New Delhi: India’s food retail market is expected to touch $827 billion by the year 2023, up from $487 billion in 2017, growing at a compound annual growth rate (CAGR) of 9.23 per cent, according to an Assocham-TechSci Research consulting joint study.
This growth, the study said, will be due to recent reforms making the sector more competitive and market oriented. “The growth in the Indian food processing industry in value terms is expected to be more than in volume terms over the coming years, which clearly indicates the increase in prices for Indian commodities across the globe,” said Assocham.
The chamber said that this highlights a great opportunity for small-scale farmers, who can associate with the leading exporters to boost their earnings by carrying out either contract farming or increasing the production by using technologically advan-ced equipment.
“Northern (29.56 per cent), western (25.39 per cent) and southern (27.19 per cent) regions account for the major share in India food retail sector whereas Eastern region (17.86 per cent) has a relatively low market share, owing to the presence of seven sister states, Bihar and Jharkhand, where the concentration of big retail companies is only limited to 4-5 cities,” it said.
