Every entrepreneur today is locked in on their target market’s trade data. India’s agriculture and emerging industries have multiple import-export figures suggesting exceptional startup potential.
According to the MoFPI Annual Reports for 2024-2025, India is expected to export agro-food products worth 46.43 billion USD and import worth 31.7 billion USD. Also, the processed food products exports were 23.4% of total exports, which shows that higher value addition translates to higher profits.
Therefore, new businesses that focus on the export of processed food and import substitution via domestic production are likely to grow much faster. So, trade data helps the new businesses formulate plans for effective global expansion.
Read More: Export Opportunities for Indian Businesses
Snapshot of Imports and Exports of Food and Chemicals from India
The trade of Food and Chemicals in India shows constant development and has enormous potential for startups. The country exports several valuable food items and, at the same time, imports essential products, suggesting the presence of market gaps.
Food Exports for the period of Financial Year 2023 2024
India’s agri-food exports reached 46.43 billion dollars valued which is 11.7 of the total exports. 10.88 billion dollars of the total was classified as processed food exports which is 23.4 percent of the total exports.
Exports include cereals worth 10.9B, spices worth 4.7B, seafood and meat worth 10B, sugar worth 3.29B, and processed fruits and vegetables worth 1.15B.
Food Imports for the period of Financial Year 2023 2024
India s total food imports reached 31.7 billion dollars dominated by edible oil which is approximately 15 billion dollars, fruits and nuts 4.19 billion dollars, beverages 1.54 billion dollars, and cocoa 513 million dollars. These imports are available for substitution by local production through Startups.
Import and Export of Chemicals
Startups focusing on specialty chemicals can substitute imports of oleoresin and other food grade chemicals for export and spice, essential oils, and edible oil derivatives imports by setting up nutraceutical production plants in India.
Read More: A Startup’s Guide to India’s Plantation Industry Export Market
Why gaps in import export are new business possibilities for new ventures
- Dependence on Edible Oil: New business ventures can set up processing plants for soybean, sunflower, and canola oil as more than 60 % edible oil is imported to India.
- Lack of Adequate Food Processing: new business ventures can focus on the manufacture of dehydrated foods, ready to eat there for and fortified foods.
- Rising Demand for Specialty Chemicals: new ventures can easily cater the increasing demand for nutraceuticals, export grade oleoresins, and food grade chemicals.
- Sustainability Initiatives: there is an increasing need for the integration and processing of food with green chemistry, eco friendly and plant based chemistry.
New Prospects for Business in the Food Industry
The outstanding growth in the food industry of India is also an indicator to the emerging new business opportunities and venture for startup firms to pursue in the international market.
Each subsector expansion is accompanied with high demand and the growth potential of the entire sector supports the assertion of ample value added innovation as the further slant.
Cereal and Grain Processing
Because India ranks second in the world in the export of cereals with a staggering value of $10.9 billion, there is a demand in Africa and the Middle East for value added snacks, fortified instant rice and millet, which can be catered to by startups.
Such startups can harness the benefit of domestic grains to create disruptive global food brands using innovative packaging and cook-tech.
Spices and Oleoresins
World’s highest export of spices is done by India whose value is $4.7 billion. This provides the country with a unique opportunity for the export of organic, clean label spices.
Startups can set up spice oleoresin extraction and also spice oil and natural flavoring plants. With the demand for organic and clean label spices growing, this becomes an attractive and developing export market.
Read More: Booming Business of Trading Of Spices
The Meat and Seafood Preparing Industry
Food parks and other cold chain facilities could be utilized by new firms to process ready to eat meals, halal meat, and frozen seafood. The potential for profits and succeeding in this business vertical is quite high.
Successful execution of this business vertical can earn over 10 billion dollars in exports mainly to the Gulf and South East Asia.
The Vegetable and Fruit Processing Industry
A revenue of 1.15 billion USD can be earned through and exports made by processing and packing fruit pulps, dehydrated powders, and tomato paste.
The established relationships with farmers and the cold storage facilities serve to enhance quality and diminish waste, thereby providing dependable export capacity.
With reference to the processed raw
The export is about $3.29 billion USD. New entrants into the market can purchase ghee, jaggery, and other natural sweetener and sugarless products.
Food park amenities lower operational costs and enhance market penetration for the abundant international market focusing on health and wellness.
Emerging business opportunities—chemicals
India’s chemicals sector is replete with opportunities for import substitution and export expansion. Startups can target an increasing demand for edible oil derivatives, cocoa extracts, food-grade chemicals, and nutraceuticals.
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Edible oil derivatives
Startups can establish oilseed extraction and refining units for US $15 billion worth oilseed imports—soybean, mustard, and sunflower. The production of cold-pressed and specialty oils also leads to net imports and export growth.
Cocoa & chocolate processing
India imports US $513 million worth cocoa. New ventures can establish cocoa processing and artisanal chocolate units to promote Indian premium brands abroad.
Food-grade chemicals & additives
Rising imports indicate local production of emulsifiers, stabilizers, and natural preservatives is warranted in the country. FSSAI and ISO certifications open regional and international export pathways.
Plant Based Nutraceuticals
Startups have the most opportunity to develop herbal extracts, Ayurvedic protein powders, and oleoresins. This sector’s integration of health and wellness, sustainable living, and thriving export market makes it the most desirable.
Assistance Given by The Government To Startups
PMKSY: Besides subsidizing mega food parks with integrated cold chains and agro clusters, also allows readily available infrastructure for other startups.
PMFME: Within the framework of the One District One Product Policy, applicable local delicacies are promoted along with 35% subsidy.
PLISFPI: Grants are available for exports of ready-to-eat food, dairy, and seafood. Therefore, financial support is available for startups as well.
Make in India & DPIIT: Policies foster chemical manufacturing and also much-needed start-up encouragement.
Successful Startups
- LT Foods (Daawat Rice): From a local trader to a global brand with exports.
- Everest & MDH Spices: Grew into a billion-dollar MSME through intelligently marketed and high-quality products.
- Paper Boat: Captured global market with unique combination of traditional Indian recipes and innovative packaging.
- Godrej Agrovet: Strengthened business model by integration of food and chemicals.
- Lesson: Therefore, value addition, procedural support, and effective branding policy can bring global achievement to startups.
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How NPCS Can Help You
Niir Project Consultancy Services (NPCS) helps you with the development of an industry from an idea for a startup. We create surveys and detailed project reports which drive the project from the manufacturing stage to machining, raw materials, and advanced economic predictive modeling.
We also advise on choosing the right product: measuring its return on investment and the export potential. Thus, with NPCS, you mitigate risks, minimize time investment, and build the confidence needed to make a global foothold.
Entrepreneurs Roadmap
- Analyze Data: Look for gaps in imports for oils and cocoa.
- Choose Government Schemes: Opt for PMKSY, PLISFPI, or PMFME.
- Set Up Units: Construct dehydration, refining, or extraction plants.
- Verify Compliance: Obtain FSSAI, HACCP, and ISO certificates.
- Brand Development: Market the global “Proudly Made in India” campaign.
- Export Development: Target markets in Africa, the Middle East, and the EU.
- Partner with NPCS: Obtain detailed reports and guidance on project feasibility.
Find the Best Idea for Yourself With our Startup Selector Tool
Final Thoughts: How to Shape the Future Industry of India
The food and chemicals industries in India have not yet been developed; however, the potential for growth is clear. Furthermore, an increase in demand for the exportation of processed foods, spices, and cereals can be seen as an expanding opportunity internationally.
At the same time, the high imports of cocoa and edible oils suggest potential for local production which is currently not being met and can be addressed by startups.
As a result, there is rapid and sustainable growth for startups that fill these gaps and focus on local value addition and exports.
In conclusion, every import gap represents a new business opportunity while every export gap depicts a business growth opportunity. Therefore, these gaps should be invested in and action should be taken, which is the point in time we have reached now.
Import Export Business Opportunities: FAQ
Do starting entrepreneurs need to pay attention to the trends in import and export for India and why?
Trade data can reveal the profit-generating products for the country. This can be useful for new companies in the food sector.
In India, which food products can we export that have the highest demand?
We can export Seafood, spices, cereals, and processed fruits.
What Government Schemes are available for food entrepreneurs in India?
Entrepreneurs can apply for PMKSY, PMFME, and PLISFPI to access money, infrastructure, and subsidies.
What are some ways startups can participate in the Chemical industry?
They can put up food-grade chemicals, edible oil derivatives or nutraceuticals.
In what ways does NPCS support new business owners?
NPCS provides market analysis, investment planning, and feasibility studies, which cover business decisions to ensure they are sound and gain the most profit.
