Report Ocean recently published an extensive intelligence report titled “India Baby Food Market Report: Size, Share, Competitive Landscape, Technology, Latest Updates, and Forecasts to 2030.” This report provides a comprehensive analysis of the market at a micro-level, focusing on insurers, major market sectors, products, and distribution methods within the industry.
The competitive segment of the report offers a summary of key competitors, their financial conditions, recent developments, competitive analysis, and market advancements. This analysis enables market participants to effectively identify relevant opportunities by assessing the strengths and weaknesses of major competitors.
Insights into the Market During the Forecast Period (from 2023 to 28), the India Baby Food Market is anticipated to expand at a CAGR of approximately 14%.
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The crude elements crediting to the development of this food in India are expanding urbanization, rising unexpected issues, and the changing ways of life of ladies. This food is referred to as infant and toddler-friendly soft and easy-to-eat foods. Mashed cereals, fruits, and vegetables are used to make these products, which can be found in milk formula, prepared, and dried forms. It provides toddlers with a variety of nutrients, including vitamins and carbohydrates.
In India, women’s self-employment rates have been rising, and there has also been a significant increase in the number of women working in the workforce over the past few years. Working mothers are gradually adopting and preferring this food to conventional breastfeeding to meet the nutritional needs of their children, driving the Indian market. This is due to the long office hours. Due to the medical issues that arise during pregnancy and after delivery, mothers are unable to feed their children, so they opt for formula. As a consequence of this, the rising incidence of complications during pregnancy is increasing India’s demand for this food.
Besides, according to the strategies and guidelines laid by the public authority of India, the maternal surrenders in India are to 26 weeks, thus, the moms are obliged to rejoin the workplace. Because of this, they are more likely to eat this food when their babies aren’t around, which increases sales of products like infant formula and powdered milk. Moreover, the inaccessibility of lactation experts in the general medical care frameworks to show ladies how to nurture their children is likewise one reason for the lift in the deals of this food in India. In addition, parents are choosing these products that can improve infants’ digestive health while providing essential nutrients due to the high prevalence of digestive issues in toddlers.
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In addition, the urban population of India is primarily responsible for the demand for this food; consequently, as the urban population expands, so do sales of baby food. The country’s urban population is growing and is expected to exceed 675 million by 2035, according to a report from the United Nations that was released in 2022. As a result, the urban population will increasingly rely on this food to provide toddlers with the necessary nutrients, which will increase demand for it in the coming years.
Significance of Market Dynamics Driver: Women in India are experiencing a variety of medical complications as a result of their altered eating and living routines as a result of the country’s growing urbanization. Women are suffering from acute medical conditions as a result of their changing lifestyle, which includes working long hours and consuming alcohol, caffeine, red meat, unpasteurized milk, and other fast food items. Preeclampsia, preterm labor, and others are examples of these medical conditions. which results in postpartum complications, which are treated with heavy medication for the women. Since breastfeeding mothers are at a significant health risk to their unborn children, they prefer infant formula and baby formula.
In addition, the rate of employable women is steadily rising, reaching over 51.44 percent in 2022, according to the India Skills report. Because it is a complete solution for toddler development, the growing number of working women is likely to increase women’s reliance on this food in the coming years.
Possible Limitation: Low Shelf Life and High Prices to Limit Sales The shelf life of baby food varies from product to product, with pureed food lasting more than 48-72 hours and commercial food jars lasting 1-3 days after opening. Due to the fact that this nutrient has a short shelf life, more resources are wasted, which makes it difficult to sell.
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In addition, given that Indian consumers are extremely price-sensitive, the relatively higher prices of this food serve as a barrier. The number of inhabitants in India has been contained low-pay and working class populaces, which are cost cognizant and consequently buy the items that are accessible at a low value and are more solid.
However, a commercial food jar costs over USD10 on average, and approximately 10 jars are used per month, bringing the monthly average cost of the commercial jar to over USD100. As a result, baby food sales are hindered because consumers prefer homemade food because it is more economically viable.
Main Trend: The immune systems of toddlers and infants are not developed enough to fight infections, making them more susceptible to foodborne illness, which has made it difficult for parents to choose baby food. Increasing Adoption of Premium-Quality Organic Products Parents’ awareness of the harmful effects of chemicals and preservatives has increased as a result. As a result, more likely to buy organic products because they don’t contain pesticides or other harmful substances. As a result, businesses like Happa, Ormeal, and Tiny Spoons, are launching an organic baby food product line and preparing baby food using natural ingredients with the utmost care.
Since parents’ concerns about their children’s general well-being are no longer present, this has allowed businesses to expand their customer base. As a result, organic foods have attracted a lot of attention in recent years.
Learning experience: Made in India Plans by the Government Increase the Expansion of Local Indian Brands India has long been a hotspot for global brands that produce baby food because of its diverse culture. However, in order to lessen India’s reliance on global and international brands, the Indian government is supporting the expansion of local businesses with subsidies. Despite the fact that the initiative known as “Made in India” was first introduced in the past, it only became public knowledge in recent years. As a result, consumers are becoming increasingly aware of the benefits of purchasing goods made in India. The market for local or made-in-India brands is expected to grow in the coming years as a result of these government-led policies encouraging end users to choose Indian brands over global brands.
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Segmentation of the Market by Product Type:
Milk Formula Dried Baby Food Other Baby Food Processed Baby Food Among these, Milk Formula gained a significant share in the previous year and is anticipated to do so in the coming years. The primary reason for the rise in milk formula sales is the urban population’s preference for formula for growing children to aid in their overall development. In addition, sales of baby milk formula in India are also being driven by medical complications like the rising prevalence of lactation issues among women.
In addition, a number of international studies and researches have asserted that baby products are safe and necessary for the child’s development. As a result, parents are gradually feeding their children with these products. As a result, it is anticipated that milk formula’s growth will continue over the forecast period.
Based on the Channel of Distribution:
Retail Offline Grocery Retailers Non-Grocery Retailers Vending Direct Selling Retail E-Commerce Among them, Retail Offline gained a significant share in the past because consumers were concerned about the quality of the products they purchased. Since parents prefer to thoroughly examine a product before purchasing it for their children, they typically purchase baby food and other baby-related items from offline convenience stores. Because these offline stores let them choose from a wide range of products from local and international brands and offer substantial discounts as a result of brand promotion, sales of baby goods, particularly food, have historically taken place offline.
However, sales through the online channel would be boosted by the rising internet penetration in India and manufacturing companies’ adoption of digitalization. The quick delivery services provided by convenience stores and pharmacies like Blinkit and Apollo Pharmacy, give customers the freedom to shop from home; consequently, the working population relies on the quick e-commerce platform to buy baby food. As a result, it is anticipated that this food’s e-commerce sales will continue to rise in the coming years.
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Foods for infant nutrition must be packaged in hermetically sealed, clean, and sound containers or flexible packs made from paper, polymer, and/or metallic film, as required by the Food Safety and Standards (Packaging) Regulations, 2018, to protect the contents from deterioration, according to Indian regulations. The food must be packed in an inert environment, and the packaging material for these regulations-covered products must be free of Bisphenol A (BPA). The majority of parents are satisfied with the companies’ non-hazardous claim because they have adopted more safe and toxin-free packaging as a result of these regulations. Since consumers are now satisfied with the safe packaging claims, businesses that abide by these regulations have increased consumer penetration.
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Table of Content:
- Report Overview
- Global Growth Trends
- Competition Landscape by Key Players
- Data Segments
- North America Market Analysis
- Europe Market Analysis
- Asia-Pacific Market Analysis
- Latin America Market Analysis
- Middle East & Africa Market Analysis
- Key Players Profiles Market Analysis
- Analysts Viewpoints/Conclusions
- Appendix
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