Earlier this month, the Indian government reduced taxes on items ranging from soaps to small cars as it looks to boost domestic demand amid global headwinds including U.S. tariffs.

“While this measure supports long-term consumption, we have seen transitory impact in the form of disruption at distributors and retailers across channels to clear existing inventories with old prices,” the Indian unit of UK’s Unilever (ULVR.L), said.

It expects consolidated business growth to be nearly flat or in the low-single digit range for the quarter ending September 30, with the impact continuing into October, before prices start stabilizing from November.