Food franchising has come of age in India. Northern India boast of having 70% brands of 408 brand franchisors, Western India with 386 brands, Southern India with 250 brands and the Eastern India with 58 brands.
Over 30% of new food outlets which are coming up in almost all the cities across the country are through franchise system, 17% share of food and beverages in the organized sector is operated by franchisors in the country. There are 1200 franchisors at present, out of which 150 are exclusively dealing in food and beverage retail 75% of which are of Indian origin and rest are international. There are around 18,000 franchised restaurants in the country as compared to only 2500 run by company owned by these 150 food franchise companies, according to a survey carried out recently by Confederation of Indian Food Trade and Industry (CIFTI) food wing of Federation of Indian Chambers of Commerce and Industry (FICCI) in association with Franchising India Holding Ltd.
Report states that the Indian franchising sector is growing at the rate of 38% per annum with a market size of US$ 7.2 billion and is expected to reach US$ 20 billion by 2013. There are 1200 active franchise concepts in India and over 100,000 franchisees.