How Functional Foods Can Be India's Wellness Breakthrough - Backed by Ayurveda & Modern R&D

With a USD 13 billion market already growing at double digits, India's functional food sector is emerging as the bridge between tradition and technology. From probiotics and plant proteins to botanicals like ashwagandha and tulsi, the country is turning centuries of food wisdom into a modern "nutrition economy." Yet, to unlock its true potential, brands must balance credibility, regulation, and consumer education.

- By Satya Tiwari

In recent years, India is witnessing a quiet but significant shift in how we view food - not just as fuel, but as a means to sustain wellness and even prevent illness. The concept of functional foods, that is, foods which offer health benefits beyond basic nutrition, is increasingly finding resonance in the Indian context. And this rise is being supported by both the rich heritage of Ayurveda and the momentum of modern research and consumer awareness.

The Rise of Functional Foods

To begin with, the Indian market for functional foods is growing at a healthy pace. According to a detailed market-analysis report, the Indian functional foods market was valued at around USD 13,024.3 million in 2023 and is projected to reach approximately USD 25,379.1 million by 2030, growing at a compound annual growth rate (CAGR) of about 10 % from 2024 to 2030. Of the total market for “functional food and beverages” segment in India, prebiotics and probiotics were the largest revenue-generating ingredient class in 2023, while vitamins are the fastest-growing ingredient segment. Consumer behaviour supports this shift.

A survey by Mintel found that about 2 in 5 Indians now seek multifunctional benefits in food and drink (for example, energy, immunity, mood, sleep). Around 45 % are looking for foods with more than one functional benefit. At the same time, consumers show a growing preference for ingredients that reflect India's food heritage: 26 % of consumers associate functional foods with Ayurdeva herbs, while 54 % look for fruit- or vegetable-based ingredients.