Press Release

Baby Food to Flourish in the Indian Market Owing to Rising Health Complications in Women

The India Baby Food Market is projected to grow at a CAGR of 14% during 2023-28, cites MarkNtel Advisors in the recent research report. Owing to the country’s rapidly increasing urbanization, Indian women's lifestyles, in particular, have changed significantly in the past few years with long working hours & poor eating/drinking habits like the over-consumption of alcohol, caffeine, red meat, unpasteurized milk, & other fast food products.

As a result, they develop acute medical conditions such as preeclampsia, preterm labor, and others & are placed on strong medications to treat these complications. Given the significant risks these medications pose to newborns; mothers prefer infant & baby formula. As a result, with the rapidly increasing number of working women, the demand for baby food would continue to rise exponentially, as it serves as a complete supplement for toddlers' development.

Moreover, the parents of toddlers & infants are becoming more aware of the negative impacts of chemicals & preservatives, as a result, they are gradually inclining towards organic baby food. This growing trend of choosing organic & healthy baby food over conventional products has further boosted the sales of companies such as tiny Spoons, Happa, etc., that primarily manufacture them from any chemicals. Hence, the increasing parents’ concerns about the general welfare of infants would escalate the sales of them in the coming years.

Moreover, urbanization is positively impacting the sales of them. According to a United Nations report from 2022, India’s urban population is expected to exceed 675 million by 2035. Hence, these aspects indicate lucrative prospects for the industry, further states the research report, “India Baby Food Market Analysis, 2023.”

Extensive Adoption of Infant Milk Formula Owing to the Rapidly Growing Infant Population

Based on the product type, the market is further bifurcated into Processed Baby Food, Milk Formula, Dried Baby Food, and Other Baby Food. Of them, Infant Baby Formula acquired a significant share in the market owing to the rising lactation problems among women. These emerging issues in mothers have led to a surge in the adoption or inclination towards infant milk formula, thereby enhancing the sales of these baby milk formulas.

Moreover, several clinical trials & research have claimed that milk formulas are safe for kids & help in the development of infants. Therefore, parents are crucially using infant formula for the overall growth of their child, and hence, the market for Infant milk formula is anticipated to surge in the historical years.

Organized Offline Retail to Acquire a Significant Market Share

Based on Distribution Channel, the market is classified as Retail Offline (Grocery Retailers, Non-grocery Retailers, Vending, and Direct Selling) & Retail E-commerce. The traditional & conventional distribution channels for the deployment of baby food products are via forecourt retailers, convenience retail, etc., hence, offline distribution acquired a notable share in the historical years. Moreover, consumers opt to purchase products from pharmacies & specialty stores to get assurance regarding the product. As a result, sales of these products are generally higher in local pharmacies or convenience stores. However, rising internet access as well as expanding digitalization in India would drive up sales of them through online channels in the coming years.

Competitive Landscape

With strategic initiatives, such as mergers, collaborations, and acquisitions, the leading market players, including Nestlé India Ltd, Nutricia International Pvt Ltd, Abbott India Ltd., Raptakos Brett & Co Ltd., and Mead Johnson Nutrition India Pvt Ltd., are looking forward to strengthening their market position.

Key Questions Answered in the Research Report:

1. What are the industry’s overall statistics or estimates (Overview, Size- By Value, Forecast Numbers, Segmentation, Shares)?
2. What are the trends that have shaped the industry to its current form?
3. What key factors would propel and impede the industry across the country?
4. How has the industry been evolving in terms of geography & product adoption?
5. How has the competition shaped across the country, followed by their comparative factorial indexing?
6. How have buying behavior, customer inclination, and expectations from product manufacturers evolved during 2018-28?
7. Who are the key competitors, and what strategic partnerships or ventures are they coming up with to stay afloat during the projected time frame?