Press Release

India Non-Alcoholic Beverages Market to Grow with a CAGR of 7.36% through 2030

The India non-alcoholic beverages market is dynamic, featuring diverse offerings like soft drinks, juices, energy drinks, and bottled water. It is driven by changing consumer preferences towards healthier options and increasing urbanization, fostering market growth and innovation.

 

According to TechSci Research report, “India Non-Alcoholic Beverages Market – By Region, Forecast & Opportunities, 2030F”, the India Non-Alcoholic Beverages market stood at USD 14.95 billion in 2024 and is anticipated to grow with a CAGR 7.36%. The non-alcoholic beverages market in India has experienced substantial growth in recent years, driven by changing consumer preferences, urbanization, and an increasing focus on health and wellness. This market encompasses a wide array of products, including soft drinks, juices, bottled water, tea, coffee, and functional beverages. As the Indian population becomes more health-conscious and seeks convenient, flavorful, and refreshing drink options, the non-alcoholic beverages segment has positioned itself as a vibrant and dynamic component of the broader beverage industry. With a diverse consumer base and a growing middle class, the market presents significant opportunities for both established brands and new entrants.

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The primary factors fueling growth in the non-alcoholic beverages market is the rapid urbanization of Indian society. As more people migrate to urban centers in search of better employment opportunities and lifestyles, there is an increasing demand for convenient, ready-to-drink options that fit busy schedules. Urban consumers are increasingly looking for beverages that can be consumed on-the-go, driving the popularity of packaged drinks such as bottled water, iced teas, and soft drinks. Furthermore, the rise of modern retail channels, including supermarkets, convenience stores, and e-commerce platforms, has enhanced the accessibility of non-alcoholic beverages, making it easier for consumers to purchase their preferred products. Health and wellness trends are also significantly influencing the non-alcoholic beverages market. Consumers are becoming more aware of the ingredients in their drinks and are increasingly opting for healthier alternatives.

This shift has led to a surge in demand for beverages that are low in sugar, contain natural ingredients, or offer functional benefits such as added vitamins and minerals. As a result, many companies are reformulating their products to align with these preferences. The popularity of fruit juices, coconut water, and functional drinks infused with superfoods reflects this growing trend towards health-conscious choices. Brands that successfully promote their products as healthy and nutritious are likely to attract a loyal customer base. In addition to health trends, the increasing popularity of premium and artisanal beverages is reshaping the market landscape. Consumers, particularly younger generations, are willing to spend more on unique, high-quality products that offer distinct flavors and experiences. Craft sodas, specialty teas, and cold brews are gaining traction as consumers seek to explore diverse taste profiles beyond traditional offerings. This trend has also opened up opportunities for local and regional brands to introduce unique beverages that reflect local tastes and preferences. The emergence of these premium products is fostering a culture of exploration in the beverage market, leading to greater variety and innovation.

E-commerce is transforming how consumers access non-alcoholic beverages, providing convenience and a wider selection of products. The COVID-19 pandemic accelerated the shift towards online shopping, with consumers increasingly opting for home delivery services. This trend has prompted many traditional brands to enhance their online presence and engage in digital marketing strategies to attract consumers. Additionally, subscription models are gaining popularity, allowing consumers to receive regular deliveries of their favorite beverages. As e-commerce continues to expand, brands that invest in digital platforms and logistics will be well-positioned to capture a larger share of the market. Despite the optimistic outlook for the non-alcoholic beverages market in India, several challenges need to be addressed. Intense competition among established players and new entrants necessitates constant innovation and differentiation. Additionally, fluctuating raw material prices can impact profit margins, particularly for brands that rely on premium ingredients. Regulatory challenges, including labeling requirements and health regulations, also require ongoing attention to ensure compliance. Companies that prioritize transparency in sourcing and manufacturing processes can build consumer trust and loyalty, essential for long-term success in this competitive landscape.

The India Non-Alcoholic Beverages market is segmented into product type, packaging type, package size, sales channel, regional distribution, and company.

The can segment is the fastest-growing packaging type in the India non-alcoholic beverages market, driven by increasing consumer demand for convenience and portability. Cans offer advantages such as lightweight, recyclability, and excellent preservation of flavor and freshness, making them a preferred choice for beverages like soft drinks, energy drinks, and iced teas. As urban lifestyles become busier, consumers are gravitating toward ready-to-drink options that can be easily transported. Additionally, the rising awareness of sustainability is pushing brands to adopt eco-friendly packaging solutions, further boosting the popularity of cans in the non-alcoholic beverage sector. 

Major companies operating in India Non-Alcoholic Beverages market are:

  • Dabur India Limited
  • ITC Limited
  • Varun Beverages Limited
  • Nestle India Limited
  • Bisleri International Private Limited
  • Coca-Cola India Private Limited
  • Hector Beverages Private Limited
  • Parle Agro Pvt. Ltd
  • PepsiCo India Holdings Pvt Ltd 
  • Red Bull India Private Limited

 

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“The Indian non-alcoholic beverages market is propelled by several key drivers and trends shaping its growth. Changing consumer preferences towards healthier alternatives like natural juices and low-sugar beverages reflect a broader health and wellness trend. This shift is driven by increasing awareness of lifestyle diseases and a preference for functional benefits in beverages. Meanwhile, companies are responding with eco-friendly packaging solutions and healthier formulations to comply with evolving standards and consumer expectations.” said Mr. Karan Chechi, Research Director of TechSci Research, a research-based management consulting firm.

India Non-Alcoholic Beverages Market Segmented, By Product Type (Carbonated Beverage, Non-Carbonated Beverage), By Packaging Type (Bottles, Cans, Others (Tetra packs, etc.)), By Package Size (Below 250ml, 250ml–1Liters, and Above 1Liters), By Sales Channel (Departmental Stores, Supermarket/Hypermarket, Convenience stores, Online, Others), By Region, Competition, Forecast & Opportunities, 2020-2030F”, has evaluated the future growth potential of India Non-Alcoholic Beverages 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 Non-Alcoholic Beverages market.

 

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India Non-Alcoholic Beverages Market Segmented, By Product Type (Carbonated Beverage, Non-Carbonated Beverage), By Packaging Type (Bottles, Cans, Others (Tetra packs, etc.)), By Package Size (Below 250ml, 250ml–1Liters, and Above 1Liters), By Sales Channel (Departmental Stores, Supermarket/Hypermarket, Convenience stores, Online, Others), By Region, Competition, Forecast & Opportunities, 2020-2030F

Consumer Goods and Retail | Jun, 2024

The India non-alcoholic beverages market is dynamic, featuring diverse offerings like soft drinks, juices, energy drinks, and bottled water. It is driven by changing consumer preferences towards healthier options and increasing urbanization, fostering market growth and innovation.

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