MARKET ACCESS SECRETARIAT
Global Analysis Report
Market Overview
India
November 2014
MARKET SNAPSHOT
• India is the second-most populous country in the world with
1.2 billion people. The population is expected to reach
1.3 billion by 2017.
• India is the world’s tenth-largest economy, with a gross
domestic product (GDP) of US$1.9 trillion in 2013. The GDP is
expected to grow by 5.4% in 2014. The agriculture sector
employs 49% of the workforce and is estimated at 17.5% of
GDP.
• Annual consumer expenditure was US$892 per capita in 2013,
with food and non-alcoholic beverages representing US$264 or
29.6% of that total.
CONTENTS
Market Snapshot .............................1
Production .......................................2
Trade ...............................................3
Consumer Foodservice ...................4
Retail Sales .....................................5
Resources .......................................6
• The consumer foodservice industry is expanding alongside a
rising middle-class population, and is forecasted to reach total
value sales of US$107.0 billion by 2014.
• With growing disposable incomes, Indian consumers are
seeking products that offer convenience. Packaged food sales
continue to grow steadily, and are expected to reach a value of
US$39.2 billion by 2014.
• The top packaged food company in the market is currently
Gujarat Co-operative Milk Marketing Federation Ltd with a
7.3% value share, followed by Nestlé SA (4.5%) and National
Dairy Development Board (4.5%).
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PRODUCTION
• Sugar cane is India’s primary domestic crop although volume production has declined by a compound
annual growth rate (CAGR) of 3.4% from 2009 to 2013. Onions, pulses, and potatoes have shown the
most growth in production over the same period.
• Meat production is dominated by poultry and beef with those categories showing CAGRs of 10.9% and
1.3% respectively over the period 2009 to 2013.
Crop Production and Livestock in India
Top ten crops
(000 tonnes)
Sugar Cane
Rice
Wheat
Potatoes
Bananas
Maize
Pulses
Onions
Tomatoes
Millet
Meat
(000 tonnes)
Poultry
Beef and Veal
Goat Meat
Pork
Mutton and Lamb
Livestock
(000 head)
Chickens
Cattle
Goats
Sheep
Pigs
2009
285,029.0
135,673.0
80,679.4
34,390.9
26,469.5
16,719.5
14,160.0
12,158.8
11,148.8
8,776.8
2009
2,063.7
2,518.4
567.5
481.1
285.9
2009
810,000.0
206,400.0
149,000.0
73,172.0
10,104.0
2010
277,750.0
143,963.0
80,803.6
36,577.3
29,780.0
21,725.8
17,110.0
15,118.0
11,979.7
13,293.0
2010
2011
276,894.5
157,900.0
86,874.0
42,339.4
29,667.0
21,760.0
17,887.8
15,929.6
12,519.5
12,660.0
2011
2012
257,238.1
152,600.0
94,880.0
45,000.0
30,625.3
21,060.0
18,600.3
16,586.5
13,135.7
10,330.0
2012
2,337.7
2,549.2
586.5
483.5
289.2
2,581.5
2,582.7
599.8
486.0
297.1
2,860.8
2,619.4
614.7
487.9
305.8
2010
2011
2012
866,000.0
210,200.0
154,000.0
73,991.0
9,630.0
924,371.6
213,774.1
158,234.6
75,779.9
8,715.7
985,985.2
217,374.7
162,523.4
77,484.4
7,832.1
2013
247,974.5
157,301.9
98,824.6
47,947.0
31,779.7
22,265.7
20,080.4
17,816.4
13,797.9
10,761.4
2013
3,126.5
2,653.0
630.4
490.2
312.4
2013
1,044,647.0
221,033.0
167,031.2
78,921.9
7,074.8
CAGR
20092013
-3.4%
3.8%
5.2%
8.7%
4.7%
7.4%
9.1%
10.0%
5.5%
5.2%
CAGR
20092013
10.9%
1.3%
2.7%
0.5%
2.2%
CAGR
20092013
6.6%
1.7%
2.9%
1.9%
-8.5%
Source for all: Euromonitor International - FAOSTAT Agricultural Production, July 2014
Page | 2
TRADE
• India is a net exporter of agri-food and seafood products. In 2013, India’s agri-food and seafood trade
surplus was C$26.1 billion with imports valued at C$19.0 billion, and C$45.1 billion in exports. India’s
agri-food and seafood imports grew by a CAGR of 11.4% between 2011 and 2013.
• India’s top agri-food and seafood imports in 2013 were palm oil, sunflower seed oil, soybean oil,
cashews, and dried peas. Key supplying countries were Indonesia, Malaysia, Ukraine, United States,
and Argentina. Canada was India’s seventh-largest supplier of total agri-food and seafood products in
2013, with a 4.0% share.
India’s Top Agri-Food and Seafood Imports from the World, 2013
Commodity
Import Value
C$ millions
Palm oil, crude
5,009.5
Palm oil, refined
2,153.3
Sunflower seed oil, crude
1,287.5
Soybean oil, crude
1,213.6
Cashews, in shell
831.2
Peas, dried, shelled
574.1
Almonds, in shell
514.2
Beans, dried, shelled
486.7
Lentils, dried, shelled
441.6
Cotton, not carded or combed
407.5
Top Suppliers & Market Share
Canada's
Share
1
2
3
Indonesia
Malaysia
Thailand
0.00%
67.14%
28.97%
3.48%
Indonesia
Malaysia
Singapore
0.00%
79.27%
20.71%
0.02%
Ukraine
Argentina
Kazakhstan
0.00%
97.38%
2.02%
0.31%
Argentina
Brazil
United States
0.00%
73.91%
13.12%
9.84%
Côte d’Ivoire
Tanzania
Guinea-Bissau
0.00%
24.41%
19.35%
16.39%
Canada
Russia
United States
66.58%
66.58%
11.48%
11.17%
United States
Australia
Afghanistan
0.00%
78.35%
20.63%
0.98%
Myanmar
Tanzania
Australia
0.25%
76.54%
5.01%
4.98%
Canada
United States
Australia
80.57%
80.57%
10.86%
8.44%
United States
Mali
Côte d’Ivoire
0.00%
24.97%
17.40%
10.48%
Source: Global Trade Atlas, July 2014
• India’s processed food imports were valued at C$12.4 billion in 2013. Canada’s share was 0.1%.
Indonesia, Malaysia, Ukraine, Argentina, and Brazil were the largest suppliers of processed food to
India in 2013, providing almost 80% of the market. India’s processed food imports grew by a CAGR of
9.8% between 2011 and 2013.
• Canada’s agri-food and seafood exports to India were valued at C$0.7 billion in 2013. Top exports
were dried peas, lentils, animal feed, canola oil, and oilseed meal. In 2013, Canada registered an
agri-food and seafood trade surplus of C$0.3 billion with India.
Page | 3
CONSUMER FOODSERVICE
• The foodservice industry in India grew by a CAGR of 12.2% from 2009 to 2013 and further growth of
10.0% is projected to 2018. The pizza category showed the most growth over the period from 2009 to
2013 with a CAGR of 21.8%. Over the forecast period of 2013 to 2017, street stalls/kiosks will be the
best performing category in terms of sales growth (11.3%), followed by full-service restaurants
(10.5%).
• The urban population enjoy eating out depending on their level of disposable income. Fast food is
popular with teenagers and consumers in their twenties. Menus have to accommodate the Hindu
population who abstain from eating beef and the third of the country who are vegetarians.
Consumer Foodservice Sales in India
Historic in US$ Millions, Fixed 2013 Exchange Rate
Category
2009
Consumer Foodservice by Type
Full-Service Restaurants
Fast Food
Street Stalls/Kiosks
Cafés/Bars
Pizza Consumer Foodservice
Self-Service Cafeterias
100% Home Delivery/Takeaway
2010
2011
2012
CAGR
20092013
2013
60,515.8
68,201.5
76,537.1
85,281.5
96,051.2
12.2%
34,974.5
8,971.7
7,513.7
9,008.9
187.6
29.0
18.0
38,852.2
10,032.2
9,567.4
9,698.4
235.5
30.8
20.5
43,257.9
11,674.4
11,000.7
10,546.7
288.6
32.8
24.6
48,268.5
13,349.7
12,262.5
11,336.1
359.1
34.9
29.8
54,438.6
15,257.9
13,961.9
12,322.2
412.7
37.1
33.6
11.7%
14.2%
16.8%
8.1%
21.8%
6.3%
17.0%
Consumer Foodservice Sales in India
Forecast in US$ Millions, Fixed 2013 Exchange Rate
Category
2014
2015
2016
2017
2018
Consumer Foodservice by Type
Full-Service Restaurants
Fast Food
Street Stalls/Kiosks
Cafés/Bars
Pizza Consumer Foodservice**
100% Home Delivery/Takeaway
Self-Service Cafeterias
107,030.4
60,937.5
16,998.9
15,761.2
13,256.8
469.6
37.2
38.9
118,656.4
67,831.7
18,892.5
17,697.2
14,153.8
525.3
40.8
40.4
130,802.1
75,146.7
20,820.5
19,738.8
15,010.3
582.3
44.4
41.4
143,514.9
82,851.2
22,804.1
21,902.1
15,867.6
639.5
47.7
42.1
156,567.6
90,738.8
24,817.4
24,171.5
16,746.4
696.2
50.9
42.6
CAGR
20142018
10.0%
10.5%
9.9%
11.3%
6.0%
10.3%
8.2%
2.3%
Source for both: Euromonitor International, July 2014
**Pizza consumer foodservice data is compiled from three different subsectors (fast food, full-service restaurants, and 100%
home delivery/takeaway) for the purposes of comparison, but remains reflected within the figures for these subsectors, and thus
the consumer foodservice total. As such, pizza consumer foodservice is not counted as its own sector within the consumer
foodservice total.
Page | 4
RETAIL SALES
• Packaged food sales increased by a CAGR of 18.9% over the period 2009 to 2013, with a further
increase of 16.5% forecasted to 2018. Within this category, the best performing segment was meal
replacement, registering a CAGR of 37.1% from 2009 to 2013, followed by sweet and savoury snacks
at 26.6%.
• The traditional carbohydrate-rich diet is giving way to lean protein and low-calorie dairy products as
the population realizes the need for healthier eating. Health and wellness products have seen
considerable growth over the last five years and will continue the trend in the near future. The betterfor-you category increased by a CAGR of 16.8% over the period 2009 to 2013 and is forecasted to
grow by 13.7% over the next five years.
Agri-Food Retail Sales in India
Historic in US$ Millions, Fixed 2013 Exchange Rate
Category
2009
2010
2011
2012
2013
Health and Wellness by Type
Better For You (BFY)
Food Intolerance
Fortified/Functional (FF)
Naturally Healthy (NH)
Organic
Packaged Food
Baby Food
Bakery
Canned/Preserved Food
Confectionery
Dairy
Dried Processed Food
Frozen Processed Food
Ice Cream
Meal Replacement
Noodles
Oils and Fats
Pasta
Ready Meals
Sauces, Dressings & Condiments
Snack Bars
Soup
Spreads
Sweet and Savoury Snacks
Hot Drinks
Soft Drinks
Pet Care
4,982.7
2,858.0
2.9
1,692.8
406.6
22.4
16,561.1
284.3
2,959.4
54.5
1,123.1
5,756.7
900.8
38.1
311.0
85.5
341.3
3,484.2
2.8
12.8
695.0
7.8
22.6
76.0
784.7
1,660.7
1,994.1
46.1
5,857.1
3,364.3
3.3
1,960.3
500.3
28.8
19,750.2
317.0
3,342.2
61.9
1,415.0
6,797.0
1,073.7
45.1
370.5
123.3
439.2
4,288.4
3.3
14.7
794.1
11.0
27.0
86.7
1,024.3
1,919.4
2,481.6
56.4
6,804.7
3,888.2
3.8
2,263.0
616.2
33.5
23,280.6
360.9
3,814.7
70.8
1,782.8
7,887.0
1,280.1
54.3
451.3
172.9
551.6
5,073.9
3.9
16.6
916.8
13.0
32.4
101.1
1,301.0
2,222.9
3,058.0
69.4
7,906.0
4,528.5
4.4
2,584.9
744.5
43.7
27,697.7
412.2
4,434.3
82.7
2,234.1
9,186.5
1,567.9
66.4
549.2
236.4
670.5
6,109.3
4.9
19.5
1,071.8
15.8
39.2
119.0
1,612.1
2,601.8
3,801.3
84.9
9,269.5
5,317.7
5.0
2,985.3
906.6
55.0
33,100.4
476.4
5,163.5
97.6
2,787.2
10,810.3
1,926.2
82.2
658.0
301.8
804.9
7,368.7
6.2
23.5
1,253.7
19.6
48.0
142.3
2,013.0
3,034.9
4,684.4
105.2
CAGR
20092013
16.8%
16.8%
14.9%
15.2%
22.2%
25.2%
18.9%
13.8%
14.9%
15.7%
25.5%
17.1%
20.9%
21.2%
20.6%
37.1%
23.9%
20.6%
21.4%
16.4%
15.9%
26.0%
20.8%
17.0%
26.6%
16.3%
23.8%
22.9%
Source: Euromonitor International, July 2014
Page | 5
Agri-Food Retail Sales in India
Forecast in US$ Millions, Fixed 2013 Exchange Rate
Category
2014
2015
2016
2017
2018
Health and Wellness by Type
Better For You (BFY)
Food Intolerance
Fortified/Functional (FF)
Naturally Healthy (NH)
Organic
Packaged Food
Baby Food
Bakery
Canned/Preserved Food
Confectionery
Dairy
Dried Processed Food
Frozen Processed Food
Ice Cream
Meal Replacement
Noodles
Oils and Fats
Pasta
Ready Meals
Sauces, Dressings & Condiments
Snack Bars
Soup
Spreads
Sweet and Savoury Snacks
Hot Drinks
Soft Drinks
Pet Care
10,780.8
6,166.7
5.7
3,435.6
1,103.8
68.9
39,233.7
542.5
6,080.9
114.1
3,405.3
12,571.2
2,340.0
100.5
777.2
370.9
958.3
8,815.9
7.7
28.2
1,453.9
24.2
58.7
168.9
2,468.1
3,479.0
5,753.6
130.7
12,540.1
7,138.1
6.5
3,957.6
1,351.9
86.0
46,385.9
616.2
7,183.7
133.4
4,120.3
14,583.5
2,840.0
122.5
918.3
449.7
1,136.5
10,528.1
9.7
33.9
1,674.6
29.7
71.8
201.4
2,984.5
3,961.8
7,025.3
160.1
14,502.5
8,191.5
7.4
4,545.1
1,651.7
106.8
54,444.9
695.4
8,460.4
154.0
4,932.4
16,802.3
3,415.3
147.7
1,077.9
535.4
1,343.3
12,472.1
12.0
40.4
1,922.5
36.2
87.6
238.2
3,555.1
4,470.2
8,518.0
194.6
16,536.1
9,235.4
8.3
5,170.3
1,991.5
130.8
63,016.5
773.2
9,847.8
174.5
5,815.1
19,078.0
4,040.6
175.2
1,247.3
624.3
1,573.1
14,555.1
14.8
47.6
2,178.5
43.3
105.2
277.8
4,185.6
5,003.2
10,212.4
233.9
18,712.5
10,316.7
9.1
5,846.3
2,381.8
158.6
72,203.6
851.9
11,377.6
194.2
6,782.5
21,466.6
4,710.2
204.6
1,429.1
717.1
1,827.2
16,773.1
17.9
55.4
2,437.6
51.1
124.9
320.9
4,887.1
5,575.8
12,115.1
278.8
CAGR
20142018
14.8%
13.7%
12.3%
14.2%
21.2%
23.2%
16.5%
11.9%
17.0%
14.2%
18.8%
14.3%
19.1%
19.5%
16.4%
17.9%
17.5%
17.4%
23.4%
18.4%
13.8%
20.6%
20.8%
17.4%
18.6%
12.5%
20.5%
20.9%
Source: Euromonitor International, July 2014
RESOURCES
Euromonitor International (2014).
FAOSTAT (2014). Agricultural Production – India.
Global Trade Atlas (2014). Import and export statistics – India.
World Bank (2014).
Page | 6
Market Overview: India
Global Analysis Report
Prepared by: Karen Guilbault, Market Analyst
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