India Food Waste Management Market Research Report: Trends, Forecast & Opportunities (2026-2032)

India Food Waste Management Market Report Key Takeaways:

• The India Food Waste Management Market size was valued at USD 542 million in 2025 and is projected to grow from USD 664 million in 2026 to USD 962 million by 2032, exhibiting a CAGR of 6.37% during the forecast period.
• By waste type, the fruits & vegetables segment represented a significant share of about 45% in the India Food Waste Management Market in 2026.
• By management process, the anaerobic digestion segment presented a significant share of about 50% in the India Food Waste Management Market in 2026.
• Leading food waste management companies in India are Excel Industries, Solwearth Ecotech Pvt. Ltd., Biofics Pvt Ltd, Vermigold Ecotech, Daily Dump, Green Planet Solutions, Saahas Zero Waste, RUR Greenlife, Sampurn(e)arth, and Others.

Market Insights & Analysis: India Food Waste Management Market (2026-32):

The India Food Waste Management Market size was valued at around USD 542 million in 2025 and is projected to grow from USD 664 million in 2026 to USD 962 million by 2032. Along with this, the market is estimated to grow at a CAGR of around 6.37% during the forecast period, i.e., 2026-32.

The India Food Waste Management Market is projected to expand steadily, driven by strengthening government regulations, structured policy implementation, and rising integration of bioenergy and waste-to-energy technologies aimed at enhancing organic waste processing and resource recovery nationwide.

A major policy inflection point occurred in January 2026, when the Ministry of Environment, Forest and Climate Change (MoEFCC) notified the Solid Waste Management (SWM) Rules, 2026 under the Environment Protection Act, 1986, effective April 1, 2026 . The revised rules mandate compulsory source segregation into wet (including food waste), dry, sanitary, and special waste categories, while imposing defined accountability on bulk waste generators and urban local bodies. This regulatory shift formalizes food waste as a separately managed stream, strengthening the framework for scientific processing and organized treatment.

Under the revised SWM Rules, bulk waste generators, including hotels, restaurants, and malls, are mandated to process food and organic waste onsite or engage authorized agencies for its treatment. Municipal authorities are strengthening enforcement, with penalties and fines for non-segregation increasingly imposed across cities to ensure regulatory compliance.

Municipal enforcement is intensifying to ensure compliance. For instance, in Noida, authorities have imposed penalties on commercial establishments for non-segregation, with repeat violations attracting fines up to approximately USD 6,050, along with potential licence cancellation and legal proceedings .

Similarly, in April 2025, Mangaluru City Corporation levied fines of approximately USD 60 on hotels for failing to segregate wet and dry waste, escalating penalties for repeated non-compliance.

Meanwhile, Bengaluru North City Corporation has tightened segregation mandates and set a target of achieving 65–70% segregated collection by March 2026. Complementing these measures, Mohali Municipal Corporation has deployed 180 vehicles for door-to-door segregated waste collection to strengthen wet waste management at the household level .

Furthermore, the Mohali Municipal Corporation has initiated a citywide door-to-door segregation campaign, deploying 180 vehicles to collect separately sorted wet and dry waste from households. Residents are encouraged to use green bins for food/wet waste and blue bins for dry waste, aiming to strengthen source segregation, minimize health risks, and enhance overall waste management efficiency.

Alongside regulatory enforcement, bioenergy and waste-to-energy integration are accelerating market momentum. For example, Nashik Municipal Corporation’s proposed 30-tonnes-per-day wet waste-based CNG facility, expected to become operational by September 2026, highlights decentralized energy recovery initiatives.

Similarly, Mysuru’s APMC initiative plans to convert 20–25 tonnes per day of market organic waste into compressed biogas under an approximately USD 3 million action plan, demonstrating scalable bioenergy adoption from food waste streams.

Strengthened regulatory mandates, stricter municipal enforcement, and increasing bioenergy investments are collectively formalizing India’s food waste management ecosystem. These structural developments are expected to expand processing capacity, enhance technology deployment, and support sustained long-term market growth.

India Food Waste Management Market Recent Developments:

• 2026: The Greater Chennai Corporation has announced plans to establish three additional windrow composting plants to boost the processing of wet waste (including food/organic waste) in the city. One large 1,000-tonne facility at the Perungudi biomined site and two smaller 50-tonne units in Madhavaram and Manali are proposed to significantly increase composting capacity, reducing reliance on dumpyards and strengthening scientific organic waste management.
• 2026: The Urban Development Minister has directed the Varanasi Municipal Corporation to intensify household waste segregation efforts, including wet and dry waste streams, to secure a top position in the Swachh Survekshan cleanliness ranking. Enhanced segregation is expected to improve collection quality and support better processing of organic and food waste in the city.

India Food Waste Management Market Scope:

India Food Waste Management Market Driver:

Favorable Government Regulations & Policy Push

Strengthened municipal enforcement and structured urban programmes are significantly driving India’s food waste management market. The launch of the Swachh Shehar Jodi programme aims to improve municipal solid waste management across nearly 200 cities by pairing mentor and mentee cities to replicate best practices in segregation, decentralized composting, and scientific processing of organic waste. This initiative reinforces structured knowledge transfer and accelerates the adoption of food waste segregation models nationwide.

At the city level, the Municipal Corporation of Delhi (MCD) has announced plans to expand zero-waste colonies to 200 by May 2027. These certified colonies segregate waste into five streams, including wet/biodegradable (food) waste, which is treated through decentralized composting within colony premises instead of being transported to landfills.

As of 2025, 633 certified zero-waste colonies and institutions in Delhi are collectively segregating and processing approximately 100 tonnes per day of waste, reflecting a measurable decentralized organic waste handling capacity.

Compliance enforcement is further intensifying. In December 2025, the Ghaziabad Municipal Corporation fined a restaurant approximately USD 120 for failing to segregate wet and dry waste at source, reinforcing adherence to Solid Waste Management Rules .

Government-backed decentralization models, inter-city collaboration, and stricter enforcement are formalizing food waste streams at the urban level. These measures are accelerating infrastructure deployment and driving sustained growth in India’s food waste management market.

India Food Waste Management Market Trend:

Bioenergy and Waste-to-Energy Integration

Bioenergy and waste-to-energy (WtE) integration is becoming a defining trend in the India Food Waste Management Market, supported by structured government incentives and expanding municipal adoption.

The Ministry of New and Renewable Energy (MNRE), under its Waste to Energy Programme within the National Bioenergy Programme (2021–22 to 2025–26), provides central financial assistance of up to approximately USD 480,000 per 4.8 tonnes per day biogas/Bio-CNG project. The scheme covers urban, industrial, agricultural, and municipal solid waste streams, including wet and food waste, thereby formalizing energy recovery from organic waste.

The scaling impact is visible nationwide. By late 2025, India had installed approximately 228 MW of waste-to-energy capacity and around 288,000 biogas plants, reflecting sustained infrastructure expansion linked to organic waste valorization. This growth demonstrates increasing institutional focus on converting biodegradable waste into renewable energy and reducing landfill dependency.

At the municipal level, implementation is advancing through decentralized facilities. In New Delhi, a compressed bio-gas (CBG) plant processes nearly 100 tonnes per day of wet waste, largely food waste, generating approximately 4 tonnes of CNG daily. Such projects simultaneously address urban waste challenges and contribute to a clean fuel supply.

Policy-backed financial incentives and measurable capacity additions are accelerating bioenergy deployment across India. As municipalities increasingly integrate food waste into energy production systems, waste-to-energy adoption is expected to substantially strengthen long-term market growth.

India Food Waste Management Market Opportunity:

Expanding Sustainable Construction Frameworks and Project Pipelines

Public-Private Partnerships (PPPs) are emerging as a high-impact opportunity in India’s food waste management ecosystem by mobilizing private capital and technical expertise to strengthen municipal organic waste processing capacity.

In March 2025, the Indore Municipal Corporation (IMC) operationalized India’s first PPP-based green waste processing plant under the Swachh Bharat Mission - Urban. Developed on 55,000 sq ft of municipal land, the facility processes approximately 30 tonnes per day (TPD) of green/organic waste into pellets and alternative fuel. The IMC receives about USD 34 per ton of waste supplied, establishing a revenue-linked processing framework .

Similarly, in 2024, the Bihar Cabinet approved a USD 62 million PPP solid waste management project in Patna covering 13 urban local bodies. The project integrates 100 TPD bio-methanation and 700 TPD composting capacity, supported by USD 18.7 million in central Viability Gap Funding, reinforcing structured organic waste valorization .

Looking beyond 2025, multiple states are formalizing PPP cells and enabling long-term concession agreements for bio-methanation and composting plants on government land, aligning with national waste-to-energy and circular economy objectives.

PPPs reduce fiscal pressure on municipalities while accelerating technology deployment and capacity expansion. As urban waste volumes rise, structured PPP frameworks will significantly scale food waste processing infrastructure, supporting sustained market growth in the coming years.

India Food Waste Management Market Challenge:

High Infrastructure and Operational Costs

High capital expenditure and recurring operational costs continue to constrain the expansion of India’s food waste management infrastructure. Establishing scientific processing facilities such as bio-methanation plants, composting units, and waste-to-energy (WtE) projects requires substantial upfront investment along with sustained maintenance, manpower, and compliance expenditure.

In 2024, the Municipal Corporation of Delhi advanced plans for a 3,000 tonnes per day (TPD) Waste-to-Energy plant at Bawana with an estimated capital outlay of approximately USD 73.8 million, alongside annual operational and environmental management costs of around USD 1.7 million, as reported by The Times of India. Such large-scale facilities demonstrate the high financial threshold associated with scientific organic waste treatment.

At the municipal level, smaller urban bodies also face cost burdens. In Maharashtra, the Trimbakeshwar Municipal Council agreed to pay nearly USD 11 per ton for transporting and processing waste at Nashik’s composting facility due to inadequate in-house infrastructure, reflecting recurring per-ton processing and logistics expenses.

Elevated capital and operating costs restrict technology adoption and capacity expansion across municipalities. Without sustained fiscal support and cost-optimization mechanisms, infrastructure constraints will continue to impede the scalable growth of India’s food waste management market.

India Food Waste Management Market (2026-32) Segmentation Analysis:

The India Food Waste Management Market study of MarkNtel Advisors evaluates & highlights the major trends and influencing factors in each segment. It includes predictions for the period 2026–32 at the country level. Based on the analysis, the market has been further classified as;

Based on Waste Type:

• Fruits & Vegetables
• Dairy & Dairy Products
• Cereals & Grains
• Meat & Poultry
• Fish & Seafood
• Processed Foods
• Others

The fruits & vegetables segment dominates the India Food Waste Management market, accounting for approximately 45% market share, primarily due to its high generation volume and intrinsic perishability.

Fresh produce is characterized by short shelf life, high moisture content, and sensitivity to handling, storage, and transportation conditions. In India’s multi-tiered agricultural supply chain spanning farms, wholesale mandis, retailers, food service establishments, and households, these characteristics significantly increase the likelihood of spoilage and post-harvest losses.

Unlike packaged or processed food categories, fruits and vegetables are often traded in bulk and handled multiple times before reaching end consumers, amplifying physical damage and quality deterioration. Urban wholesale markets and retail outlets generate substantial daily volumes of unsold or damaged produce, while institutional kitchens and hospitality establishments contribute additional organic discards. At the household level, improper storage and over-purchasing further intensify wastage.

From a waste management perspective, fruits and vegetables constitute a major proportion of municipal wet waste streams due to their biodegradable nature. Their high organic content makes them particularly suitable for composting and bio-methanation processes, aligning with regulatory mandates for source segregation and decentralized organic waste treatment.

Given its continuous generation, biological processing compatibility, and strong regulatory focus on wet waste handling, the fruits and vegetables segment remains the most significant contributor to India’s food waste management ecosystem.

Based on Management Process:

• Aerobic Digestion
• Anaerobic Digestion
• Combustion/Incineration
• Others

The anaerobic digestion segment dominates the India Food Waste Management Market, holding around 50% market share, due to its integrated environmental and economic benefits.

The process involves the controlled biological decomposition of organic waste in oxygen-free conditions, resulting in the production of biogas and nutrient-rich digestate. Given that a substantial portion of India’s municipal solid waste comprises biodegradable wet waste, particularly food and agricultural residues, AD provides an efficient and scalable treatment solution.

One of the primary factors underpinning its dominance is its ability to generate renewable energy in the form of biogas or compressed biogas (CBG), which can be utilized for electricity generation, cooking fuel, or as a transportation fuel substitute. This energy recovery component enhances project bankability compared to conventional aerobic composting, which primarily yields compost. Additionally, AD significantly reduces waste volume, mitigates methane emissions from uncontrolled landfill decomposition, and contributes to climate mitigation targets.

Municipal corporations and institutional generators increasingly favor biogas plants for decentralized and centralized processing of segregated food waste. The technology is adaptable across varying capacities, from small-scale community units to large urban facilities, aligning with regulatory mandates for source segregation and scientific waste treatment.

Owing to its capacity for resource recovery, energy generation, emission reduction, and policy alignment, anaerobic digestion maintains a leading position within India’s evolving food waste management infrastructure.

Gain a Competitive Edge with Our India Food Waste Management Market Report:

• India Food Waste Management Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size & share, growth rate, competitive landscape, and key players. This comprehensive analysis helps businesses gain a holistic understanding of the market dynamics & make informed decisions.
• This report also highlights current market trends & future projections, allowing businesses to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
• India Food Waste Management Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, businesses can develop strategies to minimize risks & optimize their operations.

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