2013-10-17 14:31:01 - Changing consumer preferences including switching demand from straight spices to spice mixes and from unbranded to branded spices to boost the revenues in the spices market in India.
India caters to the 48% of the demand of spices in the world. The spices market in India showcased a tremendous 10.0% CAGR in terms of value and a 3.7% CAGR in terms of volume over the period FY’2007-FY’2013. Favorable changes in the consumer preferences including switching of demand from straight spices to spice mixes and unbranded to branded spices has augmented the industry revenues as both spice mixes and branded spices entail greater profit margins as compared to straight and unbranded spices.
Increasing urbanization paired with rise in number of working women has reduced the time of cooking spent by the home makers in the kitchen. Consequently, instead of making the spice mixes by purchasing straight spices, home makes
have started demanding readymade spice mixes such as Sabzi Masala, Garam Masala, Chicken Masala and others. Major players such as Everest, MDH and MTR have been concentrating in making a strong brand portfolio of spice mixes via investing a huge chunk of revenues in brand building and research and development in the segment of spice mixes.
Media penetration in rural regions of India is increasing as the literacy rate in rural areas is surging which is further leading to increase in the number of newspaper readers and TV owners. Media Penetration together with the increasing personal disposable income and rising urbanization has propelled the market for branded spices in India. A huge influx of regional players as well as foreign players including Orkla and McCormick in the market space has been witnessed which is likely to expand the revenues from the sale of branded spices in India.
According to the research report “India Spices Market Outlook to FY’2018: Spice Mixes and Branded Spices to Augment Industry Revenues” by Ken Research, the spices market would grow at a considerable CAGR rate thus exceeding over USD 16,600 million by FY2018 due to the major push from spice mixes and branded spices segment in India.
“The rising demand for spice mixes and branded spices will result in increased spending on spices in India, according to the Research Analyst, Ken Research.
The report provides detailed overview on the spices market in India and aids readers to identify the ongoing trends in the industry and anticipated growth in future depending upon changing industry dynamics in coming years. The report will help industry consultants, spices companies and other stakeholders align their market centric strategies according to ongoing and expected trends in future.
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