India is one of
the major food producers in the world and has abundant
availability of a wide variety of crops, fruits, vegetables,
flowers, live-stock and seafood. Diverse climatic
conditions and a long coastline have contributed to
India’s position as a leading food producer.
While India has an abundant supply of food, the food
processing industry is still nascent: only two per
cent of fruit and vegetables; and 15 per cent of milk
produced are processed. Despite these low volumes,
the processed food industry ranks fifth in size in
the country, representing 6.3 per cent of GDP. It
accounts for 13 per cent of the country’s exports
and 6 per cent of total industrial investment. The
industry size is estimated at US$ 70 billion, including
US$ 22 billion of value added products. India produced
50% of World’s Mango, 19% of Banana, 36% of
Cashewnut. India produces 38% of World’s Cauliflower,
28% of Green Peas. India’s relatively inexpensive
but skilled workforce can be effectively utilised
to set up large, low cost production bases for domestic
and export markets. Milk and milk products, meat and
poultry, fruits and vegetables, and beer and alcoholic
drinks are some of the which could be sourced from
India. Apart from being an attractive destination
for investment in the food processing sector, India
could also be an important source to obtain processed
food items. India could also be a good source for
obtaining technical expertise in the sector. For details
on the sector please see http://mofpi.nic.in