If You Need Any Help Contact With Us
- +91 9833967579
Request a Call Back
Sector Growth: Indian Food Processing Industry
The Indian food processing industry has been growing at a tremendous rate. A synergistic blend of superior economic conditions, shifting consumer choices, and backing policies from the government are behind the trend. In 2022, the industry was worth USD 307.2 billion and is predicted to reach USD 547.3 billion by 2028, exhibiting a whopping CAGR of 9.5% during the period of 2023-28. This spectacular growth path underscores the pivotal position the industry occupies within India’s economic firmament and the potential it has to be a principal source of employment, innovation, and sustainable growth.
Key Factors Fueling Growth:
Rising Urbanization and Disposable Incomes:
There is growth in the urban population and increase in disposable incomes which are driving demand for processed and packaged foods. Convenience and variety are now awaited by urban consumers, and this is resulting in the growth of ready-to-eat and ready-to-cook foods.
Government Initiatives and Support:
There have also been certain government moves such as the ‘Pradhan Mantri Kisan SAMPADA Yojana’ and the creation of mega food parks that are giving a huge boost to this sector. These moves began with the aim of modernizing the industry, increasing their value addition in the economy, and minimizing wastage, further increasing overall productivity and growth.
Technological Advancements:
Food processing, packaging, and preservation have now applied technological advancements that enhance efficiency and quality. Embracing such technologies such as automation, AI, and IoT is resulting in the transformation of the industry to become more competitive on a worldwide platform.
Export Opportunities:
India is gradually becoming a leading player in the international food processing market due to an improvement in the number of processed food product exports. Indian processed foods are on the rise in the global market due to the quality, variety, and reasonable prices they embody.
Health and Wellness Trends:
The consumers have started having a higher consciousness about health and well-being, and are now making choices towards choosing healthier and organic food. The trend is turning out to be an element generating innovation in the industry, resulting in the creation of new product lines that address health-conscious consumers.
Challenges and Opportunities:
Supply Chain Management:
Even with the growth, there are some challenges that exist. Effective Supply chain management is one because food products are perishable. But advances in cold chain logistics and infrastructure are opening up opportunities for effective management and less wastage.
Regulatory Compliance:
Compliance with high food safety and quality standards is a requirement if one wishes to establish consumer confidence and open up international markets. Ongoing efforts towards adherence to regulatory norms are capable of making Indian food products competitive in global markets.
Investment in R&D:
In order to attain quality innovation in the industry and remain in line with market trends, research and development investment becomes crucial. Organizations that focus on R&D can innovate distinctive products, enhance processing methods, and satisfy the changing tastes of customers.
The dynamic expansion of the Indian food processing industry echoes its intrinsic contribution to India’s economy and its bright future. Entrepreneurs and investors who are eager to take advantage of this expansion need to emphasize innovation, efficiency, and sustainability to prosper in this growing market.
Growbet Value Proposition
Expertise in both qualitative & quantitative research methods
Solutions-based approach incorporating holistic research design
Rigour in all areas of the research process – questionnaire design, data collection, analysis and reporting ensuring accurate results
Maximum use of technology ensuring faster turnaround
Action-oriented findings
And above all, involvement of industry experts who converse in the client’s language