NIFTY23,4060.33%
SENSEX74,3460.41%
BANKNIFTY54,1860.88%
NIFTY IT29,3845.57%
PHARMA24,0870.33%
AUTO26,0930.05%
FMCG48,1241.01%
METAL13,5350.17%
REALTY762.601.39%
ENERGY40,1970.02%
NIFTY23,4060.33%
SENSEX74,3460.41%
BANKNIFTY54,1860.88%
NIFTY IT29,3845.57%
PHARMA24,0870.33%
AUTO26,0930.05%
FMCG48,1241.01%
METAL13,5350.17%
REALTY762.601.39%
ENERGY40,1970.02%

Summer Sales Surge in India Amid Heatwave

As a severe heatwave grips north India, the sales of summer-centric products have shown no signs of slowing down. In a trend that is bucking the usual slowdown in out-of-home consumption, fast-moving consumer goods (FMCG) firms are witnessing a rise in demand for products such as colas, ice creams, and cold beverages.

Ice Cream Sales Double on Quick Commerce Platforms

According to Jayatheertha Chary, managing director at Mother Dairy, ice cream volumes have more than doubled over the last 10 days compared to the preceding 10-day period, while fresh dairy products have registered growth of over 30 percent during the same timeframe. The Delhi-headquartered dairy is seeing higher traction for categories such as ice creams, fresh dairy products, and dairy beverages, and now expects demand growth across key categories to surpass its earlier estimates for the season.

Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data

CompanyIce Cream Sales Growth
Mother DairyOver 100% growth in ice cream volumes over the last 10 days
Amul50% rise in ice cream sales this season

Beverages Remain Robust

Cola giant Coca-Cola is witnessing an acceleration in demand, with the company introducing new products such as Powerade in sports hydration and the first-ever ready-to-drink RimZim Rose Sharbat. The expanding Schweppes range of sparkling waters also signals a clear demand for more contemporary choices for the discerning consumer. In contrast, Chandigarh-based Archian Foods, which manufactures and markets Lahori Zeera, is hopeful of crossing Rs 1,200 in revenue this year as demand for cold beverages remains robust.

Beer Sales See Growth

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Not just cola, beer is also seeing growth this year. United Breweries, the maker of Kingfisher and Heineken beers in India, saw a return to 10% growth in the beer category in the March quarter and is working to increase production, with a greenfield plant in Uttar Pradesh and two new can lines in Maharashtra and Telangana expected to go live in July.

New Categories on the Rise

The intense summer heatwave has also given rise to sales of sunscreens. For Plum, both skincare and sunscreens have witnessed a healthy double-digit growth this year, with quick commerce becoming a key growth driver as it remains discovery-led, convenience-driven, and drives impulse purchases during peak summers. Sunscreen continues to be one of Plum's fastest-growing skincare categories, with nearly 70% growth in March-April versus Jan-Feb.

Investor Takeaway

FMCG firms in India's north region are experiencing a surge in demand for cooling beverages amid the heatwave, with sales of summer-centric products like colas and ice creams remaining robust.

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