NRAI: Indian Food Services Set To Exceed Rs 7 Crores By 2028
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The National Restaurant Association of India (NRAI) has recently posted the much-awaited Indian Food Services Industry Report for the financial year 2024. The report. titled the NRAI India Food Services Report 2024 (NRAI IFSR 2024), estimates that the industry is currently valued at Rs 5,69,487 crores and is projected to grow to Rs 7,76,511 crores by FY28. This represents a growth of over 36% in just four years, with a CAGR of 8.1% overall and a projected growth at a CAGR of 13.2%.

The year 2024 marks the 5th time NRAI has been the voice of the Indian restaurant industry. Apart from Kabir Suri, the President of NRAI and Co-founder & Director of Azure Hospitality, there were many other leaders in the F&B industry. The gracious members included Sagar Daryani, Co-Founder of Wow! Momo Foods; Nitin Saluja, Founder of Chaayos; Pranav Rungta, Director of Curry Me Up; Rahul Singh, Founder & CEO of The Beer Cafe; and Anand Sharma, Director of Customer Development at PepsiCo India.

While the 2024 Food Services report delves deep into the significant role that the food services industry plays in the Indian economy, at the event, Kabir Suri emphasises, “Despite the setbacks during the COVID-19 pandemic, the Food Service Industry in India is experiencing rapid growth. The sector directly employs 85.5 lakh people and contributes Rs 33,809 crore to the Indian Exchequer. The post-COVID recovery highlights the resilience of the industry, highlighting the need for the Government to recognise its socio-economic impact and take immediate steps to unlock the sector’s full potential."

“The primary objective of this report is to present these critical facts to both the Central and State Governments to enhance our economic contribution to India’s GDP and to serve as the most accurate and definitive source of information on the Food Services sector. I extend my gratitude to all NRAI members for their contributions to this report,” he humbly adds.

The Chairman of the Report Steering Committee says, “Over the past five years, the Food Services Industry has undergone significant change, with food delivery increasingly replacing home-cooked meals. This sector is crucial, providing livelihoods for many Indians and supporting those who have migrated to major cities in search of better opportunities, often lacking the time to prepare daily meals. Our report aims to offer unique and valuable insights to our members, establishing itself as the most credible source of information regarding industry size, segments, and growth opportunities. Additionally, it will serve as a guide for restaurant owners and operators, helping them understand key business drivers and boost their revenue. We also hope our Central and State Governments recognise the industry's concerns and take positive actions to accelerate its growth. I am honoured to have led the research project for NRAI India Food Services Report 2024.”

Adding to these insights, the Vice President of NRAI, Sagar Daryani, informs, “The Food Services Industry in India is evolving rapidly, driven by one of the world's largest young populations, rapid urbanisation, greater exposure, and high disposable incomes. Dining out and ordering in has become a popular choice for customers to spend quality time with loved ones, especially during late evenings and dinner times. Our NRAI IFSR Report provides critical findings that serve as a definitive tool for effective strategies and planning. It facilitates better collaborative communication between business partners, investors, vendors, and supply chain providers. This report is essential for the Food Services Industry to gain the necessary support and recognition from the Government, ensuring consistent and sustained growth”.

All in all, it can be concluded from the NRAI IFSR 2024 report that the food industry has withstood the pandemic, and not only has it recovered but is projected to grow at a quick pace. The youngster’s investing in dining out, high-quality food and experiences further shape the industry. The report also focuses on the convenience of ordering food online, coupled with attractive discounts and a wide variety of options, which has made it a popular choice among consumers, especially millennials and Gen Z. Be it, stakeholders who want to invest in restaurant operators who want a wider picture, the report is a comprehensive source of all the information.