FMCG, consumer -discretionary set for festive boost; Defense remains a long -term game: Sushant Bhansali

To begin with, it is the GST Bonanza of the prime minister who has positively cheers the market. The GST cuts are expected to create around $ 13 billion in consumption, which offers a strong rugwind to the FMCG sector. The movement for the festive season is crucial and will probably translate into stronger volumes, better consumption and generally positive sentiment. What is your opinion about the FMCG sector, given its sideways action over the past two to three years?

Sushant Bhansali: Post -conscious, national recovery was slower compared to urban markets, which already performed well. In the past two to three years, the growth of the FMCG was in the first place urban powered, but the penetration in the countryside is now improving. Combined with the expected GST cuts around Diwali, this should speed up the recovery. The underperformance from the past two to three years could translate into stronger returns during the next 6-18 months.

Which specific themes within consumption do you expect to perform well, including areas that previously underperform?

Sushant Bhansali: It is a dual approach. Firstly, nationally targeted players with strong distribution networks will probably do well in this year’s H2. Secondly, consumer -discretionary segments, which are currently taxed at 28% GST, can benefit if the rates fall to 18% as widely speculated. These areas must offer extra growth lever.

Given that the GST announcement is not yet official, do investors now have to enter or wait for the market?

Sushant Bhansali: It is a good access point. Investors can somewhat falter investments, but wait will not yield any results. Large caps and mid-caps are at reasonable levels for a horizon of 1-2 years, and for people with a horizon of 3+ years is suitable every moment. Recent global uncertainties have yielded attractive access points. With lower interest rates, tax cuts and GST implementation prior to Diwali and the wedding season, markets were able to see a cheerful turnaround and reach new highlights.

You are positive about consumer discretionary, staples, car, clothing, agrochemicals and sustainable consumers. But what about the defense and shipbuilding, given the focus of the government, including the Sudarshan Chakra mission to develop native air defense systems by 2035?

Sushant Bhansali: Defense remains a strong bet in the long term, but short -term flows can be limited. The public finances are under pressure, with slower direct tax growth and GST rate adjustments that influence indirect taxes. Consequently, short -term capex and investments in this sector may be limited. However, the long -term story remains intact and the movement of the lateral way can continue until better access points arise.