The Indian bakery segment has strong growth potential and is undergoing substantial expansion, hence conducting a feasibility study for bakery business in India has become quite important. This boom has been driven by the growing preferences towards packaged foods, rising disposable incomes, and the growing influence of social media. The market has been further pushed by the expansion of e-commerce, which includes cloud kitchens, D2C platforms, and food delivery websites. In 2023, the Indian bakery market was estimated to be worth US$12.6 billion. At a compound annual growth rate (CAGR) of 9.9%, the market is anticipated to reach US$29.4 billion by 2032.
The India Bakery Segment Growth Drivers
● Due to urbanization and population increase, there is a growing need for bakery goods like bread and cookies. India's bakery sector is expanding. Additionally, a sizable nationwide market for bakery goods has been established by FMCG retail.
● The growing interest and demand for western bakery items like cakes and donuts through social media has played a significant role in the feasibility study for bakery business in India. Events like anniversaries, new year eve, etc. further increase the demand for bakery products.
Import & Export Trends in the Indian Bakery Market
● India's imports of baked goods are predicted to increase at a compound annual growth rate (CAGR) of 14.8%, from US$42.9 million in 2019 to US$85.5 million in 2024. Urbanization, growing per capita income, and customer preferences for a variety of food options are the main drivers of this increase.Imports are mostly restricted to the premium and gourmet segments, which are also contributing to India's economy.
Future Outlook
The future of the Indian bakery industry is bright and so is the feasibility study for bakery business in India. The market will be driven by consumer preferences for healthier, organic and sugar-free products. E-commerce and online food ordering will make the sector more accessible to customers.
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