The stats come from the Indian based cosmetics event, 'International Beauty Mart' (IBM), which this week will bring brands and experts together to showcase their products, reveal what's trending and ultimately discover how to get a piece of the segment that is reportedly growing at 15-20% annually.
According to one of the IBM partners Ms. Massooma, it is the awareness of the latest global beauty trends and the stats that is prompting more international players to set up shops and increase their presence in India.
"Demand for skin whitening products by men as well as women, is driving the trend, but other beauty products are not far behind," she adds.
Annual growth to be twice as fast as US & EU markets in the coming years..
Whilst overall annual growth for the Indian cosmetics sector is reported to be twice as fast as that of the US and European markets, the hair and beauty sector is expected to grow to $6.2 by 2015.
Over the last five years cosmetics products have seen a growth of 60%; Saloons have seen a growth rate of 35%; Cosmetic treatments are sending a growth rate of 5%.
Skin care cosmetics have experienced a relatively slower growth and products such as anti-wrinkle creams, cleansers and toners are not as popular as facial creams, moisturisers and fairness creams in this genre. Companies like Pond's and Fair & Lovely top the list in this segment.
According to a study titled "Prospects in the FMCG sector," recently made public by the Associated Chambers of Commerce and Industry of India, FMCG sector will witness more than 50 per cent growth in rural and semi-urban India by 2014.
Cosmetic treatments are also growing at the rate of 5 per cent. The hair and beauty industry is seeing a per capita annual spend of $1.2 which is expected to grow to $ 6.2 by 2015. The spa and body treatment segment is estimated to grow approximately $772 million over the next five to eight years.
"Driven by growing consumption in rural and semi-urban areas, the fast-moving consumer goods (FMCG) market is set to double from $14.7 billion in 2008-09 to $30 billion in 2014 in order to become the fourth largest sector in the economy with a market size in excess of $14.7 billion," Manoj Mehta, chairman, IBM 2014, said.