India Rice Milling Market - Industry Dynamics, Market Size, And Opportunity Forecast To 2027

The India Rice Milling Market is estimated to witness a rise in its revenue from US$ 64.5 Mn in 2021 to US$ 77.7 Mn by 2027. The market is registering a CAGR of 3.1% over the forecast period 2022-2027. Rice milling is a significant step in post-production of rice. The basic objective of a rice milling system is to clean impurities, remove the husk and bran the layers to produce white rice, which is edible, and good for consumption. Most rice varieties have approximately 20% rice hull, 11% bran layers, and 69% starchy endosperm, or total milled rice. India is the world's second-largest producer of rice, and the largest exporter of rice in the world. Production increased from 53.6 Mn tons in 1980 to 120 Mn tons in 2021. Rice mills are one of the ancient and largest agro-processing industries in India.

The growing impetus of the market is attributed to increased investment in technology upgradation & modernization of rice mills in India and government supportive policies & schemes. In order to enhance the production & productivity of rice in the country, government has been promoting modified methods of paddy cultivation such as System of Rice Intensification (SRI), Direct Seeded Rice (DSR) and Line Transplanting under various crop development programs such as National Food Security Mission (NFSM), Bringing Green Revolution to Eastern India (BGREI) and Rastriya Krishi Vikas Yojana (RKVY). Further, the government is promoting rice production through a combination of support prices, assured procurement, and subsidies on key inputs like irrigation, chemical fertilizers, and electricity. Moreover, the government has increased its technology and investment in modern rice processing. In 1976, an amendment to the Rice Mill Industry Regulation Provision implemented modernization of the single-huller mills by including centrifugal de-huskers, separators, and paddy cleaners. Generally, most of the rice mills in India are traditional, huller-type process units. However, small modern rice mills are gradually developing their efficiency and cost-effectiveness. In addition, companies such as Buhler India have been investing large amount of money to bring improved technology to the Indian rice milling sector. Technological advancement and modernization of rice mills helps in reducing the time of downstream processing and thus fulfills the rice demand for consumption as well as export. In addition, a rising population is also expected to propel the market growth. However, the huge initial investment is projected to hinder market growth over the forecast period. 

Key Insights of the Report: 

• Latest study published by Astute Analytica analyzes the India Rice Milling Market for the study period of 2017-2027; where historical years are 2017-2020, base year is 2021 and forecast period is 2022-2027.
• The research report offers detailed study of market determinants including market drivers, restraints, opportunities, and trends; along with attractive presentation in the form of impact analysis to gain a simpler and easy comparison view of all market determinants.
• The research study is a compilation of 6 chapters distributed across 72 pages with 3 lists of tables and 10 lists of figures.
• The market is segmented based on component and type.
• The market estimates are presented in terms of value (US$ Mn).
• Along with market estimations, the market study was conducted on the basis of various economic models such as PESTLE and Porter’s five force models.
• A detailed value chain analysis of the industry was conducted. It includes milling, transportation, retailing, wholesaling, and end user market.
• The Competitive dashboard section includes analysis on the basis of Concentration Ratio (CR), based on market size and market presence of key companies.

Key Takeaways from the India Rice Milling Market Report:

• In terms of components, the rice whitening machinery segment holds the highest market share in 2021 and is projected to continue its dominance over the projection period 2022-2027. This is owing to increasing demand of superior quality rice among different states in India. Further, due to high demand of premium quality rice in the country, length grader machinery is registering the highest growth rate over the forecast period.
• Based on type, 1 to 10 tons type dominates the India rice milling market in 2021 owing to the presence of various small-scale players in the country. Such mills are present all over the country and operate in the domestic market itself. Further, the more than 20 tons segment holds the highest CAGR over the projection period. This is due to rising population and rising demand for rice in the country. Also, government initiatives and support towards modernization of agriculture is expected to accelerate the market growth.

Competitive Landscape 

The key players in the India Rice Milling Market are Bühler India, G.G. Dandekar Machine Works Ltd., Satake Corporation, Savco Sales Pvt Ltd., G.S International, Mill Master Machinery Pvt Ltd., Patker Engineers, and Fowler Westrup among others. Through extensive research, it is found that major share of India is capture by only a few players, while the remaining major chunk of market share is fragmented and distributed amongst small and local players in different states and cities of India. For instance, Rewa Rice Mill and Raj Industries in Madhya Pradesh, KRBL Limited Rice Mill in Uttar Pradesh and Pawapuri Rice Mills in Bihar among others. 

Segmentation Overview:

The following are the various segments of the India Rice Milling Market:

• By Component segment of the India Rice Milling Market is sub-segmented into:
  • Rice Whitening Machinery
  • Pre-Cleaner Machinery
  • Paddy Separator Machinery
  • Length Grader Machinery
  • Others
• By Type segment of the India Rice Milling Market is sub-segmented into:
  • 1 to 10 Tons
  • 10 to 20 Tons
  • More than 20 Tons