New Delhi: Ministry of Food Processing Industries has created an Investment Targeting and Facilitation Desk to help foreign companies which are looking for investment in food processing sector. The Cell shall also prepare a list of Indian companies also for their foreign partners.
Government spokesperson said that Indian food processing industry is widely recognized as a ‘sunrise industry’ having huge potential for uplifting agricultural economy.
100% FDI under automatic route is permitted in manufacturing activity of food processing industry. Similarly whole/cash and carry business which includes food products is also open to 100% FDI under automatic route. These activities require more back-end infrastructure than the retail trading activity.
To promote FDI and investment into India, Food Processing Industries Minister Harsimrat Kaur Badal is leading official ministerial delegations to all over the world. The initial response has been tremendously encouraging. And a large number of foreign companies have expressed interests to come into India to reliable local partner.
Liberalization of FDI policy on Food Products retail trading sector would be more infrastructure development friendly and also bring in significant improvement in Indian agriculture sector.
This would lead to faster creation of cold storage, supply chains and would lead to seamless integration of rural and urban economy and benefit Indian farmers with reduced wastage and better price realisation. This will benefit farmers give impetus to food processing industry and create vast employment opportunities
Source: Times of India
