India Hazelnut Chocolate Spread Market to Grow with a CAGR of 6.8% through 2031
The
Indian hazelnut chocolate spread market is growing rapidly due to urbanization,
rising disposable incomes, and Western dietary influences. Key drivers include
convenience, brand marketing, e-commerce expansion, and product innovation,
though price sensitivity remains a challenge.
According to
TechSci Research report, “India Hazelnut Chocolate Spread Market – By Region, Competition
Forecast & Opportunities, 2031F”, India Hazelnut Chocolate Spread
Market was
valued at USD 253.10 Million in 2025 and is expected to reach USD 375.59
Million by 2031 with a CAGR of 6.8% during
the forecast period. The Indian
hazelnut chocolate spread market is experiencing dynamic growth, fueled by
evolving consumer preferences and changing lifestyle patterns. A key driver
propelling this market is the increasing urbanization and westernization of
Indian diets, particularly among millennials and young families who view these
spreads as convenient, ready-to-eat breakfast solutions. The growing café
culture and rising popularity of home baking have further expanded usage
occasions beyond traditional bread spreads to include dessert toppings, baking
ingredients, and snack accompaniments. Brand marketing strategies emphasizing
the indulgent experience and emotional connection with childhood nostalgia have
successfully created strong product appeal. The market is also benefiting from
improved retail infrastructure and the rapid expansion of e-commerce grocery
platforms, making products more accessible across tier 1 and tier 2 cities.
However, the industry faces significant challenges, including intense
competition from traditional Indian breakfast options and healthier
alternatives like peanut butter and fruit preserves. Price sensitivity remains
a major barrier, with premium positioning limiting mass-market adoption,
particularly in smaller towns and price-conscious segments. Supply chain
complexities involving imported ingredients like hazelnuts lead to cost
fluctuations and margin pressures. Regulatory hurdles around labeling
requirements and permissible ingredient standards add another layer of
complexity for manufacturers. The market is also witnessing a growing consumer
preference for clean-label products, forcing brands to reformulate recipes to
reduce sugar content and eliminate artificial additives. Despite these
challenges, the category continues to show promising growth potential through
product innovation, smaller pack sizes for trial purchases, and targeted
marketing campaigns that highlight versatility in usage occasions beyond
breakfast.
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"India Hazelnut Chocolate Spread Market.”
The India
Hazelnut Chocolate Spread market is segmented into product type, packaging,
distribution channel and region.
Based on
distribution channels, the market is segmented by distribution channels into
supermarkets/hypermarkets, convenience stores, online retail, and
specialty/gourmet stores. Supermarkets and hypermarkets (e.g., Big Bazaar,
Reliance Smart) currently lead in sales volume, as they offer a wide assortment
of brands, promotional discounts, and impulse-buy opportunities. These outlets
are particularly dominant in urban areas, where consumers prefer one-stop
shopping experiences. Convenience stores (like 24/7 and local kirana stores)
play a supplementary role, catering to immediate, small-quantity purchases.
However, the fastest-growing segment is online retail, driven by the surge in
e-grocery platforms (BigBasket, Blinkit, Amazon Pantry) and direct-to-consumer
(D2C) brand websites. Online channels provide convenience, price comparisons,
and access to imported or niche brands that may not be available offline.
Additionally, specialty and gourmet stores (Nature’s Basket, Foodhall) cater to
premium buyers seeking artisanal or international hazelnut spreads. While
offline retail still dominates, the online segment is expanding rapidly due to
digital adoption, subscription models, and quick-commerce services delivering
products within minutes.
Based on region,
West India, led by Maharashtra and Gujarat, is the fastest-growing region for
hazelnut chocolate spreads, driven by rapid urbanization, a thriving e-commerce
ecosystem, and a cosmopolitan consumer base. Mumbai and Pune are key demand
centers, where busy lifestyles and the influence of Western eating habits fuel
the need for convenient breakfast options. The region’s strong retail
infrastructure—with chains like DMart and Reliance Fresh—ensures wide product
availability, while online platforms like BigBasket and Blinkit cater to
instant purchases. Gujarat, with its affluent middle class, is emerging as a
high-potential market, particularly for healthier variants like sugar-free and
organic spreads. The presence of food-tech startups and innovative local brands
(e.g., Dlecta) further accelerates growth. With rising disposable incomes and
increasing brand awareness, West India is expected to sustain its rapid
expansion, potentially overtaking the North in the long term.
Major companies
operating in India Hazelnut Chocolate Spread market are:
- Ferrero India
Pvt. Ltd.
- Hershey India
Pvt. Ltd.
- Dr. Oetker India
Pvt. Ltd.
- The J.M. Smucker
Company (via Indian imports)
- Lotus Chocolate
Company Ltd.
- Orkla India Pvt.
Ltd. (formerly MTR Foods)
- Bajoria Foods
Pvt. Ltd.
- Zydus Wellness
Ltd.
- Desai Brothers
Ltd. (Mother’s Recipe)
- Dlecta Foods
Pvt. Ltd.
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“In
recent years, the hazelnut chocolate spread market is experiencing a digital
transformation, with brands increasingly adopting social media marketing,
influencer collaborations, and D2C (direct-to-consumer) sales models to engage
with younger audiences. Platforms like Instagram, YouTube, and Facebook are
being leveraged to showcase recipe hacks, user-generated content, and
interactive campaigns that highlight the versatility of chocolate spreads
beyond just toast—such as in desserts, shakes, and baking. Micro-influencers, mommy
bloggers, and food enthusiasts play a crucial role in driving product trials
and building trust among consumers. Additionally, many emerging brands are
bypassing traditional retail and selling directly through their own websites or
subscription models, offering personalized bundles, limited-edition flavors,
and loyalty rewards.” Said Mr. Karan Chechi, Research Director of TechSci
Research, a research-based management consulting firm.
India Hazelnut Chocolate
Spread Market, By Product Type (Organic, Conventional), By
Distribution Channel (Supermarket & Hypermarket, Convenience Stores, Online,
Specialty Stores), By Packaging (Tubes, Jars, Bottles, Others), By Region, Competition, Forecast &
Opportunities,2021-2031F”,
has evaluated the future growth potential of India Hazelnut Chocolate Spread market
and provides statistics & information on market size, structure and future
market growth. The report intends to provide cutting-edge market intelligence
and help decision makers take sound investment decisions. Besides, the report
also identifies and analyzes the emerging trends along with essential drivers,
challenges, and opportunities in the India Hazelnut Chocolate Spread market.
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