Macquarie flags risks to rural-focused Britannia and Dabur as El Nino hits monsoon

Britannia Industries

25/06/2026 06:01

** Macquarie flags risks to rural-focused consumer brands Britannia BRIT.NS and Dabur DABU.NS as demand sentiment likely to be hit by monsoon weakness caused by El Nino
** BRIT last up 0.3%, Dabur last up 1.1%
** Food inflation impact likely to be limited due to govt's proactive approach to counter weak monsoon impact - brokerage
** However, past periods where monsoon has been at or below 90% of long-term period avg can have sharp impact on rural incomes, affecting spends - brokerage
** Weather forecasting agencies expect monsoons to be at 90% of long-term avg in 2026, with June recording less than 60% of long-term avg; central, west, northwest India at risk of significant deficit - brokerage
** YTD, BRIT down 12.4%; DABU down 14.7%
     

 (Reporting by Abhirami G in Bengaluru)
 ((abhirami.g@thomsonreuters.com))