siliconindia | | December 20188LARGE INDIAN CONSUMER MARKET FOR ASIAN FOOD & BEVERAGES COMPANIESBy Rabindra B. Shrestha, Managing Partner, Prestellar VenturesPrestellar Ventures is a private equity and venture capital firm specializing in Startups, Venture Capital, Private Equity, growth capital investments and many more.In my opinionhe Food & Beverage industry in India is the fifth-largest sector in terms of production, consumption, export and expected growth. Between April 2000 & March 2018, the Indi-an food-processing sector received FDI worth $8.45 billion, making it the 13th largest sec-tor receiving FDI in the country. In fact, 80 percent of the FDI in the food processing sector was received Post FY12. Entry of multinational Companies and growth of startups with innovative products have ensured that, India is rapidly becoming a production hub for processed food which are increasingly consumed, as well as exported to countries in South Asia, the Middle East and Africa.Some facts which can be looked into account on Food & Beverage industry are: · Indian food & beverage industry has market size of $400 billion with a YOY growth of 25 percent. · One of the priority sectors under `Make in India' initiative.· India has arable land of 154.7 million hectares and live-stock of 512 million. · The Indian FMCG sector has been growing at an annual average growth rate of 11 percent, with food products ac-counting for 43 percent.· The Indian gourmet market, currently valued at $1.3 bil-lion, is growing at a CAGR of 20 percent.· The revenue in online food delivery industry is about $7.12 billion in 2018 with estimated CAGR of 11.8 per-cent from 2018 to 2022.Within Indian Food & Beverage industry, 10 segments have especially gained increasing acceptability among the Indian consumers and all have recorded a high growth rate. These are:· Savory snacks which include traditional snacks, meat snacks, nuts & seeds, popcorn, potato chips, and processed snacks.· Naturally healthy beverages which include fruit juice, natural mineral water, green tea, and malt-based hot drinks.· Breakfast cereals consisting of hot & cold cereals.· Petfood for dog, cat and also other pet foods.· Confectionery which includes chocolate, gum and sugar confectionery.· Organic food consisting of organic packaged foods and beverages.· Ready meals, including ambient, dried, chilled and fro-zen ready meals.· Bakery for breads & rolls, cakes, biscuits, pastries and pies.· Dairy food for milk, butter, cheese, yogurt, drinkable yoghurt, dairy-based and soy-based deserts.· Ingredients which may include seasonings, dressings, sauces.Food & Beverages Industry: Global PerspectiveThe global food & beverage industry is more than $8 trillion as per Fintapp Industry re-port. Global packaged food industry is more than $2.5 trillion. · Top exporters are Germany, U.S. and France with ex-ports of $58 billion, $56 billion, $48 billion, respectively. · Top importers are U.S., Germany and Japan with im-ports of $82 billion, $53 billion, $45 billion, respectively.The food value chain is the network of stakeholders which includes (1) the producers, (2) the processors, (3) T
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