Indian breakfast habits evolve with the growing adoption of ready-to-eat cornflakes and muesli: Bonafide Research

Rapid change in lifestyle demands healthy meals, and ready-to-eat breakfast is making its way into Indian consumers' breakfast lists. A healthy day starts with a healthy breakfast, and in India, there is a cultural preference for delicious breakfast meals. Traditionally, in joint families, the first meal of the day is considered to be heavy and nutritious to keep a person full and mentally refreshed. Breakfast varies across regions, with parathas in the north, idli or dosa in the south, puri and sabzi or sweets in the east, and khaman or poha in the west. Indians have traditionally favored hot-cooked breakfasts, making it difficult to adapt to modern breakfast options. However, lifestyle changes, shrinking families, and busier schedules are shifting the trend away from lengthy cooking hours. As a result, consumers are increasingly opting for packaged breakfast meals to maintain a healthy first meal of the day. The breakfast cereal market consists of two categories: hot cereals and ready-to-eat (RTE) cold cereals. Ready-to-eat cereals include cornflakes, choco flakes, wheat flakes, and muesli, while hot cereals mainly consist of oats, rolled oats, oat bran, and porridge. Hot cereals require some preparation, whereas RTE cereals can be consumed directly. With changing lifestyles and reduced cooking time, consumers largely prefer RTE cereals, making them the dominant category in both global and Indian markets. A global trend in nutrient enhancement of RTE cereals by marketers is also observed.

According to the report "Indian Breakfast and Cereal (Ready-to-Eat, Hot Cereals), By Company (Kellogg Co, General Mills, PepsiCo Quaker, etc.), (Plain, Flavoured), By Type (Cornflakes, Muesli, Oats) Market Outlook 2027-28," the Indian breakfast and cereal market has been growing at a CAGR of around 19% over the past five years. The ready-to-eat sector dominates the Indian breakfast and cereal market, particularly through cornflakes and muesli. Currently, cornflakes lead the RTE sector as well as the overall market. Initially, cornflakes struggled as an alternative breakfast option due to a lack of awareness among Indian consumers, unlike in Western countries. However, after years of marketing efforts, awareness about cornflakes as a healthy breakfast choice has increased. Over the last few years, the cornflakes market has expanded at a CAGR of over 15%, driven by India-centric innovations and affordable single-serve packs attracting new consumers. Kellogg’s remains the leading company in the cornflakes market, offering numerous variants. Despite competition from some domestic players, the segment remains relatively limited. Bagrry's has introduced 'Cornflakes Plus' variants and is aggressively promoting bran-added cornflakes, along with wheat-based cereals and whole grain sooji products. Other smaller brands include Mohun's, Good Earth, and Express Foods.

Muesli is another growing segment in the RTE breakfast sector. Though smaller in terms of market value, it is one of the fastest-growing products in the category. Muesli, a cold oatmeal dish made with rolled oats, grains, nuts, seeds, and dried or fresh fruits, is gaining popularity as consumers move away from cornflakes. While cornflakes enjoyed significant growth, Indian consumers are now looking for healthier alternatives, boosting muesli sales. Bagrry's and Kellogg’s currently dominate the muesli market, and with rising demand, more players are expected to enter. A portion of the market is also captured by importers who bring international muesli brands to India. Both cornflakes and muesli are further categorized into flavored and non-flavored (sugar-free) variants. Among these, flavored products dominate the RTE category, generating the highest revenue.

The hot cereal market, which competes with the RTE market, primarily consists of oats. Historically, this market has grown at a strong CAGR of around 21%. PepsiCo’s Quaker Oats was the first to introduce oats to India, quickly gaining traction as a new breakfast option. Subsequently, Marico’s Saffola, GSK Consumer, Kellogg’s, and Britannia launched their own oat-based products. Health-conscious eating habits have created opportunities for manufacturers to expand their range of oat-based products. Despite this, oats continue to be primarily consumed as a breakfast cereal. Traditionally, oat brands focused on South India, where demand is highest, particularly in cities like Chennai and Kochi. However, flavored or masala oats have contributed to increased penetration in other regions. The majority of oats consumption occurs in tier-1 and tier-2 cities, where the growing presence of working women is driving the demand for quick and nutritious breakfast solutions.