)
What was virtually an unknown product till few years ago is soon set to be a Rs 1,200 crore industry. Growing at a compound annual growth rate (CAGR) of about 40-45 per cent annually, organized yogurt industry is likely to touch the mark by 2015 from the current level of Rs 750 crore as a low-fat – even no-fat – alternative, said Associated Chamber of Commerce and Industry of India (ASSOCHAM).
"A three year old unknown product 'yogurt' has taken over the decade over 'dahi' in metros, semi metros due to health consciousness, rising disposable incomes, quality dependence and more awareness about the product and has given tremendous boost to food processing sector," the latest report by ASSOCHAM stated.
Titled 'Yogurt Market in India', the ASSOCHAM paper stated that factors like wide availability of raw material (milk), a growing willingness among consumers to experiment and increasing disposable income have fuelled this industry's growth.
While releasing the paper DS Rawat, Secretary General ASSOCHAM said, "In India, yogurt has positioned as the healthy dessert option so the increasing health and wellness awareness will help yogurt to gain popularity with same momentum. Consumers becoming increasingly concerned about hygiene and fat and nutritional content, demand for packaged yogurt is expected to rise robustly in coming years."
Types of yogurt such as drinking yogurt may compete with flavoured milk drinks and fruit/vegetable juice, while fruit-based spoonable yogurt may emerge as competition for ice cream as a dessert.
According to ASSOCHAM, companies are also tying up with corporates to target office employee which will also help in increasing consumption by making it a quick, convenient and healthy substitute for meals.
"The demand of frozen yogurt market sees growth of 70 to 80 per cent each year over the next three years. Several health-conscious mothers and youngsters are switching to frozen/flavoured yogurt from drinks or ice cream. Consumption in India still stands at a nascent 0.3 kg per capita every year as compared to 17.8 kg in France," the ASSOCHAM paper added.
The frozen yogurt segment is being eyed by big players like Amul, Mother Dairy and Nestle in the price segment of Rs 18-20 for a 100 ml cup of yogurt. Further, premium brands like Red Mango and Cocoberry are also trying to capture the growing market.
