Home ／ Insights on entering the Indian market
2026.03.26
India's luxury market reached $12.1 billion (about JPY 1.8 trillion) in 2025, recording double-digit growth of 10% year on year. According to Euromonitor International forecasts, the market will reach $30 billion by 2030, with 60% of existing affluent consumers expected to become repeat buyers of luxury goods every year. The number of Indian millionaires (those with assets of $1 million or more) is projected to increase by 105% by 2026, making it one of the fastest-growing affluent markets in the world.
Driving this growth is not the traditional "old rich" but the "new rich," aged 30 to 45, who have succeeded in the IT industry and startups. They prioritize experiences over material possessions, concentrating their spending on experiential luxury such as fine dining, luxury travel, and wellness retreats. The experiential luxury category reached INR 248.3 billion in 2025, showing a remarkable annual growth rate of 21.4%.
Amid these macro trends, the premium and gourmet food market occupies an important position for affluent consumers as "everyday luxury." Dining at fine restaurants, purchasing imported gourmet foods, and consuming premium wines and craft spirits are essential elements of the lifestyle of India's new rich.
India's gourmet food market is worth approximately $10.9 billion (about 2% of the global market) as of 2025. The CAGR (compound annual growth rate) for 2026-2034 is projected at 7.08%, indicating steady expansion. Let's analyze the four main drivers behind this market.
With India's GDP growth (6-7% annually), disposable income in urban areas is rising rapidly. In particular, the expansion of the upper middle class (annual income of INR 500,000 to 2 million) is supporting the growth of the premium food segment. A shift is underway from the traditional "cheaper is better" price orientation to a value orientation of "pay for quality that matches the price," and demand for organic foods, imported foods, and functional foods is surging.
The fastest-growing channel in the gourmet food market is the online/D2C channel. Instagram on social media, a consumer journey is becoming established that runs from brand discovery to purchase on D2C sites to instant delivery via quick commerce. Especially in niche categories such as specialty coffee, craft chocolate, and imported cheese, D2C has become the primary sales channel.
Premium foods emphasizing health functions, such as organic, gluten-free, low-sugar, and probiotic products, are growing rapidly. This trend is driven not only by affluent consumers but also by health-conscious young people in urban areas, and a positioning of "healthy and premium" is expanding the market.
Increased overseas travel experience, the influence of international food media, and the entry of foreign restaurant chains are rapidly raising the food literacy of urban consumers in India. Understanding of and demand for international cuisines such as sushi, ramen, Italian, and French food are expanding, and the market for related imported ingredients and seasonings is growing along with it.
The UHNI segment, said to number about 13,000 people in India, has almost no price sensitivity and seeks products and experiences of the highest quality in the world. There is high demand for personalized services such as private chefs, wine cellars, and regular delivery of imported ingredients. They are concentrated in ultra-luxury areas such as South Mumbai, the Lutyens' Zone in Delhi, and Indiranagar in Bengaluru.
The roughly 300,000 people in the HNI segment are consumers with a strong focus on brand story and quality. They practice "everyday premium" habits such as dining at fine restaurants, purchasing premium wine, and regularly using imported cheese and olive oil. Brand awareness through social media, especially Instagram, has a major influence on purchasing decisions, and they are also highly receptive to influencer recommendations.
This is the fastest-growing segment, estimated at 6-9 million households. It is characterized by “selective premium consumption”: these consumers do not buy premium products across every category, but in specific categories they care about — such as coffee, chocolate, and health foods — they prioritize quality over price. Capturing this segment is key to the sustained growth of the gourmet food market.
India's specialty coffee market is growing at a CAGR of over 15%, with domestic D2C brands such as Blue Tokai, Third Wave Coffee, and Sleepy Owl expanding rapidly. Interest in high-quality Indian-grown coffee beans from Coorg in Karnataka is also rising, and third-wave coffee culture is spreading rapidly in major cities.
ムンバイやデリーの高級スーパーマーケット（Nature’s Basket、Food Squareなど）では、フランス・イタリア産のチーズ、ヨーロッパ産ワインの品揃えが急速に充実しています。インド国産ワイン（Sula Vineyards、Fratelli）の成長も著しく、ワインカルチャーの裾野が広がっています。
The organic food market is growing at an annual rate of over 20%, led by brands such as Organic India, 24 Mantra, and Pro Nature. Rising interest in organic farming methods and health concerns over pesticide residues are driving this growth.
The market for health-conscious premium snacks, such as dark chocolate, nut bars, gluten-free snacks, and low-sugar confectionery, is growing rapidly. It is an active market where imported chocolate (Lindt, Godiva) competes with domestic premium brands (Keventers, Too Yumm).
An increasing share of India's affluent consumers are digital natives, and brand discovery through social media is the starting point of purchasing behavior. A combination of visual branding on Instagram (beautiful food photography, lifestyle content) and storytelling on YouTube (brand background, production process, chef collaborations) is effective.
For premium food, the experience of "tasting" directly drives purchasing decisions. Pop-up events, tasting sessions, and chef collaboration dinners at luxury hotels and restaurants in Mumbai, Delhi, and Bengaluru create direct touchpoints with affluent consumers.
Nature’s Basket（Spencer’s Retail／RP-Sanjiv Goenkaグループ）、Food Square（Relianceグループ。Future Group系のFoodhallは同社の経営破綻に伴い撤退し、2023年にFood Squareが後継）、Gourmet Westなどのプレミアムリテーラーとの取引は（かつて有力だったLe Marcheは2026年9月時点で公式サイトが停止しています）、ブランドのプレミアムポジショニングを確立する上で重要です。店頭での試食プロモーション、棚位置の確保、POP（Point of Purchase）施策が効果的です。
India Market entry: for Japanese premium food brands, the affluent segment is the most promising target. The premium image of "Japanese quality" strongly appeals to India's affluent consumers.
Promising categories: Matcha (differentiation in the premium tea market), wagashi (demand as premium confectionery for gifting), sake (growth in the premium alcohol market), premium seasonings (soy sauce, miso, dashi, for business use at high-end restaurants), and freeze-dried foods (appealing to technological superiority).
Market-entry channel strategy: As a first stage, start with B2B supply to high-end Japanese restaurants in Mumbai and Delhi to build brand awareness. In the second stage, move into B2C rollout through premium retailers, and in the third stage, launch D2C/online sales. localization measures include multilingual packaging (English plus Hindi), the vegetarian mark (green dot), and sizing and pricing tailored for the Indian market.
Regulatory compliance: Obtaining FSSAI (Food Safety and Standards Authority of India) certification is a fundamental prerequisite. For imported foods, the importer's FSSAI license, compliance of ingredient labeling with Indian standards, and adherence to labeling requirements are necessary. For Japanese companies, partnering with a trustworthy Indian importer/distributor is key to success.
For India's affluent, Diwali is the peak of the gifting market. The corporate gifting market alone reaches hundreds of billions of rupees, and high-quality food gift sets are one of the most popular categories. digital payments' growing adoption is also driving an increase in high-value online gift purchases.
For Japanese premium food brands, developing limited-edition Diwali gift sets (with beautiful packaging and design reflecting Japanese aesthetics) can have a major effect on both brand awareness and sales. Proposals as corporate gifts can also lead to large-volume orders through the B2B channel. startups Corporate gift demand from large companies and IT companies is particularly strong.
India's luxury market continues to see double-digit growth, and further expansion is expected. Within this, the premium and gourmet food market is also growing steadily, driven by the expansion of the affluent and near-affluent classes.
Not the traditional old rich, but the relatively young new rich who have succeeded in the IT industry and startups. They tend to prioritize experiences over material possessions, concentrating their spending on fine dining, luxury travel, and wellness.
By asset size, it is divided into Ultra-High-Net-Worth Individuals (UHNI), High-Net-Worth Individuals (HNI), and the affluent class, which is the upper middle class. The affluent class in particular is characterized by selective premium consumption, and capturing it holds the key to the market's sustained growth.
Premium teas such as matcha, premium confectionery for gifting such as wagashi, sake, premium seasonings for business use at high-end restaurants such as soy sauce, miso, and dashi, and freeze-dried foods are all promising. The premium image of Japanese quality strongly appeals to India's affluent consumers, who place importance on quality and packaging design.
Digital marketing centered on social media is the where the business is won, with a combination of visual branding on Instagram and storytelling through video being effective. In addition, experiential initiatives such as pop-ups and tastings at luxury hotels and restaurants, and partnerships with premium retailers, are important.
A staged channel strategy is effective. First, build brand awareness through B2B supply to high-end Japanese restaurants in major cities, then move to B2C rollout through premium retailers, followed by launching D2C and online sales. Obtaining FSSAI certification and partnering with a trustworthy Indian importer/distributor are key to success.
An uncompromising commitment to quality, beautiful packaging design, and a fusion of tradition and innovation: these qualities of Japanese premium food brands align perfectly with the values sought by India's affluent consumers. As the $12.1 billion luxury market grows to $30 billion, food is the most accessible entry point as "everyday luxury." A strategic market entry focused on the three cities of Mumbai, Delhi, and Bengaluru, combined with digital and experiential marketing, will be the formula for success for Japanese premium food brands.
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