India Spread (Jam, Honey, Butter, Cheese, Choco) Market Outlook, 2027-28

In India, the increasing penetration of western food trends, along with the growing FMCG sector, is primarily driving the demand for spreads. Furthermore, the rising hectic work schedules and sedentary lifestyles of the consumers are catalysing the adoption of convenient, on-the-go meal, and processed food options, which in turn is augmenting the spreads market in the country. In line with this, the expanding working women population and the improving consumer living standards are also bolstering the demand for premium and high-quality spreads. Additionally, significant growth in the HoReCa industry, coupled with the increasing proliferation of fast-food joints and quick-service restaurants (QSRs) across the country is further propelling the market growth.

According to the report “India Spread (Jam, Honey, Butter, Cheese, Choco & Others) Market Outlook, 2027-28” published by Bonafide Research, the market is projected to grow with more than 14% CAGR for 2022-2028. Several regional product manufacturers are focusing on the introduction of innovative spread variants, including fruit preserves, fruit butter, sugar-free syrups, etc., to cater to diverse consumer preferences and expand their product portfolios. Moreover, the wide product availability across e-retail platforms accompanied with numerous benefits, such as lucrative discounts, cash backs, different product options, easy returns, etc., is acting as significant growth-inducing factor. In line with this, the continual launch of spreads with clean-label ingredients, prolonged shelf-life, easy portability, etc., is positively influencing the market growth in the country. Additionally, the rising consumer concerns towards the negative health impact of synthetic additives in spreads are catalysing the demand for natural and organic product variants, which is expected to drive India spreads market in the coming years.

North and West regions cumulatively account for a majority share in the country’s spreads market on account of increasing awareness for healthy breakfast, rising consumer spending on ready to eat food items, and presence of comparatively higher number of Tier I & II cities, which are the major demand generators for spreads in India. Furthermore, growth in the organized retail and E-commerce has also improved the visibility and availability of these products in the market over the last few years, thereby, increasing the overall awareness about these products among consumers. Jams and Sweet Spreads are projected to gain higher momentum in India spreads market, predominantly on account of growing awareness about the nutritional values of honey as compared to high fat sugar based products and increasing demand for organic and healthy products.

Honey remains the largest category within sweet spreads in India, and witnessed strong growth in 2021, riding on the back of increased consumer awareness of preventative health. Honey is considered one of the key ingredients when making home-made immunity-boosting drinks or kaadhas. Within honey, which has generally benefited from the health and wellness trend, branded and packaged products are expected to face growing competition from unbranded alternatives during the forecast period, as these are often perceived as more natural, and therefore healthier. Usually, unbranded honey is obtained directly from farms, with less processing involved. On the other hand, the long periods of lockdown and home seclusion caused by the pandemic led to an increase in demand for chocolate spreads in India. Products in this category were traditionally perceived as occasional indulgences, but registered strong sales during the pandemic.

The health and wellness trend has gained momentum due to the COVID-19 pandemic. Moreover, there is growing awareness of the role of sugar consumption in a wide range of health problems, including obesity, which has seen a considerable rise in prevalence in India in recent years as consumers have switched from traditional diets to diets which are high in processed foods. Spreads, both savoury and sweet, are widely available in both rich and developing nations, they can be bought from the local retailer or online. Additionally, consumers are incorporating more items made with fruit and products made with honey into their diets. And over the next few years, this is anticipated to fuel the market for sweet and savoury spreads. Additionally, a significant element driving the expansion of the sweet and savoury spread market globally is consumers' growing knowledge of the nutritious value of the spread. Further, Customers are also willing to spend money on items like spreads that provide health benefits.

2020 and 2021 witnessed a change in consumer behaviour, with a shift towards shopping for groceries online, which allowed consumers to socially distance and helped prevent the spread of the COVID-19 virus. Value sales of e-commerce in sweet spreads more than doubled between 2019 and 2020, with another doubling of sales between 2020 and 2021.

For instance, Dr. Oetkar is present in more than 600 cities across India. It has a presence in around 1 lakh physical stores. Additionally, it has a presence in around 15,000 premium stores in the city. Delhi, Mumbai, and Bengaluru account for about 40 percent of the brand’s total business. The company is selling on e-commerce platforms like BigBasket, Flipkart, Amazon, and Blinkit (previously known as Grofers). Apart from these, it is also available on emerging and local operators like Milkbasket, which has a strong hold in North India. The brand is operating in around 10 categories. Peanut Butter is the top-performing category of Dr. Oetkar followed by spreads, Italian sauce, cakes, and waffles. Under these 5 categories, the brand offers 100 SKUs. However, there are 20 SKUs in these categories which contribute to 80 percent of the business. Recently, Dr. Oetker unveiled all-Natural Peanut Butter sweetened with natural honey. The product has elevated nutritional value with a goodness of 91% roasted peanuts.

Covid-19 Impacts:
The outbreak of COVID-19 pandemic and the consequent guidelines inflicted by numerous governments have led to the market's stringent closure, leading in social distancing among consumers. Consumers opted for stocking up on important foods in bulk at home, mainly breakfast staples such as these food spreads. The corporations functioning in the market also observed growth in their revenue during the lockdown period.

Covered in the Report:
• India Spread Market
• India jam Market
• India Honey Market
• India Butter Market
• India Cheese Market
• India Choco Spread Market

"India Spread (Jam, Honey, Butter, Cheese & Choco) Market Outlook, 2027-28" discusses the following aspects of Spread in India:
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The report gives an in-depth understanding of the Spread Market in India:
- India Spreads Market Size by Value & Forecast
- India Spreads Market Segmental Analysis: By Company, By Product Type, By End User
- India Butter Market
- India Butter Market Segmental Analysis: By Company, By Product Type, By End User
- India Cheese Spread Market
- India Cheese Spreads Market Segmental Analysis: By Company, By Product Type, By End User
- India Chocolate Spread Market
- India Chocolate Spreads Market Segmental Analysis: By Company, By Product Type, By End User
- India Peanut Butter Market
- India Peanut Butter Market Segmental Analysis: By Company, By Product Type, By End User
- India Honey Market
- India Honey Market Segmental Analysis: By Company, By Product Type, By End User
- India Jams, Jellies and Preserves Market
- India Jams, Jellies and Preserves Market Segmental Analysis: By Company, By Product Type, By End User
- India Other Spreads Market- Average Selling Price
- Product, Variant & Pricing Analysis
- Product Variant Information
- Key Vendors in this market space

This report can be useful to Industry consultants, manufacturers and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.

Report Methodology
The information contained in this report is based upon both primary and secondary research. Primary research included interviews with various channel partners of Spread in India. Secondary research included an exhaustive search of relevant publications like company annual reports, financial reports and proprietary databases.