New Delhi: The Nutrition Access Initiative (ATNI), a global, independent, not-for-profit organization dedicated to catalyzing market transformation for better access to nutrition, is hosting a multi-stakeholder event to launch the third edition of the India Index in partnership with Consumer Voice and India Confederation of Industry.
The India Index 2023 edition evaluates the top 20 food and beverage manufacturers in India. 14 of the companies are listed on Indian or international stock exchanges.
The full list of companies evaluated:
Adani Wilmar; Agricultural Technology Foods; Britannia Industries; Coca-Cola India; Dabur India; Gujarat Cooperative Milk Marketing Federation (GCMMF) AMUL;Haldiram’s Snacks Private Limited; Hatsun Agricultural Products; Heritage Foods; Hindustan Unilever; ITC; KMF Nandini (Karnataka Cooperative Milk Producers Federation); Lactalis India; Mario; Mondelez India Food; Breast Milk Fruits and Vegetables; Nestlé India; Parle Products; Patanjali Dishes; PepsiCo India.
Context
Business in India is booming, especially in the food sector.
- The Government of India aims to double the contribution of the food processing sector to GDP by 2030.
- Household consumption in India is expected to quadruple by 2030.
- Sales of packaged food and beverages in India have increased 15% annually since 2011, dwarfing total food sales.
Along with India’s rapid economic growth, the country is also witnessing a transformation in dietary patterns and an increase in consumption of processed foods. India’s food processing industry is currently the sixth largest in the world and is expected to reach INR 40.1 trillion (US$ 480 billion) by 2026.
Health Status: Micronutrient deficiencies are extremely common; More than 23% of adults are overweight and 35.5% of children under the age of five face growth delay, while 3.4% of children under the age of 5 struggle with early overweight issues. The figures are very high compared to developed countries.The macroeconomic cost of malnutrition to India is enormous.
- The indirect cost to businesses in India due to reduced workforce productivity due to obesity is estimated to be US$ 75.65 billion by 2030 (World Obesity Federation).
- Reduced labor productivity due to anemia, just one form of malnutrition, costs Indian businesses $20.5 billion every year (Chatham House).
Global cost of malnutrition: The estimated cost of malnutrition in human lives is $11 trillion, while the cost of global food consumption is $9 trillion.
Key findings
The food and beverage industry is playing an increasingly important role in determining what consumers in India eat, the quality of their diet and their impact on health.
Companies and products are evolving: seven of the 20 companies included in the index are embarking on a transformation journey by setting (re)formulation targets in line with nutritional guidelines for sodium, saturated fat and sugar. Half use nutrition strategies that demonstrate their commitment to a healthier tomorrow.
Our in-depth review of 1,901 products from the top 20 companies shows that only 24% of sales come from “healthier” products.
Other Highlights
Ø Since there is no agreed definition of what healthy food is, companies resort to using their own definitions that are not compatible with each other or with (internationally) accepted standards.
Ø Seven of the 20 companies included in the index report having at least one (re)formulation target to reduce nutrients of concern (e.g. sodium, saturated fat, sugar) in their portfolio, and half of the companies have a nutrition strategy.
Ø Seven companies have a publicly available policy on responsible marketing to children.
Ø Five companies show evidence of the implementation of clearly defined workforce nutrition programmes; two of these include clearly measurable goals.
Ø Seven out of 20 companies were found to have a responsible advocacy policy.
Ø The findings of the 2023 India Index show that the food and beverage industry has a significant opportunity to improve its product offerings to make them healthier and more affordable for all consumers in India.
Ø Five institutional investors and shareholders of food companies in India have signed nutrition frameworks such as Investor Prospects on Nutrition, Diet and Health as part of their responsible investment strategies.
Aligned with the Sustainable Development Goals (SDGs), which aim to address malnutrition and hunger, the India Index serves as an important tool to enhance product portfolios, striving for at least half of these portfolios to meet healthy standards by 2030.
Greg S Garrett, ATNI Managing Director, said: “ATNI is working at three levels to transform markets and provide better access to healthier products and diets: tools including benchmarks and indices that assess the private sector on their nutrition commitments and products; policy support and alliances through ATNI’s Nutrition and Health Investors; and action research supporting nutrition market change. This India index will act as a powerful catalyst to promote positive change in the food and beverage industry in India. Focusing on the private sector’s contributions to diet, nutrition and health, the Index sheds light on what works and what doesn’t in the food industry. “It’s exciting to see efforts aimed at making real impact in the industry and encouraging a more conscious and health-focused approach.”
