T tops India in spending on ready-to-eat food: SBI study | Hyderabad News

Hyderabad: Telangana households spend a larger share of their food budget on served and ready-to-eat meals than households in any other state, reflecting changing lifestyles, busy work schedules and a growing preference for food prepared outside the home, according to an SBI Research analysis of household consumption patterns.The study found that served and ready-to-eat food accounts for 16.3% of total food expenditure in Telangana, the highest among all states. Tamil Nadu, Meghalaya and Karnataka also reported relatively high spending on the category, highlighting a broader shift in consumption patterns in several parts of the country.Telangana also ranks among the country’s highest-spending states on food overall. It placed fifth in monthly food consumption expenditure, behind Haryana, Nagaland, Goa and Kerala, indicating relatively strong household spending power and changing dietary preferences.The SBI Research analysis, based on the Household Consumption Expenditure Survey 2023-24, points to striking variations in food baskets across states. While Telangana leads in spending on ready-to-eat food, Goa records the highest share of expenditure on packaged processed food at 11.4%.Other states exhibit distinct consumption trends. Milk and milk products account for the largest share of food expenditure in Haryana at 28.6%, cereals dominate household spending in Jharkhand at 38.6%, while Chhattisgarh allocates the highest shares to pulses (20.5%) and vegetables (14.3%). Kerala leads the country in expenditure on fresh fruits, with the category accounting for 7% of its food spending.The report also sheds light on the gradual digitalisation of food purchases, although online buying remains limited across most fresh food categories. Grocery purchases recorded the highest digital adoption at 4.29%, followed by served processed food at 2.62% and packaged processed food at 1.65%.Online purchases were much lower for fresh food items, accounting for 1.32% of vegetable purchases, 1% of fresh fruit purchases and just 0.62% of dry fruit purchases.Household demographics also influence spending choices. Families with a higher proportion of elderly members tend to spend more on milk, fruits and vegetables, while allocating less to served and packaged foods. In contrast, households with more children spend relatively higher amounts on milk products as well as ready-to-eat and packaged food items.While Telangana’s leading share of expenditure on ready-to-eat food signals changing consumer habits and greater reliance on convenience foods, the survey does not indicate how often households consume such meals or whether they are replacing home-cooked food.Nevertheless, the findings point to a significant shift in food spending patterns as urbanisation, rising incomes and changing lifestyles reshape consumption behaviour.
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