The lassi market in India market size was valued at INR 56.03 Billion in 2024. Looking forward, the research estimates the market to reach INR 245.73 Billion by 2033, exhibiting a CAGR of 16.96% from 2025-2033. The market is witnessing stable expansion, driven by increasing consumer preference for traditional and nutritious beverages. Rising health awareness, expanding retail presence, and product innovations, including flavored and packaged variants, contribute to market expansion. Growing urbanization and demand for convenience further boost industry prospects.
The growing health consciousness among Indian consumers is a key driver for the lassi market, as it is widely recognized for its probiotic properties and digestive benefits. With an increasing preference for natural and nutritious beverages, lassi is gaining traction as a healthier alternative to carbonated and sugary drinks. Rising disposable incomes and urbanization have further contributed to the demand for packaged and ready-to-drink lassi, making it a convenient option for busy lifestyles. For instance, as per industry reports, urbanization is proliferating in India, with 35% to 37% of the population found to be dwelling in urban areas in 2024. Additionally, the influence of Ayurveda and traditional Indian dietary habits continues to reinforce the popularity of lassi as a staple beverage across different consumer demographics.
Expanding e-commerce channels are further propelling the growth of the Indian lassi market. The presence of lassi in supermarkets, hypermarkets, and convenience stores has increased accessibility, while the rise of online grocery platforms and quick-commerce apps has boosted sales. For instance, the research indicates that online grocery segment in India is anticipated to reach around USD 96.3 Billion by the year 2033.
Additionally, aggressive marketing and branding strategies by dairy companies are enhancing consumer awareness and driving higher adoption. Innovations in packaging, such as single-serve and eco-friendly options, are making lassi more appealing to urban consumers. The introduction of flavored, fortified, and organic variants is also fueling market expansion, as brands cater to evolving consumer preferences and demand for premium, value-added dairy products.
Apart from this, prominent firms are actively launching high-end and unique flavors, mainly including cardamom, mango, or rose to cater to the taste of younger population. In addition to this, the robust requirement for organic as well as preservative-free lassi is significantly fueling, as health-conscious user are navigating for nutritious and natural beverage options. This trend is further incentivizing manufacturers to actively emphasize on value-added and premium offerings.
In addition to this, quick-commerce applications and online grocery platforms are making it convenient for customers to procure lassi from the comfort of their homes. This rapid inclination in distribution channels is facilitating several companies to proliferate their foothold beyond metro cities to tier 2 and 3 markets. In addition to this, firms are also increasingly utilizing digital marketing strategies to endorse their products and boost engagement with health-conscious customers.
Additionally, the demand for lactose-free and plant-based alternatives is emerging, driven by dietary preferences and health concerns. Brands are investing in research and development to enhance nutritional value while maintaining the authentic taste of traditional lassi. This focus on health benefits is expected to further accelerate market growth in the coming years.
The intense promotional tactics by leading industry firms, combined with notable inclination towards ready-to-drink dairy beverages amongst urban customers, facilitates the boosting of retail sales. Amplifying disposable incomes and transforming dietary habits toward functional dairy products are further fostering market proliferation through retail channels.
In addition, the market accessibility for dairy products has been improved by both existing brands and comprehensive retail distribution networks. The market expands further due to rising trends of portable meal consumption and increasing quick-service restaurant activities. Moreover, the wide range of demographic groups across Maharashtra drives sales for regular lassi as well as contemporary lassi variants.
Besides, increasing investments in marketing, retail expansion, and product differentiation further intensify competition in this evolving market. For instance, in October 2024, Parle Agro announced a strategic partnership with Platinum Outdoor to boost its marketing campaign for newly launched SMOODH Lassi. This outdoor campaign spanned around 70 cities in India.
The growing health consciousness among Indian consumers is a key driver for the lassi market, as it is widely recognized for its probiotic properties and digestive benefits. With an increasing preference for natural and nutritious beverages, lassi is gaining traction as a healthier alternative to carbonated and sugary drinks. Rising disposable incomes and urbanization have further contributed to the demand for packaged and ready-to-drink lassi, making it a convenient option for busy lifestyles. For instance, as per industry reports, urbanization is proliferating in India, with 35% to 37% of the population found to be dwelling in urban areas in 2024. Additionally, the influence of Ayurveda and traditional Indian dietary habits continues to reinforce the popularity of lassi as a staple beverage across different consumer demographics.
Expanding e-commerce channels are further propelling the growth of the Indian lassi market. The presence of lassi in supermarkets, hypermarkets, and convenience stores has increased accessibility, while the rise of online grocery platforms and quick-commerce apps has boosted sales. For instance, the research indicates that online grocery segment in India is anticipated to reach around USD 96.3 Billion by the year 2033.
Additionally, aggressive marketing and branding strategies by dairy companies are enhancing consumer awareness and driving higher adoption. Innovations in packaging, such as single-serve and eco-friendly options, are making lassi more appealing to urban consumers. The introduction of flavored, fortified, and organic variants is also fueling market expansion, as brands cater to evolving consumer preferences and demand for premium, value-added dairy products.
Lassi Market in India Trends:
Rising Demand for Packaged and Flavored Lassi
The Indian lassi market is currently experiencing a notable inclination towards packaged varieties from conventional homemade consumption mainly because of transforming customer choices and heightening urbanization. Customers are currently preferring ready-to-drink lassi offered in convenient packaging, typically impacted by magnifying disposable incomes and busy lifestyles. For instance, as per industry reports, per capita disposable income in India is anticipated to reach around INR 2.14 Lakhs during the time period 2023 to 2024. Moreover, the data revealed that disposable income elevated by 8% in FY2024.Apart from this, prominent firms are actively launching high-end and unique flavors, mainly including cardamom, mango, or rose to cater to the taste of younger population. In addition to this, the robust requirement for organic as well as preservative-free lassi is significantly fueling, as health-conscious user are navigating for nutritious and natural beverage options. This trend is further incentivizing manufacturers to actively emphasize on value-added and premium offerings.
Expansion of Organized Retail and Online Distribution
The magnifying presence of both e-commerce websites and modern retail formats is substantially impacting the Indian lassi market. For instance, as per industry reports, the e-commerce future prospects is depicting strong landscape, with growth rate estimated to be 185 through the year 2025. In line with this, India is set to emerge as third biggest consumer sector worldwide by 2030. Moreover, convenience stores, supermarkets, and hypermarkets are offering better availability as well as visibility to branded products of lassi.In addition to this, quick-commerce applications and online grocery platforms are making it convenient for customers to procure lassi from the comfort of their homes. This rapid inclination in distribution channels is facilitating several companies to proliferate their foothold beyond metro cities to tier 2 and 3 markets. In addition to this, firms are also increasingly utilizing digital marketing strategies to endorse their products and boost engagement with health-conscious customers.
Increasing Popularity of Functional and Health-Focused Lassi
With growing awareness of digestive health and immunity, consumers are seeking functional dairy beverages, including probiotic and fortified lassi. Manufacturers are launching variants enriched with probiotics, added vitamins, and reduced sugar content to cater to health-conscious buyers. For instance, as per industry reports, in August 2024, Amul launched its new high-protein dairy portfolio to address the transforming dietary demands. This product line also involves high-protein lassi with 15 grams of protein incorporated in a pack of 200ml.Additionally, the demand for lactose-free and plant-based alternatives is emerging, driven by dietary preferences and health concerns. Brands are investing in research and development to enhance nutritional value while maintaining the authentic taste of traditional lassi. This focus on health benefits is expected to further accelerate market growth in the coming years.
Lassi Market in India Industry Segmentation:
The research provides an analysis of the key trends in each segment of the lassi market in India market, along with forecasts at the country and state levels from 2025-2033. The market has been categorized based on sales channel.Analysis by Sales Channel:
- Institutional
- Retail
The intense promotional tactics by leading industry firms, combined with notable inclination towards ready-to-drink dairy beverages amongst urban customers, facilitates the boosting of retail sales. Amplifying disposable incomes and transforming dietary habits toward functional dairy products are further fostering market proliferation through retail channels.
State Analysis:
- Maharashtra
- Uttar Pradesh
- Andhra Pradesh and Telangana
- Tamil Nadu
- Gujarat
- Rajasthan
- Karnataka
- Madhya Pradesh
- West Bengal
- Bihar
- Delhi
- Kerala
- Punjab
- Orissa
- Haryana
In addition, the market accessibility for dairy products has been improved by both existing brands and comprehensive retail distribution networks. The market expands further due to rising trends of portable meal consumption and increasing quick-service restaurant activities. Moreover, the wide range of demographic groups across Maharashtra drives sales for regular lassi as well as contemporary lassi variants.
Competitive Landscape:
The competitive landscape is exhibited by the presence of both established dairy cooperatives and private sector players. Leading brands lead the market with comprehensive networks for distribution and a robust brand recognition. Regional dairy companies and local vendors also contribute significantly, catering to traditional preferences. The growing demand for packaged and flavored lassi has driven innovation, with players introducing probiotic, low-fat, and sugar-free variants.Besides, increasing investments in marketing, retail expansion, and product differentiation further intensify competition in this evolving market. For instance, in October 2024, Parle Agro announced a strategic partnership with Platinum Outdoor to boost its marketing campaign for newly launched SMOODH Lassi. This outdoor campaign spanned around 70 cities in India.
The report provides a comprehensive analysis of the competitive landscape in the lassi market in India market with detailed profiles of all major companies, including:
- GCMMF
- Mother Dairy
- Punjab State Cooperative Milk Producers' Federation Limited
- Milan Dairy Foods Private Limited
- Rajasthan Cooperative Dairy Federation Limite.
Key Questions Answered in This Report
- What was the size of the lassi market in India in 2024?
- What is the expected growth rate of the lassi market in India during 2025-2033?
- What has been the impact of COVID-19 on the lassi market in India?
- What are the key factors driving the lassi market in India?
- What is the breakup of the lassi market in India based on the sector?
- What are the key regions in the lassi market in India?
- Who are the key players/companies in the lassi market in India?
Table of Contents
1 Preface3 Executive Summary12 Loans and Financial Assistance
2 Scope and Methodology
4 Introduction
5 Indian Dairy Industry
6 Indian Lassi Market
7 Performance of Key Regions
8 Market Breakup by Sector
9 Competitive Landscape
10 Lassi Manufacturing Process
11 Project Details, Requirements and Costs Involved
13 Project Economics
14 Key Player Profiles
List of Figures
List of Tables
Companies Mentioned
- GCMMF
- Mother Dairy
- Punjab State Cooperative Milk Producers' Federation Limited
- Milan Dairy Foods Private Limited
- Rajasthan Cooperative Dairy Federation Limited
Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 118 |
| Published | June 2025 |
| Forecast Period | 2024 - 2033 |
| Estimated Market Value ( INR | INR 56.03 Billion |
| Forecasted Market Value ( INR | INR 245.73 Billion |
| Compound Annual Growth Rate | 17.9% |
| Regions Covered | India |
| No. of Companies Mentioned | 5 |
