India Organic Food Market

India Organic Food Market to Grow at nearly 20% in the Coming Years

Published | 03 June 2022

India organic food market is growing at a high CAGR because of the increasing health consciousness among consumers along with changing lifestyles, increasing launches of a wide range of organic food products along with rising popularity of online sales channels…

A recent study conducted by the strategic consulting and market research firm, BlueWeave Consulting, revealed that the India organic food market was worth USD 1,013.4 million in the year 2021. It is estimated to grow at a CAGR of 19.90%, earning revenue of around USD 3594.0 million by the end of 2028. The India organic food market is flourishing at a high rate owing to the increasing health consciousness among consumers along with changing lifestyles. Due to this, Indian consumers are increasingly focusing on the nutritional value of the food they are consuming and its impact on their health. Furthermore, increasing launches of a wide range of organic food products along with the rising popularity of online sales channels are also providing lucrative growth opportunities to the India organic food market.

Increasing Availability of Organic Food in Retails Stores and Supermarkets and Hypermarkets

The sales of organic food are highly dominated by online platforms as of now which restricts the products among urban regions only. Therefore, organic food brands are increasingly focusing on improving their distribution channels and launching their products in retail stores and supermarkets/hypermarkets to increase their product penetration. The countrywide retail chains such as Big Bazaar, Easyday, etc., are putting organic foods to attract customers. This is anticipated to boost the growth of the market in the forecast period.

Favorable Government Initiatives Is Driving The India Organic Food Market Growth

The Government of India is significantly focusing on expanding the organic food market and is already taking various initiatives to boost the market growth. For instance, the government announced a Rs. 10,000 crore fund to help brand and promote healthy foods produced across India, which is expected to benefit around 2 lakh MSMEs. Such initiatives are anticipated to drive the India organic food market growth in the forecast period.


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India Organic Food Market - By Distribution Channel

Based on distribution channels, the India organic food market is segmented into online channels, offline channels. The online channels are the primary distribution channels for organic food in India. This is because organic food products are easily available through e-commerce platforms such as, Flipkart, etc., as well as grocery websites such as BigBaskart, JioMart, etc. The availability of a wide range of products on these online stores acts as a major driving factor for the growth of the online sales channel segment.

India Organic Food Market - Regional Insights

Geographically, the India organic food market is segmented into North India, South India, East India, And West India. West India dominates the India organic food market owing to the rapid consumer shift and increasing availability of these products in urban cities such as Mumbai, Pune, etc. Following west, South India also covers substantial market share with states like Andhra Pradesh, Karnataka, etc., which are pulling the demand for organic food owing to the presence of a large younger working-class population in this region.

Impact of COVID-19 on India Organic Food Market

The India organic food market registered significant growth post the COVID-19 pandemic outbreak in the country. The global pandemic raised health concerns among Indian consumers as well as conscious towards what they are consuming. Furthermore, the pandemic also spurred the demand for sustainability to avoid further damage by the food industry to the environment. As a result, organic food brands are increasingly launching their products in the Indian market to establish themselves as leading players, which is anticipated to drive the market growth in the forecast period.

Competitive Landscape

The leading market players of the India organic food market are Suminter India Organics Private Limited, Nature Bio-Foods Limited, Organic India Private Limited, Sresta Natural Bioproducts Pvt.Ltd, Phalada Agro Research Foundations Pvt.Ltd, ElWorld Agro, Mother Earth, Mehrotra Consumer Products Pvt. Ltd, Morarka Organic Foods Pvt. Ltd, Nature Pearls Pvt.Ltd, Conscious Food Private Limited, Nourish Organics Foods Pvt Ltd, EcoFarms (India) Ltd, and other prominent players.

The market is highly fragmented with the presence of several global and regional industry participants. However, it is very welcoming for new entrants and startups since the market is still at its early stages. The companies are constantly launching new products to cater to the needs and tastes of diverse Indian consumers. Furthermore, the adoption of competitive strategies such as partnerships, mergers, acquisitions, collaborations, etc., is also prominent in this market.

Don’t miss the business opportunity of the India organic food market. Consult our analysts to gain crucial insights and facilitate your business growth.

The in-depth analysis of the report provides information about growth potential, upcoming trends, and statistics of the India organic food market. It also highlights the factors driving forecasts of total market size. The report promises to provide recent technology trends of the India organic food market and industry insights to help decision-makers make sound strategic decisions. Furthermore, the report also analyzes the growth drivers, challenges, and competitive dynamics of the market.

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