India Biscuits Market- Trend Analysis & Forecast to 2030

India biscuits market valued at USD ** million and production reached ** million tonnes in 2023. The India biscuits market is projected to experience robust growth, driven by rising demand for convenient snacks and changing consumer lifestyles. With a well-established supply chain and competitive landscape, India plays a crucial role in the global biscuits market. India is third largest producer of biscuits globally and exported USD 330.13 million valued sweet biscuits in 2023-24, witnessed a 13.38% CAGR growth in the last 5 years.

Market/ Product Overview

In India, baked goods consumption has steadily increased, with biscuits accounting for a substantial share of the market. The demand for healthier options like whole-grain, low-sugar, and gluten-free biscuits is on the rise, driven by an increasing health-conscious consumer base. This trend is expected to continue, further boosting the market.

The India biscuits market is one of the largest segments within the Indian baked goods industry. The sector is characterized by a diverse range of products, including glucose, cream, digestives, crackers, and premium biscuits, catering to different consumer preferences. Increasing urbanization, higher disposable incomes, and a shift towards health-conscious eating habits are major drivers fueling market growth. Moreover, the rise of e-commerce and distribution channels has enabled manufacturers to reach a broader audience. The industry is also witnessing a surge in demand for premium and healthy biscuits, which is prompting innovation in flavors, ingredients, and packaging. The forecast period up to 2030 indicates significant growth opportunities due to these evolving consumer trends.

India’s Significance in the Global Biscuits Supply

India holds a strategic position in the global biscuits supply chain due to its robust production capabilities and cost-effective manufacturing processes. The country not only meets the growing domestic demand but also exports a significant volume of biscuits to various international markets, making it a key player in the global supply landscape. USA and China are the largest biscuits producers and India ranks third largest in production of biscuits globally. Global biscuit market size stood at USD 104 billion in 2023 and is projected to witness a CAGR growth of 7-8% during 2020 to 2030.

India Biscuits Production & Demand Trend

India's biscuit production has seen substantial growth in recent years, driven by advancements in manufacturing technology, expanding production capacities, and the entry of new market players. The demand for biscuits is growing consistently, supported by their affordability, long shelf-life, and versatility as a snack option for both urban and rural consumers. Popular varieties like glucose, cream, and Marie biscuits dominate the market, while there is also a rising demand for health-oriented biscuits, such as multigrain, high-fiber, and sugar-free options, due to increasing health consciousness among consumers. Factors like urbanization, higher disposable incomes, and the shift towards convenient and ready-to-eat food products have also contributed to this demand surge. Furthermore, the growing influence of Western diets and the preference for on-the-go snacks among younger demographics are expected to continue driving the demand for biscuits in India, making it one of the fastest-growing sectors within the Indian food industry.

India Biscuits Market Growth Factors

The growth of the Indian biscuits market is fueled by factors such as increasing disposable incomes, urbanization, and changing consumer preferences towards healthier and convenient food options. The rise of online retail and modern trade has also provided a significant boost to market accessibility. Manufacturers are focusing on innovation in flavors and ingredients to cater to the diverse consumer base. Moreover, the increasing influence of Western eating habits and a trend towards premiumization are driving demand for higher-quality and indulgent biscuits. Marketing strategies and advertising campaigns by leading brands are also playing a crucial role in expanding the market reach.

India Biscuits Market Restraints & Challenges

Despite the growth opportunities, the Indian biscuits market faces several challenges, including rising raw material costs and fluctuating commodity prices, which can impact profit margins. Intense competition among local and international players makes it difficult for new entrants to gain a foothold. Additionally, consumer concerns over sugar and calorie content in biscuits pose a significant challenge for manufacturers focusing on health-conscious products.

India Biscuits Supply/ Value Chain Bottlenecks/ Challenges

The value chain of the Indian biscuits market involves raw material suppliers, manufacturers, distributors, wholesalers, retailers, and end consumers. Raw materials such as flour, sugar, and fats are procured from domestic and international suppliers. Manufacturers focus on production, packaging, and quality control before distributing the products through various channels. The distribution network includes both traditional trade (kirana stores) and modern retail formats (supermarkets, e-commerce), which play a crucial role in reaching the diverse consumer base across urban and rural areas.

The biscuits supply chain in India encounters multiple bottlenecks, such as inconsistent quality of raw materials, logistical issues, and distribution inefficiencies, especially in rural areas. Supply chain disruptions due to factors like transportation strikes or natural calamities can lead to delays and increased costs. Managing these complexities while ensuring product freshness and quality remains a significant challenge for manufacturers.

Consumer Preference of Type of Biscuits

Consumer preferences in India are shifting towards healthier and premium biscuits varieties, with a growing demand for products like digestive biscuits, multigrain, and sugar-free options. Traditional glucose biscuits remain popular among mass consumers due to their affordability. However, urban consumers are increasingly inclined towards cream-filled and chocolate-coated biscuits, indicating a trend towards indulgence and taste over price sensitivity.

India Biscuits Trade (Export & Import) Trend

Sweet biscuits exports accounted for nearly 7-8% share by value in total commodities export earnings. India's biscuits exports have witnessed steady growth due to competitive pricing and the availability of a wide variety of products that cater to different global tastes. India exported USD 330.13 million valued sweet biscuits in 2023-24, witnessed a 13.38% CAGR growth in the last 5 years. Key export destinations include countries in the Middle East, Africa, and Asia-Pacific. USA, Kenya, Yemen, South Sudan, and Canada were top 5 importers of biscuits from India in 2023-24. The country also imports specialty biscuits from global markets to meet the growing demand for premium and innovative products. Trade policies, favorable tariffs, and strong distribution networks have further facilitated India's role as a significant player in the international biscuits market.

India Biscuits Market Competitive Analysis

The Indian biscuits market is highly competitive, with both national and multinational players striving to increase their market share. Companies are focusing on product differentiation, extensive marketing campaigns, and expanding their distribution networks to gain a competitive edge. Innovation in flavors, packaging, and health-focused biscuits is also a key area of focus for brands to attract diverse consumer segments.

Parle and Britania are the two largest companies, accounted for nearly 60% market share in India.

■ Britannia Industries Limited
■ Parle Products Pvt. Ltd.
■ ITC Limited
■ Anmol Industries Limited
■ Sunfeast (ITC)
■ Priya Gold (Surya Food & Agro Ltd.)
■ Unibic Foods India Pvt. Ltd.
■ Dukes (Ravi Foods Pvt. Ltd.)
■ Patanjali Ayurved
■ Cremica Food Industries Limited
■ Horlicks (GSK)
■ Bisk Farm (SAJ Food Products)
■ Surya Food & Agro Limited
■ Mrs. Bectors Food Specialties Ltd.
■ Bonn Nutrients Pvt. Ltd.

Future Outlook

The future of the Indian biscuit market looks promising, with expected growth driven by innovation, expanding product lines, and increasing health-consciousness among consumers. Technological advancements in manufacturing and the rise of e-commerce will further accelerate market expansion. The trend towards premium and organic biscuits is likely to gain momentum, creating new opportunities for manufacturers to tap into niche segments.