Indian consumers lured towards cream biscuits and cookies
The biscuit and cookie industry in India, valued at USD 2.41bn in 2014, has been growing at an annual rate of 10% over the last three years and will continue to rise, according to a research report on the biscuit and cookie industry in India, by ValueNotes, a full-service market and business research company.
On the other hand, ValueNotes’ findings estimate that the industry will be worth nearly USD 4.65bn by 2019, while the annual growth will be at 14%.
The report covers fiscal years 2015 through 2019. India is the world’s largest biscuit consuming nation and this is evident from the fact that biscuits and cookies are the largest segment in the bakery industry in the country, amounting to 72%.
The document reveals that growth of this segment is expected to slow down as manufacturers are offering discounts to push volume sales, which in turn has slowed down the value growth of the industry.
The share of glucose biscuits is expected to decline as they have reached a point of saturation. With rising incomes, consumers are being lured towards cream biscuits and cookies instead of glucose biscuits.
On the other hand, the share of premium biscuits is likely to increase by 2019 as manufacturers are now aggressively entering the premium biscuit and cookie segment on account of higher margins prevalent in the segment.
Increase in disposable income, changing lifestyles, growth in organized retail and increasing consumption of processed and packaged food are the main drivers of the industry.
The latest trends witnessed in the industry reveal that companies are engaged in improving product packaging.
Also, concerns like growing media coverage on health, rising incidence of health conditions, increasing concerns over physical appearance, changing lifestyle and soaring costs of healthcare have led the biscuit and cookie market to move towards a healthier path.
The report includes profiles of the top five players with a brief overview about their service offerings, key financial ratios, expansion strategies, etc.
