The rising emphasis on preventive healthcare and healthy aging is driving a shift toward better eating habits, paving the way for growth in the nutraceuticals market, including functional foods and…
India
Food
Drinks
simple
India Functional Food and Drinks Market Report 2025
The rising emphasis on preventive healthcare and healthy aging is driving a shift toward better eating habits, paving the way for growth in the nutraceuticals market, including functional foods and beverages.
The outlook for the functional food & drink category in India
Food-as-medicine movement gains grounds in India
A wide range of health benefits catch the fancy of Indians
Graph 1: added health benefits of appeal in drinks, 2025
Graph 2: added health benefits of appeal in food products, 2025
Unlocking trust and differentiation through ingredients
Nutrition-forward choices rise, but confusion sets in
Graph 3: plus, minus and functional claims as a share of total food launches, 2015-25
Ingredients can simplify the process of choosing products
Micronutrients, nuts and seeds take centre stage in functional food & drinks
Graph 4: % of launches of functional food & drinks with select ingredient groups, 2023-25
Now: functional food and drink must be rooted in naturalness to truly qualify as healthy
Graph 5: top five factors that would motivate choice of one food/drink with added health benefit(s) over another, 2025
Natural still signals health, but ‘all-natural product’ claims are declining
Graph 6: % share of all-natural claim in functional food & drink products, 2020-25
Now: blend familiarity with a compelling ingredient story
Graph 7: ‘information on the health benefit of the ingredient’ as a factor that can motivate choice of one food/drink with added health benefit(s) over another, 2025
Graph 8: ‘familiar ingredients’ as a factor that can motivate choice of one food/drink with added health benefit(s) over another, 2025
ITC’s Right Shift champions messaging on inherent nutrition and its benefits
Mintel Spark creates products that champion ingredient communication
Now: protein emerges as a key functional differentiator
Now: furnish scientific proof to foster usage
Now: leverage clinically backed ingredients to strengthen functional credibility
Next: build trust with transparency and traceability of ingredients
Future: explore next-generation functional ingredients for smarter and sustainable solutions
Making functional nutrition a smarter path to weight management
India’s obesity struggle finds hope in functional foods
Graph 9: ‘helps in weight loss’ as a benefit of appeal when choosing a food & drink product, 2025
Graph 10: attitudes to body weight management, 2025
Now: offer functional products for exercise support and diet control
Graph 11: preferred ways to lose or maintain weight, 2025
Now: expand horizons to support active lifestyles
Now: position permissibility for maintaining weight
Graph 12: % of launches of food & drinks featuring select minus claims, 2020-25
Now: upgrade the plate with healthier swaps
Del Monte Fit ‘n Right engages weight watchers with a bold slimming message
Ingredient watch: use berberine in modern applications for metabolic health
Now: the buzz around weight loss drugs is growing
Now: Indian weight watchers are warming up to weight loss medications
Graph 13: agreement with select statements about weight loss medication, 2025
Graph 14: ‘medicines/weight loss injections’ as a preferred way to lose or maintain weight, 2025
Next: integrate functional foods and drinks into specialised diets for medication users
Next: meet nutritional needs in small portions
Next: offer smarter hydration to support the needs of GLP-1 users
Caution around weight loss drugs creates opportunities for natural, food-based solutions that mimic them
Graph 15: agreement with select statements about weight loss medicines, by those who wish to maintain/lose weight, 2025
Caution around weight loss drugs can boost interest in natural, food-based solutions that mimic them
Next: explore prebiotic fibre ingredients that have GLP-1 drug-like effects
Next: address the satiety demand gap in food & drink
Graph 16: % of food and drink launches featuring the high satiety claim, 2020-25
Next: link satiety to protein and fibre
Graph 17: % of launches of packaged salty snacks featuring a combination of protein and fibre claims, 2015-25
Attract the youth with a protein and fibre-first approach in communicating satiety
Now: offer satiety with the protein and fibre
Future: leverage the interplay between gut health and weight management
Future: address the link between stress and body weight
Future: make personalisation a route to effective weight loss
Diabetes and prediabetes care through functional nutrition
Rising diabetes concerns create a demand for low-glycemic food/drinks
Graph 18: agreement with the statement “I am concerned about developing/managing diabetes”, 2025
Graph 19: agreement with the statement “I am interested in food/drink products that help manage blood glucose levels”, 2025
Harness the power of fibre-rich ingredients and alternate sweeteners to lower glycemic index
Now: make everyday food and drinks accessible for sugar watchers
Brands are rethinking rice for glycemic control
Now: innovate with portable fibre blends that target blood sugar management
Case study: Diabexy talks about lowering glycemic load
Now: chromium gains traction as a blood sugar support ingredient
The prediabetic condition is grabbing the attention of younger Indians
Next: expand into prediabetes management and prevention
Graph 20: agreement with the statement “I am concerned about developing/managing a pre-diabetic condition”, 2025
Next: take ingredient and messaging cues from supplements for prediabetes care
Next: turn proven efficacy into premium opportunities
Graph 21: agreement with the statement “I am willing to pay a premium for a food/drink clinically proven to help manage diabetes”, 2025
Global inspirations: providing clinical claims in mainstream food & drinks
Next: smarter blood glucose monitors will call for food/drink that supports ‘spike’ management
Future: leverage chrono-nutrition for diabetes care
Future: prioritise pancreatic health in the early years of life to reduce diabetes risk in later life
The rising emphasis on preventive healthcare and healthy aging is driving a shift toward better eating habits, paving the way for growth in the nutraceuticals market, including functional foods and beverages. This report explores the current landscape and future opportunities within India’s functional food and drink sector.
Familiarity and promise of naturalness can play a key role in motivating the trial of functional products. Further, prioritising protein ingredient communication and showcasing the efficacy of ingredients can boost engagement.
Obesity, diabetes and prediabetes are significant health challenges that call for natural, personalised solutions through food and beverages. This report delves into consumer insights, highlighting current trends, upcoming innovations and future possibilities for managing chronic conditions like these more effectively.
This report looks at the following areas:
Indian consumers’ attitudes towards functional food & drinks
The now, next and future of delivering functional food and drinks
Unlocking trust and differentiation in functional food and drinks through ingredient claims and positioning
Making functional nutrition a smarter path to weight management
Diabetes and prediabetes care through functional nutrition
Showcasing innovations from both global and Indian markets
Natural, familiar ingredients, evolving weight management methods and rising prediabetes concerns are shaping demand for functional foods in India.
Anamika Banerji, Senior Research Analyst – Food and Drink, India
Market Definitions
This report examines the market for functional foods and drinks in India. Functional food/drinks can be defined as food/drink products that are whole, fortified, enriched or enhanced to provide health benefits beyond the provision of essential nutrients (eg vitamins and minerals), when they are consumed at efficacious levels as part of a varied diet on a regular basis.
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