India is strategically enhancing its engagement in global food innovation, exemplified by the recent conclusion of World Food India 2024, held in New Delhi in September. This event signifies a pivotal moment in advancing India's food processing industry, which is projected to grow to an impressive $535 billion by the fiscal year 2025-26. The transformation from a predominantly primary producer to a value-addition powerhouse marks a fundamental shift in how global food companies perceive India—not merely as a consumer market but as a vital hub for manufacturing and innovation in food processing.
A critical focal point is the almond industry, which underscores the potential of the 'Grow in California, Make in India' initiative. Currently, India imports about 80 per cent of its almonds from California, attributed to the latter’s optimal cultivation conditions and a commitment to quality. The Indian government's emphasis on food processing opens new avenues, enabling the nation to develop its production capabilities centred around almonds and other plant-based alternatives. This strategic move aims to cater to both the burgeoning health-conscious domestic market and the international export sector.
As the world’s largest importer of almonds, with imports exceeding 259 million kilograms valued at approximately $937 million in 2023, India stands at the forefront of a rapidly expanding market for value-added products, particularly given the increasing consumer demand for fortified and plant-based foods. This growth is also reflected in the rising popularity of traditional ingredients such as millet, which has seen a resurgence among health-focused consumers. Almonds, rich in protein, dietary fibre, and healthy fats, have the potential to replace less nutritious snacks and cater to a diverse age group, thus enhancing the overall health profile of the Indian diet.
Traditionally, almonds in India have primarily been consumed whole or incorporated into sweets and garnishes. However, the current trajectory of the food processing industry presents significant opportunities for diversifying almond usages. The versatility of almonds allows for various product forms, including whole, sliced, slivered, chopped, diced, and ground—either natural or blanched. This adaptability facilitates broad application across numerous product categories, improving texture and flavour while complementing various ingredients.
Innovation in product offerings is surfacing rapidly, with products like almond flour, a gluten-free option ideal for baked goods, almond butter as a healthy spread, almond oil for diverse culinary uses, and almond-based beverages catering to an expanding dairy alternative market. The plant-based trend in India also promotes unique blends combining nuts, seeds, and traditional ingredients like turmeric, maximising nutritional benefits. This convergence of traditional knowledge with modern health trends could position India as a key market for health-oriented food products.
Furthermore, the capability to manufacture and export value-added almond products presents India with a promising opportunity to penetrate international markets. The global trend has seen a significant shift towards value-added almond products, particularly in the U.S. and Europe, where demand for plant-based, gluten-free, and nutrient-dense alternatives is on the rise. The U.S. retail market for plant-based foods alone is estimated at $8.1 billion and is projected to grow substantially in the years to come. By catering to these international demands, India can not only address the global appetite for health-conscious foods but also fortify its position as a premier exporter of high-quality, nutritious, and plant-based products, aligning with global dietary trends.
The food processing industry has become pivotal to India's economy, bolstered by progressive policy initiatives, including the Production Linked Incentive (PLI) scheme and a commitment to 100 per cent Foreign Direct Investment (FDI) under the automatic route established by the Government of India and the Ministry of Food Processing Industries (MoFPI). The World Food India 2024 highlighted advancements in food technology and processes, illustrating the government’s commitment to positioning India as a global leader in food innovation.
Research supporting almonds' health benefits, particularly their role in managing heart health and diabetes, drives further value addition and innovation within this sector. This advancement has the potential to stimulate employment generation while reinforcing the manufacturing base of agribusiness in India.
In summary, the almond sector, coupled with progressive food processing advancements, presents an essential opportunity for India, transforming its agricultural landscape and enhancing competitiveness in the burgeoning global market for nutritious, value-added foods.
Source: Noah Wire Services