What is the market size of soft drinks industry in India | Trends & Growth Analysis 2025

What is the growth rate of the India Soft Drinks Market?

There are numbers of factors which are contributing in the expansion of the market include increasing consumption of carbonated and non-carbonated beverages, rising demand for ready-to-drink products, strong growth of modern retail formats, premiumisation trends, and rising preference for healthier drink alternatives.

Key Growth Drivers of the India Soft Drinks Market

• The consumption of carbonated and non-carbonated beverages is rising
• Urbanisation and increasing disposable incomes support market expansion
• Demand is growing for ready-to-drink and on-the-go beverage options
• Rising preference for low-sugar, natural, and functional drink varieties
• Increasing investments in product innovation and flavour diversification
• Expanding cold-chain infrastructure improving supply efficiency

India Soft Drinks Market Trends

India Soft Drinks Market is witnessing major growth with notable trends such as increasing preference for low-calorie, zero-sugar, and natural ingredient-based drinks. There is a visible shift towards functional beverages including energy drinks, probiotics, and vitamin-infused liquids. Premiumisation is rising as consumers opt for craft sodas and exotic flavours. Adoption of sustainable packaging, particularly recyclable PET bottles, is gaining traction. The expansion of organised retail and quick commerce platforms is boosting product accessibility. Further, the market is observing increased promotional activities and celebrity-driven branding. Rising influence of western lifestyles is also contributing to higher consumption frequency.

Emerging Developments in the India Soft Drinks Market

India Soft Drinks Market is evolving with rapid innovations across flavour categories, healthier formulations, and functional beverage additions. Advancements in natural sweeteners and sugar-reduction technologies are accelerating product diversification. The market has noticed increasing R&D efforts in clean-label beverages, enriched drinks, and plant-based hydration solutions. Furthermore, beverage companies are working with packaging solution providers to make their products more environmentally friendly. The production facilities are getting bigger and using technologies that save energy. New investments in hyperlocal manufacturing and rapid delivery models are supporting faster market. Brands are also strengthening digital engagement and personalised marketing strategies.

List of Leading Companies in the India Soft Drinks Market

Some of the leading companies include:

• Coca-Cola India
• PepsiCo India
• Parle Agro
• Dabur India Ltd
• Hector Beverages
• ITC Limited
• Amul (GCMMF)

Frequently Asked Questions About the Market Study (FAQs):