July 21, 2024
India Spices Market

Spices’ Dual Functional Benefits To Drive Growth In The India Spices Market

The global India Spices Market is estimated to be valued at US$3424.8 Bn or Mn in 2023 and is expected to exhibit a CAGR of 5.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

The India spices market primarily includes spices such as turmeric, chili, coriander, cumin, ginger, garam masala, and curries. These spices have traditionally been an integral part of Indian cuisine owing to their availability, versatility, long shelf life, and most importantly health benefits. They are a rich source of antioxidants, anti-inflammatory compounds and aid digestion. Spices help in improving metabolic rates and boosting immunity. Their dual functional benefits as flavoring agents and natural preservatives have increased their popularity not just in the food industry but also in nutraceuticals, functional foods and personal care products.

Market key trends:

One of the key trends fueling the growth of India spices market is their increasing demand in the natural skin and hair care industry. Spices like turmeric, neem, and tulsi are gaining prominence for their anti-aging and antioxidant properties. They are used extensively in manufacturing organic cosmetic products. Another emerging trend is the growing preference for fresh or freshly ground spices as they have maximum nutrients and pungency compared to processed variants. Rising health consciousness, surge in demand for authentic Indian cuisines globally and shift towards veganism are some other factors expected to shape the future growth path of India spices market over the forecast period.

Porter’s Analysis:

Threat of new entrants: Low. Established players dominate the market and new entrants require high capital to build infrastructure for sourcing, processing, marketing and distribution of spices.

Bargaining power of buyers: High. Buyers have many options to choose from among established brands and private labels. They can negotiate on price owing to fragmented supply.

Bargaining power of suppliers: High. There are numerous small and fragmented farmers who grow spices. Suppliers can influence prices.

Threat of new substitutes: Low. Spices haveunique flavours and health benefits with no close substitutes.

Competitive rivalry: Intense. The market is dominated by national and regional players competing on price and quality.

Key Takeaways:

The global India Spices Market Growth is expected to witness high growth, exhibiting a CAGR of 5.9% over the forecast period of 2023 to 2030, due to increasing health consciousness among consumers. The market size for India Spices Market was valued at US$ 3424.8 Bn in 2023.

Regionally, Southern India dominates the production and export of spices in India accounting for over 50% of production. States like Kerala, Tamil Nadu and Karnataka are the largest producers of spices like pepper, cloves, cinnamon and nutmeg. Northern India is also an emerging producer region.

Key players operating in the India Spices Market are Everest Food Products Pvt Ltd., Aachi Spices & Foods Pvt Ltd., Dabur India, DS Group, Eastern Condiments Private Limited, Mahashian Di Hatti Private Limited, MTR Foods Pvt Ltd., Patanjali Ayurved Limited, Pushp Brand (India) Pvt. Ltd., and Ushodaya Enterprises Private Limited. These players are focusing on new product launches, mergers & acquisitions for regional expansion.

1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it