Bloomberg journalists Pratik Parija and Kai Schultz discuss the packaged food industry's focus on India and its impact on public health. They explore the tactics used to target Indians with processed foods, the presence of major junk food brands, labeling challenges, rising obesity rates, and the potential for government regulations to address the issue.
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Quick takeaways
The demand for fast food and processed snacks in India has led to a surge in sales, reaching over $30 billion, but this popularity has resulted in rising rates of obesity and diabetes, especially among children.
India's limited regulation of food items and packaging has allowed food companies to freely market their products, leading to concerns about labeling practices and nutrition information, and the need for stricter regulations to combat rising obesity rates.
Deep dives
The popularity of high-calorie, low-nutrition food in India has led to rising rates of obesity and diabetes
In India, the demand for fast food and processed snacks has surged in the past decade. Snack and soft drink sales have nearly tripled, reaching over $30 billion last year. However, this popularity of high-calorie, low-nutrition food has come at a cost. Rising rates of obesity and diabetes, particularly among children, have become a significant concern. The rise in sales can be attributed to Indians adopting and experimenting with Westernized food habits, driven by the affordability and marketing strategies of these products.
Processed food and convenience stores are gaining popularity in India
Processed food is a relatively new phenomenon in India. Items such as breakfast cereals, chocolates, and confectionery have gained popularity across demographics, even in rural areas. Large supermarkets are still uncommon in India, but convenience store chains have expanded in cities like Delhi. These stores stock processed foods and have disrupted the traditional open-air vegetable markets. Alongside international brands like McDonald's and Domino's, local brands like Maggie and Kellogg's have become household names.
Lack of regulation and limited public health awareness contribute to the challenges
India's limited regulation of food items and packaging has allowed food companies to market their products more freely compared to stricter regulations in other countries. There is a lack of public health awareness regarding the potential health risks of consuming processed foods regularly. Concerns have been raised about the labeling practices and nutrition information provided on packaging being buried or not prominently featured, making it challenging for consumers to make informed choices. While some food companies have made efforts to address health concerns, public health activists argue for stricter regulations and clearer labeling in order to combat rising obesity rates.
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Bloomberg’s Pratik Parija and Kai Schultz join this episode to discuss why the packaged food and beverage industry has its sights set on India—and what that means for the health and wellbeing of the 1.4 billion people who live there.