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What Make s Indian Bakery Market So Hot For Major International Companies

We have been witnessing  major international bakery companies  making beeline  to Indian bakery segment in recent times  with latest news of Kraft joining  the rank .

In  one of the my earlier  articles   I have mentioned about  failed attempts by mnc  to establish themselves  in bakery segment . But  that was in past   few factors  have  now  turned Indian bakery segment as  favorites for international biggies .

Here are few major reasons

Liberalised economy,  gone are they days for licence raj  .Present policies have  been opened for foreign participation in bakeries earlier restricted for  domestic players .

Economic slowdown across  the developed nations . With China and India having impressive growth rate for  decades  .These markets gives avenues  for growth to these companies. Bakery industry along with booming economy has been clocking  20% annual growth .


Disposable incomes  with  large middle class has  made consumers to try out  various bakery products which were out of the reach few years back.


Low competition   with  few  big local players on national scene  gives  big opportunities to these multinationals  to  enter  huge market  worth  Rs 12,000/ crore .


Availablity  of  Low cost technology and skilled manpower   makes manufacturing  attractive  for  these foreign companies


Availability of  raw material (  flour ,sugar ) except for  fat ( palm oil) which now being imported from   Asean countries  also  makes Indian market more lucrative .


Here are  major   multinationals   which have registered their presence in  Indian bakery  market in recent times

Kraft  Food Inc
United Biscuits 
Pepsico
GSKB ( Glaxo Smithkline )
Dunkin Donuts
Starbucks
Cinnabon
Unibic
Australian Foods ( Cookieman)
Lotte
Ceylon Biscuits Ltd














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