AgenciesFile photoKolkata: Consumer goods manufacturers across daily essentials and air-conditioners said trade loading of summer products has yet to gain momentum, as an extended winter and carryover inventory from last year have delayed the sales cycle by more than 45 days. Peak primary (company-to-trade) sales have not begun even in the southern markets, which typically lead the season, companies said. Despite the sluggish start, manufacturers remain optimistic about a rebound in summer product sales, supported by pent-up demand for high-ticket items such as ACs, the impact of GST reductions and expectations of a warmer summer compared with last year. "The winter has been extended in most parts of the country. So, we are yet to see the loading (by trade) for the summer season for now. Usually it starts by mid-January," said Mohan Goenka, vice chairman of Emami that owns brands like Navratna Cool Oil and Dermicool Prickly Heat Powder. The company expects trade loading to pick up in another two weeks around Holi, Goenka told ET. AC maker Blue Star's managing director, B Thiagarajan, said some retailers with strong working capital positions have begun stocking up, aiming to purchase older inventory at lower prices ahead of anticipated price hikes. Prices are expected to rise soon due to increasing copper and steel costs, along with the depreciation of the rupee, he said.Live Events "Summer sales typically begin with Kerala where it is yet to pick up. Nights have just started to become warm. As of now, there is just marginal growth in primary sales," said Thiagarajan. Retailers typically begin procuring summer inventory from January. However, this year's stocking cycle has been delayed by unsold inventory from last summer, when sales were severely impacted by relatively cooler weather. AC retailers are still carrying five to six weeks' worth of stock. Dabur chief executive officer Mohit Malhotra told analysts recently that since the season did not favour last summer, there were some stocks which it was liquidating now so that it could start the new season afresh without old stocks, and be able to do billing. Dabur sells the Real fruit juice and has several cooling and hydration products in its portfolio. AC manufacturer Voltas managing director Mukundan Menon told analysts that he expects the entire unsold inventory to be cleared by mid-March. Bajaj Electricals chief operating officer (consumer products) Vishal Chadha said in an earnings call earlier this month that it would take one more quarter for summer product channel inventory to normalise. "Also, we think that because of the bad season (last year), the channel partners are also being cautious in loading," he said. For summer-focussed companies, like AC and beverage makers, the season could account for up to 40-45% of annual sales. With rural sales improving and expected to grow in a high single digit in next few quarters, companies are hopeful sales of summer products would pick up pace as this is a big market. Priya Nair, CEO of FMCG market leader Hindustan Unilever, said while the winter portfolio reported a very strong double-digit performance last quarter, the summer portfolio had been relatively challenged.Add as a Reliable and Trusted News Source Add Now! (You can now subscribe to our Economic Times WhatsApp channel)Read More News ondabursummer product salesConsumer goods manufacturersHoli season saleswinter inventory impactbajaj electricalspriyahindustan unilever(Catch all the Business News, Breaking News and Latest News Updates on The Economic Times.) Subscribe to The Economic Times Prime and read the ET ePaper online....moreless(You can now subscribe to our Economic Times WhatsApp channel)Read More News ondabursummer product salesConsumer goods manufacturersHoli season saleswinter inventory impactbajaj electricalspriyahindustan unilever(Catch all the Business News, Breaking News and Latest News Updates on The Economic Times.) Subscribe to The Economic Times Prime and read the ET ePaper online....moreless