The Indian food and beverage packaging industry is estimated to reach $86 billion by 2029, the All India Food Processors Association said on Saturday. The association noted that the industry is currently growing at a rate of 14.8 per cent annually on account of rapid urbanisation, an increase in disposable incomes and growing consumption patterns.
Speaking at the Food Ingredients (Fi India) and ProPak India conference, the All India Food Processors Association’s western region chairman Prabodh Halde said, “Post-Covid-19, the demand for natural food ingredients has surged. FSSAI’s new regulations for nutraceuticals and organic foods are driving growth in the sector. Packaging has evolved from protection to marketing and sustainability. Trends like natural, organic, vegan, and GI-tagged products are reshaping the landscape,” reported PTI.
This conference was the 17th edition of Fi India and 5th edition of ProPak India, and was organised from August 17-19 by event organiser Informa Markets In India in Mumbai. Fi India saw the participation of more than 230 exhibitors and over 1,000 brands, while ProPak India witnessed 85 exhibitors and more than 300 brands participating in the event. International exhibitors from the Netherlands, Denmark, France, USA, Poland, Japan, Singapore, Hong Kong, Thailand, and Belgium also attended the event.
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Talking about the evaluation of the industry, Halde added, “The organised packaged ingredients market is valued at about Rs 20,000 crore annually, indicating a shift from loose to packaged products.”
Halde stated that the current Indian food and beverage packaging industry is valued at $32 billion as of 2022, and is estimated to grow more with a focus on sustainability as the industry shifts towards ‘plastic-free and mono-packaging materials’.
Talking about employment generation, Halde said the industry will help add ‘9 million jobs by 2024’ in the market and quadruple the annual household consumption in the country, ‘making it the fifth-largest consumer in the world’.
Commenting on the outlook, Halde added, “The industry should focus on developing new and innovative products, especially in the organic and health food categories, to cater to the changing consumer preferences. The food processing industry’s vision for the next five to ten years should be to increase the sector’s contribution to the GDP from the current 8 per cent to 20 per cent.”