Archive · 9 Jan 2026
India's Savory Snacks Market to Hit Rs 1.25 Trillion by FY29
India's snacking habits are changing.
People are now preferring packaged and branded snacks over traditional loose ones.
This shift is because more people are living in cities, have less time to cook, and want healthier options.
The market for these snacks is growing fast and is expected to reach Rs 1.25 trillion by 2029.
Big companies like Haldiram and Bikaji are expanding their reach and improving their products to meet this demand.
Quick delivery services are also making it easier for people to buy these snacks.
The government is supporting this growth by investing in the food processing sector, creating jobs, and helping small businesses.
Experts believe this is a good time to invest in snack companies like Bikaji Foods, Gopal Snacks, and Prataap Snacks.
India's savory snacks market is projected to grow from Rs 89,000 crore in FY25 to Rs 1.25 trillion by FY29 at a CAGR of 9%.
The shift from unorganized to organized snacking is driven by post-pandemic preferences for hygiene, convenience, and health.
Urbanization, nuclear families, and rising disposable incomes are fueling the demand for ready-to-eat and on-the-go snacks.
Quick-commerce platforms are accelerating snack sales, with packaged food accounting for 45–50% of their total sales.
Motilal Oswal has given 'Buy' ratings to Bikaji Foods, Gopal Snacks, and Prataap Snacks, citing distribution expansion and cost efficiencies.
The share of processed food exports in agri-food exports increased from 13.7% in 2014-15 to 20.4% in 2024-25.
The Gross Value Added (GVA) in the food processing sector has increased from Rs 1.34 lakh crore in 2014-15 to Rs 2.24 lakh crore in 2023-24.
The food processing sector has attracted $7.33 billion FDI equity inflow during April 2014-March 2025.
The Pradhan Mantri Kisan Sampada Yojana (PMKSY) has been approved with allocations of Rs 6,000 crore and Rs 6,520 crore for the 14th and 15th Finance Commission cycles, respectively.
The Pradhan Mantri Formalisation of Micro Food Processing Enterprises Scheme (PMFME) has been extended up to FY 2025-26 with a total outlay of Rs 10,000 crore.
The Production Linked Incentive Scheme for Food Processing Industry (PLISFPI) has an outlay of Rs 10,900 crore and has generated employment opportunities of 3.4 lakh.
- Who
- Indian consumers, snack manufacturers (Haldiram, Bikaji Foods, Prataap Snacks, Gopal Snacks, Mrs Bectors Food Specialities), Government of India
- What
- Growth of India's savory snacks market and shift towards branded, packaged snacks, along with government initiatives in the food processing sector
- When
- Projected growth from FY25 to FY29, with government initiatives ongoing and extending to FY25-26
- Where
- India, with a focus on urban areas
- Why
- Changing consumer preferences towards hygiene, convenience, and health, along with urbanisation, rising disposable incomes, and government support for the food processing sector
Growth and Investment
Challenges and Competition
Market Growth
Growth and Investment
The savory snacks market is projected to grow significantly, driven by urbanization, rising disposable incomes, and changing consumer preferences.
Challenges and Competition
The market faces challenges from the unorganized sector and the need to maintain quality and innovation to stay competitive.
Investment Opportunities
Growth and Investment
Investment in snack companies is encouraged due to their expansion and cost efficiencies.
Challenges and Competition
Investors need to be cautious about market saturation and the ability of companies to sustain growth.
- Market Value (FY25)
- Rs 89,000 crore
- Projected Market Value (FY29)
- Rs 1.25 trillion
- CAGR (FY25-FY29)
- 9%
- Organised Savoury Snacks Growth Rate
- 10% annually
- Unorganised Savoury Snacks Growth Rate
- Under 7% annually
- Urban Population by 2030
- 613 million (41% of total)
- Packaged Food Sales on Quick-Commerce Platforms
- 45–50% of total sales
- GVA in Food Processing Sector (2023-24)
- Rs 2.24 lakh crore
- FDI Equity Inflow (2014-2025)
- $7.33 billion
- PMKSY Allocation (2016-2021)
- Rs 6,000 crore
- PMKSY Allocation (15th FC Cycle)
- Rs 6,520 crore
- PMFME Scheme Outlay
- Rs 10,000 crore
- PLISFPI Scheme Outlay
- Rs 10,900 crore
- Total Investment under PLISFPI
- Rs 9,702 crore
- Employment Generated under PLISFPI
- 3.4 Lakh
- Incentives Disbursed under PLISFPI
- Rs 2,162.553 crore
Sources
Your snacking habit is a Rs 1.25 trillion goldmine: 3 stocks Motilal Oswal says could jump 26%
Power Of Protein: Why India Needs It And What's Driving The Market
Processed foods now make up 20.4% of India’s agri-food exports: Govt
