Mumbai: India's fast moving consumer goods industry is hoping the upcoming budget will bring in concrete measures to tame spiralling inflation and viable tax structure to ensure continued growth.
The 130-billion-rupee industry, which is the fourth largest sector in the Indian economy, has been reeling under the pressure of surging input costs and subsequent impact on profit margins.
"Prices of agri-commodities are on the rise. Prices have risen by 30-35 per cent in the past two years...there is also simultaneous rise in freight rates and packaging costs," said Chitranjan Dar, chief executive of foods business, ITC.
"If growth has to continue, then the problem of inflation has to be tackled," he said....more
03:32 PM, Feb 24, 2011