India’s food processing industry: A changing paradigm

India is a major producer of a wide range of agricultural and food products, but only less than 10% of it is processed. In India, demand for processed foods is expected to rise in the coming years, providing opportunities for more value addition, reduced waste, and alternative employment opportunities. In terms of production, growth, consumption, and export, the food processing industry stands as one of the largest sectors in India. Food Processing has grown at an average annual growth rate of10% over the last five years ending in 2018-19. The Indian food processing industry has experienced substantial expansion and change in recent years, owing to shifting market trends, consumer categories, and regulatory requirements. These trends, such as changing demographics, population growth, and fast urbanization, are projected to continue in the future, influencing demand for value-added goods and, as a result, for the food processing industry in India. The government of India is emphasizing on the food processing industry as a priority sector and has floated various policies & schemes under “Atmanirbhar Bharat Abhiyan” initiative to encourage the investment in FPI and so to attract more FDI. Due to the critical linkages and synergies that it promotes between the two pillars of our economy vis-a-vis industry and agriculture, the food processing industry is extremely important for India’s development. Fruits and vegetables, meat, poultry, and fishery, dairy products, packaged food, and RTE/RTC items are some of the more appealing areas. India has significant competitive advantages over other countries in this industry, as it has access to a massive pool of natural resources and a developing technical knowledge base.