Country’s food industry is expected to grow 11 per cent annually to reach $65.4 billion (about Rs4 lakh crore) by 2018, according to a research report.
The industry is presently valued at $39.71 billion (Rs2,476.8 billion), the joint report by IIM-Calcutta and Academic Foundation said.
“Food and grocery constitute a substantial part of India's consumption accounting for around 31 per cent of the consumption basket,” the report said.
In contrast, consumers in other countries spend a much lower proportion of their income on food and grocery.
While US spends 9 per cent, Brazil and China spend 17 per cent and 25 per cent respectively on food and grocery, the report said. Food is also the largest segment in India’s retail sector, which was valued at $490 billion in 2013, it added.