IntroductionVast population base, growing middle class and strong macro-

economic environment, the Indian market has seen processed food emerge as the one of its fastest growing segments. Rapid lifestyle transformation, particularly in urban areas, has resulted in a dramatic increase in the demand for processed, packaged and ready-to-eat food products

The size of the packaged food market in India is estimated to be US$ 10 million and is expected to reach US$ 20 million by the year 2014. Packaged food, which is now 4 per cent of the overall F&G market, is expected to reach 5 per cent of F&G market by 2014

Market Size of Ready to Eat food is INR 800 Million

Classification The convenience food could be basically classified into two

categories: Shelf – Stable Convenience food Frozen Convenience food

Shelf-stable convenience food are further classified as: Ready-to-Eat (RTE) and Ready-To-Serve (RTS) food - e.g. Idlis,

dosas, pav bhaji, meat products like pre-cooked sausages, ham, chicken products, curries, chapattis, rice, vegetables like aloo chole, navratan kurma, channa masala etc

Ready-to-Cook food – e.g. instant mixes like cake mixes, gulab-jamun mix, falooda mix, ice-cream mix, jelly mix, pudding mix etc., pasta products like noodles, macaroni, vermicelli etc

Consumer TrendsThe Indian population is younger, more urban, with greater

disposable income and high purchasing power parity (PPP). Urban

consumers are typically busier and more affluent, thus more

willing to pay for convenience. The main impact of urbanisation

has created a growing demand for convenient products. Ready

meals thus saw a strong 18 per cent growth in 2008 over the

previous year, with these products regarded as a convenient

alternative to cooking from scratch. Packaged soup also benefited,

with dehydrated soup growing by 21 per cent in current value

terms, while instant noodles became an increasingly popular snack

or meal component, with sales thus growing by 24 per cent.

PackagingMaterial Properties Use

9 mm foil / adhesive / Good moisture barrier, Over wraps confectioneries paper coated with heat runs well on machine sealing vinyl resin 9 mm foil / adhesive / paper / Good moisture barrier, Fin-sealed pouches and polyethylene (extruded) runs well on machine sachets – soups, etc. 1 in. polyethylene / 9 mm foil / Heat seals by the wax Over wraps for adhesive / paper bleeding through the tissue confectionery 9 mm foil / adhesive / paper / Low WVTR Over wraps for biscuits, etc. micro-wax comp. / tissue (20 g/m2) Foil Excellent WVTR, good machinability Candy wrap, biscuit wrap Cellophane / wad / cellophane Excellent WVTR, sandwich Bags or pouches for printing, good machine hygroscopic items performance Cellophane / adhesive / Excellent gas barrier, Nut packing with inert gas pliofilm transparent pack Cellophane/polyethylene Excellent gas barrier, trapped Chocolate, etc. printing Polyester film / Saran coated High strength, positive sealing Vacuum food Pouches polyethylene

Polyester / adhesive / foil / Excellent gas barrier, good heat resistance, Flexible processable cans

polyethylene good rigidity, aroma retention

Contd.. In India, 3-ply laminate consisting of PET/Al Foil/PP is

commonly used for packaging of ready to eat retort packed food. The product packed in such laminates has a shelf-life of one year. The other materials generally used in retort pouch structure includes nylon, silica coated nylon, ethylene vinyl alcohol (EVOH) and polyvinyledene chloride (PVDC). These materials have high moisture barrier properties and are used successfully for packaging of ready-to-eat high moisture Indian food

Food Supplier Chain Cluster

Key Players in RTEF

MTR

Bambino

Gits

Kohinoor Food

ITC

Haldiram

Tasty Bites

Top Selling RTEF

Veg Food Non Veg Food

Alloo Matar Chicken Curry

Palak paneer Butter Chicken

Sarso Ka Saag Karahi Chicken

Chana Masala Mughalai Chicken

Kadi Pakora Mutton Masala

Cheese Tomato Mutton Korma

Dal Makhani Karahi Mutton

Rajma Masala Mutton Biryani

Findings From ACNielsen SurveyMain reason for taking RTEF is because of its convenience

23% of them purchase RTEF frequently & 49% Occasionally

Top 5 countries purchasing RTEF frequently Thailand China Taiwan Malaysia

Greece

Eating pattern of RTEF Usually – Dinner 26%, Lunch 17%, Breakfast – 13%, Snack – 19%,

Holidays – 14% Occasionally - Dinner 56%, Lunch 59%, Breakfast – 31%, Snack –

49%, Holidays – 41% Source: ACNielsen 2006 Survey

Contd…Kind of RTEF purchased frequently

Usually -> 24% All in one meal, 25% main course, 13% Starter, 21% Desserts, 14% Prepared Salad

Occasionally -> 48% All in one meal, 55% main course, 49% Starter, 54% Desserts, 45% Prepared Salad

Purchase RTEF commonly from

Usually -> 18% Hypermarket, 44% Supermarket, 22% Grocery Store,

13% Convenience Store, 7% Other

Occasionally -> 34% Hypermarket, 45% Supermarket, 41% Grocery

Store, 36% Convenience Store, 30% Other

Source: ACNielsen 2006 Survey