Recession is significant decline in activity across the economy, lasting longer than a few months. Industries are confronting heavy losses due fall down of global economy. As per Federation of Indian chamber of Commerce and Industries (FICCI) due to global recession many industries had to cut down production by 10%- 50%. This research paper will try to explain the term recession in comprehensive manner. This research paper aims to study the impact of recession on the FMCG sector with special reference to HUL.