The BSE FMCG index dips in pre-lunch trading session on Friday. ITC, which heavily contributes to the index losses is trading lower by 1.8% at Rs 305.85 per share.
Other FMCG stocks such as Dabur India was trading down 0.9% at Rs 279.30 per share, Nestle India was down 0.5% at Rs 6641.95 per share, United Breweries was down 2.4% at Rs 800.80 per share, Marico was down 0.6% at Rs 317 per share and Hindustan Unilever was also trading lower by 0.07% at Rs 1,092.60 per share.
According to a report aired on a business news channel, Finance Ministry is considering a proposal to divest government’s stake in tobacco companies. Earlier, Health Ministry had raised its concerns about government stake in tobacco companies.
In February, the government had sold 2% hold by Suuti in ITC worth Rs 6,700 crore in 2017. Suuti’s current shareholding stands at 9.10%. Other stakeholders such as LIC holds 16.29%, GIC holds 1.76%, New India Assurance holds 1.70% and Oriental Insurance holds 1.40% stake, mentioned business news channel.