While ice cream sales in the more established markets like the USA and UK witness slow growth, India has maintained its upward trend in consuming these sugary treats. Asia’s third-largest economy, amid hot weather and humid conditions, is now topping the world’s ‘highest ice cream volume sales’ chart with a Compound Annual Growth Rate (CAGR) of nearly 13 per cent over the past five years. Here’s how!
Surpassing every other country in the world, India now accounts for the highest number of ice cream sales in the world, according to the market research firm Mintel’s Ice Cream Global Annual Review 2017 report. Sales volume of ice cream in India grew at a compound annual growth rate (CAGR) of 13% in the last five years, which is the fastest in the world, followed by Indonesia (11%) and Vietnam (9%). Further, the sales volume is pegged to grow to 657.2 million liters by 2021 from 381.8 million liters in 2017, thus making the Indian ice cream market worth more than $1.6 billion by 2021.
Indian ice cream history has been all about brands like Amul, Kwality, Natural, and more. These ice cream brands have been household names in India for decades due to their reasonable pricing and variety of flavors, and they have grown their businesses multifold. Plus, foreign brands like Häagen-Dazs and London Dairy have given ice cream lovers in India a plethora of flavors and textures to choose from.
A delicious mix of increasing disposable income improved cold-chain infrastructure while changing taste palates, lifestyles, and a penchant for trying new flavors have transformed India into the fastest growing ice cream consumption market in the world. People of all ages are making a beeline to ice cream parlors, shops, and pushcarts.
In fact, this frozen sweet is no longer just a treat option for kids, but it is now considered as a snack option by adults, for festivals, gifts, and celebratory consumption.