What drives India’s shift to processed foods

Findings from the HCES and other surveys underline worrying trends in dietary habits

India’s rich culinary tradition, deeply rooted in its culture, embodies a profound understanding of nutrition and healthy living. However, the recent Household Consumption Expenditure Survey (2023-24) highlights concerning trends, particularly a decline in traditional cooking practices. 

The survey reveals a decrease in the share of average monthly per capita expenditure on food items in both rural and urban areas. Specifically, the share of food items in monthly per capita expenditure decreased from 52.9 per cent to 47.4 per cent in rural areas and from 42.62 per cent to 39.68 per cent in urban areas between 2011-12 and 2023-24.

This decline highlights the worrying trend of vanishing traditional cooking practices in Indian kitchens. The survey also shows reduced cereal expenditure in rural and urban areas. In 2011-12, the spending on cereals was 10.69 per cent and 6.61 per cent, which decreased to 4.97 per cent and 3.74 per cent, respectively, in 2023-24.

Additionally, there has been a drastic fall in the consumption of vegetables in rural and urban areas. The share of monthly per capita expenditure on vegetables decreased from 6.62 per cent to 6.03 per cent in rural areas and from 4.63 per cent to 4.12 per cent in urban areas.

There has been a modest rise in the share of monthly per capita expenditure on milk and milk products in both rural and urban areas. Spending on eggs, fish, and meat has remained relatively stable, with a slight increase observed in rural areas.

In 2011-12, the share was 4.79 per cent in rural areas and 3.65 per cent in urban areas. By 2023-24, it had increased to 4.92 per cent in rural areas but decreased to 3.56 per cent in urban areas. On the other hand, the consumption of pulses and pulse products, an integral part of Indian cuisine, has decreased significantly, indicating a shift in dietary preferences.

The share of pulse and pulse products in monthly per capita expenditure reduced from 2.76 per cent to 1.78 per cent in rural areas and from 1.93 per cent to 1.22 per cent in urban areas.

The traditional nutritious home-cooked meals in Indian households are increasingly being replaced by processed and packaged food items. India has experienced a significant shift towards consuming processed foods and beverages, raising concerns about changing dietary habits.

According to the HCES, the monthly per capita expenditure on beverages and processed food has risen from 8.98 per cent and 7.9 per cent (2011-12) to 11.09 per cent and 9.84 per cent (2022-23) in urban and rural areas, respectively. Recent research has highlighted the increased consumption of sugar, oils, and highly processed foods in Indian diets, particularly in urban areas. According to data from Euromonitor (2019), per capita sales of packaged and processed foods in India nearly doubled from $31.3 in 2012 to $57.7 in 2018.

The 2018 Global Nutrition Report also emphasised the negative dietary impacts of industrially processed and manufactured foods, as they tend to increase the overall nutritional content of sugars, saturated and trans-fat, salt, and dietary energy density while decreasing the content of protein, dietary fibre, potassium, iron, zinc, magnesium, and other essential nutrients. Consequently, numerous studies have expressed concerns about the health implications of the rising consumption of these foods in India.

According to the Ministry of Statistics and Programme Implementation (MOSPI), in the financial year 2023, urban households with elite backgrounds allocated nearly 50 per cent of their monthly food budget to packaged food, dining out, and food delivery services. The data indicates a significant decrease in home cooking among Indians over the past ten years, as evidenced by increased spending on dining out and purchasing processed foods.

The share of processed food and beverage spending in middle-income households’ food budgets has also increased from 16 per cent to nearly 25 per cent. The demand for these unhealthy food items is also anticipated to grow in the coming years because the largest group of consumers comprises middle-income individuals.

Low nutrition, rising risk

Globalisation has expanded international food chain outlets from metro cities to small towns and villages. The migration of people and their subsequent adaptation to the processed food culture has contributed to the growing demand for such food in India.

Factors such as urbanisation, the rise of nuclear families, the increasing number of working couples, increased family incomes, and work pressure have also driven individuals to rely on processed food. Additionally, the rise of online delivery networks has revolutionised the food industry, providing new business opportunities. It shifts the reliance from home-cooked food to alternative food sources.

The subsequent growth in consumption of these food items is concerning, especially given the awareness that they have lower nutritional value. Statistics indicate that the number of deaths due to lifestyle diseases is increasing in India. The number of patients suffering from various lifestyle diseases such as obesity, hypertension, diabetes, heart ailments, and cancer is showing an increasing trend. 

Between 2005-06 and 2015-16, the percentage of men and women in urban India who were overweight or obese increased by almost 10 points to reach 27.6 per cent for men and 37.6 per cent for women. In rural India, the prevalence was 14.8 per cent for men and 18.2 per cent for women.

The statistics highlight significant challenges faced by the Indian population in the health sector. Lifestyle diseases are increasingly affecting our society, making healthcare inaccessible for many families and pushing them into poverty.

As a result, the private health sector may take advantage of these challenges when public health systems struggle to provide adequate treatment. In addition to lifestyle diseases, the National Family Health Survey-6 (2023-24) highlights the alarming issue of malnutrition among children and women in the country.

Promoting a healthy food culture requires careful consideration of family dynamics and parental influence. Prioritising the inclusion of naturally grown fruits, vegetables, and traditional foods in daily meals significantly enhances nutritional value.

Addressing India’s nutritional challenges demands more than merely regulating processed foods. A comprehensive approach is needed – one that improves the nutritional quality of the food supply and ensures equitable access to nutrient-rich, unprocessed foods.

(Maya is an assistant professor, Department of Economics, Christ Deemed to be University, Bengaluru; Neeraj is a research scholar, Department of Econometrics, University of Madras)