Investec || India Dairy II Long-term structural growth A thread🧵 #NSE #bseindia #nifty50 #stockmarkets #GIFTNIFTY #wallstreet #DowJones #NASDAQ #NIKKEI #Dairy #Butter #Amul #cheese #milk #economy #StocksToWatch #exencialinsights
1. Growing demographic dividend #India has overtaken #China as the world's most populous nation. As per #UN World Population Prospects, India's population is projected to steadily increase in the coming years, while China's population has peaked and is expected to decline, possibly falling below 1 billion by the end of the century. This shift in #population dynamics is significant, as India's working-age population is on the rise for the next two decades, while China has already reached its peak in this aspect. India's expanding #demographic dividend offers immense market potential and ensures long-term #growth prospects.
India and China's population forecast #economy #stockmarkets
India’s working age population share #India #brazil #China #population #economy
2. Rising income levels India has seen a significant increase in per capita #income , rising by over 80% in the last ten years to reach US$2.6K in 2023. The #IMF predicts this number will reach around US$4K by 2028, a growth of over 50%. This rise in income levels is expected to result in the addition of around 140 million middle-income households and 21 million high-income households by 2030. Furthermore, the share of middle-income households is set to rise from 54% in 2018 to 78% in 2030. This growth in income levels will lead to higher disposable incomes and drive a rising consumer preference for #premium and nutritious food products like #milk and milk products.
India’s per capita income to grow at 9% CAGR over 2023-28 #nifty50 #wallstreet
3. Discretionary spends India's promising #income growth and favourable demographics should drive consumer spending in the future. The World Economic Forum predicts that consumer spending in #India will skyrocket from $1.5 trillion to nearly $6 trillion by 2030. The latest National Family Health Survey 2022 conducted in India highlights that households in the country allocate a significant portion of their budget towards the #Food segment. The survey also emphasizes a steady rise in discretionary spending within the Food segment over the past two decades, with a consistent growth in dairy products and packaged food products witnessing accelerated #growth.
Indian household consumption breakdown #Food #rent #utility #Health #education
India Household Consumption: Discretionary vs Essential #HouseHold #economy #spending #investing
4. Urbanization #urbanization is a key trend unfolding in #India , driven by improved access to higher #education, unremunerative #agriculture , and #infrastructure development. Although the #urban population in India has been increasing steadily, just over one-third of the population currently resides in urban areas. As per Census Bureau, it is estimated that nearly 40% of India's population will reside in urban areas by 2030. With the ongoing urbanization, we can anticipate a rise in #nuclear families, smaller households with greater disposable income, and an upsurge in expenditure on packaged #foods and eating out. This growing trend is particularly driving the demand for packaged milk products, including #milk , #curd, #Buttermilk, #ghee, #Butter , #icecream , and #paneer.