-KH News Desk (editorial1@imaws.org)
A new report titled ‘How India Eats’ by Swiggy and Kearney projects that the Indian food service market is set to cross USD 125 billion by 2030. This represents a massive increase from the estimated market size of USD 78 billion in 2025 (and USD 49 billion in 2019). The report anticipates that the organized segment will be the key growth driver, expected to double its current level and surpass the unorganized segment, accounting for over 60 percent of the overall growth.
Key Growth Drivers and Market Trends
The macro story driving this growth is a combination of rising incomes, increasing digital adoption, and a growing consumer demand for convenience. Beyond these factors, the Indian consumer is exhibiting a significant shift towards experimentation and health-consciousness:
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Experimentation: Consumers are showing a 20% growth in unique cuisines ordered per customer, with hyper-regional cuisines (like Goan, Bihari, and Pahari) growing 2 to 8 times faster than mainstream cuisines. Simultaneously, global cuisines like Korean, Vietnamese, and Mexican are becoming mainstream.
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Health and Wellness: Healthy and ‘better-for-you’ meals are growing at 2.3 times the overall orders, with consumers focusing on increasing protein, watching calories, and cutting down on added sugar.
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Leading Segments: Cloud Kitchens, QSRs (Quick Service Restaurants), and dessert parlours are expected to lead the charge with above-average growth rates.
Furthermore, the report notes that dining-out growth outside the top eight cities is two times higher than in the top eight cities, with corporate, industrial, education, and tourist hubs fueling this expansion.
Rohit Kapoor, CEO of Swiggy Food Marketplace, highlighted the rapid evolution of the industry: “In a span of just over a decade, the industry has seen disproportionate evolution… On one hand, consumers are demanding affordability in familiar cuisines like Indian and Italian, and on the other hand, adopting Matcha and Boba Tea like never before.”
Rajat Tuli, Partner, F&B Lead, QSR Asia Lead at Kearney, spoke about the fundamental broadening of the food economy: “What we are witnessing is a fundamental broadening of India’s food economy. Growth is no longer concentrated in a few metros but is being shaped by a wider set of cities where consumers are more experimental, more health-aware, and more value-seeking than ever before.”
Tuli also pointed out that Gen Z offers high promise, growing 3x of other cohorts in the dining-out segment, and demanding innovations like Instagram-worthy locations.
