Investors warm up to premium pantry brands as demand for clean-label foods grows

Investor interest in India’s direct-to-consumer (D2C) food sector is shifting beyond indulgence-led categories such as snacks and beverages to startups selling premium kitchen staples, as consumers increasingly opt for clean-label, minimally processed products.

Recent fundraises by brands such as Anveshan, alongside the rapid growth of companies like Two Brothers Organic Farms, underscore a broader trend where premium products including ghee, cold-pressed oils, traditional grains and jaggery are finding a place in consumers’ everyday grocery baskets rather than remaining niche purchases.

The trend comes as premium pantry brands demonstrate stronger customer loyalty, higher repeat purchases and growing average order values—metrics that investors increasingly view as indicators of sustainable consumer businesses.

Anveshan, which recently raised ₹150 crore from Vertex Ventures Southeast Asia & India and IFC, is betting that the demand for premium staples is still in its early stages. The company expects to end FY26 with revenues of ₹350-500 crore, up from ₹192 crore in FY25, with the fresh capital being deployed towards expanding manufacturing, strengthening in-house quality testing and growing its offline distribution. Today, ghee and cooking oils account for 90-95% of its revenues.

“The category is no longer about premium products for a niche audience,” said Anveshan cofounder Aayushi Khandelwal. “Consumers are becoming more conscious about what goes into their food, and they’re willing to pay for products that are minimally processed and transparently sourced. The opportunity now is to educate more consumers while making these products accessible across online and offline channels.”

For Pune-based Two Brothers Organic Farms, the consumer shift is already visible in its numbers. The company said its business has doubled over the past two years, with close to 100% year-on-year growth, while average order values have consistently remained above ₹2,000. Around 60% of its sales come from repeat customers, reflecting growing household adoption of premium pantry staples.

“A significant part of this growth has come from consumers buying products such as A2 cultured ghee, Khapli atta, jaggery and cold-pressed oils as part of their regular grocery basket rather than as occasional purchases,” said Satyajit Hange, cofounder of Two Brothers Organic Farms. “When consumers trust the sourcing and quality, they’re willing to spend more on everyday essentials.”

The growth has also been aided by the rise of quick commerce, which has improved the availability of premium food brands. According to Hange, categories that once occupied a small niche are gaining significant traction on digital channels.

“Cold-pressed, unrefined oils account for only about 4-5% of the overall edible oil market, but on premium channels such as quick commerce and Amazon, they contribute nearly 50-60% of oil sales,” he said. “That clearly shows consumers choose cleaner alternatives when they have access to trusted brands and better information.”

As investors increasingly look beyond impulse purchases and towards businesses with high repeat rates and long-term customer retention, startups built around premium pantry staples are emerging as one of the fastest-growing themes within India’s consumer internet ecosystem.