Role of FMCG Companies in Promoting Sustainable Consumption

Abstract : The purpose of this study is to examine the role of Fast-Moving Consumer Goods (FMCG) companies in promoting sustainable consumption in India, with a focus on corporate practices, consumer response, and policy support. This review synthesizes recent literature and industry evidence (2018–2025) on how India’s FMCG firms influence sustainable consumption. It is a secondary, review-based study drawing on academic articles, corporate sustainability and annual reports, government policy documents, and industry consultancy surveys. Key themes identified are sustainable packaging as the primary corporate lever (recycled content, refill/refillable formats, lightweighting),  green marketing that must align sustainability with Indian consumers’ priorities (health, quality, affordability), the accelerating role of policy and Extended Producer Responsibility (EPR) in forcing packaging redesign and collection obligations and persistent challenges cost constraints, greenwashing risks, and the intention–action gap among consumers. Evidence shows a large share of Indian consumers express concern about sustainability and responds positively to transparent, verifiable green claims, yet price sensitivity and limited access often limit adoption of premium sustainable products. For managers, the review recommends embedding circular-design principles across product and packaging lifecycles, deploying clear impact metrics and third-party verification, and leveraging retail & public partnerships for collection and refill systems. For researchers, gaps include limited longitudinal outcome studies, scant research on rural and low-income segments, and the need for India-specific sustainability metrics.