Home / Insights on entering the Indian market
2026.03.24
India's food processing industry reached about $354.5 billion (₹30.498 trillion) in 2024 on IBEF's figures, and is expected to grow to about $535 billion by the end of FY2026. With the government's "Make in India" policy and the easing of FDI rules in food processing, India is accelerating its growth into a major food-exporting country.
Consumer food products reached $8.4 billion in 2024 and continue to grow steadily. India's e-commerce food market is also expected to reach $8 billion by 2026, and the potential for food exports through cross-border e-commerce is also expanding.
For Japanese companies involved in India's food import and export business, keeping up with the latest regulatory trends from FSSAI (the Food Safety and Standards Authority of India) is essential.
Under the 2025 FSSAI import regulation reform, the testing methods for imported food have been updated. In addition to FSSAI-approved analytical methods, methods compliant with international standards such as AOAC, ISO, and Codex Alimentarius are now also recognized. The new regulation takes effect on May 1, 2026.
Under the labeling rule amendments announced in January 2026, the new regulations will take effect every year on July 1, with a transition period of at least 365 days from the date of notification. Japanese food manufacturers should get ahead of the schedule for label compliance.
In February 2025, FSSAI announced a policy exempting food ingredients imported for re-export purposes from FSSAI inspection. This has made it easier to build a business model that uses India as a food processing hub and exports processed products to third countries.
When Japanese companies consider importing food from India, the following categories are promising.
FSSAI registration as an importer is mandatory. Since the procedure takes time, starting early, before trading begins, is a prerequisite. Obtaining approval in advance is one of the most important keys to success.
In addition to the conventional FSSAI-approved analytical methods, testing methods compliant with international standards such as AOAC, ISO, and Codex Alimentarius will now also be recognized. This amendment is positioned as making it easier to prepare internationally accepted test data.
FSSAI has indicated a policy of exempting food ingredients imported for re-export purposes from FSSAI inspection. This makes it easier to build a business that uses India as a food processing hub and exports processed products to third countries. It could also be considered as a base for expansion into the Middle East and Africa.
Spices and seasonings, certified organic superfoods, tea and specialty coffee, ready-to-eat food, and plant-based protein are promising categories. In particular, plant-based food built on a vegetarian culture is a highly compatible field. It is easier to proceed by starting with a category that matches your own sourcing needs.
The labeling rule amendments set an effective date and a transition period for the new regulations. The key is to plan label changes ahead of time, factoring in the transition period. Work backward from the effective date to prepare.
A practical order of operations is to prioritize starting the FSSAI approval process while, in parallel, securing a local partner with strength in quality control and logistics. For foods requiring temperature control, cold chain readiness should be checked, and localizing packaging and labels into local languages should also be planned from the early stages.
The following are key points for Japanese companies to succeed in India's food export and import business.
India's food market is expected to continue growing rapidly from 2025 onward as well, making now an optimal time to enter the export and import business. digital payments the spread of B2B online transactions is also progressing.
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