India’s food processing industry has reached a valuation of USD 389 billion in 2025, according to a new report released by Rubix Data Sciences, a leading provider of risk management and analytics solutions. The sector, which contributes 8.9% to the country’s agriculture Gross Value Added (GVA), is witnessing robust growth and is projected to expand to USD 700 billion by 2030, registering a compound annual growth rate (CAGR) of 12.5%. The report highlights India’s position as one of the top global producers of milk, pulses, and fruits, providing a strong foundation for both domestic expansion and international trade.
Exports of processed food are estimated at USD 12.5 billion in FY2025, up from USD 6.3 billion in FY2020, growing at a 15% CAGR. Imports are projected to reach USD 6.4 billion, largely driven by the rising domestic demand for premium international products such as specialty cheeses, sauces, and cocoa-based items. In terms of export categories, buffalo meat dominates animal product exports with an 82% share, while shrimp contributes 66% to marine product export value.
Cumulative foreign direct investment (FDI) in the sector stood at USD 13.1 billion between 2000 and 2025, though recent inflows declined due to global uncertainty and increased competition from lower-cost markets. Nevertheless, government schemes like PMKSY, PMFME, and the PLI scheme have helped improve infrastructure, develop cold chains, build mega food parks, and strengthen food safety mechanisms.
The industry is also embracing innovation, with increased investments in plant-based foods, functional nutrition, and clean-label products. Modern distribution platforms such as BigBasket, Zepto, and Blinkit are expanding market reach, while technologies like AI-based grading, blockchain traceability, high-pressure processing, and cryogenic freezing are enhancing quality, efficiency, and global competitiveness.
Commenting on the findings, Mohan Ramaswamy, Co-founder and CEO of Rubix Data Sciences, said India’s agricultural strengths and fast-growing consumer demand position the food processing industry for its next big leap. He emphasized the importance of insights, innovation, and infrastructure in helping businesses tap into global markets and build long-term competitiveness.