hikes","14":"tag-raw-material-prices","15":"tag-rural-expansion","16":"tag-volume-led-growth"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@ch\/116531618296113236","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts\/61407","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/comments?post=61407"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts\/61407\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/media\/9414"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/media?parent=61407"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/categories?post=61407"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/tags?post=61407"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}