Jan 10, 2022
FMCG businesses including Dabur stock up, secure logistics amid Covid-19 surge
Jan 10, 2022
As Covid-19 cases surge across India with the spread of the Omicron variant, increasing retail restrictions are once again causing fast moving consumer goods’ retail sales to rise as businesses including Dabur India prepare their stock and logistics.
“We are also applying learnings from last year on streamlining the supply chain to ensure minimal disruption in supplies and have already begun building requisite inventory to avoid any supply and commodity disruptions due to the ongoing wave,” Dabur India’s CEO Mohit Malhotra told the Press Trust of India. “Our units are also equipped with Oxygen Concentrators to meet any emergency in the event of a third wave. We will take all necessary steps to safeguard the health of our employees.”
Another problem which FMCG retailers have faced is the rising costs of many raw materials. Dabur India has seen inflationary pressures on its inputs and has stocked up on raw materials to avoid any supply chain disruptions or product shortages in the coming months. The business, which retails an array of personal care goods, has also reinforced health and safety measures in its manufacturing units and prepared its supply chain for increased demand and stress.
Although the third wave has caught many retailers by surprise after strong recovery towards the end of 2021, lessons learned during the first and second wave mean consumer behaviour is easier to predict and businesses can more easily prepare. As a full lockdown does not look like it will be on the cards, stocking up and panic buying is not expected to reach the high levels it did during the first wave.
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