Question

Describe status and future prospects of the Food Processing Industry in the country.

06 Feb 2018
Answer :
Word Count : 1180

The food processing industry is one of the emerging industry throughout the world especially in developing countries like India it is getting a more and more attractive for the agricultural oriented economy. The industry is proving a ray of hope for modernizing the primary sector (agriculture and allied industries) in these developing nations. The primary sector plays a vital role in Indian economy and it is regarded as the ‘back bone’ of the economy. India is enjoying the leading place in the production of horticulture products; India is the second largest producer of fruits & vegetable in the world accounting for almost 10% of global fruits & vegetable production (annual report, 2006-07, MFPI). India produces 82 mm tones of vegetable (10.9% of global production), and 47 mm tones of fruits (8.4% of global production).

According to news reports, Food processing is any activity that changes the raw food stuff or semi-finished food into a suitable form for the use of shopper. The food processing industry has grown considerably in the last few decades India. The increase in the incomes of the working class has led to increase in the disposable income to be spent on processed foods. The change in the food habits of the working class who prefer readily available convenient foods is another important factor. India is considered as one of the top producers of fruits and vegetables and other food stuff. Henceforth availability of raw material makes it favourable for the development of this sector.
India has good status in producing numerous food products like milk, ginger, banana, guava, papaya, and mango. It has second rank in the production of rice, wheat, potato, sugarcane, cashew nut, tea. India is among the top 5 countries in producing coffee, tobacco, spices, and seeds. With such a huge raw material base, it can be assessed that India become the leading supplier of food items around the globe. News reports indicated that there are more than 30 companies listed in BSE/NSE in food processing sector. However, the major companies are Dabur India, Gitz, Godrej industries, Haldiram, MTR foods, Parle agro, HUL, Britannia Industries, ITC, Nestle, Pepsi and Cadbury India. There is still a lot of scope for products related to meat, poultry; fisheries, milk products, beverages, grain processing.

Section wise assessment of food processing Industries in India:
I. Dairy Sector: India holds first rank in the world in terms of milk production. Milk and milk products contribute to a significant 17 per cent of the country's total expenditure on food. Traditional dairy products account for about 50 per cent of the total milk produced.
II. Fruits and Vegetables: India produces huge amount of fruits and vegetables in the world. It is the second largest vegetable and third largest

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