Economic Survey 2023-24 Highlights Rising Obesity Concerns in India

Concerns over rising obesity and increased consumption of highly processed foods with sugars and fats were highlighted in the Economic Survey 2023-24. The survey attributed 54% of India's total disease burden to unhealthy diets. It emphasised the need for preventive measures to promote healthier lifestyles among citizens.

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The survey, presented by Finance Minister Nirmala Sitharaman in Parliament on Monday, stressed that for India to benefit from its demographic dividend, it is essential for the population's health parameters to shift towards a balanced and diverse diet. The report cited the Indian Council for Medical Research, noting that the rise in consumption of highly processed foods, combined with reduced physical activity and limited access to diverse foods, worsens micronutrient deficiencies and obesity issues.

Urban vs Rural Obesity Rates

According to the National Family Health Survey (NFHS), obesity rates are significantly higher in urban areas compared to rural regions. In urban India, 29.8% of men and 33.2% of women are obese, whereas in rural areas, these figures are 19.3% for men and 19.7% for women. The percentage of men aged 18-69 facing obesity increased from 18.9% in NFHS-4 to 22.9% in NFHS-5. For women, it rose from 20.6% in NFHS-4 to 24% in NFHS-5.

The survey also pointed out that obesity is a growing concern among India's adult population and must be addressed urgently. It noted that combined with an ageing population in some states, obesity presents a significant challenge that requires immediate preventive measures.

Impact of Lifestyle Changes

The Economic Survey highlighted the substantial contribution of the private sector to unhealthy habits such as increased screen time, social media usage, and consumption of unhealthy food. These habits can undermine public health and productivity, diminishing India's economic potential. "For India's working-age population to be gainfully employed, they need skills and good health," it stated.

The survey also mentioned that emerging food consumption habits in India are not only unhealthy but also environmentally unsustainable. It suggested that Indian businesses should embrace traditional lifestyles, food, and recipes that promote health and harmony with nature.

Growth of the Food Service Industry

A report from the National Restaurant Association of India (NRAI) estimated that the Indian food service industry is worth about Rs 5.69 lakh crore and is expected to reach Rs 7.76 lakh crore by FY28. The industry is growing at a compound annual growth rate (CAGR) of 8.1%, with the organised segment experiencing a higher growth rate of 13.2%. The NRAI's India Food Services Report 2024 attributed this growth to rising incomes, urbanisation, a young population, and changing lifestyle and food habits.

Indian consumers are becoming more adventurous with their food choices, showing interest in regional and Asian cuisines like Japanese and Korean alongside traditional Indian, Western, and Chinese dishes.

Online Food Delivery Trends

A joint report by Swiggy and Bain & Company revealed that Gen-Z and younger cohorts account for 40% of food consumption. Demand for online food delivery has grown significantly, with penetration increasing from 8% to 12% between 2019-23. This represents a 70% growth in consumption in the top-50 cities.

The report predicts continued growth in online food delivery at an annual rate of 18% over the next seven years due to greater access and customer uptake.

Addressing obesity through healthier diets is crucial for India's future health prospects. The Economic Survey underscores the importance of transitioning towards balanced diets while recognising the role of lifestyle changes and industry growth in shaping food consumption patterns.