It constitutes 9-10% of the GDP in manufacturing and agriculture sector respectively and accounts for 12% of India’s export. Also 7% of the total industrial investment is fixed in capital in the registered sector.
The Indian food industry is poised for huge growth, increasing its contribution to world food trade every year.
Accounting for about 32% of the country’s total food market, the food processing industry is one of the largest industries in India and is ranked fifth in terms of production, consumption, export and expected growth.
The Government of India has been instrumental in the growth and development of the food processing industry. Through the Ministry of Food Processing Industries (MoFPI), the government is making all efforts to encourage investments in the business.
It has approved proposals for joint ventures (JV), foreign collaborations, industrial licenses and 100% export oriented units, says a report by the Indian Brand Equity Foundation, a Ministry of Commerce institution for promoting Brand India.