|
Forecast
Period
|
2025-2029
|
|
Market
Size (2023)
|
USD 29.55 Billion
|
|
CAGR
(2024-2029)
|
9.1%
|
|
Fastest
Growing Segment
|
Online
|
|
Largest
Market
|
North
|
Market Overview
India
Yogurt Market has valued at USD 29.55 billion in 2023 and is anticipated to
project robust growth in the forecast period with a CAGR of 9.1% through 2029. The
yogurt market in India has experienced remarkable growth and transformation in
recent years. Once a niche product in the Indian dairy industry, yogurt has now
become a mainstream food item, enjoyed by millions across the country. This
surge in popularity can be attributed to several key factors that have shaped
the India yogurt market.
Yogurt
has a long history in Indian cuisine and culture. It is a staple ingredient in
traditional Indian recipes like raita, lassi, and dahi, and is an integral part
of daily meals for many. This cultural significance has contributed to yogurt's
enduring popularity and acceptance in the Indian market. Manufacturers have
introduced a wide range of yogurt flavors, catering to the diverse taste
preferences of Indian consumers. From classic fruit flavors to more unique
options like masala chai and saffron, yogurt brands have capitalized on the
variety of regional and cultural influences that shape Indian culinary
traditions.
The
availability of yogurt in convenient packaging, including single-serving cups
and pouches, has made it a popular on-the-go snack. Yogurt has become a quick
and nutritious option for busy urban lifestyles, particularly in metropolitan
areas where convenience is highly valued. The Indian yogurt market is not
limited to traditional plain yogurt; it includes a variety of product
offerings. Greek yogurt, low-fat options, and yogurt-based drinks have gained
popularity among consumers seeking healthier alternatives.
Yogurt
manufacturers have invested in marketing and promotional campaigns to create
awareness about the benefits of yogurt consumption. These efforts have
highlighted yogurt's role in promoting gut health and overall well-being. As
disposable incomes in India have risen, consumers are more willing to spend on
premium and health-conscious products. Yogurt, with its array of offerings, has
attracted a growing base of consumers willing to invest in quality dairy
products.
Urbanization
has led to changes in dietary preferences and increased exposure to
international food trends. Yogurt fits well into this changing landscape, as it
aligns with modern dietary requirements and is easily incorporated into a
variety of cuisines. Leading global yogurt brands have entered the Indian
market, bringing with them their expertise in yogurt production and marketing.
Their presence has not only expanded the market but has also improved product
quality and variety.
In
conclusion, the India yogurt market is witnessing dynamic growth, with yogurt
transitioning from a traditional dairy product to a symbol of health and modern
lifestyle. As consumer awareness of the nutritional benefits of yogurt
continues to rise and as manufacturers introduce innovative flavors and
packaging, the market is poised for further expansion. Yogurt's versatility,
cultural relevance, and adaptability to changing consumer preferences make it a
significant and enduring part of the Indian dairy industry.
Key Market Drivers
Health
and Wellness Trends
One
of the primary drivers of the burgeoning Indian yogurt market is the increasing
focus on health and wellness among consumers. In recent years, there has been a
noticeable shift towards healthier dietary choices, with more people seeking
products that offer not only taste but also substantial health benefits.
Yogurt, often touted as a nutritious superfood, aligns perfectly with these
evolving consumer preferences.
Yogurt
is rich in essential nutrients, including calcium, probiotics, vitamins, and
protein. Probiotics, in particular, have gained immense popularity due to their
positive impact on gut health and overall well-being. As more consumers become
health-conscious and seek products that aid digestion and support the immune
system, yogurt has become a staple in many Indian households.
The
concept of yogurt as a "functional food" is becoming increasingly
prevalent. Consumers are actively looking for yogurt with added ingredients
like fruits, nuts, and seeds to enhance its nutritional value. This trend has
given rise to a variety of yogurt-based products, such as Greek yogurt, yogurt
drinks, and yogurt parfaits, further diversifying the market.
Moreover,
yogurt is seen as a healthy snack option, making it popular among the younger
generation and urban professionals who prefer on-the-go, nutrient-packed foods.
As a result, the Indian yogurt market has expanded to include various product
formats catering to different consumption occasions.
The
Indian yogurt market is also responding to the increasing demand for
lactose-free and plant-based options. Lactose intolerance is prevalent in
India, and as awareness of this issue grows, so does the demand for dairy-free
yogurt made from almond, soy, coconut, and other plant-based sources. This
expansion of the product range caters to a broader spectrum of dietary
requirements and preferences.
Rising
Disposable Income and Urbanization
The
Indian yogurt market is experiencing significant growth due to the rise in
disposable income and urbanization. With more consumers living in urban areas
and experiencing an increase in income levels, there is a greater capacity to
spend on convenient, nutritious, and value-added food products like yogurt.
Urbanization
has led to busier lifestyles, with many individuals seeking convenient and
portable snack options. Yogurt, available in various packaging sizes and often
fortified with added ingredients, offers a convenient and healthy snack
solution for urban consumers. The "on-the-go" yogurt cups and pouches
are particularly popular among busy professionals and students.
In
addition to urbanization, the Indian yogurt market is witnessing growth in
semi-urban and rural areas. Increased awareness of the nutritional benefits of
yogurt and the proliferation of dairy cooperatives and private dairy players in
these regions have made yogurt more accessible to a wider population. This has
driven significant growth, as yogurt is perceived as an affordable and healthy
source of essential nutrients.
The
increasing consumer awareness and demand for yogurt have prompted various dairy
companies to expand their reach and invest in marketing and distribution
networks, even in remote areas of the country. This expansion into underserved
regions is contributing to the yogurt market's growth.
Flavor
Innovation and Cultural Adaptation
The
third driver of the Indian yogurt market is the ever-expanding landscape of
flavors and cultural adaptations. India's diverse cultural and culinary
heritage is reflected in the yogurt market, as companies experiment with a wide
range of flavors and formulations to cater to regional tastes.
For
instance, "lassi," a traditional Indian yogurt-based drink, is now
available in various flavors, including mango, rose, and saffron, to appeal to
local preferences. In addition, the fusion of yogurt with spices, herbs, and
fruits has resulted in unique and regionalized variations that attract a broad
spectrum of consumers.
To
cater to the younger demographic and the health-conscious segment, Greek
yogurt, which is thicker and protein-rich, has made its presence felt in the
market. This variety has been well-received due to its versatility and
suitability for both sweet and savory applications.
Moreover,
yogurt-based desserts, such as "shrikhand" and "mishti
doi," have become popular, indicating the cultural adaptability of yogurt
in Indian cuisine. These traditional desserts with a yogurt base are
experiencing a resurgence in popularity, especially during festivals and
special occasions.
The
Indian yogurt market is also witnessing innovation in packaging and portion
sizes. Smaller, single-serving yogurt cups have gained traction, making yogurt
a convenient and portion-controlled snack. Larger tubs and family-sized
containers are also available, catering to households and families.
Download Free Sample Report
Key Market
Challenges
Intense
Competition and Price Sensitivity
One
of the major challenges in the Indian yogurt market is the intense competition
among various players, both domestic and international. The market is flooded
with a plethora of yogurt brands, offering a wide range of flavors, textures,
and packaging options. This competition often leads to price wars as brands
strive to gain a competitive edge.
Price
sensitivity among Indian consumers is a significant hurdle for yogurt
manufacturers. While yogurt is considered a healthy and nutritious product,
many consumers remain price-conscious, particularly in a market where
affordability is a key consideration. This challenge is further exacerbated by
the presence of local dairies and small-scale yogurt producers, which offer
yogurt at lower price points, making it difficult for larger brands to maintain
premium pricing.
To
address this challenge, yogurt manufacturers must strike a delicate balance
between offering competitive pricing and maintaining product quality.
Differentiated marketing strategies, such as promoting the health benefits of
yogurt, can also help brands stand out in a crowded market.
Supply
Chain and Infrastructure Challenges
The
yogurt market in India faces logistical and supply chain challenges that can
affect product quality and availability. The country's vast geographical
expanse and variable infrastructure can lead to issues related to
transportation, cold storage, and distribution. Maintaining the cold chain is
particularly crucial for yogurt products, as temperature control is essential
to preserving freshness and quality.
While
urban areas may have a relatively well-established supply chain infrastructure,
reaching rural and remote regions can be challenging. As yogurt consumption is
not limited to urban areas, extending the distribution network to serve these
diverse markets is a critical issue. Inadequate cold storage facilities can
result in spoilage and wastage of yogurt products, impacting both manufacturers
and consumers.
To
overcome these challenges, yogurt manufacturers need to invest in robust supply
chain management, cold storage facilities, and efficient transportation
systems. Additionally, public and private sector collaboration is essential to
improve infrastructure and expand the reach of yogurt products to rural and
underserved areas.
Dairy
Industry Fluctuations and Ingredient Sourcing
The
Indian yogurt market heavily relies on the dairy industry for its primary
ingredient, milk. The dairy industry in India is characterized by fluctuations
in milk production, which can be influenced by factors such as seasonal
variations, climate conditions, and the health of dairy animals. These
fluctuations can lead to supply constraints and price volatility for milk and
dairy products.
Furthermore,
ensuring a consistent and high-quality supply of milk is crucial for yogurt
manufacturers to maintain product standards. The sourcing of milk from various
regions with varying quality standards can be a challenge. Maintaining quality
control and traceability throughout the supply chain becomes vital to produce
safe and reliable yogurt products.
The
dairy industry also faces issues related to milk adulteration, which can affect
the quality and safety of dairy-based products like yogurt. Ensuring the
authenticity and purity of milk sourced for yogurt production is an ongoing
challenge.
Key Market Trends
Growing
Demand for Health and Wellness Products
One
of the most prominent trends in the Indian yogurt market is the surging demand
for health and wellness products. Yogurt, with its rich nutritional profile and
probiotic content, perfectly aligns with the increasing health-consciousness of
Indian consumers. Yogurt is perceived as a healthy snack or meal option,
offering benefits such as improved digestion, enhanced gut health, and a rich
source of essential nutrients like calcium and protein.
Consumers
in India are becoming more health-aware, particularly in urban areas. The
desire for nutritious and convenient food options has led to a rising
preference for yogurt as a healthy alternative to traditional snacks or
desserts. Manufacturers have recognized this trend and are responding by
introducing a variety of yogurt products, including low-fat, low-sugar, and
probiotic-rich options to cater to different health needs.
Additionally,
the Indian yogurt market is witnessing an influx of innovative and functional
yogurt products. These include yogurts enriched with vitamins, minerals, and
antioxidants, as well as lactose-free and dairy-free yogurt alternatives to
accommodate consumers with dietary restrictions or sensitivities. This
diversification in yogurt offerings reflects the industry's commitment to
meeting the evolving health and wellness preferences of the Indian consumer.
Flavor
and Ingredient Diversification
Another
significant trend in the Indian yogurt market is the growing diversity of
flavors and ingredients. Indian consumers are increasingly seeking unique and
exotic flavor experiences, prompting yogurt manufacturers to innovate and
expand their product portfolios. Traditional flavors like mango and strawberry
remain popular, but newer options such as blueberry, pomegranate, and exotic
fruit blends are gaining traction.
The
influence of global cuisines and culinary trends has encouraged the exploration
of diverse ingredients in yogurt. Ingredients such as honey, nuts, seeds, and
ancient grains are being incorporated into yogurt products to enhance both
taste and nutritional value. Savory yogurt options with ingredients like herbs,
spices, and vegetables are also emerging to cater to consumers looking for
non-traditional yogurt experiences.
Moreover,
yogurt-based snacks and desserts are becoming increasingly popular, offering
convenience and indulgence in a single product. Yogurt parfaits, yogurt with
granola, and yogurt-based smoothies have become go-to options for those seeking
a balanced and satisfying snack or meal.
The
expansion of flavor and ingredient options in the Indian yogurt market
demonstrates the industry's commitment to meeting diverse consumer preferences
and appealing to a broader audience.
Premiumization
and Packaging Innovations
The
third notable trend in the India yogurt market is the premiumization of yogurt
products and packaging innovations. Consumers are willing to pay more for
yogurt products that offer high-quality ingredients, unique flavors, and
enhanced nutritional value. This trend is reflected in the introduction of
premium and organic yogurt lines that cater to discerning consumers who
prioritize product quality.
In
response to this trend, yogurt manufacturers are focusing on packaging
innovations. Eye-catching and environmentally friendly packaging designs are
being utilized to attract consumers and convey the premium nature of the
product. Packaging is no longer just a functional element; it has become a
vital marketing tool that communicates the product's value and uniqueness.
Additionally,
the on-the-go lifestyle of many urban consumers has led to the development of
single-serving and portable yogurt options. Yogurt cups with built-in
compartments for toppings and mix-ins have become popular, allowing consumers
to customize their yogurt experience. These innovative packaging solutions
enhance convenience and provide a premium, tailored experience.
Furthermore,
the use of sustainable and eco-friendly packaging materials is gaining
traction, reflecting a broader global movement towards environmental
responsibility. Many yogurt brands are adopting recyclable or biodegradable
packaging materials, demonstrating their commitment to reducing their
environmental footprint.
Segmental Insights
Type Insights
Flavored
yogurt has gained a significant share in the India yogurt market, representing
a remarkable transformation in the preferences of Indian consumers. While traditional
plain yogurt remains a staple in Indian diets, the burgeoning popularity of
flavored yogurt has been a key driver of growth in the dairy industry. Several
factors contribute to the dominance of flavored yogurt in the market.
One
of the primary drivers of flavored yogurt's prominence is the evolving taste
preferences of Indian consumers. As India undergoes rapid urbanization and
globalization, the palates of consumers have become more diverse and
experimental. Flavored yogurt offerings provide an array of options, from
classic fruit flavors like mango and strawberry to innovative choices such as
blueberry, caramel, and even savory flavors like mint and herb. This variety
caters to the evolving taste preferences of the modern Indian consumer, making
yogurt consumption a more enjoyable and versatile experience.
Health-conscious
consumers have also embraced flavored yogurt as a nutritious and indulgent
snack option. Manufacturers have responded by introducing low-fat and low-sugar
variants, addressing concerns related to calorie content and sugar intake. The
inclusion of probiotics in flavored yogurt has further increased its appeal, as
consumers are increasingly recognizing the health benefits associated with
probiotics, such as improved gut health and enhanced immunity.
Flavored
yogurt has bridged the generational gap, appealing to both the younger and
older demographics in India. While younger consumers are drawn to the exciting
flavors and the perception of yogurt as a trendy snack, older generations
appreciate the health benefits of yogurt and its potential to serve as a meal
replacement or a source of essential nutrients. This cross-generational appeal
has expanded the market for flavored yogurt significantly.
The
convenience factor also plays a pivotal role in the success of flavored yogurt.
In a fast-paced society, consumers are seeking on-the-go options that are both
nutritious and tasty. Flavored yogurt fits this need perfectly, with its
portable and easily consumable packaging. It serves as a quick breakfast or a
healthy snack during the day, making it a practical choice for busy individuals
and families.
Moreover,
flavored yogurt has found favor with children, and parents are choosing it as a
healthier alternative to sugary snacks and desserts. Many flavored yogurt
products are marketed as child-friendly, featuring playful packaging and lower
sugar content than traditional desserts. Parents view flavored yogurt as a
guilt-free option that can satisfy their children's sweet cravings while
providing essential nutrients.
The
aggressive marketing and advertising campaigns by yogurt manufacturers have
further fueled the growth of flavored yogurt in India. These companies have
leveraged the popularity of celebrities and social media influencers to promote
their products, targeting a younger and digitally connected demographic. Such
marketing strategies have raised brand awareness and driven consumer interest
in flavored yogurt.
Sales Channel Insights
Online
retail channels have secured a significant share in the India Yogurt Market,
transforming the way consumers purchase this popular dairy product. Yogurt, a
staple in Indian diets for its health benefits and versatility, has
traditionally been bought through brick-and-mortar stores. However, with the
rise of e-commerce and online grocery shopping, the dynamics of the yogurt
market have evolved.
The
growth of online yogurt sales can be attributed to several key factors.
Firstly, the convenience of online shopping has enticed consumers to explore
this option for their yogurt needs. Shoppers can now browse through a wide
variety of yogurt brands, flavors, and types from the comfort of their homes or
on the go. This convenience is particularly appealing to busy urban consumers
who value time-saving solutions.
Online
platforms have also made it easier for consumers to access a broader range of
yogurt products. While local grocery stores may have limited shelf space,
online retailers can offer a diverse selection, including regional and
international yogurt brands. This variety caters to different tastes and
dietary preferences, making online shopping an attractive choice for those
seeking specialized or hard-to-find yogurt options.
Moreover,
the availability of subscription and delivery services has streamlined the
yogurt buying process. Consumers can set up recurring orders, ensuring that
they never run out of their favorite yogurt. This automated approach to grocery
shopping simplifies life for many, as they can skip the hassle of making
frequent trips to physical stores.
Additionally,
the pandemic has accelerated the adoption of online shopping in India,
including for yogurt. Consumers' concerns about safety and social distancing
prompted many to turn to online platforms for their grocery needs. Yogurt,
being a refrigerated and essential product, found a substantial market in
online grocery delivery services, further contributing to the sector's growth.
The
transparency and convenience of online reviews and ratings have played a
significant role in shaping consumer choices. Shoppers can read about the
experiences of others and make informed decisions about the yogurt they
purchase. This dynamic has influenced the reputation and success of various
yogurt brands in the online marketplace.
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Regional Insights
The
northern region of India has emerged as a prominent and influential player in
the country's yogurt market. Yogurt, a versatile dairy product with a rich
history in Indian cuisine, has garnered a significant share in the North due to
various factors such as changing dietary preferences, cultural significance,
and evolving consumer habits.
One
of the primary reasons for the North's dominance in the Indian yogurt market is
the region's strong connection to traditional dairy-based foods. Yogurt has
been an integral part of the North Indian diet for centuries. Various forms of
yogurt, including the popular "dahi" or curd, are consumed in diverse
culinary preparations, both as a standalone dish and as an essential ingredient
in curries, raitas, and desserts. This cultural affinity for yogurt has made it
a staple food item in North Indian households.
Changing
dietary preferences and a growing focus on health and wellness have played a
significant role in the region's yogurt market growth. Yogurt is known for its
nutritional benefits, as it is a rich source of probiotics, calcium, and
protein. Health-conscious consumers in the North are increasingly recognizing
the importance of including yogurt in their daily diets, leading to a surge in
demand. Yogurt's probiotic properties, in particular, are highly valued for
promoting digestive health, which aligns with the growing trend of
wellness-conscious eating.
The
North's diverse culinary traditions also contribute to its strong presence in
the yogurt market. The region boasts a wide array of yogurt-based dishes,
including the famous "lassi," a yogurt-based beverage that is a
popular choice during the scorching North Indian summers. The versatility of
yogurt in both sweet and savory preparations makes it a versatile ingredient in
the regional cuisine, thereby driving its consistent consumption.
The
region's expansive and flourishing dairy industry further bolsters the yogurt
market. North India is home to numerous dairy cooperatives, private dairies,
and milk processing units, contributing to the availability and freshness of
dairy products, including yogurt. This has a direct impact on the quality and
variety of yogurt products available to consumers.
Furthermore,
the North's urbanization and changing consumer habits have led to the emergence
of a dynamic yogurt market. With a growing urban population, there is an
increased demand for convenient and ready-to-eat yogurt products, including
flavored yogurts, yogurt drinks, and yogurt-based snacks. The northern region's
cities and towns have witnessed the proliferation of modern retail outlets,
making it easier for consumers to access a wide range of yogurt products.
Recent Developments
- In
2023, Bharat Skyr & Doodh Products Private Limited, a renowned brand among
premium milk product manufacturers - Skyrrup, unveiled the launch of
lactose-free Greek yogurt. Boasting a protein content of 7.5 grams and crafted
from A2 Cow Milk, this offering not only provides essential nourishment but
also delights the senses. Embodying wellness, it seamlessly combines protein
power with remarkable benefits, presenting a delightful and convenient approach
to prioritize health.
- In
2022, Amul made a significant investment of USD 60 million to establish a new
dairy plant in Rajkot, expanding its production capabilities across milk,
yogurt, and buttermilk products.
- In
2022, Novandie Foods, a prominent French yogurt maker (a subsidiary of Andros,
France), recently announced its foray into the Indian market through a joint
venture (JV) with Heritage Foods, a dairy company headquartered in Hyderabad.
Key Market Players
- Amul
(Gujarat Co-operative Milk Marketing Federation Limited)
- Britannia
Industries Limited
- Cocoberry
Retail Pvt. Ltd.
- Drums Food
International Private Limited
- Heritage
Novandie Foods Private Limited
- Karnataka
Milk Federation
- Milky Mist
Dairy
- Mother
Dairy Fruit & Vegetable Private Limited
- Nestlé
India Limited
- Parag Milk
Foods
|
By
Type
|
By Fat Content
|
By Form
|
By Packaging
|
By Sales Channel
|
By Region
|
|
|
|
- Conventional Yogurt
- Set Yogurt
- Greek Yogurt
- Frozen Yogurt
- Yogurt Drinks
- Others
|
- Pouches
- Plastic Bottles
- Tetra Packs
- Others
|
- Supermarkets/Hypermarkets
- Convenience Stores
- Online
- Others
|
|
Report
Scope:
In
this report, the India Yogurt market has been segmented into the following
categories, in addition to the industry trends which have also been detailed
below:
- India Yogurt Market, By Type:
o Non-Flavored
o Flavored
- India Yogurt Market, By Fat Content:
o Regular
o Low Fat
o Fat-Free
- India Yogurt Market, By Form:
o Conventional Yogurt
o Set Yogurt
o Greek Yogurt
o Frozen Yogurt
o Yogurt Drinks
o Others
- India Yogurt Market, By Packaging:
o Plastic Bottles
o Tetra Packs
o Others
- India Yogurt Market, By Sales Channel:
o Supermarkets/Hypermarkets
o Convenience Stores
o Online
o Others
- India Yogurt Market, By Region:
o North
o South
o East
o West
Competitive
Landscape
Company
Profiles: Detailed
analysis of the major companies present in the India yogurt market.
Available
Customizations:
India
Yogurt market report with the given market data, Tech Sci Research
offers customizations according to a company's specific needs. The following
customization options are available for the report:
Company
Information
- Detailed analysis and profiling of
additional market players (up to five).
India Yogurt Market is
an upcoming report to be released soon. If you wish an early delivery of this
report or want to confirm the date of release, please contact us at [email protected]