Economic Survey 2026 Sounds Alarm on Obesity: Crores of Indian Children at Risk from Ultra-Processed Foods

India is facing a rapidly escalating obesity crisis that threatens public health, economic productivity and the country’s demographic dividend, the Economic Survey 2025–26 warned on Thursday. Tabled in Parliament by Finance Minister Nirmala Sitharaman ahead of the Union Budget, the survey highlighted unhealthy diets, rising consumption of ultra-processed foods (UPFs), sedentary lifestyles and aggressive food marketing as key drivers of the trend.

Describing obesity as a “major public health challenge,” the survey said the burden is rising sharply across age groups, regions and income levels, affecting both urban and rural populations. The growing prevalence of obesity is significantly increasing the risk of non-communicable diseases (NCDs) such as diabetes, cardiovascular ailments and hypertension, with long-term consequences for healthcare costs and workforce productivity.

Chief Economic Advisor Dr. V. Anantha Nageswaran said obesity poses a serious risk to India’s ability to reap its demographic dividend. He underlined the need for transparent food labelling that clearly reflects health risks, enabling consumers to make informed dietary choices.

Data from the National Family Health Survey (NFHS) underscores the scale of the problem. According to NFHS 2019–21, around 24 per cent of Indian women and 23 per cent of men are either overweight or obese. Among adults aged 15–49 years, 6.4 per cent of women and 4.0 per cent of men fall in the obese category.

The trend is even more concerning among children. The prevalence of excess weight among children under five rose from 2.1 per cent in 2015–16 to 3.4 per cent in 2019–21. The survey cited estimates showing that more than 3.3 crore children in India were obese in 2020, a number projected to surge to 8.3 crore by 2035 if current dietary and lifestyle patterns continue.

A key focus of the survey was the rapid expansion of the ultra-processed foods market in India. UPF sales have grown by over 150 per cent between 2009 and 2023, making India one of the fastest-growing markets globally. Retail sales of UPFs jumped from USD 0.9 billion in 2006 to nearly USD 38 billion in 2019, a forty-fold increase that closely mirrors the rise in obesity levels during the same period.

The survey warned that UPFs are displacing traditional diets and increasing exposure to foods high in sugar, salt and unhealthy fats. Citing evidence from The Lancet Series on Ultra-Processed Foods and Human Health, it linked high UPF consumption to obesity, heart disease, diabetes, respiratory disorders and mental health conditions. Beyond health impacts, the survey noted mounting economic costs in the form of higher healthcare expenditure, productivity losses and long-term fiscal stress.

To tackle the crisis, the survey called for a multi-pronged policy response. It flagged aggressive marketing of UPFs—especially to children and adolescents—as a major challenge, citing practices such as celebrity endorsements, emotional advertising and price bundling. It recommended exploring stricter marketing controls, including a comprehensive ban on UPF advertising across all media between 6 am and 11 pm.

On food labelling, the survey supported warning labels over ranking-based systems, arguing that they are more effective in discouraging consumption of unhealthy foods. It also suggested prohibiting nutrient and health claims on UPFs to prevent misleading perceptions.

Fiscal measures were also proposed, including placing UPFs that exceed thresholds for sugar, salt or fat in the highest GST slab with an additional surcharge. Revenue from such levies could be channelled into nutrition education, school meal improvements and NCD prevention programmes.

The survey emphasised the need for stronger regulation by the Food Safety and Standards Authority of India (FSSAI), improved compliance monitoring, and technology-driven tools for early detection of obesity hotspots. While noting ongoing initiatives such as POSHAN Abhiyaan, Fit India and Eat Right India, it stressed that sustained improvements in diet quality—particularly among children and adolescents—are critical to curbing India’s growing obesity burden.