Product Code: ETC110023 | Publication Date: Aug 2023 | Updated Date: Apr 2025 | Product Type: Report | |
Publisher: 6Wresearch | No. of Pages: 70 | No. of Figures: 35 | No. of Tables: 5 | |
The India Caffeine Market is projected to witness mixed growth rate patterns during 2025 to 2029. The growth rate begins at 14.52% in 2025, climbs to a high of 16.40% in 2028, and moderates to 16.23% by 2029.
The India caffeine market is estimated to grow at a CAGR of 8% during the forecast period, 2025-2031. The rising demand for energy drinks among Millennials and Gen Z coupled with increasing awareness regarding health benefits offered by caffeine products are driving the growth of the market. Moreover, favorable government initiatives along with surge in disposable incomes are expected to further fuel the growth of this industry.
The main drivers behind the growth of India caffeine market are an increasing young population who are more exposed to coffee shops than their parents were, rising disposable incomes which allows people to spend more on products such as coffee, and increasing awareness about the health benefits associated with consumption of caffeinated beverages such as tea and coffee. Furthermore, the availability of convenient packaging formats such as instant mixes have also contributed significantly towards driving up sales volumes in recent years.
Although there has been some progress in terms of encouraging more people to consume caffeinated beverages due to its numerous health benefits, there still remain certain challenges faced by companies operating within this space including high costs associated with sourcing quality beans for brewing specialty coffees; limited marketing budgets; lack of standardization across different states regarding taxation policies which makes it difficult for companies operating at a pan-India level; competition from small local players offering cheaper alternatives etc., all these factors pose a challenge when it comes to achieving sustained success within this sector given how competitive it is today.
Some key players operating within Indiaburgeoning cafe industry include Cafe Coffee Day (CCD), Starbucks Coffee Company, Dunkin Donuts & Co., Barista Lavazza Ltd., Tata Starbucks Ltd., Costa Coffee Pvt Ltd., and many other smaller regional chains like Chaayos etc