For Indian FMCG giants, Nepal’s political crisis is more safety risk than revenue shock

India’s northern neighbor is in the midst of a violent political crisis with young people who have protested on the lack of corruption, favoritism and lack of economic opportunities. As the Prime Minister, several senior government officials, including KP Sharma Oli, resigned and was deployed to restore the order of the Nepal army.

Although the country does not contribute to a significant income, many Indian -moving consumer goods, including Hindustan Unilever LTD, ITC LTD, Dabur India Ltd and Marico Ltd, are doing business in Nepal.

Dabur Nepal Pvt. Ltd said he was watching the situation closely. The company’s production facility in Birgunj, the company, is closer to Bihar in India, the capital of Nepal and closer to Kathmandu, the warm point for protests.

Dabur Chyawanpash, Daburpash, Daburpash, Daburpash, Daburpash, Daburpash, Daburpash, Daburpash, Daburpash, Daburpash, Local Authorities and Internal Teams to ensure the continuity of work and internal teams in coordination of all the employees in Katmandu. They were advised to comply with the prohibition directives. ” He said.

In his 2024-25 year report, Dabur India warned that economic difficulties and political instability in Nepal could create a difficult business environment. Nepal constitutes 3% of Dabur’s consolidated sales.

Nepal, low GDP growth, high inflation, exports, imports, foreign investment and government revenue and a significant increase in migration in the last two years, such as faced serious macroeconomic difficulties, he said.

Yenisable oil producer Marico said that his work in Nepal was “relatively small ve and has no production facility in the country. “Our priority priority is the security and welfare of our local partners, distributors and extended sales teams.

Analysts foresee that Indian FMCG companies should have a slight protrusion from the unrest in Nepal.

Nuvam corporate shares, “Listed Indian consumer staple companies operate through an Indian list in Nepal, so there may be a slight protrusion for most names. Dabur, ITC, marico, hul and others, almost all FMCG names continue to exist in Nupal.

Nepal’s challenging business environment

Earlier this year, Bikji Foods International Ltd, Bhujia, Namkeen, Papad, Packed desserts and snacks to produce and marketing Nepal -based CG foods, but the protests can delay the upcoming factory.

Bika The agreement was signed a few months ago and zero investment was made for Bikaji, Big said Manoj Verma, Business Officer of Bikji Foods. “It was expected to last 10-12 months for the completion of the project (factory). Considering the existing unrest and disorders, the project will be postponed so much without any other impact on our operations.”

However, Verma added that Nepal’s contribution to Bikji’s business is less than 1%. “These protests will not have a significant impact on our general business.”

Hindustan Unilever and ITC operate in Nepal through its subsidiaries.

Unilever Nepal Ltd, listed on the Nepal Exchange, produces and sells products between categories such as beauty, personal care and home care. In the financial year, which ended on July 15, 2024, the income obtained from the operations decreased from 2.84% Nepal Rupi 8.240 million or La515 CRORE, Snow 6.5% Nepal Rupine rose to 1.955 million or La122.19 Crore.

“We closely monitor the situation and temporarily paused the operations in Nepal.” He said. “Our employees were asked to work from home. The safety and prosperity of our teams continues to be our most important priority and we take all the necessary measures.”

Previously, in his FY25 -year report, Hul said, “Despite a challenging business environment in Nepal, it was caused by a national liquidity crisis caused by inefficient government expenditures, caused by the Solid Central Bank guidelines for general consumption, a general consumption, money devalies and increased migration, united, unl.

ITC, Syria Nepal Pvt in Nepal. According to the company’s website, Ltd. In 1986, he began to sell biscuits, cigarettes, incense sticks and confectionery to operations.

SURYA Nepal’s consolidated income grew by 6.3% of the operations in FY25 Nepal Rupi 5.293 Crore or La3,308.60 Crore, Nepal Rupi’s net profit with 1.172 crore or La729.31 Crore.

However, in the FY25 -year report, the ITC warned that Nepal’s economic growth is forced between weak consumer demand and weak private and public sector investments.

Hindustan Unilever ended NSE on Wednesday with an increase of 0.15% La2,646,00 per share, ITC increased by 0.72% La413.00, Dabur India 0.58% La547.40, Marico 0.55% La736.50 and Bikji Foods 0.57% La774.00.