Market Definition
Ice cream is a frozen treat made from milk, cream, sugar, and occasionally other ingredients. In addition to milk or cream, ice cream frequently contains stabilizers such as gluten to help keep the mixture's texture consistent. Since refrigeration has become widespread, this treat has only recently become more widely available. In recent years, frozen custard, frozen yogurt, and even non-dairy ice cream versions have gained popularity as a result of ice cream's surge in popularity. Moreover, the Indian ice cream market is expected to grow rapidly in the coming years due to its increasing popularity.
Market Insights
The India Ice Cream Market is valued above USD 3 Billion in 2023 and is further projected to grow at a CAGR of 13.49% during 2023-28. The market is fueled by factors such as rising average mean temperatures, long summers and heat waves, and western & modern lifestyles. The key reason for the expected increase in ice cream sales in the forecasting period is the heat waves that swept the country during the summer months when consumers resorted to ice cream for relief from the high temperatures. According to the Indian Meteorological Department (IMD), the average monthly temperature in March 2022 was 33.1°C, the highest in the previous 122 years.
| Report Coverage | Details |
|---|---|
| Study Period | Historical Data: 2018-21 |
| Base Year: 2022 | |
| Forecast Period: 2023-28 | |
| CAGR (2023-2028) | 13.49% |
| Region Covered | North, South, West, East, North-East |
| Key Companies Profiled | Gujrat Co-operative Milk Marketing Federation Ltd, Hindustan Unilever Ltd, Devyani Food Industries Pvt Ltd, Hatsun Agro Products Ltd, Mother Dairy Fruit & Vegetable Pvt Ltd, Vadilal Industries Ltd, Haymor Food Pvt Ltd, Dairy Classic Ice Cream Pvt Ltd, Punjab State Cooperative Milk Producers Federation Ltd. |
| Unit Denominations | USD Million/Billion |
Along with this, the booming E-commerce, as well as the rapid emergence of Q-commerce in India, has significantly aided the growth of the ice cream market. Customers benefit from efficient q-commerce because they can now buy ice cream at the touch of a button. Besides, the outbreak of the COVID-19 pandemic in 2020 also steadily increased the consumption of ice creams via e-commerce among customers, as the lockdown restrictions imposed by the government had inclined the customers to opt for online sales channels due to the unavailability of offline stores.
Moreover, the easy manufacturing process of simple ice creams has facilitated the unorganized sector to grow in rural & remote areas of India. Furthermore, the unorganized sector has grown in recent years, leading to increased ice cream sales in rural areas due to factors such as taste preferences, ease of manufacturing, and affordability of raw materials. The consumers of rural regions prefer flavors like kulfi & kalakand, which are simple to make with the right amount of milk, sugar, and dry fruits.
Nevertheless, the raw materials, such as milk & sugar, are plentiful & inexpensive to the manufacturers. Ice cream manufacturing is a simple process that does not require heavy machinery or a large production line, making it an ideal choice for a regional business. Furthermore, exotic flavors of ice cream, including tropical fruits, Belgian chocolate, betel leaf, and more, have been introduced by the country's leading ice cream brands, including Giani, Natural's, Keventers, Kwality Wall's, etc., attracting consumers, which in turn has resulted in increased ice cream sales.
Along with this, rising disposable income and a shift in the country's lifestyle have resulted in significant sales of high-priced ice creams, and this is expected to continue in the coming years. As a result of the ice cream manufacturers' ongoing efforts to launch ice creams in a variety of flavors, the diversification of q-commerce in India, and the growth of the unorganized sector, is expected to boost the growth of the India Ice Cream market during the forecast period.
