Chocolate Finds Its D2C Sweet Spot

by · Inc42

SUMMARY

  • As Indian consumers develop a taste for premium chocolate, startups are betting on bean-to-bar craftsmanship, integrated supply chains and global ambitions to build the next big consumer category
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In June 2026, Manam Chocolate raised a $9 Mn Series A round. This marked a notable move in India’s consumer startup ecosystem: investors seemingly interested in the unconventional category of chocolates.

To understand why the segment has suddenly caught investors’ attention, we tried to take a look at how India’s chocolate market has changed over the past decade. 

A decade ago, chocolate wasn’t something most consumers actively explored. The market was dominated by legacy brands such as Dairy Milk and KitKat, and their success was driven by affordability, wide distribution and a strong brand recall.

Meanwhile, premium chocolate was mainly associated with ‘passion projects’, imported names like Lindt or gift boxes picked up from airport duty-free stores.

That dynamic is now beginning to shift. India’s chocolate market, valued at $2.9 Bn in 2024, is projected to almost double to $5.5 Bn by 2033, with the premium segment expected to grow faster than the broader market. 

Homegrown brands such as Paul And Mike have already won multiple international chocolate awards; Mason & Co. is among India’s earliest bean-to-bar pioneers; Soklet is India’s first tree-to-bar chocolate maker; Smoor has scaled premium cafe and retail presence, and Fabelle is ITC’s luxury chocolate brand.

What’s fuelling this is the way brands are focusing on backward integration, going all the way back to the farmer and building a supply chain from there. 

According to Karan Vohra, partner at Omnivore and lead investor in Manam’s Series A round, most chocolate makers source dried cocoa beans, which leaves them with little control over fermentation, a crucial step that determines much of the chocolate’s final flavour.