FMCG Stocks HUL, Nestle Upbeat Ahead of Budget 2024, Fertilizers Show Mixed Trade

Shares of fast-moving consumer goods firms opened in green ahead of the Union Budget on Tuesday.

What Happened: FMCG stocks like Hindustan Unilever Limited, Nestle India, Dabur and Tata Consumer were trading higher as markets opened.

Experts are anticipating a tax cut, a potential expansion of tax slabs, or an increase in the limit for tax-saving investments under Section 80C. This is likely to affect disposable income which is furthering the optimism among consumer stocks.

Moreover, Hindustan Unilever is also poised to report its first-quarter earnings today. Experts largely believe the company to deliver muted earnings.

Cigarette stocks were down ahead of the Budget announcement. The government is expected to raise excise duty or (National Calamity Contingent Duty) NCCD on cigarettes and tobacco products.

See Also: Defence Stocks HAL, BEL, Cochin Shipyard, Mazdock Mixed Ahead Of Budget 2024

Fertiliser stocks showed a mixed trade ahead of the Budget announcement. Industry bodies have urged the government to streamline fertiliser subsidies and increase investment in agricultural research, reports say.

The government has reiterated that the budget will focus on farmers and rural development. The interim budget projected the provision for fertiliser subsidies in FY25 to be ₹1.64 lakh crore.

Price Action: FMCG stocks showed a mixed trade on Tuesday morning.

Hindustan Unilever was trading 0.46% higher at ₹2,747.95. Nestle India was up 0.15% at ₹2,591.30. Tata Consumer gained 0.59% at ₹1,211.95. Dabur lost 0.32% to trade at ₹634.60.

ITC shares were up 1.16% at ₹471.95. Shares of Godfrey Phillips were down 1.68% at ₹4,205.65.

Madras Fertilizers was up 0.87% at ₹125.18. Mangalore Chemicals & Fertilizers Limiter was down 0.47% at ₹126.00. National Fertilizers gained 0.92% at ₹161.40.

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