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Mass-market consumers remain highly price-sensitive
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Thursday, 20 August, 2026, 08 : 00 AM [IST]
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Our Bureau, Mumbai
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Mass-market consumers in India remain highly price-sensitive, making price parity with ultra-processed snacks critical for clean-label and traditional food brands seeking wider adoption, according to Bhushan Namdeorao Yengade, Vice President (Market Research), Council for Promotion, Research & Trade in Traditional Foods (CPRTTF), and Founder of Binder Technology Consultancy.
Speaking at the 16th edition of CII Foodpro 2026, Yengade said growing consumer awareness around healthier and traditional foods has not necessarily translated into a willingness to pay premium prices. While demand for clean-label and ingredient-led products is rising, he noted that premium positioning remains largely limited to affluent urban consumers.
“The consumer awareness is there, but a premium price tag immediately alienates the mass market,” Yengade said during the panel discussion.
According to research presented by Binder Technology Consultancy, sustained high-margin premium models are unlikely to drive mass-market volumes. Instead, the next phase of growth will depend on making better-for-you snacks affordable and competitive with established ultra-processed products.
Yengade said achieving this price parity requires structural changes across the traditional food ecosystem, including localized food incubation, cluster-based manufacturing, stronger supply chains and integrated traceability. Such measures, he suggested, could help traditional foods achieve economies of scale without compromising ingredient quality or consumer trust.
The discussion also highlighted the changing expectations of Indian consumers and opportunities across food processing and innovation. Nandita Bapat Avadhoot, EVP & Chief Development Officer, Sapphire Foods India Ltd, shared insights into evolving consumer preferences. At the same time, Sivaramakrishnan V, Chairman, CII Trichy Zone and Founder & Chief Vision Officer, Sri Velavan Agro Trichy, discussed regional processing infrastructure.
Pramod Francis, Chief Visionary Officer, Perfetto Naturals, addressed innovations in clean-label preservation. At the same time, Rehan Dominic, Manager – Consumer Products, Casino Air Caterers & Flight Services Pvt. Ltd., outlined opportunities for functional food applications in airline catering.
The discussion concluded that although premium and health-focused segments continue to expand, the mainstream shift towards healthier snacking will ultimately depend on affordability. By combining competitive pricing with transparent sourcing and traceability, traditional Indian snacks could gain wider acceptance and position healthier alternatives as everyday choices rather than premium products.
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