Monday 19 August 2019

India's ready-to-eat food market set for solid growth

MUMBAI, April 5, 2019

India's ready-to-eat food market is poised for solid growth with a CAGR of more than 16%, during 2018-2023, on account of expanding distribution network, aggressive marketing strategies by major ready-to eat-food manufacturers, increasing number of modern retail chains and innovation in products offerings, according to TechSci Research report.

Moreover, increasing urbanization, rapid development of fast food chains coupled with longer shelf life and easy availability of frozen food products is further anticipated to fuel growth in India ready-to-eat food market during forecast period, stated TechSci Research in its report, “India Ready-To-Eat Food Market By Segment, By Distribution Channel, By State, Competition, Forecast & Opportunities, 2023.”

Indian market is broadly segmented into frozen ready-to-eat and shelf stable ready-to-eat food. The former dominates the market and is anticipated to continue its dominance during forecast period as well on account of high penetration rate and easy availability of a wide variety of ready-to-eat products in different packaging formats at various retail points.

Moreover, leading market players are offering frozen food products keeping in mind taste and preferences of consumers.

Among regions, North India emerged as a major revenue generator in India ready-to-eat food market as the region is developing at a faster rate, which is resulting in improvement in lifestyle, increase in per capita disposable income due to higher working population and rise in migrant population supported by available employment opportunities.

These factors are consequently resulting into need for convenience food, which, in turn, is increasing the sales of ready-to-eat food products in the region, stated the report.

The majority of the demand in the northern region is emerging from Delhi & NCR (National Capital Region) area. In NCR area, Gurgaon and Noida are the key demand generators owing to existence of a large number of offices and other commercial hubs.

The working population is among the major buyers of ready-to-eat food products in the region.

"India ready-to-eat food market is growing as rising number of consumers are gradually inclining towards easy, convenient and less time-taking food items such as ready-to-eat food products, which include frozen and shelf stable food items," noted Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.

"Convenience is a major factor contributing to the demand for ready-to-eat food products in the country. Further, to promote benefits and create awareness about frozen food products, manufacturers are investing in marketing strategies and introducing new products in innovative packaging, which is helping them to increase brand value as well as sales of their products," stated Chechi.
These developments are expected to drive the market for ready-to-eat food products in India over the next five years, he added.-TradeArabia News Service


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