Processed Food Industry: The Rising Sun of India
Food processing involves any type of value addition to agricultural or horticultural produce and also includes processes such as grading, sorting, packaging which enhance shelf life of food products. The Food Processing sector in India is one of the largest in terms of production, consumption, export, and growth prospects. The industry added over INR 84,000 Crore in the GDP (2012-13), thereby constituting approximately 1.5% share in the GDP. It is estimated that in FY 2013-14, the value of processed food exports has doubled at US$ 37.79 Billion, as compared to the FY 2009-10, thus constituting 12.1% of India’s total exports. Highlighting the importance of food processing industry in India, Mr. Shushmul Maheshwari, CEO, RNCOS, said “The Indian food processing industry is one of the major employment intensive segments wherein the FDI inflows are increasing at an unprecedented rate. There exists substantial opportunity in terms of contract farming, integrated cold chain, and food safety management among other domains.” Further adding to the same he said that the major factors driving the respective industry include the escalating demand for processed food domestically and in abroad as well which in turn is promoting the export growth as well. India, comprising all 15 major climates in the world and having 46 out of 60 soil types, is the largest producer of milk; second largest producer of fruits & vegetables; and third largest producer of food grains and fish. The sector is geared to meet the international standards under the purview of Food Safety and Standards Authority of India. Two nodal agencies, Agricultural & Processed food products Export Development Authority (APEDA) and Marine Products Export Development Authority (MPEDA), are there for promoting exports from India. RNCOS believes that the food processing industry has a vital role to play in generation of employment and export earnings. On account of the factors such as the novel advancements