shares surged 1.19 per cent to ₹2,696.30 in morning trade on Wednesday, following thethat will significantly benefit the FMCG sector. The stock opened at ₹2,750 against the previous close of ₹2,664.70.
The GST reforms will reduce rates on essential FMCG products from 18 per cent to 5 per cent, covering key categories including hair oil, shampoo, toothpaste, toilet soaps, and shaving cream — products that form a substantial portion of HUL’s portfolio. Bread will see GST elimination entirely, while pasta and noodles will move from 12 per cent to 5 per cent.
Multiple brokerages have expressed positive outlooks for the consumer goods sector. CLSA identified HUL among top beneficiaries, noting that food and home & personal care products will benefit most from the reforms. Goldman Sachs highlighted HUL alongside Britannia, Colgate, and Dabur as key beneficiaries in the FMCG space.
The timing appears strategic, coming just ahead of the festive season when consumer demand typically peaks. UBS noted that the reforms boost consumer sentiment and are particularly supportive for FMCG companies. Trading volume reached 11.35 lakh shares worth ₹308.44 crore by mid-morning.
Market analysts expect companies will pass on the GST benefits to consumers, potentially driving higher volumes and improved earnings in the upcoming quarters while easing inflationary pressures on essential goods.