Latest News- Cake Market in India: Dessert cakes is expected to lead the Product segment during 2025-2029

The Cake Market in India is being driven by Growing preference for premium and customized cakes

The Cake Market in India is expected to grow at a CAGR of 6% during 2024 and 2029. During this period, the market is also expected to show a growth of USD 217.7 million. In the Indian cake market, there is a notable shift in consumer preferences towards sugar-free and vegan cakes. This trend is driven by rising awareness regarding the health risks associated with excessive sugar consumption and concerns over animal welfare and environmental sustainability. The segment of consumers seeking healthier alternatives to traditional cakes is expanding, with a growing demand for sugar-free options catering to individuals managing diabetes or pursuing weight loss goals. Vegan cakes address ethical and environmental concerns by excluding animal-derived ingredients. This trend signifies a significant shift in consumer behavior, reflecting a more conscious and health-conscious society. 

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Which Factors Are Causing a Surge in Market Growth?

The market is segmented based on

• Product
  • Dessert cakes
  • Sponge cakes
  • Cupcakes
  • Others
• Distribution Channel
  • Offline
  • Online
• Flavor
  • Chocolate
  • Vanilla
  • Cheese
  • Others
• Geography
  • India

According to Technavio, There are several factors that are causing the market to flourish during the forecast period, which are as follows: 

• Growing preference for premium and customized cakes
• Expansion of bakery chains and cafes in India
• Increasing demand for artisan-baked products

However, the market also witnesses some limitations, which are as follows:

• Limited shelf life of cakes
• Seasonal demand variations leading to production planning and inventory management
• Fluctuations in raw material prices for cake manufacturing in larger units

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Market Scope in Cake Market in India Research Report

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Research Analysis Overview

The cake market in India is thriving, particularly during special occasions and dine-out experiences. With a rising demand for desserts, weekend parties are incomplete without a cake-cutting ceremony. Millennials and Gen Z consumers are driving the trend, with an increasing number of health-conscious individuals opting for gluten-free and organic diets due to gluten sensitivity, celiac disease, or as a lifestyle choice. Gluten-restricted diets have led to the growth of niche gluten-free bakeries, offering alternatives to flavorless mainstream cakes. Innovative ingredients and inclusivity are key factors in catering to diverse customer segments, including those with non-celiac gluten intolerance. Tasty cakes, whether moist chocolate or delicate sponge, continue to be a crowd-pleaser.

Market Research Overview

The cake market in India experiences significant growth during special occasions, success celebrations, and weekend parties. The demand for cakes and desserts in the dine-out segment is on the rise, leading to increased sales for cake manufacturers. Successful businesses and individuals often opt for cake cutting ceremonies to mark milestones, further boosting the market's growth. The health-conscious consumer trend towards minimally processed foods also benefits the cake industry, as many artisanal bakeries offer fresh, natural ingredients in their products. According to market research firm Technavio, the global packaged foods market, which includes cake manufacturers, is projected to grow due to the health benefits associated with minimally processed foods and the increasing demand for convenience and ready-to-eat products.. Industries are leveraging the products belonging to the market for customer engagement, transactional notifications, and promotional offers.

Technavio Research
Jesse Maida
Media & Marketing Executive
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UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/