New Delhi, June 4 -- India's fast-moving consumer goods (FMCG) sector is showing early signs of recovery, with rural markets continuing to lead the demand resurgence, according to a recent report by brokerage firm Anand Rathi. While value growth in the quarter ended March 2025 remained steady at 10.7% year-on-year (YoY), up slightly from 10.6% in the previous quarter, volume growth moderated to 5.1% from 7.1%.

Rural India once again outperformed urban markets for the fourth consecutive quarter, with volume growth of 8.4% YoY - nearly four times the 2.6% growth seen in urban markets, according to the brokerage report.

However, unseasonal rains in April and May may weigh on demand for summer-centric products such as soft drinks, ice cream...