Cool new flavours and start-ups with distinctive enterprise fashions have been seen on the not too long ago concluded Indian Ice Cream Expo in Gandhinagar. Take Ice Cream Junction, a distinct segment ice-cream model floated not too long ago by the Choudhary brothers from Pali in Rajasthan.
“We’re focussed on promoting preservative free high-fat ice-creams to Gen-Z. These ice-creams have a shelf-life of simply 2.5 months,” mentioned 33-year-old Nirmal Choudhary who had attended the Expo in search of franchisees to accomplice their progress.
Shaking it up
The Choudhary brothers signify a brand new breed of entrepreneurs seeking to scoop up a wholesome share of the quickly rising ice-cream market in India. “Within the final one yr, a variety of personal funding has poured into the Indian ice cream trade. So, there may be a variety of scope for us to get comparable funding. We’re at the moment in talks with traders within the US to develop our ice-cream enterprise to your complete western area together with Haryana, Rajasthan and Gujarat,” mentioned Choudhary. The brothers, who’re into milk processing, forayed into the ice-cream manufacturing area a month in the past with a 1,000 litres per day ice-cream unit, providing flavours comparable to Pink Guava, Sea Salt Caramel, New York Cheesecake and Baklawa Delight.
“The ice-cream market in India is quick attracting the higher middle-class prospects who’ve bigger pockets. Our ice-creams are premium and price virtually as a lot as a gelato,” mentioned Choudhary. The beginning-up which operates a 30,000 litres per day milk processing unit, not too long ago opened its first ice-cream retailer close to Jodhpur city.
Sudhir Shah, president of Indian Ice-Cream Producers Affiliation (IICMA), says, “The most important story within the ice-cream trade in India is about city-based manufacturers going nationwide. The trade has been rising at 12-15 per cent every year and it has generated a variety of curiosity amongst personal traders and international gamers. Loads of start-ups and mid-sized entities working in ice-cream area have attracted personal traders. Additionally it is a win-win scenario for mid-sized ice cream gamers who wish to develop to different elements of the nation and are searching for funds.”
New entrant within the ice-cream area in Gujarat, Hocco has additionally attracted funds and is seeking to quadruple its capability from the present 40,000 litres per day. The Ahmedabad-based model is operated by the Chona household who offered their Havmor model to South Korean Lotte Confectionery in 2017, and thus know the ropes. “We’ve began large, not like different start-ups. We not too long ago attracted ₹100 crore value of funds which will likely be used to market the model and develop it into different territories. We’ve already launched in Maharashtra and Rajasthan and we’re getting into Delhi in a giant method. This yr itself we’ve focused to clock ₹200 crore value of income,” mentioned Ankit Chona, Managing Director of Hocco ice-creams.
Dollops of funds
Neha Singh, CEO and CO-Founder of information agency Tracxn, says, “Since 2019, the ice cream trade in India has skilled regular progress in funding, reaching its peak in 2024. The phase witnessed $26.5 million in 2024 year-to-date (YTD) making it the best funded yr on this phase. Notably, 2024 YTD alone accounts for greater than 74 per cent of the entire funding raised within the final 5 years on this phase.“
In response to Tracxn, Hangyo, an ice-cream model from Mangaluru, has scooped $25 million in a non-public fairness spherical in 2024. NOTO, a direct-to-consumer ice-cream model, too has received a giant serving of funds accumulating $4.58 million via 4 successive rounds. Get-A-Manner, a web-based D2C wholesome ice cream model has secured $3.5 million in its seed stage spherical.
“The expansion of the ice-cream market in India may be attributed to altering client preferences in direction of premium, artisanal, and more healthy choices, pushed by urbanisation and rising disposable earnings. The proliferation of contemporary shops, e-commerce platforms, and fast commerce companies, which have improved product accessibility and comfort; and the emergence of progressive manufacturers providing distinctive flavors, fusion creations, and more healthy alternate options to cater to evolving client calls for,” Singh mentioned.
It’s candy tidings for ice-cream makers.