New Delhi, April 9 -- The Indian Fast-Moving Consumer Goods (FMCG) sector faces a shift in its growth trajectory for the FY27-28 fiscal years as geopolitical conflict in West Asia has disrupted a previously anticipated volume recovery. According to a report by PhillipCapital, the industry's recovery narrative, which was supported by income tax relief and a favourable rural outlook, now encounters one of the largest supply disruptions in the global oil market.

The sector deals with a "triple squeeze" characterized by limited direct demand exposure, rising raw material costs for crude derivatives, and a weakening currency that increases import expenses. This volatility resulted in a nearly 10 per cent correction in the Nifty FMCG index sin...