A new joint study by the Associated Chambers of Commerce and Industry in India (Assocham) has stated that the country’s packaged food market increased in value to more than $51.5m last year.
The study, entitled ‘Dynamics involved in multi-layered food packaging’, was carried out in partnership with TechSci Research.
It claims that increasing disposable incomes and a rising number of nuclear families is expected to have contributed to the growth of packaged food in the processed food market.
This year, the market share of packaged food is estimated to increase from 28% to 29%.
Associated Chambers of Commerce and Industry in India secretary general D.S. Rawat said: “Growing usage of packaging material in various food service outlets together with increasing demand for packaged beverage and expanding working class population has given impetus to food packaging industry in India.”
According to the study, India’s food and beverage (F&B) packaging market was estimated to reach nearly $16bn as of 2015, compared to about $12bn in 2010.
The F&B sector also recorded a compounded annual growth rate of over 6%.
Additionally, the study noted that India’s existing plastic food packaging market is estimated to be worth more than $4bn and holds nearly 63% of the country’s total plastic packaging market, which has a current market size of around $7bn.
In terms of market share, the current $1bn multilayer plastic food packaging is about 22% of India’s total plastic food packaging industry.
The study also revealed that packaging materials account for nearly half of India’s overall F&B packaging market share.
The printed cartons and rigid packaging sector has a 28% market share, while flexible packaging material, including food packaging laminates and packaging foils, have a share of 24%.