Indian non-alcoholic beverage market to reach US$2.3bn by 2015

The current market for non-alcoholic beverages in India stands at approximately U$1.2bn, according to the Opportunities in Indian Non-Alcoholic Beverage Market report. However, the market is expected to grow at an annual rate of 20% year-on-year thanks to a rise in income levels and the concurrent change in lifestyle patterns, especially in the Indian middle class segment. “The domestic consumption of non-alcoholic beverage currently stands at about 175 billion litres and is likely to cross 35 billion lt mark by 2015,” said D S Rawat, secretary general of ASSOCHAM. The report added that current non-alcoholic beverage market in India consists of carbonated beverages, sparkling beverages, still beverages, fruit juices, fruit based drinks, energy drinks, sodas, tea, and coffee. “Emerging wellness trends, higher expenditure for healthy lifestyle by India’s rising middle class and overall strong domestic economy are certain key factors driving the non-alcoholic beverage market in India,” said Rawat. The report, which was made after analysis and interactions with over 70 companies in the sector in India, added that the market is likely to be led by players like Coca-Cola, PepsiCo, Parle Agro, Dabur and Godrej. The report further revealed that carbonated or aerated drinks accounted for about 30% of the total non-alcoholic beverage market. It said that the carbonated and aerated segment is currently valued at US$370m. Amongst the other segment, the report added that the fruit drink segment is estimated at about US$250m and the energy drink market is estimated to stand approximately US$125m. That India's growing population, with a large chunk of that being below the age of 30, will fuel consumption of non-alcoholic beverages was also echoed by Stanley Mathews, general manager marketing for Synthite Industries. Synthite Industries claims to be the largest oleoresin extraction firm in the world, and is also a major provider of beverage flavoring to beverage makers both in India and abroad.

Indian non-alcoholic beverage market to reach US$2.3bn by 2015

A new report from the Associated Chambers of Commerce and Industry (ASSOCHAM) in India has said that Indian non-alcoholic beverages market would grow to US$2.3bn by 2015.

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