Average rate of annual spending on packaged food has increased by 22.5 percent annually during the years 2010 to 2015 and the growth is expected to touch around 32 percent by 2017.
This growth was driven by urbanization, the increasingly hectic pace of modern life and rising annual disposable incomes – all of which led consumers to shift towards convenient and easy to eat packaged foods.
Size of the Indian packaged food industry is about $30 billion and is likely to touch $50 billion by 2017, growing at a compound annual growth rate (CAGR) of about 30 per cent annually.
Generally, the food processing industry has contributed ~1.5 percent to India’s GDP. The main categories of packaged food are bakery products, canned/dried processed food, frozen processed food, ready-to-eat meals, dairy products, diet snacks, processed meat and health products and drinks, points the survey.