India Food and Beverages FY2026 Half-Annual Review

India's food and beverage sector made considerable advances from September 2025 to March 2026. The Indian government, through the Food Safety and Standards Authority of India (FSSAI), strengthened regulatory scrutiny over the food and beverage sector to improve quality and bolster confidence. Karnataka state pioneered the adoption of an alcohol-in-beverage-based tax system in India by altering its excise duty structure for alcoholic beverages to reflect alcohol content. The market for non-alcoholic beverages also saw notable shifts. The Coca-Cola and Pepsi duopoly, which has long maintained more than 90% of the market share, is being seriously challenged by new competitors Campa Cola and Lahori Zeera, which are quickly gaining traction. In the last six months, there has also been significant corporate activity in the food and beverage industry, with both trade and financial buyers increasingly interested in small but growing brands.