India Confectionery & Bakery Market Size, Demand & Growth Outlook (2025–2035)
India’s confectionery and bakery market is one of the fastest-growing segments within the FMCG and packaged food industry. Driven by urbanization, rising disposable income, changing food habits, and expansion of modern retail, both categories are witnessing strong demand across urban, semi-urban, and Tier-2 & Tier-3 cities.
This article provides a detailed, data-driven analysis of the market size, demand trends, growth drivers, and future outlook of:
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Confectionery products (chocolates, candies, toffees)
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Bakery products (bread, cakes, rusks)
India Confectionery & Bakery Market Size, Demand & Growth
Confectionery Market Size in India
The Indian confectionery market was valued at approximately INR 398–400 billion (USD 4.8–5 billion) in 2024–25 and is projected to reach INR 600+ billion (USD 7–8 billion) by 2033–34, growing at a CAGR of ~5–5.5%.
Source: IMARC Group – India Confectionery Market Report https://www.imarcgroup.com/india-confectionery-market
Chocolate Market in India
The chocolate segment is the largest contributor within confectionery.
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Market size: INR 25,000+ crore (USD ~2.9 billion) in 2024
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Expected growth: 7–8% CAGR
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High demand for dark chocolate, premium gifting packs, and sugar-free variants
Source: India Brand Equity Foundation (IBEF) https://www.ibef.org/blogs/decoding-the-growth-of-india-s-chocolate-market
Candy & Toffee Market Demand
The Indian candy and toffee market was valued at USD 650–700 million in 2024, expected to reach USD 1.1+ billion by 2035.
Growth is driven by:
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Affordable price points
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High rural and school-going consumer penetration
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Strong impulse purchase behavior
Source: OMR Global – Indian Candy Market
https://www.omrglobal.com/industry-reports/indian-candy-market
Key Demand Drivers – Confectionery
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Festival & gifting culture (Diwali, Raksha Bandhan, Christmas)
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Growth of modern retail & quick commerce
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Premiumization and brand packaging
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Rising youth population and impulse consumption
India Bakery Products Market Size & Growth
Bakery Market Size in India
The Indian bakery industry was valued between USD 12–15 billion in 2024–25 and is projected to grow to USD 25–32 billion by 2030–33, registering a CAGR of 8–10%.
Source: IMARC Group – Indian Bakery Market https://www.imarcgroup.com/indian-bakery-market
Bread Market in India
Bread accounts for the largest share of bakery consumption in India.
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Daily consumption staple in urban households
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Rising demand for whole-wheat, multigrain, brown, and fortified bread
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Strong penetration in institutional buyers (hotels, cafés, QSRs)
Source: IMARC Group – Bakery Sector Analysis
Cakes & Pastries Market in India
The cake and pastry segment is among the fastest-growing bakery categories.
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Market size: USD 2–2.5 billion
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Growth rate: 12–13% CAGR
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Driven by celebrations, birthdays, social media trends, and online delivery
Source: Mordor Intelligence – India Cake Market https://www.mordorintelligence.com/industry-reports/india-cake-market
Rusks & Packaged Bakery Demand
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High demand in Tier-2, Tier-3 & rural markets
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Longer shelf life supports national distribution
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Popular as tea-time snacks and value packs
Key Demand Drivers – Bakery Products
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Busy lifestyles & preference for ready-to-eat food
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Expansion of supermarkets, e-commerce & quick commerce
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Health-focused product innovation
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Increasing café culture and QSR growth
Source: Ministry of Food Processing Industries (MoFPI) https://mofpi.gov.in
Emerging Trends in Confectionery & Bakery Industry
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Sugar-free and low-calorie products
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Premium gifting and festive packaging
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Regional flavors and ethnic bakery products
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Tier-2 & Tier-3 city expansion
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Private label and D2C brand growth
Source: Economic Times – FMCG Consumption Trends https://economictimes.indiatimes.com
Business & Distribution Opportunities
For manufacturers, distributors, and investors, these categories offer:
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High repeat consumption
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Scalable distribution models
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Strong brand loyalty
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Export potential for Indian food brands
This makes confectionery and bakery products ideal categories for distributor appointment and pan-India expansion.
Conclusion
The India confectionery and bakery market is set for sustained long-term growth, driven by demographic shifts, retail expansion, and evolving consumer preferences. With rising demand across urban and non-urban markets, brands that focus on product innovation, distribution strength, and pricing strategy will gain a competitive edge.
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Indian bakery industry growth
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Confectionery demand in India