India's Snack Industry Struggles to Reduce Sugar Content Amid Changing Consumer Preferences
Snack companies can't break free from sugar yet
The Economic TimesImage: The Economic Times
India's snack manufacturers are facing challenges in reducing sugar content, with low- or reduced-sugar products comprising only 0.9% of launches in the past fiscal year. Despite a growing demand for healthier options, particularly among teens, companies are struggling to balance taste, cost, and health in their offerings.
- 01Low- or reduced-sugar snacks accounted for just 0.9% of launches in the last fiscal year.
- 02Demand for high-protein and low-sugar snacks is increasing, particularly among teens.
- 03Sugar-free snacks are growing 30-40% faster than traditional categories.
- 04Balancing health benefits with taste remains a significant challenge for manufacturers.
- 05Consumer activism regarding food safety is influencing product development.
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India's snack industry is grappling with the challenge of reducing sugar content in products, with low- or reduced-sugar snacks making up only 0.9% of launches in the fiscal year ending March 31, 2023. This figure, while up from 0.1% in 2022, indicates stagnation and a decline from 1.1% in 2024, according to data from UK research firm Mintel. Despite a clear consumer preference for healthier options, especially among teens, manufacturers are finding it difficult to reformulate products without compromising on taste or increasing costs. A significant portion of the youth demographic, approximately 249 million aged 10-19 in India, is driving the demand for high-protein and low-sugar snacks. While sugar-free snacks are gaining traction, growing 30-40% faster than traditional categories, the industry faces challenges such as small pack sizes and the need for mindful consumption. Experts suggest that balancing health claims with enjoyable formats is crucial for appealing to younger consumers, but the task of reducing sugar while maintaining taste is proving to be a complex endeavor. Amid rising concerns over food safety and consumer activism, companies are focusing on portion control as a key strategy.
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The struggle to reduce sugar in snacks may lead to limited choices for health-conscious consumers, particularly teens who are increasingly seeking healthier options.
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