New Delhi, Sept. 5 -- Recent reductions in GST are expected to enhance FMCG consumption through increased disposable incomes, more effective promotions, and additional grammage in smaller packs; larger packs will benefit from price reductions and promotions, according to a report by brokerage Nuvama Institutional Equities.

The brokerage noted that key beneficiaries include Britannia, Bikaji, and Nestle. Other companies like Emami, Dabur, Hindustan Unilever Ltd (HUL), Colgate, Godrej Consumer, and Marico are also expected to gain.

Significant changes have been observed in biscuits, toothpaste, soaps, shampoos, toothbrushes, and hair oils, while cigarettes and CSD remain unchanged for the time being. Detergents, hair dye, household items,...