India’s health-focused F&B market hits Rs 63,093 Cr, grows 11.7% CAGR: Report

Health-oriented food and beverage (F&B) products in India are now valued at Rs 63,093 crore, growing at a compound annual growth rate (CAGR) of 11.7% over the past four years, according to Worldpanel India’s Mainstreaming Health 2025 study.

The report noted that 87.9% of Indian households purchased a health product in the past year, indicating that health-focused choices have moved beyond niche consumption. Urban penetration stands at 96%, while rural adoption is rising steadily with a 6.2% CAGR.

It noted that everyday staple items such as atta, salt, oil/ghee, and tea dominated, accounting for most health-linked purchases, with 80% of households opting for healthier variants. However, high growth is being driven by other categories, such as ready-to-cook mixes (+46% CAGR), salty snacks (+34%), bottled soft drinks (+29%) and biscuits (+19%).

Once adopted, health products saw loyalty, with 91% repeat purchase rates nationally, and 96% in urban households.

The report recorded shoppers willingly paying an average of 22% premium for health products. Even among lower socio-economic groups (SEC D/E), the premium is 17%. Tea and bottled soft drinks attract the highest willingness to pay.

While households managing conditions such as diabetes, cardiac issues, or hypertension consume more health products (5kg higher annually), adoption is also growing among households without medical conditions. Younger homemakers (under 34 years) and rural families are contributing to this shift, with health purchases increasingly linked to prevention and lifestyle.

The East (97.7% penetration) and South (98.5%) lead in adoption, together contributing nearly 60% of value growth in health-linked categories.

Commenting on the report, K Ramakrishnan, Managing Director, South Asia, Worldpanel by Numerator, said, “Health in India is no longer a niche but a daily choice. While staples like atta, salt, and tea anchor health adoption, the fastest growth is coming from categories such as ready-to-cook mixes and salty snacks. Consumers are not only loyal but also willing to pay a significant premium for healthier options. For brands, the opportunity lies in making health a mainstream growth driver- showing clear value, accelerating adoption in emerging categories and positioning health as an everyday lifestyle choice rather than a medical necessity.”