Early indicators from March suggest a sizzling start to the summer season for manufacturers of seasonal commodities such as air conditioners, beverages, and ice creams, with sales on the rise. AC, beverage, and ice cream companies anticipate robust double-digit growth rates following capacity expansions and enhanced distribution efforts in preparation for the impending scorching summer months. This marks a turnaround for seasonal product makers who experienced sluggish summer sales last year due to untimely rains.
Sanjay Chitkara, Senior VP at LG Electronics India, remarked, “Our pan-India growth reached approximately 35 percent in March. Particularly in states like those in the Southern and Eastern regions, sales have doubled. This encouraging trend suggests a strong summer season ahead.”
Kamal Nandi, EVP and Business Head of Godrej Appliances, noted that the air conditioner industry likely saw a value growth of 12-15 percent in March. “At Godrej Appliances, our March sales surged by over 25 percent. We anticipate maintaining this momentum in Q1, targeting over 30 percent growth for the overall summer season compared to last year,” he added.
Consumer durable players are optimistic about seeing an uptick in the entry-level mass segment, particularly in categories such as refrigerators, during the June quarter.
N S Satish, President of Haier Appliances India, expressed confidence, stating, “Based on early trends, we anticipate a 40 percent year-on-year growth in the air conditioner segment during the summer season.”
Voltas reported a “significant” volume growth of 72 percent in AC sales during the March quarter.
Demand has surged in the beverage segment, driven by the elections, the timely arrival of summer, and the four-month-long cricket season.
Ankit Kapoor, Head of Marketing and International Business at Parle Agro, maker of Frooti and Appy Fizz, forecasted high double-digit growth for the category this year, following a lackluster 2023 due to a weak summer season.
Coca-Cola India is strategically enhancing distribution to meet heightened consumer demand, focusing on accelerating their refreshed portfolio of carbonated soft drinks.
Angelo George, CEO of Bisleri International, highlighted their efforts to ramp up production capacities and distribution infrastructure, particularly for vending and stadium experiences during the IPL matches.
Manish Bandlish, MD of Mother Dairy, noted a 20 percent rise in ice cream demand in March compared to last year, with expectations of over 30 percent growth in demand for dairy products overall.
Mohit Khattar, CEO of Graviss Foods Pvt Ltd, anticipated a 17-20 percent increase in summer sales for the Baskin Robbins brand compared to the previous year.
