India’s food processing sector is projected to more than double its market size, reaching USD 700 billion by 2030, fueled by increasing demand for processed food, according to a report by the PHD Chamber of Commerce and Industry (PHDCCI).
The report, India’s Agricultural Transformation: From Food Scarcity to Surplus, outlines a long-term growth trajectory for the industry. It forecasts the market size to further expand to USD 1,100 billion by 2035, USD 1,500 billion by 2040, USD 1,900 billion by 2045, and USD 2,150 billion by 2047.
PHDCCI highlighted the strong performance of India’s agriculture and allied industries, which have maintained an average annual growth rate of 3.9% from 2013-14 to 2023-24. Even during the pandemic, the sector remained resilient, achieving an average growth rate of 4%.
Hemant Jain, President of PHDCCI, emphasized that India has successfully transitioned from a food-scarce nation to a food-surplus economy, positioning itself as a key player in global agricultural and food processing markets.
With rising investments, supportive policies, and growing consumer demand for processed foods, the industry is expected to play a pivotal role in India’s economic growth in the coming decades.