India’s dry fruits & nuts market set to touch ₹1.7 lakh crore by 2028

India’s dry fruits and nuts market is on course to nearly double in size, projected to reach around ₹1.7 lakh crore by 2028, according to a report by Praxis Global Alliance.

The sector is currently growing at a compound annual growth rate (CAGR) of 11% between 2024 and 2028, driven by rising health consciousness, higher disposable incomes, and easy access through online and quick-commerce platforms.

Within the overall category, peanuts hold the largest share, followed by cashews, almonds, pistachios, raisins, and walnuts. Demand for almonds, cashews, and pistachios in particular is expanding steadily as consumers increasingly opt for healthier snacking choices. The market has grown from ₹65,400 crore in 2018 to ₹1.01 lakh crore in 2023, with “strong momentum expected to continue”.

Explaining the shift, Ram Soni, partner, Food and Agriculture, Alliance, said, “As consumers shift towards branded, high-quality products, leading players are driving innovation, streamlining distribution, and capitalising on premiumisation.”

What’s driving the growth?

The report identifies urbanisation, rising disposable incomes, and growing health awareness as the key growth drivers. For instance, social media has amplified awareness of the nutritional benefits of dry fruits, while quick-commerce platforms have made them more accessible at competitive prices. Culinary uses, from everyday cooking to festive gifting, are also boosting consumption.

Corporate and personal gifting remain significant demand drivers, especially during festive seasons such as Diwali, Eid, and Christmas. Praxis report notes that dry fruit baskets remain one of the top choices for both personal and corporate occasions.

The study further points out that success in this space hinges on brand perception, product differentiation, and distribution reach. 

“By aligning brand positioning with market dynamics, optimizing supply chain processes for superior quality assurance, and driving customer-centric innovation through robust distribution networks, companies can unlock sustained growth and a competitive advantage in the dry fruits sector,” said Akshat Gupta, practice nember, Food & Agriculture at Praxis Global Alliance.

Branded players are also gaining ground by offering consistent quality, innovative snacking packs, and premium packaging, while unbranded players still dominate at the value end.

Ultimately, with rapid product development cycles and a strategic focus on market differentiation, “the industry is poised for sustained expansion, redefining the future of healthy snacking,” added Soni.