India continues to have one of the youngest populations in the world, with children under 15 accounting for approximately 24.6% of the country’s total population—totaling over 350 million children. Of these, approximately 52 million children are under two years old, backed by a steady birth rate of roughly 26 million newborns each year.
Baby apparel accounts for a significant portion of the market and is growing more than 10% annually. As children’s clothing for middle class India evolves from utilitarian to fashionable, foreign brands are increasingly prominent. Walt Disney partnered with India’s Vox Pop Clothing to produce children’s clothing based on Disney characters. Domestic brands are also gaining popularity–Lilliput Clothing, Gini & Jony, and Mom & Me are prevalent among urban mothers.
Disney also plays a major role in the country’s $1.3 billion toy market. Disney products are manufactured by Funskool India, a joint venture between Rhode Island-based Hasbro, Inc. and India-based MRF Limited. Funskool is the biggest toy company in India with 16 warehouses supplying 4,000 retail locations. Mattel is also a prominent figure in the toy industry; its Indian Barbie and Hot Wheels are popular among Indian youth. Mattel releases new products almost every few months.
New-Jersey based Johnson & Johnson has the strongest presence in child- and baby-care toiletries such as shampoo, lotions, and powder. Headquartered in the northern state of Uttar Pradesh, Dabur India specializes in massage oils and dietary supplements for children. Unicharm Corporation, a Japanese chemicals manufacturer, invested $39 million to set up a facility for the production of baby care and personal care products in India. Procter & Gamble and Texas-based Kimberly-Clark are also major contenders. The diaper category is dominated by P&G’s Snuggies and Kimberly-Clark’s Huggies, produced through a joint venture with Hindustan Unilever.
The baby food subsector in India is expanding due to the increasing number of women in the workforce. As a result, there is a shift from traditional homemade foods to baby food formulas, especially those that are milk-based. The leaders of this subsector include Nestlé, Wockhardt, and Heinz. Nestlé holds 85% of the baby foods segment, and its brand Lactogen is trusted by middle class mothers nationwide.
Due to increasing health consciousness and toxin awareness, demand for organic and chemical-free baby products is surging, with the organic baby segment growing at over 13% annually. Organic kidswear and pesticide-free baby food launches (such as Mum’s Care by British Life Sciences) continue to capture market share among millennial parents seeking natural ingredients and ayurvedic formulations.
E-commerce giants such as Flipkart and Amazon, alongside specialized vertical e-tailers like FirstCry, have become dominant distribution channels. Online sales now account for over 38% of toy purchases and represent one of the fastest-growing channels for baby care products nationwide.
As India’s population grows, so do the opportunities in its baby care industry. For companies that provide quality health-conscious products, the possibilities to invest in India are promising.
Schedule a call with the Amritt experts today to see what the baby care industry in India can do for you.
Last updated: August 12th, 2026
