As India's food system becomes increasingly digital, global, and doorstep-delivered, a crisis brews: marked by diluting accountability, supply chain opacity, and mounting reputational risks.
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India's food culture is undergoing a dramatic transformation. Urban consumers are now becoming more dependent on app-based meal deliveries and packaged foods rather than fresh food. Cloud kitchens, commercial entities without dining spaces and focused solely on food delivery, have emerged as a result; these are solely dedicated to online orders. Meanwhile, ultra-processed foods (UPFs) rule the market, representing an INR 2,500-billion industry linked to diet-related health hazards. This change offers variety and convenience, but also exposes the gaps in regulation. Regulators are struggling to keep pace with such changes, as is evidenced by government reports and polls, thus raising alarm. The recent Economic Survey, for example, signals that uncontrolled expansion of UPFs represents a serious danger to public health and future productivity. Moreover, hundreds of millions of workers who work for the food delivery apps as part of the gig economy are outside conventional labour law protections. India's changing ‘food plate’, now heavily outsourced and processed, is therefore a paradox of unmet food safety standards and accountability issues.
Cloud kitchens have revolutionised food service in India. Delivery-only kitchens grew exponentially in tandem with food aggregator platforms. The cloud kitchen market in India was estimated at approximately US$ 400 million in 2019 and reached over US$ 1.05 billion by 2023, more than doubling. It was estimated by experts to hit US$ 2 billion by 2024, driven by pandemic-induced demand for home delivery. This boom has enabled new efficiencies: owners have cut down on employees and rent by operating several ‘virtual’ restaurant brands out of a single kitchen. It has also generated employment for an enormous army of delivery workers. Union Transport Minister Nitin Gadkari said in late 2024 that India had approximately 7.7 million gig workers, and the number is only expected to increase. Platform-based gig workers are now included in the urban food economy, with government think-tank NITI Aayog estimating that the number of gig workers will stand at 24 million by 2029-30.
The use of aggregators only compounds the issue: platforms charge commission fees of up to 20-30 percent, which often erode cloud kitchens' already minimal profit margins. This pressure may provoke cost-cutting at the expense of quality, say, with the use of lower-grade ingredients or base operations in less-than-ideal premises, in the absence of strict regulatory mechanisms.
Yet the cloud kitchen model creates its own mysteries. These kitchens are often outsourced and out of the customer's sight, raising concerns about hygiene and regulatory compliance. It is difficult to ensure food safety across thousands of scattered ghost kitchens. In 2018, the Food Safety and Standards Authority of India (FSSAI) discovered that 30-40 percent of restaurants featured on aggregator apps did not have the FSSAI licence or registration required. The regulator instructed platforms to delist unlicensed restaurants and place each outlet's licence number on their websites. Things did see an improvement after the crackdown, but the number of new cloud kitchen entrants renders continuous monitoring next to impossible. Many small players compromise safety just to make it through on razor-thin margins. The use of aggregators only compounds the issue: platforms charge commission fees of up to 20-30 percent, which often erode cloud kitchens' already minimal profit margins. This pressure may provoke cost-cutting at the expense of quality, say, with the use of lower-grade ingredients or base operations in less-than-ideal premises, in the absence of strict regulatory mechanisms.
One of the lesser-known aspects is the well-being of delivery riders and workers preparing these meals. The ease of being able to enjoy a home-delivered warm meal at our doorstep masks the unstable and precarious existence of delivery riders. As contractors, they are subject to the algorithmic pressures of time and usually face hazardous traffic. Road safety is a huge concern, as riders rushing to meet tight delivery deadlines are particularly vulnerable to accidents.
With ghost kitchens emerging, Indian diets alongside are being supplemented with more UPFs: highly salted, sugary, and fatty instant foods, packaged foods, ready-to-consume foods, sugary beverages, and soft drinks. The outcome is a fast-growing market valued at INR 2.5 trillion and considered as "too big to ignore". However, consumer awareness and regulation have been unable to keep pace with this growth. The Economic Survey 2024-25 found a correlation between UPF consumption and growing obesity, diabetes, cardiovascular diseases, and even mental illnesses in India. A World Health Organisation (WHO) report found that the consumption of UPFs in India rose from the value of US$ 900 million in 2006 to US$ 37.9 billion in 2019, at a rate of more than 13 percent each year. This junk food surge complicates efforts to contain the spread of non-communicable diseases (NCDs). Four out of ten Indian adults are diabetic or pre-diabetic, and over half of the country’s children display initial signs of metabolic risk, figures that put the scale of the issue into perspective.
Despite these warnings, the regulation of processed food is comparatively weak in practice. India has yet to adopt stringent front-of-pack nutrition labelling or excessive taxation of unhealthy food, approaches most experts recommend. The Economic Survey advocated the imposition of overt warning labels on UPF packaging, calling it a requirement to protect future public health. It is notable that voluntary self-regulation by the food industry has not been able to stop the over-promotion of unhealthy foods. The government has also considered introducing a ‘health tax’ on UPFs as a measure of deterrence, but these ideas are in the initial stages. The onus of responsibility, therefore, falls on the consumers themselves, and they might not be quite aware of added sugars, trans-fats, or sodium in their favourite snacks.
In 2020-21, over 26 percent of sampled food items were found non-compliant with standards; the failure rate remained around 23-25 percent in the following two years.
Moreover, food safety enforcement in India struggles with scale and complexity. Adulteration and sub-standard quality are persistent issues, from spices laced with chemicals to packaged foods stored improperly in online food aggregators and quick commerce warehouses. In 2020-21, over 26 percent of sampled food items were found non-compliant with standards; the failure rate remained around 23-25 percent in the following two years. This implies that one in every four food samples tested is tainted or not up to quality standards. Consider market leaders in the spice trade: whereas domestic examiners failed, overseas regulators raised the alarm. Hong Kong authorities suspended the sales of some Indian spice blends (including top-selling brands) in January 2024 after they found excessive amounts of ethylene oxide, a prohibited cancer-causing pesticide. Singapore immediately followed suit by recalling the lots. The FSSAI started selective testing of the same brands in Indian markets only after this international concern. Products can pass through regulatory gaps, particularly when new threats (such as new additives or toxins) are not positively monitored. Strong, forward-looking inspection practices and reliable standards enforcement are needed if India is to safeguard consumers in this new age of ‘Big Food’.
The Indian subcontinent has long leveraged its food culture as a soft power tool long before it was a thing. India's rich culinary tradition, from spices to mangoes, is central to its global cultural diplomacy and international commerce. The government's choice of making 2023 the "Year of Millets" internationally, for instance, promoted India's food culture and India's position in possibly influencing sustainable diets. India ships tons of tea, spices, basmati rice, and specialty fruits. However, this soft power instrument could readily turn into a weakness if food safety lapses tarnish the "Brand India" image. Failure in safety comes with a reputation cost: if import nations keep associating Indian exports with repeated safety failure incidents, it destroys confidence in India's food supply chains. Sadly, such incidents have been increasing. The Rapid Alert System for Food and Feed of the European Union reported 248 safety problems with spices and herbs in 2023, a few more than the year before, and India provided the largest number in a single contribution (58 cases). Most of them were due to too many pesticide residues or microbial contamination. This figure is now over 90 cases for the year 2024.
Failure in safety comes with a reputation cost: if import nations keep associating Indian exports with repeated safety failure incidents, it destroys confidence in India's food supply chains.
There is also less tolerance abroad for regulatory complacency. Indian mangoes, although renowned, go through rigorous examination in top markets. Indian mangoes are required by the United States (US) to be irradiated to kill fruit flies and other insects. In 2025, 15 lots of Indian premium mangoes were denied entry by US authorities due to errors in reporting irradiation compliance, leading the exporters to burn the consignments at a cost of an estimated US$ 0.5 million. Though in this instance the problem was one of documentation, it exemplifies how any inability to maintain pace with safety procedures can come at a heavy cost.
These incidents carry a reputation cost that extends beyond temporary business loss. They erode India’s credibility as an exporter of safe and quality food. There is also diplomatic value: food safety can be a trade conversation and an international collaboration subject. As India's appetite for convenience grows, so too must its vigilance in ensuring food safety and quality. The stakes are high, as consumer and worker health, along with the nation’s culinary reputation, all depend on building food systems that are not only efficient but also safe and reliable.
K. S. Uplabdh Gopal is an Associate Fellow with the Health Initiative at the Observer Research Foundation.
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Dr. K. S. Uplabdh Gopal is an Associate Fellow with the Health Initiative at the Observer Research Foundation. He writes and researches on how India’s ...
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