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India Foodservice Market Size

The India Foodservice Market is experiencing significant growth, driven by factors such as increasing urbanization, changing lifestyles, and a rising preference for dining out. The market's expansion is further fueled by the popularity of diverse cuisines, including Lebanese, Chinese, and Japanese, alongside traditional Indian fare. The demand for vegan and vegetarian options is also shaping the market, as foodservice providers cater to the dietary preferences of a substantial portion of the population. Additionally, the proliferation of cloud kitchens, supported by the convenience of digital food delivery platforms, is contributing to the market's rapid growth.

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Market Size of india foodservice Industry

India Foodservice Market Summary
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svg icon Study Period 2017 - 2029
svg icon Market Size (2024) USD 77.54 Billion
svg icon Market Size (2029) USD 125.06 Billion
svg icon Largest Share by Foodservice Type Full Service Restaurants
svg icon CAGR (2024 - 2029) 10.03 %
svg icon Fastest Growing by Foodservice Type Cloud Kitchen
svg icon Market Concentration Low

Major Players
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*Disclaimer: Major Players sorted in no particular order

Key Players

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India Foodservice Market Analysis

The India Foodservice Market size is estimated at 77.54 billion USD in 2024, and is expected to reach 125.06 billion USD by 2029, growing at a CAGR of 10.03% during the forecast period (2024-2029).

77.54 Billion

Market Size in 2024 (USD)

125.06 Billion

Market Size in 2029 (USD)

6.00 %

CAGR (2017-2023)

10.03 %

CAGR (2024-2029)

Largest Segment by Foodservice Type

42.65 %

value share, Full Service Restaurants, 2023

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Asian cuisine is the largest cuisine segment. In 2023, 60% of millennials in India prefer to eat Chinese cuisine in restaurants four to five times a month.

Largest Segment by Outlet Type

65.63 %

value share, Independent Outlets, 2023

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With the growing interest to explore unconventional menu options, independent foodservice outlets are opening in populated cities like Mumbai, Delhi, and Bangalore.

Fastest-growing segment by Foodservice Type

16.51 %

Projected CAGR, Cloud Kitchen, 2024-2029

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The inclination of investors to invest in cloud kitchens in India, namely Rebel Foods and Box8, is majorly responsible for developing this segment in India.

Fastest-growing segment by Outlet Type

10.47 %

Projected CAGR, Chained Outlets, 2024-2029

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An increase of 108% in fast-food expenditure by non-metro cities in India is driving the expansion of popular international and domestic fast-food chains.

Leading Market Player

0.74 %

market share, Jubilant FoodWorks Limited, 2022

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Jubilant FoodWorks Limited manages the Domino's Pizza franchise in India. The company operates over 1,400 Domino's Pizza outlets across 280 cities in India.

Increased willingness of people to experiment with new cuisines and dining experiences propelling the market sales

  • India is a diverse country with a rich culinary heritage, and people are increasingly willing to experiment with new cuisines and dining experiences. This has led to the growth of specialized restaurants offering unique and innovative dining experiences. Apart from Indian cuisine, other cuisines, such as Lebanese, Chinese, and Japanese, are popular in India. The number of sushi orders increased by 50% from 2019 to 2021. The growing popularity of eating out, changing lifestyles, and increased urbanization are driving the growth of the foodservice market in India. More than 45 million Indians preferred eating out at restaurants in 2021.
  • As of 2022, around 24% of the Indian population was vegetarian, and around 9% was vegan. Hence, foodservice players are offering vegan menus to cater to the vegetarian and vegan populations in India. Many quick service restaurants are adapting to this trend and offering vegan menus. For instance, Burger King, Pizza Hut, Taco Bell, and KFC offer vegan dishes.
  • The growth of cloud kitchens in India is mainly due to the increasing demand for food delivery services, driven by factors such as busy lifestyles, convenience, and the COVID-19 pandemic. Another factor driving the growth of cloud kitchens in India is the rise of digital platforms for food ordering and delivery, such as Swiggy and Zomato. These platforms provide a convenient way for customers to discover and order from a wide range of cloud kitchen options and for cloud kitchens to reach a large customer base without extensive marketing and advertising. Hence, cloud kitchens are anticipated to register the fastest growth during the forecast period, with a CAGR of 16.67%, by value.
India Foodservice Market

India Foodservice Industry Segmentation

Cafes & Bars, Cloud Kitchen, Full Service Restaurants, Quick Service Restaurants are covered as segments by Foodservice Type. Chained Outlets, Independent Outlets are covered as segments by Outlet. Leisure, Lodging, Retail, Standalone, Travel are covered as segments by Location.

  • India is a diverse country with a rich culinary heritage, and people are increasingly willing to experiment with new cuisines and dining experiences. This has led to the growth of specialized restaurants offering unique and innovative dining experiences. Apart from Indian cuisine, other cuisines, such as Lebanese, Chinese, and Japanese, are popular in India. The number of sushi orders increased by 50% from 2019 to 2021. The growing popularity of eating out, changing lifestyles, and increased urbanization are driving the growth of the foodservice market in India. More than 45 million Indians preferred eating out at restaurants in 2021.
  • As of 2022, around 24% of the Indian population was vegetarian, and around 9% was vegan. Hence, foodservice players are offering vegan menus to cater to the vegetarian and vegan populations in India. Many quick service restaurants are adapting to this trend and offering vegan menus. For instance, Burger King, Pizza Hut, Taco Bell, and KFC offer vegan dishes.
  • The growth of cloud kitchens in India is mainly due to the increasing demand for food delivery services, driven by factors such as busy lifestyles, convenience, and the COVID-19 pandemic. Another factor driving the growth of cloud kitchens in India is the rise of digital platforms for food ordering and delivery, such as Swiggy and Zomato. These platforms provide a convenient way for customers to discover and order from a wide range of cloud kitchen options and for cloud kitchens to reach a large customer base without extensive marketing and advertising. Hence, cloud kitchens are anticipated to register the fastest growth during the forecast period, with a CAGR of 16.67%, by value.
Foodservice Type
Cafes & Bars
By Cuisine
Bars & Pubs
Cafes
Juice/Smoothie/Desserts Bars
Specialist Coffee & Tea Shops
Cloud Kitchen
Full Service Restaurants
By Cuisine
Asian
European
Latin American
Middle Eastern
North American
Other FSR Cuisines
Quick Service Restaurants
By Cuisine
Bakeries
Burger
Ice Cream
Meat-based Cuisines
Pizza
Other QSR Cuisines
Outlet
Chained Outlets
Independent Outlets
Location
Leisure
Lodging
Retail
Standalone
Travel
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India Foodservice Market Size Summary

The India Foodservice Market is experiencing significant growth, driven by a diverse culinary landscape and evolving consumer preferences. The market is characterized by a burgeoning interest in international cuisines, with Lebanese, Chinese, and Japanese foods gaining popularity alongside traditional Indian dishes. The rise of specialized restaurants and quick service chains is notable, as they cater to the increasing demand for unique dining experiences and convenience. The younger demographic, particularly those under 35, plays a crucial role in this expansion, with many young adults and teenagers spending a substantial portion of their income on dining out and fast food. This trend is further amplified by urbanization and changing lifestyles, which have led to a surge in the popularity of cloud kitchens and digital food delivery platforms like Swiggy and Zomato. These platforms have revolutionized the foodservice landscape, offering consumers easy access to a wide range of dining options and enabling cloud kitchens to thrive without extensive marketing efforts.

The market is also witnessing a shift towards health-conscious offerings, with an increasing number of foodservice players introducing vegan and vegetarian menus to cater to the significant portion of the population that identifies as such. Full-service restaurants are adopting advanced kitchen technologies to enhance efficiency and meet the growing demand for online meal delivery services. The cafes and bars segment holds a substantial market share, driven by the rise in disposable income among the younger generation and the popularity of socializing in vibrant settings. Despite the fragmented nature of the market, with major players like McDonald's, Yum! Brands, and Jubilant FoodWorks Limited holding a small share, the industry is poised for continued growth. Recent developments, such as the expansion of Barista Coffee and the strategic investments by MMG Group and Rebel Foods, underscore the dynamic nature of the market and its potential for further expansion in the coming years.

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India Foodservice Market Size - Table of Contents

  1. 1. MARKET SEGMENTATION (includes market size in Value in USD, Forecasts up to 2029 and analysis of growth prospects)

    1. 1.1 Foodservice Type

      1. 1.1.1 Cafes & Bars

        1. 1.1.1.1 By Cuisine

          1. 1.1.1.1.1 Bars & Pubs

          2. 1.1.1.1.2 Cafes

          3. 1.1.1.1.3 Juice/Smoothie/Desserts Bars

          4. 1.1.1.1.4 Specialist Coffee & Tea Shops

      2. 1.1.2 Cloud Kitchen

      3. 1.1.3 Full Service Restaurants

        1. 1.1.3.1 By Cuisine

          1. 1.1.3.1.1 Asian

          2. 1.1.3.1.2 European

          3. 1.1.3.1.3 Latin American

          4. 1.1.3.1.4 Middle Eastern

          5. 1.1.3.1.5 North American

          6. 1.1.3.1.6 Other FSR Cuisines

      4. 1.1.4 Quick Service Restaurants

        1. 1.1.4.1 By Cuisine

          1. 1.1.4.1.1 Bakeries

          2. 1.1.4.1.2 Burger

          3. 1.1.4.1.3 Ice Cream

          4. 1.1.4.1.4 Meat-based Cuisines

          5. 1.1.4.1.5 Pizza

          6. 1.1.4.1.6 Other QSR Cuisines

    2. 1.2 Outlet

      1. 1.2.1 Chained Outlets

      2. 1.2.2 Independent Outlets

    3. 1.3 Location

      1. 1.3.1 Leisure

      2. 1.3.2 Lodging

      3. 1.3.3 Retail

      4. 1.3.4 Standalone

      5. 1.3.5 Travel

India Foodservice Market Size FAQs

The India Foodservice Market size is expected to reach USD 77.54 billion in 2024 and grow at a CAGR of 10.03% to reach USD 125.06 billion by 2029.

In 2024, the India Foodservice Market size is expected to reach USD 77.54 billion.

Food Service Market in India Report Snapshots

India Foodservice Market SIZE & SHARE ANALYSIS - GROWTH TRENDS & FORECASTS UP TO 2029