Food processing sector

Food processing sector

Subject : Government Schemes

Context: As per latest Annual Survey of Industries(ASI) 2018-19, the total output in food processing sector has been increased from Rs. 9,34,272.19 crore in 2014-15 to Rs.12,76,995.11 crore in 2018-19

Concept:

• As per latest Annual Survey of Industries(ASI) 2018-19, the Compound Annual Growth Rate of the sector is 13%
• As per the 73^rdround of National Sample Survey (NSS) 2015-16, a total of 24.59 lakh are unregistered segment and 40,579 are in registered sector. The number of persons engaged in the registered food processing sector has increased
• A study on “All India Cold Chain Infrastructure Capacity (Assessment of Status & Gap)” conducted by NABARD Consultancy Services Pvt. Ltd , the requirement of cold storage in the country is 35 million MT, while capacity of such storage is around 32 million MT.
• Some processed food exports: refined sugar/ cane sugar/ cane molasses, soyabean oilcake and other residues, processed shrimps/prawns, coffee, preparation of animal feed, rape or cozla seed residues, sweet biscuits and other bakery products, sugar confectionery, whiskies, preps/ preserved gherkins and cucumbers, milling products including malt extracts etc.

Efforts being made for promoting exports of processed food products are:

• A comprehensive “Agriculture Export Policy” and Products Specific Export Promotion Forums set up by APEDA to give impetus to the export of potential products and remove the bottlenecks in the supply chain for the products, viz., Grapes, Onions, Mango, Banana, Pomegranate, Floriculture, Rice, Dairy Products and Nutri cereals.
• A Farmer Connect Portal for providing a platform for farmers, Farmer Producer Organizations (FPOs) and cooperatives to interact with exporters.
• Production Linked Incentives (PLI) scheme for food products, marketing and branding support is provided by MoFPI for enhancing global visibility of Indian food products.
• Micro Food Processing Enterprises (PM FME) is a Centrally Sponsored Scheme from the year 2020-21 for providing financial, technical and business support for upgradation / setting up of 2 lakh micro food processing enterprises based on One District One Product (ODOP) approach is being implemented for the period 2020-21 to 2024-25 with an outlay of Rs. 10,000 crores.
• Pradhan Mantri Kisan SAMPADA Yojana (PMKSY) is a Central Sector Scheme since 2016, provides boost to the growth and helps getting better prices for their produces due to higher demand for agricultural produce by the food processing industries as raw material.
• Assistance several other schemes to promote exports,, viz. Trade Infrastructure for Export Scheme (TIES), Market Access Initiatives (MAI) Scheme, Remission of Duties and Taxes on Exported Products (RoDTEP), Export Promotion schemes of APEDA &Marine Products Export Development Authority (MPEDA) etc.