Bakery market size in India | Forecast and Future Outlook 2025

Q: What factors are fueling the growth of the bakery market in India?

The market is mainly driven by rising disposable incomes, changing lifestyles, and growing demand for convenient packaged food options.

Q: What challenges does the bakery market face in India?

Key challenges include fluctuating raw material prices, maintaining product shelf life, and competition from unorganized local bakeries.

Q: Which product segments dominate the Indian bakery market?

Bread, biscuits, cakes, and pastries are the leading segments, with increasing popularity of cookies and healthy snacks.

Q: How is consumer preference evolving in the Indian bakery market?

Consumers are showing a shift towards healthier ingredients, gluten-free options and artisanal bakery products with unique flavors.

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Code: MTA4084

Publication Date: Jun 2025

What is the bakery market size in India?

According to 6Wresearch internal database and industry insights, the India bakery market is estimated to expand at a rapid pace, projected to witness a compound annual growth rate (CAGR) of 5.5% in the coming years.

This growth is driven by increasing urbanization, rising disposable incomes and a shift in consumer preference towards convenient and packaged baked products. Additionally, innovation in healthy and artisanal bakery items is attracting diverse consumer segments and boosting market expansion.

Key Growth Factors

Rising demand for ready-to-eat and on-the-go bakery snacks
Growth of premium and healthy baked goods such as multigrain and gluten-free products
Expansion of modern retail chains and online grocery platforms
Increasing popularity of café culture and in-store bakeries
Product diversification and innovation in flavors and packaging
Growth in demand from tier II and III cities

Market Trends

The India bakery market is expected to witness robust growth between 2025–2031. The Key trends include an increasing focus on healthy and organic ingredients, introduction of vegan and low-sugar variants and greater investments in automation and packaging technology. Additionally, rising digital orders through food delivery apps and the popularity of premium bakery cafes are increasing the market's upward trajectory.