Market Forecast By Source (Cow, Buffalo, Mixed), By End-use (Retail, Institutional), By Distribution Channel (Supermarkets/Hypermarkets, Convenience Stores, Specialty Stores, Online, Others) And Competitive Landscape
| Product Code: ETC187836 | Publication Date: Jul 2023 | Updated Date: Nov 2025 | Product Type: Market Research Report | |
| Publisher: 6Wresearch | Author: Ravi Bhandari | No. of Pages: 60 | No. of Figures: 40 | No. of Tables: 7 |
According to 6Wresearch internal database and industry insights, the India Ghee Market is projected to grow at a compound annual growth rate (CAGR) of 7.4% during the forecast period (2025–2031).
India`s ghee import market in 2024 saw a shift in top exporting countries, with Nepal, Oman, Saudi Arabia, UAE, and Qatar emerging as key players. The market concentration, as measured by the HHI, remained high in 2024, indicating a competitive landscape. Despite a negative growth rate of -30.73% in 2024, the compound annual growth rate (CAGR) from 2020 to 2024 stood at a healthy 8.02%, reflecting long-term market stability and potential for further growth in the future.

| Report Name | India Ghee Market |
| Forecast period | 2025-2031 |
| CAGR | 7.4% |
| Growing Sector | Food and Beverage |
Below mentioned are the evaluation of year-wise growth rate along with key drivers:
| Years | Est. Annual Growth (%) | Growth Drivers |
| 2020 | 2.10% | Stable consumption patterns in rural regions despite limited urban expansion. |
| 2021 | 3.50% | Rising awareness about traditional dairy fats and steady retail sector revival. |
| 2022 | 4.80% | Growth in e-commerce and regional dairy cooperatives expanding ghee distribution. |
| 2023 | 5.90% | Expanding food processing sector and demand from confectionery manufacturers. |
| 2024 | 6.70% | Growing popularity of cow ghee as a premium product in both domestic and export markets. |
The India Ghee Market report thoroughly covers the market by source, end-use, and distribution channel. The report provides an unbiased and detailed analysis of ongoing market trends, opportunities/high-growth areas, and market drivers that will help stakeholders devise and align strategies according to current and future market dynamics.
India Ghee Market is anticipated to grow significantly due to the increasing preference for traditional dairy fats, rising disposable incomes, and the expansion of modern retail networks. The increasing demand from the confectionery, bakery, and packaged food segments has fast-tracked the market's value growth. Awareness regarding the purity, health advantages, and Ayurvedic aspects of cow ghee is shifting consumers from vegetable-based fats to ghee. However, government support that improves rural dairy infrastructure and cold chain networks is also contributing towards the market growth.
Below mentioned are some prominent drivers and their influence on the India Ghee Market dynamics:
| Drivers | Primary Segments Affected | Why it Matters (Evidence) |
| Rising Health Awareness for Traditional Fats | Retail, Institutional | Consumers increasingly replacing refined oils with traditional ghee for perceived health benefits. |
| Expansion of Dairy Cooperatives and Private Dairies | Cow and Buffalo Source | Cooperatives like Amul and Nandini expanding procurement and processing capacities. |
| Growth in Packaged Food and Bakery Sector | Institutional, Specialty Stores | Demand for bakery fat alternatives and shelf-stable dairy ingredients boosting usage. |
| Increasing Premiumization in Urban Markets | Retail, Online | Cow ghee and organic ghee variants gaining traction as premium wellness products. |
| Rising Export Opportunities | Buffalo and Mixed Source | Expanding exports to the Middle East and Southeast Asia markets create strong growth potential. |
India Ghee Market is expected to grow steadily at 7.4% CAGR between 2025 and 2031. The rising consumer awareness regarding the health benefits of traditional fats, alongside the increase in disposable incomes and the growing power of organized dairy cooperatives, are the major factors that drive the India Ghee Market Growth. Furthermore, the food processing and confectionary sectors are also among the key demand drivers for the Ghee market in India. The preference for organic ghee and A2 cow ghee backed by excellent branding and ayurvedic positioning is one of the reasons that the product is more attractive. The government measures aimed at upgrading dairy infrastructure and funding local cow breeding programs are also a major factor leading to the constant growth of the market.
Below mentioned are some major restraints and their influence on the India Ghee Market dynamics:
| Restraints | Primary Segments Affected | What this Means (Evidence) |
| High Price Volatility of Raw Milk | All Sources | Fluctuations in milk supply impact ghee production costs and retail prices. |
| Competition from Low-Cost Substitutes | Retail | Vegetable oils and vanaspati limit market penetration in lower-income groups. |
| Quality Adulteration Issues | Mixed Source | Counterfeit and adulterated ghee products reduce consumer confidence. |
| Limited Cold Chain Infrastructure | Institutional Buyers | Affects long-distance transportation and storage stability in tropical climates. |
| Dependence on Unorganized Dairy Sector | All Segments | Over 60% of ghee production occurs in unorganized channels with inconsistent standards. |
The India Ghee Industry faces several challenges, such as the scattering of production controlled by small-scale dairies with minimal quality control and technology capacity which is difficult to control. The issue of fake and mixed ghee, especially in rural areas, has a negative effect on both the consumers' trust and the brands' reputations. Apart from that, premium ghee products find it hard to penetrate the market due to the high price competition from the low-cost substitutes like vanaspati and butter oil. These problems are interrelated and they prevent the industry from being scalable, export competitive, and capable of having uniform quality standards.
Several significant trends are impacting the India Ghee Industry:
Some of the notable investment opportunities are:
Below is the list of prominent companies leading in the India Ghee Market Share:
| Company Name | Amul (Gujarat Cooperative Milk Marketing Federation Ltd.) |
| Established Year | 1946 |
| Headquarters | Anand, Gujarat, India |
| Official Website | Click Here |
Amul is India largest dairy brand, offering a variety of cow and buffalo ghee products known for their purity and affordability.
| Company Name | Mother Dairy Fruit & Vegetable Pvt. Ltd. |
| Established Year | 1974 |
| Headquarters | New Delhi, India |
| Official Website | Click Here |
Offers premium cow ghee for both retail and institutional use, ensuring quality through cooperative milk procurement systems.
| Company Name | Patanjali Ayurved Ltd. |
| Established Year | 2006 |
| Headquarters | Haridwar, Uttarakhand, India |
| Official Website | Click Here |
Promotes ayurvedic and organic ghee, catering to health-conscious and vegetarian consumers.
| Company Name | Nestlé India Ltd. |
| Established Year | 1961 |
| Headquarters | Gurgaon, Haryana, India |
| Official Website | Click Here |
Expanding in value-added dairy fats, supplying ghee for food manufacturing and institutional applications.
| Company Name | Verka (Punjab State Cooperative Milk Producers’ Federation Ltd.) |
| Established Year | 1973 |
| Headquarters | Chandigarh, India |
| Official Website | - |
Known for pure cow and buffalo ghee across North India, Verka emphasizes cooperative-based milk collection systems.
According to the Indian Government data, The Government of India, under initiatives such as the National Dairy Development Program (NDDP) and Operation Flood, continues to strengthen milk processing and rural dairy infrastructure. The National Programme for Dairy Development (NPDD) also promotes modernization of ghee processing units. The FSSAI has introduced stricter purity and labeling norms, ensuring ghee meets clarified butter standards. Additionally, schemes under Rashtriya Gokul Mission promote indigenous cow breeding, directly supporting the production of A2 cow ghee and high-quality dairy output.
The India Ghee Industry is expected to grow rapidly, driven by growing consumer preference for traditional dairy fats, premium organic variants, and expanding export opportunities. Rising investments in modern cold chain infrastructure, digital traceability systems, and value-added cooperative products are enhancing industry efficiency and competitiveness. Over the coming years, stronger brand differentiation, consistent product quality, and greater international presence are expected to position India as a leading supplier of high-quality ghee in both domestic and global markets.
The report offers a comprehensive study of the subsequent market segments and their leading categories.
According to Ritika Kalra, Senior Research Analyst, 6Wresearch, Cow Ghee is projected to dominate the India Ghee Market Share due to its superior nutritional value, ayurvedic benefits, and widespread consumer trust. It is preferred for its digestibility and medicinal attributes and is largely consumed in urban and export markets.
The Retail Segment holds the largest share due to strong household consumption patterns, brand loyalty, and convenience packaging. Institutional demand is also growing, supported by bakeries, restaurants, and packaged food manufacturers.
Supermarkets and Hypermarkets dominate the distribution landscape as consumers prefer assured quality, packaging, and brand visibility. However, online sales are growing rapidly, offering convenience and direct-to-consumer reach.
The report offers a comprehensive study of the subsequent market segments:
| 1 Executive Summary |
| 2 Introduction |
| 2.1 Key Highlights of the Report |
| 2.2 Report Description |
| 2.3 Market Scope & Segmentation |
| 2.4 Research Methodology |
| 2.5 Assumptions |
| 3 India Ghee Market Overview |
| 3.1 India Country Macro Economic Indicators |
| 3.2 India Ghee Market Revenues & Volume, 2021 & 2031F |
| 3.3 India Ghee Market - Industry Life Cycle |
| 3.4 India Ghee Market - Porter's Five Forces |
| 3.5 India Ghee Market Revenues & Volume Share, By Source, 2021 & 2031F |
| 3.6 India Ghee Market Revenues & Volume Share, By End-use, 2021 & 2031F |
| 3.7 India Ghee Market Revenues & Volume Share, By Distribution Channel, 2021 & 2031F |
| 4 India Ghee Market Dynamics |
| 4.1 Impact Analysis |
| 4.2 Market Drivers |
| 4.2.1 Increasing consumer awareness about the health benefits of ghee |
| 4.2.2 Growing demand for traditional and organic food products |
| 4.2.3 Rising disposable income and changing dietary preferences in India |
| 4.3 Market Restraints |
| 4.3.1 Fluctuating prices of raw materials like milk and butter |
| 4.3.2 Competition from other cooking oils and fats in the market |
| 4.3.3 Regulatory challenges related to quality standards and certifications |
| 5 India Ghee Market Trends |
| 6 India Ghee Market, By Types |
| 6.1 India Ghee Market, By Source |
| 6.1.1 Overview and Analysis |
| 6.1.2 India Ghee Market Revenues & Volume, By Source, 2021-2031F |
| 6.1.3 India Ghee Market Revenues & Volume, By Cow, 2021-2031F |
| 6.1.4 India Ghee Market Revenues & Volume, By Buffalo, 2021-2031F |
| 6.1.5 India Ghee Market Revenues & Volume, By Mixed, 2021-2031F |
| 6.2 India Ghee Market, By End-use |
| 6.2.1 Overview and Analysis |
| 6.2.2 India Ghee Market Revenues & Volume, By Retail, 2021-2031F |
| 6.2.3 India Ghee Market Revenues & Volume, By Institutional, 2021-2031F |
| 6.3 India Ghee Market, By Distribution Channel |
| 6.3.1 Overview and Analysis |
| 6.3.2 India Ghee Market Revenues & Volume, By Supermarkets/Hypermarkets, 2021-2031F |
| 6.3.3 India Ghee Market Revenues & Volume, By Convenience Stores, 2021-2031F |
| 6.3.4 India Ghee Market Revenues & Volume, By Specialty Stores, 2021-2031F |
| 6.3.5 India Ghee Market Revenues & Volume, By Online, 2021-2031F |
| 6.3.6 India Ghee Market Revenues & Volume, By Others, 2021-2031F |
| 7 India Ghee Market Import-Export Trade Statistics |
| 7.1 India Ghee Market Export to Major Countries |
| 7.2 India Ghee Market Imports from Major Countries |
| 8 India Ghee Market Key Performance Indicators |
| 8.1 Consumer sentiment towards ghee consumption |
| 8.2 Adoption rate of organic ghee products |
| 8.3 Number of new entrants or product innovations in the ghee market |
| 9 India Ghee Market - Opportunity Assessment |
| 9.1 India Ghee Market Opportunity Assessment, By Source, 2021 & 2031F |
| 9.2 India Ghee Market Opportunity Assessment, By End-use, 2021 & 2031F |
| 9.3 India Ghee Market Opportunity Assessment, By Distribution Channel, 2021 & 2031F |
| 10 India Ghee Market - Competitive Landscape |
| 10.1 India Ghee Market Revenue Share, By Companies, 2024 |
| 10.2 India Ghee Market Competitive Benchmarking, By Operating and Technical Parameters |
| 11 Company Profiles |
| 12 Recommendations |
| 13 Disclaimer |