The Indian food industry is poised for huge growth, increasing its contribution to world food trade every year. Liberalization and the growth of organised retail have made the Indian food industry/ market emerge as a high-growth and high-profitable sector due to its immense potential for value addition, particularly within the food processing industry.
Food processing has been recognized as a priority sector in the new manufacturing policy in 2011. Government has even set up a special fund called "Food Processing Fund" of approximately USD 300 million (at Rs. 67.25 to 1 USD) in NABARD for extending affordable credit to designated food parks and the individual food processing units in the designated food parks.
Together with farmers, customers, governments and communities, the sector help people thrive by applying the insights and experience. With brands like Cargill Foods India which processes, refines and markets a wide range of indigenous and imported edible vegetable oils, fats and blends for the food industry. Not only this, the opportunities in the food processing industry are significant. Increasing urbanization and rise in disposable incomes are expected to push demand for processed food further. Also with favorable economic and cultural transformation, shift in attitudes and lifestyles, consumers are experimenting with different cuisines, tastes and new brands. These recent developments have actually worked in the favor of the FMCG brands.
The policies formulated for food processing industry has also given a considerable push to the growth and the echelon it holds as a contributor to the growth of GDP (Gross Domestic Product). Rising income levels, affluence and a growing middle-class have been playing a huge roll to improve the GDP as well as the food industry. We believe that one-third of the population will be living in urban areas by 2020 so we see a great scope of expansion in the near future. Today, food processing has become an integral part of the GDP and processed food has become an important part of our daily lives.
** All facts and figures are taken from Make in India’s website.