Static Snacking Trends in FY25

For the first time since the pandemic, the growth in snacking habits has come to a halt in FY25. This stagnation is attributed to various factors including consumption fatigue, the pinch of high prices, and a lack of innovative product choices. Data from Kantar reveals that households have not increased their purchases of biscuits, noodles, or namkeen, with some even buying less than usual.

Market Correction and Inflation Impact

Analysts suggest this trend may represent a market correction following the Covid-induced spike in snacking. Companies point to high inflation, especially in edible oils, as a significant dampener. The reduction in grammage of smaller packs has led consumers to buy fewer packs, particularly affecting biscuits and savoury snacks.

Shift Towards Local Brands

A noticeable shift towards smaller or local brands has emerged as consumers seek to cut costs. Mondelez's survey highlights a trend towards 'off-brand versions' and mindful snacking, with consumers adjusting their habits to economic pressures without entirely giving up on snacking.

Future Outlook

Despite the slowdown, the snacks category remains the least impacted within the food sector. Industry leaders anticipate that stabilizing edible oil prices and strategic incentives from manufacturers could revive growth in snacking consumption.