India Dry Fruits Market Outlook to 2030

India Dry Fruits Market Overview

• The India dry fruits market is valued at USD 92.67 billion, based on a five-year historical analysis. The growth of this market is primarily driven by rising consumer awareness of health benefits associated with dry fruits consumption, increasing disposable income, and expanding demand for convenience foods. Dry fruits such as almonds, cashews, and walnuts are considered healthy snacks rich in nutrients. The market's expansion is further fueled by the growing use of dry fruits in the food and beverage industry, particularly in confectionery, bakery, and dairy products.
• Major cities such as Delhi, Mumbai, and Bangalore dominate the India dry fruits market due to their large population bases, high disposable incomes, and rapidly growing urbanization. These cities have well-established retail networks and e-commerce infrastructure, which facilitate the widespread availability and consumption of dry fruits. Additionally, these cities are key economic hubs where premium and organic dry fruit brands are gaining popularity among health-conscious consumers.
• The Government of India has introduced the National Horticulture Mission, aimed at promoting the cultivation of high-value crops such as almonds, cashews, and walnuts. In 2023, the initiative received an allocation of INR 2,200 crore to support dry fruit cultivation and infrastructure development. This policy initiative is designed to reduce dependence on imports and strengthen the domestic production of dry fruits, benefiting local farmers and the overall market.

India Dry Fruits Market Segmentation

By Product Type: The India dry fruits market is segmented by product type into almonds, cashews, walnuts, raisins, and pistachios. Almonds currently hold the dominant market share due to their versatile usage in both snacking and culinary applications. They are consumed raw, roasted, or processed into almond milk and other products. The growing consumer preference for plant-based alternatives, such as almond-based milk and flour, has further contributed to the dominance of this sub-segment. Moreover, almonds are often marketed as a premium, healthy option with high protein content, making them a favorite among health-conscious individuals.

By Distribution Channel: The market is segmented by distribution channel into supermarkets/hypermarkets, online stores, specialty stores, and retail stores. Online stores have witnessed a significant surge in market share recently due to the convenience they offer to consumers and the growing penetration of e-commerce platforms like Amazon and Flipkart. The availability of a wide variety of products, coupled with discounts and fast delivery options, has made online shopping a popular choice. Additionally, the pandemic-induced shift to online shopping has further cemented this channel's dominance in the market.

India Dry Fruits Market Competitive Landscape

The India dry fruits market is dominated by both local and international players, each striving to gain a competitive edge through product innovation, brand positioning, and distribution expansion. The market is relatively fragmented, with both premium and budget segments competing for consumer attention. Some of the key players in the market include:

India Dry Fruits Market Analysis

Growth Drivers

• Rising Health Awareness and Dietary Changes: The increasing focus on healthier eating habits is significantly driving the demand for dry fruits in India. Indian consumers are opting for more nutritious, wholesome food products, including almonds, walnuts, and cashews, which are rich in proteins, vitamins, and minerals. In 2024, Indias per capita health expenditure crossed INR 6,500, reflecting a substantial shift towards healthier lifestyles. This rise in health consciousness is directly impacting the dry fruits market, where such products are positioned as healthier alternatives to traditional snack foods.
• Increase in E-commerce and Digital Retail Channels: The expansion of digital retail and e-commerce platforms has led to increased accessibility of dry fruits for consumers across both urban and rural regions. India saw more than 900 million internet users in 2024, with online grocery sales gaining significant momentum. Large platforms like Amazon and Flipkart have been instrumental in the widespread distribution of dry fruits, enabling consumers to purchase them from the convenience of their homes. Additionally, Indias retail sector saw a gross value addition of over INR 21 trillion in 2024, underlining the digital transformations contribution to the dry fruits market.
• Growing Demand for Packaged and Processed Foods: As consumer lifestyles become increasingly fast-paced, the demand for packaged and processed dry fruit products have seen an upward trend. Innovations such as ready-to-eat dry fruit mixes, dry fruit bars, and flavored nuts cater to this demand. Dry fruits, marketed as convenient and healthy snacking options, are a crucial part of this trend, boosting overall demand.

Market Challenges

• Fluctuating Commodity Prices: The prices of raw dry fruits, especially imported ones like almonds and pistachios, are highly susceptible to global market fluctuations. For example, in 2023, India experienced a price surge in almonds due to poor harvests in California, a key exporter. With almond imports amounting to crores, these price swings directly impacted supply chains and retailer margins. Such volatility remains a significant challenge in maintaining price stability and profitability in the Indian dry fruits market.
• Heavy Dependence on Imports: India imports over 70% of its dry fruits, including almonds and pistachios, making the market vulnerable to international supply chain disruptions. In 2022, disruptions in shipments from Afghanistan and geopolitical tensions affected the supply of raisins and other dry fruits. This heavy reliance on imports poses risks in terms of consistent supply and pricing, leading to challenges in meeting domestic demand during periods of international instability.

India Dry Fruits Market Future Outlook

Over the next five years, the India dry fruits market is expected to show significant growth driven by rising health awareness, increased demand for ready-to-eat snacks, and the penetration of online retail platforms. Consumers are increasingly opting for healthy snack options, such as dry fruits, which offer high nutritional value, leading to a steady rise in their consumption. Additionally, the growing preference for plant-based and organic food products will continue to shape the market dynamics.

Market Opportunities

• Growth in Healthy Snacks Segment: With a growing focus on healthier snacking options, the demand for dry fruits in the Indian snack segment has seen a notable increase. The shift from traditional snacks to health-conscious alternatives is supported by rising consumer incomes and awareness of the health benefits associated with dry fruits. In 2024, the average household expenditure on healthy foods in urban India rose, showcasing a broader shift towards premium, health-focused food categories. This trend offers a significant opportunity for the dry fruits market to position itself as a key player in the expanding healthy snacks segment.
• Expanding Urbanization: India's rapid urbanization continues to present significant opportunities for the dry fruits market. With over 600 million people living in urban areas by 2024, the rising disposable incomes of urban consumers have translated into higher spending on premium food items, including dry fruits. Average per capita income in urban India reached INR 1.97 lakh in 2024, driving demand for high-quality, nutrient-rich products. As the urban middle class grows, so does the preference for health-conscious food choices, offering the dry fruits market a chance to capture this lucrative demographic.