Consumer giants' forex earnings shine despite gobal woes

Kolkata: Leading consumer-facing manufacturers of daily essentials and household products, automobiles, consumer electronics and liquor stepped up exports in FY26, boosting foreign exchange earnings and collectively turning net forex positive despite sizeable import bills, showed an ET study of 20 large publicly traded companies.

The combined export forex earnings of these companies grew 29% last fiscal year, the fastest pace in four years. In FY22, forex earnings had grown 55%, but on a lower FY21 base when operations were severely disrupted by the pandemic.

The growth came in a year when companies faced headwinds from US tariffs and a sharply weaker rupee, making imports more expensive. They nevertheless managed to navigate the pressures by increasing localisation.


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The combined forex earnings from exports of companies including ITC, Maruti Suzuki, Hyundai Motor India, LG Electronics, Hero MotoCorp, Dabur, Asian Paints, Pidilite Industries, Tata Consumer Products, Voltas and United Spirits exceeded ₹1,08,269 crore in FY26, the study showed. Their combined forex outgo on imports of raw materials, components, spare parts, and capital goods stood at ₹1,04,361 crore, growing 17%.

The data, sourced from annual reports and registrar of companies statutory filings, showed Maruti Suzuki, Marico, Godrej Consumer Products, Hyundai, Hero MotoCorp, Bajaj Auto and Blue Star increased contribution of exports to total revenue by 1-5 percentage points in FY26.

"At a time when there are headwinds from rupee depreciation and rising input costs, we will continue to expand our exports by adding new geographies and product categories, which will also benefit margins," said Atul Khanna, chief accounting officer at LG Electronics India. "Localisation will go up by 1-2 percentage points every year." ITC said, in its latest annual report, that it considers forex earnings a priority, with all its businesses mandated to engage with overseas markets to test and demonstrate international competitiveness and pursue profitable growth opportunities.

Liquor maker Radico Khaitan's managing director Abhishek Khaitan said the company currently exports to more than 100 countries, accounting for 5-6% of volumes but a higher share by value.

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"And we've always believed in building brand than just pure selling, both in terms of our value for money or prestige and above category or the luxury category as well," he said. "We are not only catering to the Indian diaspora but also to the mainstream consumers." Radico Khaitan expanded its forex earnings from exports by 25% at ₹327 crore last fiscal.

Hyundai India said that localisation was a key driver of cost competitiveness in FY26. The company focused on indigenising high-value components, including AGM batteries, front cameras, fuel delivery pipes and standard fasteners.