ITC Targets ₹8 Lakh Cr FMCG Market By '35, Banks On AI, Premiumisation And Digital Growth

ITC expects the Indian fast-moving consumer goods (FMCG) market to present an addressable opportunity of around ₹8 lakh crore by 2035, with the company planning to strengthen its position through premium offerings, artificial intelligence (AI), digital commerce and acquisitions, said Chairman and Managing Director Sanjiv Puri.

Addressing the company's Annual General Meeting (AGM) on Thursday, Puri said the domestic FMCG sector is entering a new phase of growth as consumer preferences evolve across demographics, purchasing channels and product categories.

"The rise of aspirational Bharat, premiumisation, Gen Z and Gen Alpha consumers, expanding digital access and the growth of quick commerce are reshaping categories, channels and expectations," he said, as per PTI.

AI-Driven Consumer Insights At Core

ITC is relying on an AI-led consumer insight ecosystem to better understand customer behaviour through micro-segmentation.

Puri said the company is using these insights to develop products suited to different life stages, lifestyles, health requirements, occasions and retail channels.

ITC believes online and omnichannel retail will continue to play a larger role in expanding its consumer reach.

"These differentiated products reach millions of homes through your company's smart omnichannel network with unique multidimensional capabilities across ambient, chilled, frozen and perishable supply chains," Puri said.

FMCG Portfolio Expands

ITC's FMCG business has grown steadily over the past five years. Revenue increased from around ₹14,720 crore in FY21 to more than ₹24,200 crore in FY26, while profitability also improved during the period.

"Your company's aspiration to be the number one FMCG player is anchored on this larger vision," Puri told investors, as per PTI.

ITC now has a portfolio of more than 30 FMCG brands, representing annual consumer spending of nearly ₹37,000 crore, reaching close to 280 million households and exporting products to over 70 countries, he said.

Puri said acquisitions have strengthened the company's presence in premium and high-growth categories. Recently acquired businesses are generating an annual recurring revenue (ARR) of around ₹1,350 crore, combining startup innovation with ITC's scale and distribution network.

Focus On Nutrition And Innovation

ITC is expanding its "good-for-you" product portfolio under its Help India Eat Better initiative to address nutritional deficiencies and lifestyle-related health concerns.

Puri mentioned offerings such as Yoga Bar's protein range, Sunfeast protein breakfast shakes and protein-fortified Aashirvaad atta. The personal care business is also being expanded through brands such as Nimyle, Savlon, Mother Sparsh and Fiamma.

Product development is supported by ITC's Life Sciences and Technology Centre, where more than 400 scientists work across the agriculture-to-consumer value chain, he remarked.