GST cut impact: Britannia, Colgate, Camlin, Flair, DOMS gain up to 11%; analyst views
Stationary stock Kokuyo Camlin climbed 10.58 per cent to Rs 128.45. Flair Writing Industries Ltd advanced 3.87 per cent to Rs 333.80. DOMS Industries Ltd climbed 3.78 per cent to Rs 2,597.10.
- Sep 4, 2025,
- Updated Sep 4, 2025 10:11 AM IST
Shares of stationary players such as Kokuyo Camlin Ltd and Flair and FMCG companies such as Britannia Industries and Colgate-Palmolive climbed up to 7 per cent following the announcements of GST rate cuts.
Stationary stocks jump up to 11% Stationary stock Kokuyo Camlin climbed 10.58 per cent to Rs 128.45. Flair Writing Industries Ltd advanced 3.87 per cent to Rs 333.80. DOMS Industries Ltd climbed 3.78 per cent to Rs 2,597.10. Linc Ltd also added 1.48 per cent to Rs 130.65. Key stationery items like pencils, sharpeners, crayons, exercise books have seen reduction in GST rate from 12 per cent to nil while, GST rate for geometry box has been reduced from 12 per cent to 5 per cent. This is positive for DOMS as overall these segments accounts for 50 per cent of its consolidated sale, JM Financial said. Food & beverage stocks advance Packaged food products like branded namkeens, Bhujia, instant noodles, fruit juices and ayurvedic products have seen 7 per cent reduction in output tax. Bikaji, Gopal Snacks, Nestle India & Dabur India are the key beneficiaries given their strong play in some of these segments. Bikaji Foods International Ltd gained 2.58 per cent to Rs 803.95. Gopal Snacks Ltd added 2.73 per cent to Rs 374.25. Nestle India Ltd rose 2.88 per cent to Rs 1,229. Dabur India Ltd also jumped 3.48 per cent to Rs 562.30.
Biscuit stocks also gain Reduction in Packaged water, chocolates, Instant coffee (was a surprise) and Biscuits (on expected lines) from 18 per cent to 5 per cent calls for quite a large price cut to be implemented to pass on the commensurate benefits to the end-consumers, JM Financial said.
Britannia Industries and Nestle India are the large beneficiaries here, it said. Britannia Industries shares were up 4.70 per cent at Rs 6,190.
"The interplay of the need to cut prices to pass on the tax cut benefits on one hand and the need to hike prices to deal with inflationary input costs could make near-term pricing decisions a bit tricky, given that businesses would have to ensure that they do not trigger ‘anti-profiteering’ provision," it said.
Shampoo, soap, hair oil makers cheer Major reductions in GST rate were seen for essential consumption categories like hair oils, shampoos, soaps, toothpaste and toothbrush. "Colgate will be a key beneficiary given its large salience in Oral care followed by HUL & Dabur which have presence across all these segments. However, Home care segments like Detergents and Household insecticides haven’t seen any reduction in GST rate which is a negative surprise (especially for HUL, GCPL, Jyothy Labs)," JM said.
Colgate Palmolive (India) Ltd climbed 4.24 per cent to Rs 2,482. Hindustan Unilever Ltd (HUL) added 1.47 per cent to Rs 2,703.10. Jyothy Labs Ltd gained 2.23 per cent to Rs 343.85. Godrej Consumer Products Ltd fell 1 per cent.
Shares of stationary players such as Kokuyo Camlin Ltd and Flair and FMCG companies such as Britannia Industries and Colgate-Palmolive climbed up to 7 per cent following the announcements of GST rate cuts.
Stationary stocks jump up to 11% Stationary stock Kokuyo Camlin climbed 10.58 per cent to Rs 128.45. Flair Writing Industries Ltd advanced 3.87 per cent to Rs 333.80. DOMS Industries Ltd climbed 3.78 per cent to Rs 2,597.10. Linc Ltd also added 1.48 per cent to Rs 130.65. Key stationery items like pencils, sharpeners, crayons, exercise books have seen reduction in GST rate from 12 per cent to nil while, GST rate for geometry box has been reduced from 12 per cent to 5 per cent. This is positive for DOMS as overall these segments accounts for 50 per cent of its consolidated sale, JM Financial said. Food & beverage stocks advance Packaged food products like branded namkeens, Bhujia, instant noodles, fruit juices and ayurvedic products have seen 7 per cent reduction in output tax. Bikaji, Gopal Snacks, Nestle India & Dabur India are the key beneficiaries given their strong play in some of these segments. Bikaji Foods International Ltd gained 2.58 per cent to Rs 803.95. Gopal Snacks Ltd added 2.73 per cent to Rs 374.25. Nestle India Ltd rose 2.88 per cent to Rs 1,229. Dabur India Ltd also jumped 3.48 per cent to Rs 562.30.
Biscuit stocks also gain Reduction in Packaged water, chocolates, Instant coffee (was a surprise) and Biscuits (on expected lines) from 18 per cent to 5 per cent calls for quite a large price cut to be implemented to pass on the commensurate benefits to the end-consumers, JM Financial said.
Britannia Industries and Nestle India are the large beneficiaries here, it said. Britannia Industries shares were up 4.70 per cent at Rs 6,190.
"The interplay of the need to cut prices to pass on the tax cut benefits on one hand and the need to hike prices to deal with inflationary input costs could make near-term pricing decisions a bit tricky, given that businesses would have to ensure that they do not trigger ‘anti-profiteering’ provision," it said.
Shampoo, soap, hair oil makers cheer Major reductions in GST rate were seen for essential consumption categories like hair oils, shampoos, soaps, toothpaste and toothbrush. "Colgate will be a key beneficiary given its large salience in Oral care followed by HUL & Dabur which have presence across all these segments. However, Home care segments like Detergents and Household insecticides haven’t seen any reduction in GST rate which is a negative surprise (especially for HUL, GCPL, Jyothy Labs)," JM said.
Colgate Palmolive (India) Ltd climbed 4.24 per cent to Rs 2,482. Hindustan Unilever Ltd (HUL) added 1.47 per cent to Rs 2,703.10. Jyothy Labs Ltd gained 2.23 per cent to Rs 343.85. Godrej Consumer Products Ltd fell 1 per cent.