India Fruit and Vegetable Market By Product Type (Fruits, Vegetables), By Type (Dried, Frozen, Fresh), By Distribution Channel (Supermarkets/Hypermarkets, Grocery Stores, Online, Others), By Region, Competition, Forecast & Opportunities, 2021-2031F

Market Overview

India Fruit and Vegetable Market was valued at USD 48.82 Billion in 2025 and is expected to reach USD 65.79 Billion by 2031 with a CAGR of 5.10%. India's fruit and vegetable market is one of the largest globally, driven by its vast agricultural base, rising health awareness, and increasing demand for fresh and processed produce. With a diverse agro-climatic landscape, the country produces a wide range of fruits and vegetables year-round. Urbanization and changing dietary habits have boosted consumption, while government initiatives like eNAM and cold chain infrastructure improvements are enhancing supply efficiency. The market is also witnessing growth in organic produce and exports. Despite challenges like post-harvest losses and fragmented supply chains, technological advancements and organized retail are contributing to steady market expansion across the country.

Key Market Drivers

Rising Health Consciousness and Changing Dietary Preferences

One of the major drivers of the fruit and vegetable market in India is the growing health consciousness among consumers. With an increasing awareness of the importance of balanced diets, more Indians are incorporating fruits and vegetables into their daily meals. The rise in lifestyle-related ailments such as obesity, diabetes, and cardiovascular diseases has encouraged a shift from processed and high-fat foods to more nutritious and fresh produce. In 2025, data from the National Family Health Survey (NFHS)-5 (2019–21) reveals that 24% of Indian women and 23% of Indian men are overweight or obese. Urban populations, in particular, are leaning toward natural food sources that are rich in vitamins, minerals, and fiber. Government health campaigns, yoga and wellness promotions, and the influence of fitness influencers on social media have also contributed to this trend. The popularity of plant-based diets and vegan lifestyles is gaining traction in metros and tier-I cities, further driving the demand for fruits and vegetables. Additionally, the post-pandemic consumer mindset has shifted towards immunity-boosting foods, with citrus fruits, leafy greens, and root vegetables witnessing a surge in popularity. As consumers prioritize health and wellness, demand for fresh, organic, and pesticide-free fruits and vegetables continues to grow steadily.

Expanding Cold Chain and Supply Chain Infrastructure

Another significant growth driver for India’s fruit and vegetable market is the ongoing development and modernization of cold chain and logistics infrastructure. Under the Pradhan Mantri Kisan SAMPADA Yojana, over 300 cold chain projects have been approved since its inception, aiming to reduce post-harvest losses and improve shelf life of perishable produce. Traditionally, the supply chain in India has been plagued by inefficiencies, especially in the transportation and storage of perishable goods, leading to post-harvest losses estimated to be over 20–30%. However, recent investments from both public and private sectors have improved cold storage facilities, temperature-controlled transportation, and last-mile delivery systems. The government’s initiatives like the Pradhan Mantri Kisan SAMPADA Yojana and integrated cold chain development schemes have encouraged private players to establish more efficient logistics networks across states. This development is particularly crucial for the preservation and movement of highly perishable fruits like berries, bananas, and grapes, and vegetables such as tomatoes, cauliflower, and green peas. The expansion of organized retail chains, online grocery platforms, and export-oriented supply chains has further catalyzed improvements in post-harvest handling, grading, and packaging. These infrastructural advancements are enabling year-round availability of fruits and vegetables and reducing the urban-rural market divide.

Growth of Organized Retail and E-commerce Platforms

The rapid growth of organized retail formats and digital grocery platforms has emerged as a key driver in shaping the Indian fruit and vegetable market. India’s e-commerce market is expected to expand significantly, rising from USD 125 billion in FY24 to USD 345 billion by FY30. Supermarkets, hypermarkets, and specialty stores such as Reliance Fresh, Big Bazaar, and Spencer’s have brought structured procurement, better pricing, and consistent quality to consumers. These outlets are increasingly sourcing directly from farmers, cooperatives, and FPOs (Farmer Producer Organizations), minimizing middlemen and ensuring better margins for both producers and sellers. Simultaneously, e-commerce platforms like BigBasket, Blinkit, Zepto, and Amazon Fresh have made purchasing fruits and vegetables more convenient for urban and semi-urban consumers. The rise of quick-commerce models offering 10–30-minute delivery has changed consumer expectations, with freshness and timely delivery becoming key differentiators. Furthermore, app-based models allow users to choose from a variety of organic, locally sourced, and exotic produce options, often with traceability and origin information. These digital platforms also contribute to demand forecasting, inventory optimization, and reduction of food wastage. With India’s internet penetration and smartphone usage growing rapidly, the online fruit and vegetable market is expected to witness sustained growth in the coming years.

Government Policies and Farmer-Centric Reforms

Government initiatives aimed at strengthening agriculture and supporting horticulture production are instrumental in driving India’s fruit and vegetable market. Schemes such as the National Horticulture Mission (NHM), Mission for Integrated Development of Horticulture (MIDH), and PM-KISAN provide financial support, technical assistance, and market linkages to fruit and vegetable growers. These schemes promote scientific farming practices, high-yield varieties, and the use of drip irrigation and protected cultivation techniques like polyhouses and greenhouses, which help improve productivity and reduce dependence on weather patterns. Moreover, the push toward farmer-producer organizations (FPOs) has empowered small and marginal farmers by enhancing their bargaining power and facilitating direct market access. Initiatives like e-NAM (National Agriculture Market) aim to create a unified national market, allowing farmers to sell produce across states, improving price discovery and reducing exploitation by intermediaries. Additionally, the Production-Linked Incentive (PLI) scheme for food processing and subsidies for setting up cold chains, packhouses, and reefer vans support the post-harvest ecosystem. With state governments also introducing farm-to-market and crop diversification programs, these policy measures collectively stimulate both supply and demand in the fruit and vegetable market.

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Key Market Challenges

High Post-Harvest Losses Due to Poor Infrastructure

One of the most pressing challenges in the Indian fruit and vegetable market is the significant post-harvest losses resulting from inadequate infrastructure. A large portion of fruits and vegetables perish before reaching consumers due to poor handling, lack of proper grading, inefficient storage, and insufficient cold chain facilities. Estimates suggest that 20–30% of the total produce is lost annually during harvesting, transportation, and distribution. The problem is particularly acute in rural and semi-urban regions where farmers often lack access to packhouses, cold storage units, and refrigerated transport. The absence of scientific post-harvest practices leads to reduced shelf life, lower quality, and depressed market prices. While infrastructure has improved in certain states, disparities remain across the country, with small and marginal farmers bearing the brunt of these losses. Additionally, logistical bottlenecks, such as delayed transportation and poor road connectivity in remote areas, further exacerbate the situation. Addressing these losses requires a coordinated approach involving infrastructure investments, training for farmers on post-harvest techniques, and better integration between production zones and consumption markets.

Fragmented Supply Chain and Presence of Multiple Intermediaries

The Indian fruit and vegetable market continues to suffer from a highly fragmented supply chain characterized by the dominance of multiple middlemen between farm and fork. This structure not only erodes farmers’ profit margins but also inflates retail prices for consumers. In the absence of efficient farmer-to-market linkages, most growers are forced to sell their produce at local mandis where commission agents and traders dictate pricing. As a result, the producer’s share in the final consumer price is often significantly low. This multilayered system also leads to delays in market arrivals, product spoilage, and lack of transparency in pricing and quality standards. Even though platforms like eNAM and farmer producer organizations (FPOs) aim to streamline the supply chain, adoption remains limited due to lack of awareness, digital illiteracy, and mistrust among rural farmers. Moreover, perishable nature of fruits and vegetables necessitates fast, transparent, and reliable transactions, which are often hindered in such a fragmented system. To overcome this challenge, stronger digital integration, aggregation models, and direct sourcing practices need to be scaled up nationwide to ensure fair returns to producers and improved quality for consumers.

Seasonal Fluctuations and Price Volatility

Seasonality and price volatility pose a major challenge for the Indian fruit and vegetable market, impacting both producers and consumers. India’s largely rain-fed agricultural system makes fruit and vegetable production highly vulnerable to weather variations, including delayed monsoons, unseasonal rains, droughts, and heatwaves. These fluctuations cause sudden supply shortages or gluts, resulting in unpredictable market prices. For instance, tomato, onion, and potato—considered essential vegetables—often experience sharp price swings that directly affect household budgets and farmer incomes. Price crashes during bumper harvests can be devastating for small farmers who lack storage or market access, while price surges during lean periods hurt consumer affordability and drive inflation. Inadequate forecasting mechanisms and lack of forward contracts or price-risk management tools make the sector even more unstable. Additionally, export restrictions, mandi closures, and transport disruptions further intensify the price instability. Developing more climate-resilient crop varieties, strengthening early warning systems, improving market intelligence, and expanding access to insurance and price stabilization funds can help mitigate the impact of these fluctuations on the broader value chain.

Key Market Trends

Rising Demand for Organic and Residue-Free Produce

A major trend transforming the Indian fruit and vegetable market is the growing consumer preference for organic and residue-free produce. In 2023, India plays a significant role in this trend, holding a prominent position in the global organic agriculture space. With 9.12 million acres of land dedicated to organic farming, the country is home to 30% of the world's organic producers. Health-conscious consumers, particularly in urban areas, are increasingly concerned about the harmful effects of pesticides and chemicals used in conventional farming. This has led to a surge in demand for organically grown fruits and vegetables, which are perceived as safer, healthier, and environmentally friendly. Brands like Organic India, 24 Mantra Organic, and local farm-to-table startups are expanding their reach through both offline and online channels. Furthermore, supermarkets and e-commerce platforms such as BigBasket, Amazon Fresh, and Nature’s Basket have introduced dedicated organic sections to cater to this rising demand. The shift is also supported by government initiatives like the Paramparagat Krishi Vikas Yojana (PKVY) and Jaivik Bharat logo, aimed at promoting organic farming practices and building consumer trust. Despite challenges like higher prices and limited availability, increasing awareness, better certification standards, and improved logistics are helping organic produce penetrate middle-class households and tier-II cities, indicating a long-term shift in consumption patterns.

Growth of Direct-to-Consumer (D2C) and Farm-to-Fork Models

Another key trend reshaping the market is the rise of direct-to-consumer (D2C) and farm-to-fork business models, which aim to eliminate middlemen and deliver fresh produce directly from farms to households. Driven by growing digital connectivity and consumer demand for traceability, freshness, and transparency, startups like FreshToHome, Otipy, Ninjacart, and Agribazaar are building supply chains that connect farmers with consumers through tech-enabled platforms. These models ensure better price realization for farmers and higher quality standards for consumers. They also offer flexibility in packaging, subscription-based deliveries, and real-time quality monitoring. During the COVID-19 pandemic, these platforms gained rapid popularity due to their ability to deliver fresh, contactless produce directly to urban homes. Additionally, consumers are now more inclined to support local producers and small farmers, further fueling the growth of hyperlocal and community-supported agriculture (CSA) models. By leveraging mobile apps, cold chain logistics, and data analytics, D2C models are improving efficiency, reducing food wastage, and building trust between consumers and growers, making them a vital force in the evolving fruit and vegetable retail landscape.

Adoption of Advanced Farming Techniques and Protected Cultivation

The adoption of modern farming methods and protected cultivation technologies is gaining momentum across India, particularly among progressive farmers and agri-entrepreneurs. With climate change and water scarcity posing significant risks to traditional agriculture, farmers are increasingly turning to controlled environment agriculture (CEA) methods such as polyhouses, greenhouses, vertical farming, and hydroponics to grow fruits and vegetables year-round. These techniques help in improving yields, minimizing pesticide use, and optimizing resource consumption like water and fertilizers. Crops like capsicum, strawberries, cucumbers, tomatoes, and lettuce are increasingly grown under protected cultivation, especially in states like Maharashtra, Karnataka, and Tamil Nadu. The government, through schemes like MIDH (Mission for Integrated Development of Horticulture) and subsidies for polyhouse construction, is encouraging the use of such technologies. Additionally, private companies and agritech startups are offering turnkey solutions, advisory services, and access to inputs, making these innovations more accessible to farmers. As food safety and consistency become critical factors for retail and export markets, protected cultivation is expected to play a larger role in ensuring steady, high-quality supply across the value chain.

Expansion of Export-Oriented Production and Global Market Integration

India’s fruit and vegetable sector is witnessing a notable trend toward export-oriented production, driven by rising global demand, improved quality standards, and favorable trade policies. Fruits like mangoes, bananas, pomegranates, and grapes, along with vegetables such as onions, okra, and green chilies, are increasingly being cultivated with a focus on international markets. Exporters are adopting Good Agricultural Practices (GAP), residue testing, and traceability systems to meet stringent quality norms of importing countries, particularly in the Middle East, Europe, and Southeast Asia. The Agricultural and Processed Food Products Export Development Authority (APEDA) is playing a crucial role by facilitating market access, certification, and promotional events for Indian producers. Infrastructure upgrades at export hubs, better air and sea connectivity, and pre-cooling facilities at farms are further enhancing India’s competitiveness in global trade. There is also a rising emphasis on value-added exports, such as frozen, dried, and cut fruits and vegetables, to cater to international foodservice and retail chains. As bilateral trade agreements and export incentives improve, India is increasingly aligning its horticultural production with global market trends, boosting farmer incomes and foreign exchange earnings.

Segmental Insights

Type Insights

The fresh segment dominated the Indian fruit and vegetable market due to strong consumer preference for natural, unprocessed produce. Indian households prioritize freshness for both taste and nutritional value, with daily or weekly purchases being common, especially in urban and semi-urban areas. Traditional retail formats such as local mandis, roadside vendors, and pushcart sellers continue to thrive, offering easy access to fresh fruits and vegetables. The cultural emphasis on cooking fresh meals and using seasonal produce further reinforces demand. Additionally, online platforms and modern retail stores are now expanding their fresh produce offerings with improved packaging and same-day delivery, enhancing convenience. The dominance of the fresh segment is expected to continue as consumers increasingly value health, hygiene, and quality.

Distribution Channel Insights

The online segment was emerging as the fastest-growing channel in the Indian fruit and vegetable market, driven by increasing internet penetration, smartphone usage, and demand for convenience. Urban consumers, especially in metro and tier-I cities, are rapidly adopting online grocery platforms like BigBasket, Blinkit, Zepto, and Amazon Fresh for their fresh produce needs. These platforms offer advantages such as home delivery, flexible payment options, quality assurance, and real-time inventory tracking. The rise of quick commerce, promising deliveries within minutes, has further accelerated adoption. Additionally, growing health awareness and preference for hygienically packed produce post-COVID-19 have boosted online sales. With tech-enabled supply chains and user-friendly interfaces, the online segment is expected to maintain robust growth in the coming years.

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Regional Insights

North India dominated the country’s fruit and vegetable market due to its favorable agro-climatic conditions, high population density, and strong agricultural base. States like Uttar Pradesh, Punjab, Haryana, and Himachal Pradesh are major producers of diverse crops including potatoes, onions, tomatoes, apples, and green vegetables. The region benefits from fertile soil, widespread irrigation networks, and proximity to major consumption hubs like Delhi-NCR, which boosts both production and demand. Additionally, the presence of large mandis, food processing units, and growing cold chain infrastructure supports efficient distribution. The rising number of organized retail outlets and increasing adoption of protected cultivation techniques further strengthen North India’s market dominance. Government schemes promoting horticulture and farmer cooperatives also contribute significantly to this leadership position.

Recent Developments

• In  2024, BigBasket collaborated with celebrity chef Sanjeev Kapoor to launch Precia, a premium frozen foods range featuring green peas and mixed vegetables, alongside snacks and sweets.
• Vendum inaugurated its  IQF vegetable processing facility in Pochampalli, Krishnagiri district, Tamil Nadu, in 2024. Capable of processing 1 tonne/hour and storing 800 MT (expandable), this center serves the HoReCa market, freezing staples like carrots, beans, cauliflower, and drumstick at –35 °C to retain nutrition, texture, and flavour.
• In 2024,  Pal Frozen Foods — part of SM Pal Group — exhibited its new range of IQF frozen vegetables (green peas, sweet corn, mixed veggies) under brands like Pal Fresh and Frozzo, marking a significant step in scaling quality frozen vegetable production for both domestic and export markets.

Key Market Players

• Mother Dairy Fruit & Vegetable Pvt. Ltd.
• Innovative Retail Concepts Pvt. Ltd.
• Reliance Retail Limited
• Future Retail Ltd.
• Spencer’s Retail Limited
• FieldFresh Foods Pvt. Ltd.
• Freshtrop Fruits Ltd.
• Aarkay Food Products Ltd
• Suminter India Organics Pvt. Ltd.
• InI Farms Pvt. Ltd.

Report Scope:

In this report, the India Fruit and Vegetable Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• India Fruit and Vegetable Market, By Product Type:

o   Fruits

o   Vegetables

• India Fruit and Vegetable Market, By Type:

o   Dried

o   Frozen

o   Fresh

• India Fruit and Vegetable Market, By Distribution Channel:

o   Supermarkets/Hypermarkets

o   Grocery Stores

o   Online

o   Others

• India Fruit and Vegetable Market, By Region:

o   North

o   South

o   East

o   West

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the India Fruit and Vegetable Market.

Available Customizations:

India Fruit and Vegetable Market report with the given market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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