India Hazelnut Market, By Application (Pharmaceuticals, Food & Beverage, Cosmetics & Personal Care, Others), By Distribution Channel (Supermarket & Hypermarket, Convenience Stores, Online, Specialty Stores), By Product Type (Whole Hazelnut, Hazelnut Paste, Hazelnut Oil, Others), By Region, Competition, Forecast & Opportunities, 2021-2031F

Market Overview

India hazelnut market was valued at USD 230.10 Million in 2025 and is expected to reach USD 403.21 Million by 2031 with a CAGR of 9.8% during the forecast period. The India hazelnut market is witnessing steady growth driven by rising consumer awareness of the nut’s nutritional value, expanding applications across diverse industries, and increasing exposure to global food trends. A growing shift toward healthy snacking, coupled with the popularity of premium and exotic ingredients in bakery, confectionery, and packaged food products, is significantly boosting demand. In recent years, the proliferation of Western-style diets and café culture in urban centers has led to greater use of hazelnuts in chocolates, spreads, desserts, and gourmet beverages. The rising disposable income of India’s middle-class population, combined with expanding retail penetration and e-commerce platforms, is making hazelnuts more accessible to consumers nationwide.

Furthermore, the functional benefits of hazelnuts—rich in antioxidants, healthy fats, and vitamins—are fueling interest among health-conscious buyers and encouraging product innovation in plant-based beverages, energy bars, and fortified foods. Beyond food and beverages, the cosmetics and personal care industry is increasingly incorporating hazelnut oil in skin and hair care formulations due to its moisturizing, anti-inflammatory, and antioxidant properties, while pharmaceutical applications are emerging in nutraceuticals and dietary supplements. Import dependence, particularly from Turkey and Italy, remains a key characteristic of the market, but domestic players are exploring opportunities for cultivation in select regions with favorable climates. Additionally, strategic collaborations between international suppliers and Indian manufacturers are facilitating technology transfer, quality improvement, and product diversification. The expansion of modern retail formats, growth of specialty and gourmet stores, and aggressive marketing by premium chocolate and confectionery brands are further shaping consumer perception of hazelnuts as a premium, aspirational product. Market growth is also supported by the increasing number of Indian consumers seeking clean-label, organic, and sustainably sourced ingredients, prompting suppliers to emphasize traceability and ethical sourcing.

Moreover, seasonal demand spikes during festive periods, driven by gifting trends in dry fruits and premium assortments, provide lucrative opportunities for suppliers and retailers. As the Indian food processing industry expands and innovations in value-added products such as hazelnut pastes, flavored nut butters, and plant-based dairy alternatives gain traction, the market is expected to diversify further. Challenges such as fluctuating international prices, import tariffs, and supply chain disruptions could influence short-term growth, but the long-term outlook remains positive, supported by rising health consciousness, evolving consumer tastes, and the broadening use of hazelnuts across multiple high-growth industries in India.

Key Market Drivers

Rising Health Consciousness and Nutritional Awareness Among Consumers

One of the most influential drivers of the India hazelnut market is the rapid rise in health consciousness and the growing awareness among consumers regarding the nutritional benefits of nuts, particularly hazelnuts. According to the CDC, 12.3% of U.S. adults met fruit intake recommendations, and 10.0% met vegetable recommendations in 2019—a slight improvement from previous years, indicating growing awareness. With lifestyle-related ailments such as obesity, cardiovascular diseases, and diabetes on the rise, Indian consumers are actively seeking healthier food alternatives that align with preventive health measures. Hazelnuts are rich in monounsaturated fats, dietary fiber, vitamin E, magnesium, and antioxidants, making them an attractive option for health-focused diets. This nutrient profile not only supports heart health and cholesterol management but also boosts immunity and cognitive functions—factors increasingly valued in the wake of the COVID-19 pandemic. The growing adoption of high-protein, low-sugar, and nutrient-dense snacks has driven both urban and semi-urban consumers toward premium nuts like hazelnuts, which are now seen as a functional food rather than just a luxury item. Fitness enthusiasts and individuals following diets such as keto, paleo, or plant-based regimens are particularly boosting demand for raw hazelnuts, roasted varieties, and value-added products like hazelnut butter and energy bars. This shift is also influencing food manufacturers to launch health-oriented product lines infused with hazelnuts, such as breakfast cereals, protein shakes, and nutrition supplements. Additionally, digital awareness campaigns by nutritionists, fitness influencers, and food brands are accelerating consumer education, making hazelnuts more mainstream in the Indian healthy eating narrative. As a result, the perception of hazelnuts is transitioning from a niche, imported indulgence to a recognized superfood with everyday applications in diets, thereby laying a strong foundation for sustained market expansion.

Expanding Food and Beverage Industry with Premiumization Trends

The evolving Indian food and beverage sector is playing a crucial role in driving hazelnut consumption, particularly through the growing trend of premiumization in bakery, confectionery, and café offerings. Agricultural and Processed Food Products Export Development Authority (APEDA) data shows processed food exports grew by 25.12% in 2022-23, indicating rising demand for premium products. Indian consumers are increasingly exposed to global culinary influences through international travel, digital media, and the rapid expansion of multinational food chains in the country. This exposure has fueled demand for premium and exotic ingredients such as hazelnuts, which are now common in artisanal chocolates, gourmet desserts, gelatos, flavored coffee beverages, spreads, and bakery items. Brands like Ferrero Rocher, Nutella, and premium coffee chains have popularized hazelnut flavor profiles, creating aspirational value and influencing domestic producers to incorporate hazelnuts into locally manufactured products. Furthermore, the rise of café culture, especially among younger urban consumers, has made hazelnut-based beverages, syrups, and toppings a regular feature on menus. Seasonal product launches during festivals and gifting seasons, particularly in luxury dry fruit hampers and confectionery assortments, have further elevated demand. The premium snacking segment, supported by innovations in packaging, flavor combinations, and portion-controlled servings, has also helped expand the consumer base for hazelnuts beyond affluent households. The growing penetration of modern trade channels, gourmet retail outlets, and specialty food stores ensures greater visibility and availability, while e-commerce platforms offer nationwide access and bulk purchase options. Food manufacturers are leveraging hazelnuts’ versatility to create both indulgent and healthy product lines, catering to the dual demands of taste and nutrition. This alignment with the evolving Indian palate and lifestyle aspirations is positioning hazelnuts as a core ingredient in the country’s rapidly premiumizing food ecosystem.

Growing Applications in Cosmetics, Personal Care, and Nutraceuticals

Beyond their role in the food and beverage industry, hazelnuts—particularly in the form of hazelnut oil—are finding increasing applications in cosmetics, personal care, and nutraceutical products, adding another layer of growth to the Indian market. Hazelnut oil is valued for its high content of vitamin E, essential fatty acids, and antioxidants, which contribute to skin hydration, elasticity, and protection against environmental stressors. In the cosmetics and personal care sector, it is incorporated into moisturizers, anti-aging creams, massage oils, hair serums, and lip balms. Production Linked Incentive (PLI) Scheme for Food Processing (₹10,900 crore allocation) promotes high-value-added products like ready-to-eat meals and organic foods. The oil’s lightweight texture, non-comedogenic properties, and soothing effects on sensitive skin make it a preferred natural ingredient in premium skincare formulations. The clean beauty movement, which emphasizes plant-based, chemical-free, and sustainable ingredients, has further accelerated the adoption of hazelnut-derived products among Indian consumers, particularly in the premium and organic beauty segment. Parallelly, in the nutraceutical and dietary supplement space, hazelnut extracts and oil are being used in formulations aimed at cardiovascular health, cognitive enhancement, and overall wellness. This is in line with the increasing consumer demand for functional foods and supplements that deliver tangible health benefits. The pharmaceutical industry is also exploring hazelnut derivatives for specialized formulations, given their antioxidant and anti-inflammatory properties. As disposable incomes rise and consumers become more brand-conscious, the demand for high-quality, naturally sourced cosmetic and wellness products is growing, providing hazelnuts with a unique cross-industry appeal. The convergence of wellness, beauty, and nutrition trends is thus expanding the addressable market for hazelnut suppliers, creating opportunities for product diversification and deeper market penetration across both domestic and export-oriented industries.

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Key Market Challenges

Heavy Dependence on Imports and Price Volatility

One of the most significant challenges faced by the India hazelnut market is its overwhelming dependence on imports to meet domestic demand. India does not produce hazelnuts on a commercial scale, largely due to climatic limitations, limited agronomic research, and the absence of a dedicated cultivation ecosystem. As a result, the market is heavily reliant on international suppliers, primarily from Turkey, Italy, and the United States, which collectively dominate global hazelnut production. This dependency makes Indian buyers highly vulnerable to fluctuations in global prices, which can be triggered by a range of factors including adverse weather conditions in producing countries, changes in global demand patterns, or shifts in trade policies. Currency exchange rate volatility further compounds the problem, as even minor depreciation of the Indian Rupee can significantly increase import costs. Additionally, geopolitical tensions, export restrictions in source countries, and logistical bottlenecks in shipping can lead to sudden supply disruptions, affecting availability and pricing in the Indian market. These factors often force distributors, retailers, and manufacturers to either absorb higher costs, which reduces profitability, or pass them on to consumers, which can dampen demand—especially in price-sensitive segments. The absence of a stable domestic production base also limits the ability of Indian businesses to engage in long-term pricing contracts or ensure consistent quality, making strategic planning and market expansion more challenging. Until initiatives to cultivate hazelnuts domestically in suitable regions gain traction, this structural dependency on imports will continue to be a critical vulnerability for the market.

High Retail Prices and Limited Consumer Accessibility

Hazelnuts are positioned as a premium, exotic dry fruit in the Indian market, and their high retail prices present a significant barrier to mass adoption. Multiple cost layers—from import duties, logistics, and storage to retail markups—contribute to the elevated end-user prices. While affluent consumers in metro cities may be willing to pay for hazelnuts as part of a luxury lifestyle or festive gifting, the majority of India’s middle-class population often views them as an occasional indulgence rather than a staple snack. The price gap between hazelnuts and locally abundant nuts such as cashews, almonds, or peanuts is substantial, leading most consumers to opt for more affordable alternatives that provide comparable nutritional benefits. Additionally, the lack of smaller, affordable packaging formats in certain retail channels limits trial purchases and repeat buying. The situation is further complicated by the seasonal nature of demand spikes, such as during Diwali or wedding seasons, when hazelnut consumption briefly rises but falls back afterward. While e-commerce has improved accessibility by offering a range of price points and discounts, hazelnuts remain largely absent from small neighborhood kirana stores and rural markets, where a large portion of India’s population shops. The absence of widespread retail penetration, combined with limited consumer awareness outside urban centers, restricts market expansion beyond niche premium segments. Unless suppliers adopt targeted pricing strategies, localized marketing campaigns, and more accessible packaging options, hazelnuts may struggle to move beyond their current image as an elite, imported product with limited mass appeal.

Low Consumer Awareness and Cultural Familiarity

While hazelnuts have gained visibility in India through products like Nutella, Ferrero Rocher, and select gourmet offerings, overall consumer awareness of the nut itself—its origin, nutritional benefits, and versatility—remains relatively low compared to other dry fruits. Unlike almonds, cashews, or pistachios, which have deep cultural and culinary integration in Indian households, hazelnuts are still perceived as an exotic ingredient with limited traditional use. Most Indian consumers are unfamiliar with how to incorporate raw hazelnuts into their daily diets or recipes, and usage is largely confined to processed products such as chocolates or desserts. This lack of cultural familiarity creates a narrow consumption base and slows adoption in mainstream cooking, snacking, and festive preparations. Additionally, marketing efforts in India have largely focused on hazelnut-based branded products rather than promoting the nut as a standalone ingredient, which further limits consumer education. Outside of urban, globally exposed audiences, there is also a perception that hazelnuts are a Western luxury item, which may not resonate with price-conscious or tradition-oriented buyers. This challenge is compounded by the absence of strong domestic branding or promotional campaigns from suppliers and industry associations that could highlight the nut’s health benefits, culinary versatility, and potential for integration into Indian cuisine. Without sustained efforts to build consumer familiarity and trust—through recipe promotions, influencer collaborations, and targeted nutritional awareness campaigns—the market risks remaining dependent on niche demand from premium confectionery and imported product consumption, rather than establishing hazelnuts as a widely accepted part of the Indian diet.

Key Market Trends

Premiumization and Product Innovation in Value-Added Formats

A notable trend shaping the India hazelnut market is the growing premiumization of product offerings, accompanied by rapid innovation in value-added formats. While hazelnuts have traditionally been sold as whole nuts for direct consumption or used as an ingredient in high-end chocolates and confectionery, manufacturers and retailers are now introducing a wider range of processed and specialty products to capture diverse consumer preferences. This includes hazelnut pastes, flavored nut butters, chocolate-hazelnut spreads, snack bars, granolas, hazelnut-infused beverages, and even dairy alternatives such as hazelnut milk and creamers. These innovations not only extend shelf life and enhance convenience but also align with evolving lifestyles where consumers seek ready-to-eat, functional, and indulgent products. The rise of artisanal and gourmet food brands in India has further accelerated this trend, with small-batch producers offering unique flavor pairings like hazelnut with sea salt, coffee, or exotic spices to create a differentiated experience. Premium packaging designs, eco-friendly materials, and portion-controlled packs are being used to enhance perceived value and attract health-conscious and urban buyers. Furthermore, collaborations between global hazelnut producers and Indian brands are enabling the introduction of international product standards and flavor inspirations into the domestic market. As competition intensifies, innovation in value-added hazelnut-based products is becoming a key strategy for both differentiation and expanding the consumer base beyond traditional premium segments, making hazelnuts more relevant in everyday consumption.

Integration of Hazelnuts into the Expanding Plant-Based and Vegan Food Segment

The rising adoption of plant-based diets and vegan lifestyles in India is creating new opportunities for hazelnuts, particularly as a source of plant-based protein, healthy fats, and dairy alternatives. The increasing number of flexitarian consumers—those who are not strictly vegan or vegetarian but consciously reduce their consumption of animal products—is driving demand for nutrient-rich, plant-derived foods. Hazelnuts are gaining popularity in the production of non-dairy milk, vegan cheese, plant-based creamers, and protein powders, catering to consumers seeking lactose-free, cholesterol-free, and sustainable food options. Additionally, hazelnut oil and pastes are being incorporated into plant-based desserts, ice creams, and bakery items to enhance flavor, texture, and nutritional value without the need for animal-based ingredients. This trend is also supported by the global momentum toward sustainable agriculture and reduced carbon footprints, with consumers increasingly favoring ingredients that align with environmental responsibility. In India, while almond and soy milk have traditionally dominated the plant-based dairy segment, hazelnut milk is emerging as a niche premium alternative, often marketed for its rich, creamy taste and antioxidant content. Foodservice establishments, particularly premium cafés and restaurants, are also adopting hazelnut-based vegan offerings to appeal to health-conscious and environmentally aware patrons. As the plant-based movement continues to grow, hazelnuts are positioned to play a pivotal role in creating innovative, premium, and sustainable alternatives across multiple food categories, further diversifying their applications beyond conventional uses.

Seasonal and Festive Demand Boosting Premium Dry Fruit Gifting

In India, the cultural significance of dry fruits as a symbol of prosperity, health, and luxury has long made them a staple in festive gifting traditions, particularly during Diwali, weddings, and other celebratory occasions. Hazelnuts, with their exotic appeal and association with premium confectionery, are increasingly being included in luxury gift hampers, gourmet dry fruit assortments, and artisanal chocolate boxes. This seasonal surge in demand provides a significant revenue boost for suppliers and retailers, often prompting them to launch limited-edition packaging, customized assortments, and festive-themed branding to capitalize on the gifting market. Premium chocolate brands, patisseries, and gourmet retailers have been instrumental in integrating hazelnuts into festive offerings, often pairing them with gold-accented packaging, handcrafted presentation, and personalized messages. E-commerce platforms and online gourmet stores have further amplified this trend by offering curated gifting solutions with nationwide delivery, catering to both individual consumers and corporate buyers. The growing influence of Western-style holiday celebrations, such as Christmas and New Year, has also expanded seasonal demand beyond traditional Indian festivals. Additionally, gifting trends are increasingly influenced by health consciousness, with many consumers preferring to gift nutrient-rich, premium dry fruits like hazelnuts instead of conventional sweets. This cultural and emotional connection between gifting and hazelnuts reinforces their premium positioning in the market, ensuring that seasonal sales remain a key growth contributor despite their relatively high price point.

Segmental Insights

Product Type Insights

The Whole Hazelnuts segment currently leads, driven by consumer preference for unprocessed or minimally processed nuts such as snacks, baking ingredients, and culinary additives. Whole nuts are often favored for their texture, flavor integrity, and versatility. They are widely used in household cooking, festive gifting, and as ingredients in confectionery and bakery products. The rising trend of healthy snacking and the convenience of consuming whole nuts on the go reinforce the dominance of this segment. Hazelnut Paste is a critical product type, especially for the food processing industry. It serves as a primary ingredient in chocolates, spreads, desserts, and bakery fillings. The popularity of hazelnut chocolate spreads among Indian consumers has significantly boosted this segment’s growth. Innovations in texture, flavor blends, and sugar reduction in hazelnut pastes also cater to health-conscious and premium consumer segments. Hazelnut paste allows manufacturers to incorporate hazelnut flavor and nutrition in a variety of processed foods, making it a valuable intermediate product.

Application Insights

In India, the food & beverage segment currently leads the market, driven by extensive use of hazelnuts in confectionery, bakery products, snacks, dairy alternatives, and beverages. Hazelnuts are favored for their rich flavor, nutritional profile, and functional properties such as antioxidant content and healthy fats, making them highly suitable for enhancing the taste and health quotient of food products. The growing trend toward premiumization in food, alongside increasing consumer preference for nutritious and indulgent products, continues to fuel demand in this segment. Moreover, multinational and domestic food manufacturers are incorporating hazelnuts in chocolates, spreads, snack bars, and cereals, broadening their reach and appeal. The expanding café culture and the rise of innovative culinary uses further consolidate the food and beverage application as the dominant segment.

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Regional Insights

In India, Northern India, encompassing states like Delhi, Uttar Pradesh, Punjab, Haryana, and Rajasthan, is a significant market for hazelnuts due to its high population density, rising urbanization, and growing middle-class income. This region leads in hazelnut consumption mainly because of its well-developed retail infrastructure and consumer familiarity with dry fruits as part of traditional diets and gifting customs. The cultural affinity for premium dry fruits during festivals such as Diwali and marriages drives steady demand for hazelnuts, especially whole nuts and value-added products. Moreover, the presence of modern retail chains and increasing penetration of e-commerce platforms in metropolitan areas like Delhi NCR facilitate easy access to imported and premium hazelnut products. Northern India benefits from strong distribution networks, supported by a growing café culture and an increasing number of health-conscious consumers incorporating nuts into daily diets. This region remains a cornerstone for hazelnut sales due to its sheer market size and mature consumption patterns.

Key Market Players

• Olam Export India Limited
• Ghosh Agri Tech Private Limited
• Sweet Escapes
• Royal Foods
• Esjaypee Impex Private Limited
• WGC Exports
• PISUM Food Services Private Limited
• Paradise Farms
• Progenbiolab Technologies Pvt Ltd
• Naturoil Aromatics Pvt Ltd.

Report Scope:

In this report, the India Hazelnut market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• India Hazelnut Market, By Application:

o   Pharmaceuticals

o   Food & Beverage

o   Cosmetics & Personal Care

o   Others

• India Hazelnut Market, By Distribution Channel:

o   Supermarket & Hypermarket

o   Convenience Stores

o   Online

o   Specialty Stores

• India Hazelnut Market, By Product Type:

o   Whole Hazelnut

o   Hazelnut Paste

o   Hazelnut Oil

o   Others

• India Hazelnut Market, By Region:

o   North

o   East

o   West

o   South

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the India Hazelnut market.

Available Customizations:

India Hazelnut 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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