Chennai: India’s food service sector grew at 11 per cent in the last three years and is estimated at Rs 4.23 lakh crore in 2018-19, proving employment to nearly 7.3 million people, a report said.
Growing at nine per cent, it is projected to reach Rs 5.99 lakh crore by 2022-23, the National Restaurants Association of India (NRAI) said in its India Food Services Report 2019.
“The growth is noticeable at the segment and format levels of the sector,” the report said.
The organised segment, according to the report, holds a 35 per cent share, grew 13 per cent in the last three years and is estimated at Rs 1.48 lakh crore in 2018-19. It is estimated to grow at 15 per cent to Rs 2.57 lakh crore in 2022-23.
Within the organised sector, affordable casual dining restaurants accounted for Rs 60,255 crore in 2018-19 and fine diners for Rs 2,872 crore with PBCLs (pubs, bar cafes and lounges) and cafes at Rs 17,979 crore and Rs 9,370 crore, respectively.
The unorganised sector rose 10 per cent in the past three years to touch Rs 2.75 lakh crore in 2018-19 and is expected to touch Rs 3.41 lakh crore by 2022-23, a growth of six per cent.
In terms of employment, the organised sector provided jobs to 3.7 million people, or 51 per cent of the total in 2018-19, the unorganised sector to another 3.6 million people (49 per cent) of the total workforce. This is estimated to grow six per cent to 9.2 million in 2022-23.
In terms of consumer outlook, the report states that the Indian market for non-home cooked food has grown rapidly during the last several years, with the country home to one of the highest millennial polulations (aged 18-35) “whose food habits and tastes are very different from those of previous generations”.