Ice Cream Market
in India

Ice creams today have become a vital part of every celebration in India. When comes to the consumption of ice creams it is popular among all ages of life from children to grown-ups.

The ice cream industry in India has a turnover of around 2500 Cr. inclusive of unorganized sector and the market is witnessing a booming growth rate of 12-15% annually. The flavors ranging from the plain Vanilla to certain traditional taste, an ice cream in India have gone a long way and offer the widest range of cups, cones, scoops and sundaes.

The ice cream market in India has witnessed a steady growth over the last few decades. The growth in the Ice cream industry has been primarily due to a strong distribution network and a good cold chain infrastructure. The ice cream market in India is divided into the branded market and the grey market or the unbranded market. The branded market is currently 100 million liters per annum valued at 800 crores. The branded market has a host of homegrown and international players, available at wide-ranging price points. The grey market consists of small local players and cottage industry players.

The Per capita consumption of ice creams in India is around 250-300 ml compared to 23 litres in the US, 18 litres in Australia, 14 litres in Sweden and 800 ml even in neighboring Pakistan. This presents a huge opportunity for organized players in the ice cream industry.

Ice Creams are no more a seasonal product

Ice-cream is one of the fastest growing food categories in India. Initially, the business is regarded as seasonal in nature with March-June being the peak season and November-January the lean months.

In recent years, consumption of ice-cream and frozen desserts in winters has been on the rise. A mix of factors is responsible for lessening the seasonal impact and contributing to the overall growth of the country’s ice-cream industry such as changing consumer perception, demographics, retail proximity, product innovation, festivities, and marketing and promotions.

Recently, the imported concepts such as frozen yogurt and gelatos are gaining momentum catering the premium segments The rapid urbanization, rising incomes, consumer awareness, improved cold supply chain, growing deep freezer penetration, and growth of modern format retail facilities are transforming the country’s ice cream and frozen desserts business, which is highly capital intensive.