Key Points
- The U.S. food services market is worth $1,340 billion (55-60% of food consumption) in 2023.
- China’s food services market is worth $750 billion (37-42% of food consumption) in 2023.
- India’s food services market is worth $70 billion (9-12% of food consumption) in 2023.
- The U.S. online food delivery market is $134 billion, making up 10-15% of the total food services market.
- China’s online food delivery market is $184 billion, accounting for 22-27% of the food services market.
- India’s online food delivery market is $8 billion, expected to grow to $17-21 billion by 2028 (15-17% of the food services market).
- India’s organised food services sector is growing faster than the unorganised sector and is expected to make up 55-60% by 2028.
Looma News
India’s food services market is much smaller than those of the U.S. and China, but it’s growing rapidly. In 2023, India’s food services market was valued at about $70 billion, making up 9-12% of the country’s total food consumption. By comparison, the U.S. market was worth $1,340 billion (55-60% of total food consumption), and China’s market was valued at $750 billion (37-42%).
The online food delivery segment, a key driver of growth, is much smaller in India than in the U.S. and China. In 2023, the U.S. online delivery market was $134 billion, making up 10-15% of the total food services market, while China’s market was $184 billion, making up 22-27%. India’s online food delivery market was valued at $8 billion in 2023 and is expected to grow to between $17 billion and $21 billion by 2028, representing 15-17% of the total food services market.
India’s food services market has seen significant growth since 2018. It grew from ₹4 lakh crore (about $48 billion) in 2018 to ₹6 lakh crore (around $70 billion) by 2023. The unorganised sector, which made up 60-65% of the market in 2018, saw its share drop to 55-60% in 2023 as the organised sector expanded. By 2028, the organised food services sector is expected to capture 55-60% of the market, with the total market growing to ₹9.2-9.6 lakh crore ($115-120 billion). This shift reflects the faster growth of the organised sector, which has a higher compound annual growth rate (CAGR) compared to the unorganised sector.
