India’s leading fast-moving consumer goods (FMCG) firms, including ITC, Nestlé, Coca-Cola, Tata Consumer Products, Dabur, Reliance and Parle, are pivoting back to general trade after a year dominated by partnerships with quick-commerce platforms like Blinkit, Zepto, Instamart and BB Now.
 
According to a report in The Economic Times, these companies are making fresh efforts to re-engage kirana stores with broader product assortments, improved supply chains, and increased retail margins. The shift follows backlash from distributors over alleged price disparities favouring digital players.
 
ITC, for example, has recalibrated its distribution network to expand premium product access for kiranas, while also offering value-driven incentives tailored to higher-end stores.

Quick-commerce platforms may be on the rise, but general trade continues to dominate the Indian grocery landscape. Over 13 million kirana stores account for more than 90 per cent of FMCG sales. However, distributor relations have frayed in recent quarters due to accusations of preferential pricing and margin structures extended to e-grocery apps.
 
On 16 June, the All India Consumer Products Distributors Federation (AICPDF), which represents over 450,000 members, demanded price parity across channels. The federation called for uniform market operating prices and criticised the lack of formal vendor agreements between FMCG companies and their distributors.