A Step Forward For the Meat and Poultry Sector in India
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India has the world’s largest population of livestock. The country produces approximately 5.3 million MT of meat and 75 bn eggs annually. India is also the largest producer of buffalo meat and second largest producer of goat meat. In essence, poultry and meat are vertically integrated industries in India and have witnessed colossal growth over the past few years.
The poultry industry in India, in particular, represents a massive success story. It has undergone a paradigm shift in structure and operation and what was largely a backyard venture before the 1960s has been transformed into a vibrant agribusiness with an annual turnover of INR 30 000 crores. Presently, India is the third largest egg producer in the world following China and the USA. Undoubtedly, this remarkable growth is an outcome of several factors, such as active developmental support from the state and central government, research and development support from research institutes, application of new technologies, international collaboration and private sector participation. The development goes beyond size - extending to efficiency, superiority and quality.
Product in India
Exporting units have invested significantly in the establishment of large abattoirs-cum-meat processing plants with the latest technology. Farm automation, abattoirs, logistics, processing and point of sale cold storage infrastructure have all served as a substantial growth opportunity for this sector in India, given the changing preference of Indian consumers for clean, safe and hygienic meat and meat products.
The food services trade in the urban sphere has been moving towards wellness - a super trend that prods consumers who are willing to pay the price towards healthier food options - whether it is in the restaurant, in packaged food, or delivery on demand of vegetables, milk, and meat at home. Indeed, there are companies that now source and promise to deliver antibiotic-free chicken. The health food business in India has three primary segments today - the app-based ordering companies, the packaged food industry, and the organic players.
According to analysts, the processed meat market is likely to show high profits due to rising demand for processed meat paired with rising disposable revenue in emerging nations. In addition to this, large varieties of processed meat are obtainable in the industry at lower costs and increasing consumer awareness pertaining to animal protein-rich diet is further expected to propel the development for the processed meat market.
Processed meat market can be classified on the basis of meat type into poultry, pork, mutton and other processed meat. While processed poultry dominated the segment of this market and it accounted for a significant share of the overall market in 2018, processed pork is expected to witness the fastest growth over the years to come. This growth can be attributed to the growing demand for different processed pork products such as sausages, bacon, ham and salamis.
Based on types, the processed meat market is segmented into a chilled processed meat, frozen processed meat, canned/preserved meat and meat products. Chilled processed meat is expected to show strong growth in the upcoming times. This is mainly due to an increase in demand for a quick meal that also scores well on the nutrition scale. This segment eliminates one of the major key issues of concern in the meat sector of India - Quality & Hygiene. The bonus that chilled processed meat market offers is enhanced quality and supreme hygiene levels conducive to good health and nutrition.
Health food is still predominantly an urban phenomenon. Awareness has not yet seeped down to other cities. Premium pricing of these products and a burgeoning supply chain also put most products out of reach for consumers in non-metro zones. However, with growing consumer preference, it is only a matter of time before the health and wellness food service industry expands its base and becomes a prominent part of the overall food service industry.