In recent years, packaged meals or prepared-to-consume meals have become a favorite amongst Indians mainly withinside the city cities. According to ‘’India Ready-to-consume Food Market Forecast & Opportunities, 2019’’, the Indian RTE grocery store has grown at a CAGR of 21.99% from 2014-19. Indian Food packaging enterprise is predicted to end up 3rd- largest marketplace with the aid of using 2020.
There has been a noteworthy alternate withinside the eating habit in Metropolitan Cities. Due to the fast-paced lifestyles in city towns, approximately 79% of the city humans choose to have ready-to-consume meals of their everyday meal. The motives in the back of the growth withinside the use of packaged meals in city towns are the steep rise in income, the same old of living and convenience. Mostly, in a small own circle of relatives wherein each husband and wife are working, they pick having ready-to-consume meals for their children. It has to end up being the maximum favored and handy part of their meal. The important packaged meals consist of bakery and dairy merchandise, canned and frozen processed meals, ready-to-consume meals, food plan snacks, processed meat, fitness merchandise, and drinks. This growing fashion of packaged meals has attracted a lot of extra corporations to release new merchandise and variations of packaged food.
The Indian middle class is developing and so is their buying capacity and demands. They like to strive for new merchandise that comes withinside the market. They pick top-rated products, specially withinside the confectionery segments like chocolates, chips, and a lot extra. They additionally like to discover packaged meals withinside the ready-to-make and easy-to-devour category. Rural India offers a great possibility for the packaged food and beverages industry. As nearly 65% of the entire Indian populace lives withinside the rural region. They are interested in meals merchandise in urban cities. They are extra inclined closer to packaged chocolates, biscuits, chips, cakes, etc. The shopping for the potential of rural families has additionally expanded in the latest years because of advantages from funding in infrastructure and rising wages. Food processing groups are knowing the ability of packaged meals and beverages in rural India. They are understanding the buying behavior of rural regions and they’re launching the goods in smaller % sizes and low fees to draw rural customers. They additionally make their packaging very appealing like the use of colorful colors, movie star endorsement, etc. to draw and capture Rural minds.
The government has made many applaudable efforts to promote investment in this enterprise through offering them diverse schemes such as subsidies and grants. These schemes include mega food parks, modern terminal markets, and bulk storage facilities. As India is the second biggest manufacturer of food and beverages after China, the Indian market has a massive capability for FDI (Foreign Direct Investment) from different nations in order that India could overcome the issues of meals processing generation and meals packaging machines.
Challenges Faced by the Food and Beverage Industry in India
The challenges faced via way of means of the food and beverage enterprise include loss of consumer awareness in the direction of packaged food and uncertainty about green packaging materials. The Indian Climate is likewise some other major difficulty towards packaged foods. Packaged foods require a cold and much less humid climate in order that foods continue to be clean for the longest time. The country’s heat and excessive humidity are the 2 problems that may lessen the shelf-life span of packaged foods.
Lack of proper supply chain and refrigeration in stores and houses is likewise a prime impediment withinside the path of the packaged food industry. Packaged food requires the right sealing and retaining the integrity of the product. Indian retail marketplace lags at the back of this phase also. Lack of highly computerized and superior packaging machines is likewise the main reason. At the same time, the packaging of foods requires excessive funding which continues to be in the unaffordable class withinside the Indian marketplace.
The most crucial problem includes environmental factors. Plastics are a major issue of air pollution. Packaged foods require using a large range of plastics that are dangerous to the environment. Lack of consumer awareness, excessive cost, much less technology, shipping, and overall performance requirements are the principal demanding situations confronted with the aid of using the food and beverage enterprise withinside the ready-to-eat product market.
Steps to be taken to overcome these challenges
As the Indian food and beverage enterprise is developing rapidly, growing recognition amongst purchasers of the packaged merchandise can also additionally grow the boom of this market. Advanced packaging technology is very crucial so the ones cutting-edge and excellent technology are followed to beautify the best of the packaged food. There must be a growth in flexible packaging instead of inflexible packaging. Flexible packaging is available in small percent size, light-weight, electricity, and fee-saving. It facilitates clean transportation and convenient disposal. Health must be the high purpose of the market. Packaged meals must be made with the right hygiene maintaining thoughts’ best standards. In this fast-paced life, packaged meals are a top-notch choice for the consumer. This enterprise has great potential in the future.