India is the largest untapped protein market with gap of 200 billion USD & growing: Who will ride this wave?

Per capita consumption of protein in India is almost half of not just developed countries but even developing countries around the World as depicted below.

While much attention has been given to disadvantages of some form of foods such as fats, sugar, salt, etc. as well as deficiency of some micro-nutrients in human body, the biggest body building food Protein, has been consistently neglected by us.

According to a survey conducted by IMRB in April 2015, 9 out of 10 Indians had a diet deficient in proteins. This was regardless of the gender and socio-economic groups. The report also pointed to a meagre 25% awareness levels among Indians on the need and importance of protein.

World Health Organisation (WHO) has published in a recent report that 2.5 million children in India die every single year due to malnutrition. Further, 48% of its children under five years are stunted (low height for age) and 42.5% are underweight. Protein deficiency is one of the biggest cause of mal-nutrition.

 

Source: WHO

  

 Source: National Institute of Nutrition (NIN), ICMR.

Source: National Nutrition Monitoring Board (NNMB)

As per NIN, Indian diets derive almost 60 % of their protein from cereals with relatively low digestibility and quality. Many plant proteins are lower in one or more essential amino acids than animal proteins. Further, bio-availability of plant proteins is lower as compared to animal proteins. Therefore, vegetarians are at higher risk of protein deficiencies.

The protein intake by average Indians look less promising in terms of the protein digestibility corrected amino acid score (PDCAAS) or DIAAS, Biological Value (BV) and Protein Efficiency Ratio (PER), where all populations, appear to have an inadequate quality to their protein intake.

As per NMMB survey, even these low-quality proteins make up hardly 79% of the average protein requirements of Indians:

  

It is estimated that average per capita protein deficiency in India is 17 gms/day or 6.2 Kgs/year. Even if we consider cheapest form of protein available at Rs.2/gms, it means average Indian deficiency of protein translates to market of Rs. 12,000/person and with a population of 1.3 billion; it provides an untapped market of Rs. 15,000 billion or USD 200 billion.  

This untapped market would be available to those players who are able to provide proteins to the country satisfying following:

1. Affordability: In order to tap the hidden protein market, biggest challenge is to make it more affordable.

2. Quality: In terms of its bio-availability, digestibility and amino acid profile as well as overall concentration

3. Daily food item: Rather than a supplement, daily food item can only satisfy this latent demand. Also meeting local diets & food-habits eg. Vegetarian, fresh (no additives or preservatives)

4. Taste: Has to match taste requirements of consumers and also move away from harmful nutrients

5. Tailored for different consumer groups

Only those players who are able to satisfy majority of these requirements would be able to ride the huge untapped wave of 200 billion & growing protein market.