India Bug Protein Powder Market Outlook to 2028

India Bug Protein Powder Market Overview

The India bug protein powder market has experienced notable growth, this is reflected by Asia-Pacific bug protein powder market reaching a valuation of USD 213.99 in 2023.This growth is fueled by rising demand for rapid diagnostic solutions and increasing healthcare awareness. This growth is primarily driven by increasing health consciousness among consumers, rising demand for sustainable protein sources, and the escalating interest in alternative proteins due to environmental and ethical concerns associated with traditional meat production.

Key players in the India bug protein powder market include companies like Ento Protein, Cricket Flours, Protifarm, Exo, and Aspire Food Group. These companies are at the forefront of innovation in the bug protein industry, offering a variety of products and actively engaging in research and development to improve product quality and consumer acceptance.

In 2022, Loopworm has USD 3.4 million in the bank, invested by leading VCs including Omnivore and Water Bridge Supported only by low level grant funding, they moved from Delhi to Bangalore, to capitalize on the consistently warm climate, and were soon producing 50 kg of larvae per day. It is in the process of building a facility that will be able to produce 2,000 tonnes of insect protein a month.

India Bug Protein Powder Market Segmentation

The India bug protein powder market can be segmented by various factors like product type, application, and region.

By Product Type: The India bug protein powder market is segmented by product type into cricket protein powder, mealworm protein powder, and grasshopper protein powder. In 2023, cricket protein powder held a dominant market share. This dominance is due to crickets' high protein content, easier farming methods, and consumer preference for their taste and texture in protein powders.

By Application: The market is segmented by application into dietary supplements, food and beverages, and animal feed. Dietary supplements represented the largest market share in 2023. The growing health and fitness trend among consumers and the high protein content of bug protein powders drive this segment.

By Region: The market is segmented by region into north, south, east, and west. The southern region held a largest market share in 2023. The presence of major food processing companies and higher consumer awareness about sustainable protein sources drive the market in this region. High disposable income of the metro cities in this region with different dietary preferences is also a major factor driving the market.

India Bug Protein Powder Market Competitive Landscape

Company Name

Establishment Year

Headquarters

Ento Protein

2017

Mumbai

Cricket Flours

2015

Bengaluru

Protifarm

2018

Delhi

Exo

2014

Hyderabad

Aspire Food Group

2013

Chennai

Keetup: Keetup has one of the biggest insect protein manufacturing facilities in India, located in Haryana. Their industrial-scale production unit makes them the largest insect meal producer in the country. Keetup specializes in producing high-quality BSFL meal, which is a sustainable protein source for aquaculture and poultry.

Exo: Exos introduction of flavored bug protein powders in 2023 has been well-received. Chitin, their flavored bug protein is a form of indigestible fiber that contains amazing prebiotic properties, which provides energy to beneficial organisms in the gut. It is marketed as a nutrient-rich and environmentally friendly alternative to traditional protein sources, appealing to health-conscious consumers looking for sustainable options.

India Bug Protein Powder Industry Analysis

Growth Drivers

Sustainability Concerns: By the end of 2024, India is projected to face severe water shortages in several regions, making sustainable protein sources more attractive. Insect protein production emits fewer greenhouse gases since India's per capita carbon dioxide emissions rose by around 5% in 2022 to reach 2 tonnes.

Rise in Vegan and Alternative Diets: The vegan population in India is growing, with close to 38% people claiming themselves as vegetarian. This demographic shift is fueling the demand for alternative protein sources, including bug protein powders, which cater to the nutritional needs of vegans and vegetarians.

Technological Advancements in Food Processing: The investment in food tech startups in India has increased exponentially, indicating a robust interest in developing innovative food products. Enhanced processing methods are making insect protein more palatable and versatile, which is expected to drive consumer acceptance and market growth.

Market Challenges

Supply Chain Constraints: The insect protein supply chain is relatively underdeveloped in India. Challenges include scaling up production, ensuring consistent quality, and establishing efficient distribution networks. In 2024, the lack of infrastructure for large-scale insect farming and processing is a bottleneck for the industry.

High Production Costs: The cost of producing insect protein powder is currently higher than traditional protein sources. In 2024, the average cost of producing 1 kg of insect protein powder is USD 15, compared to USD 8 for whey protein. High production costs can be attributed to the nascent stage of the industry, limited economies of scale, and the need for specialized equipment and processes.

Government Initiatives

Good Food Institute (India): The Department of Biotechnology under the Ministry of Science and Technology, Government of India, has constituted a committee where GFI India is a knowledge partner. In July 2023, GFI India secured a major win when continued engagement with the Indian government led to the inclusion of alternative proteins as one of six key priorities for its Ministry of Science and Technology.

Partnerships with Food Tech Companies: The National Nutritional Strategy, updated in 2024, includes a focus on promoting alternative protein sources to address malnutrition. The government is partnering with food tech companies to incorporate insect protein into school meal programs, targeting the nutrition of children in India.

India Bug Protein Powder Market Future Outlook

By 2028, the India bug protein powder market is projected to grow exponentially, driven by continued consumer awareness, supportive government policies, and advancements in production technologies. The market is expected to witness an increase in the number of products available, greater acceptance of insect-based foods, and expanded applications in various food and beverage sectors.

Future Market Trends

Technological Innovations: Advances in food processing and biotechnology are expected to reduce production costs and improve product quality. Innovations such as precision farming and automated processing are projected to decrease the cost of bug protein powder production, making it more competitive with traditional protein sources.

Expansion into New Markets: The bug protein powder market is expected to expand beyond dietary supplements and enter new segments such as functional foods, sports nutrition, and pet foods. By 2028, it is anticipated that these new segments will create a market hype, driven by increasing demand for high-protein, sustainable food options across various consumer categories.
Please Note: It will take 5-7 business days to complete the report upon order confirmation