Food Processing For Non-farm Sector

By admin July 31, 2019 17:07

During the last decade, the food processing sector in India has grown significantly and moved from a situation of insufficiently to surplus in food production which is expected to be doubled in the next 10 years. Currently, India stands second in terms of global food production.

It is an activity that changes the raw foodstuff into a suitable form for marketing purpose. It is the major source of employment and income for rural areas and holds the key to the reduction of waste in the fragile supply chain thereby helping to attain food security.

  • Currently, the Indian Government food market is valued at 14 free billion USD and is growing at a compound annual growth rate of 20%
  • These sectors in India has received around 7 54 billion US Ji worth of foreign direct investment during the. 2000-2017.
  • It engages the share of workers from the agricultural sector who face disguised unemployment.
  • Processed food occupy less space for storage and can be exported for foreign exchange.
  • Its growth in India will help in creating new employment opportunities, enhance agricultural yield, improve productivity and enhance the quality of standard of living of the people across the country.

The broader idea behind the food processing activities is to bring together farmers, and retailers and link agricultural production to the market so as to guarantee the maximization of value addition, minimization of wastages and improving enhancing farmers income.

Government initiatives for the food processing sector

  • Pradhan Mantri Kisan Sampada Yojana, it covers the establishment of Mega Food Parks, integrated cold chain and value addition infrastructure, expansion of food processing and preservation capacities, infrastructure for Agro-processing, backward and forward linkages, food safety and quality assurance infrastructure, generation of human resources and Institutions.
  • The Indian government aims to boost growth in the food processing sector by liberating reforms such as hundred percent FDI in the marketing of food products and various incentives at center state government level along with the strong focus on supply chain infrastructure.

Despite huge development in the food processing sector, there are several constraints that hinder further development.

  • Capital intensive functions
  • Poor supply chain linkages
  • Infrastructure bottlenecks
  • Lack of skilled manpower
  • Low adherence to quality standards due to low competition

These challenges can be minimized by making awareness programs related to food processing to rural farmers who are primarily engaged in agricultural activities.

Also read: Challenges in Rural Non Farm Sector

E-Technology in The Aid of Farmers

By admin July 31, 2019 17:07