India emerging as a leader in Global Organic Food Market


Eco Ideaz

The global organic food market is booming worldwide, due to consumers placing increased attention on their health and wellbeing. Growing environmental concerns over the use of harmful chemicals in agriculture and its ill-effects on people’s health have resulted in rising demand for organic foods and beverages.

The Covid-19 pandemic has significantly boosted the growth of the global organic food and beverages market. Further, the steady rise of chronic diseases such as cancer, diabetes, and cardiovascular diseases which have led to an increase in healthcare expenditure, and the rise in health-consciousness trend are some of the prominent factors that shift consumers’ focus towards healthy food & beverages across the globe.

The global organic food & beverages market size was valued at $187.5 billion in 2020 and is expected to grow at a CAGR of 14.9% to reach $860.6 billion by 2031. Among the growth regions, Asia-Pacific is projected to grow with the fastest CAGR of 14.38% from 2022-2030.

In the past 10-15 years, the organic food market in the Asia Pacific region has accelerated and demand for healthy food choices among individuals has also increased. The presence of countries like China, Japan, Taiwan, and India has boosted the market growth, considerably, making the Asia-Pacific region among the fastest-growing market in organic foods.

Organic Food Market In India

Eco Ideaz

India, in particular, is one of the main attractive markets for organic food in the region. People, especially young adults, inclining more toward incorporating healthy food into their diet to boost their health. As per industry experts, India is expected to observe a compounded growth of at least 15-25% in the organic food products market.

The Indian organic food industry is gaining momentum. As per Research Dive, the Indian organic food industry is pegged at $1.1 billion in 2021 and is expected to grow at a CAGR of 18.3% to reach $4.9 billion by 2030. Rising consumer awareness has fueled the demand for organic food in India. Today, consumers are aware of organic ingredients and their health benefits, propelling the demand for organic food in India. Furthermore, due to reasons such as strong economic growth, urbanization, and rising income levels, consumer expenditure on health and wellness items has expanded considerably.

Consumer perception that organic food products are expensive is expected to hinder market growth. However, increasing purchasing power and disposable income will propel the adoption of organic food in the coming days. Supportive government schemes and policies can propel the sector’s growth in India.

organic food market

According to the Organics International Report 2021 by FiBL and IFOAM, India ranks first in Asia with 23 lakh hectares under organic farming (fifth in the world). In 2016, Sikkim became India’s first state to go completely organic. Similarly, other state governments are also implementing schemes and policies to boost organic farming in India. All of these factors are projected to contribute to increased demand for organic foods.

The vast majority of the organic food market share is held by unorganized players in each regional market. Global leaders in the organized segment are: Organic Valley., Dean Foods, Dole Food Co., Inc., Newman’s Own, Inc., Whole Foods, Frito-Lay, The Kroger Co., Inc., and Clif Bar & Company, etc.

The organic food market is classified into various types such as fruit & vegetables, meat & fish , dairy products, frozen and processed foods, and others. Based on process, the unprocessed segment dominated the organic food & beverages market, garnering 93% market share in 2020. Since processed food are considered carcinogenic and hence, the demand for unprocessed organic food products is high.

More detailed insights can be found in the ‘Organic Food Market’ report by Allied Market Research that offers information on major drivers, restraints, and opportunities controlling the market’s growth, globally with Indian market analysis in detail.

Rooftop organic farmer, eager eco enthusiast, sustainable economist wandering on a middle path to find world peace amidst global chaos!


Please enter your comment!
Please enter your name here