India’s food processing sector is on the cusp of a remarkable transformation, poised to burgeon into a major employment hub with the potential to create a staggering 9 million jobs by the year 2024. Illuminating this promising trajectory, Mr. Prabodh Halde, the distinguished chairman of the All India Food Processors’ Association (AIFPA) Western Region, shared insights during the prestigious 17th edition of ANUTEC – International FoodTec India, which was held in conjunction with ANUFOOD India and PackEx India in the vibrant city of Mumbai.
Intriguingly, Mr. Halde prognosticated that by 2030, India’s household consumption is slated to experience an exponential quadrupling, propelling the nation to become the world’s fifth-largest consumer of food and food technology. The food processing sector, an emerging powerhouse that had magnetized $4.18 billion in foreign direct investments between 2014 and 2020, is undoubtedly poised for momentous growth and prosperity.
With a laudable market size of $1.3 billion, the thriving Indian gourmet food sector sustains an impressive 20% Compound Annual Growth Rate (CAGR), rendering it a veritable gem in India’s economic landscape. Mr. Halde further elucidated that this burgeoning sector is currently a stalwart contributor to India’s economy, accounting for 13% of exports and 6% of industrial investment
Ambitiously, India’s food processing sector aspires to amplify its GDP contribution from a respectable 8% to a substantial 20% by the year 2030, setting a course for economic ascendancy that promises to be nothing short of spectacular.
In a symposium marked by government representation, Prahlad Singh Patel, the honorable Minister of State (MoS) for the Ministry of Food Processing Industries, Government of India, lauded the pivotal role played by initiatives such as the Pradhan Mantri Kisan SAMPADA Yojana (PMKSY), the Pradhan Mantri Micro Food Processing Enterprises (PMFME) scheme, and the Production Linked Incentive (PLI) Scheme. These initiatives have effectively propelled the industry towards the attainment of global quality and safety standards, thus conferring benefits along the entire food processing value chain.
Underlining the government’s steadfast commitment to the sector’s growth and development, Mr. Patel highlighted the substantial allocation of ₹4,600 crore to sustain PMKSY, supplemented by a recent allocation of an additional ₹920 crore. These allocations serve as concrete affirmations of the government’s dedication to nurturing the sector’s boundless potential.
Furthermore, Mercy Epao, Joint Secretary (SME) at the Ministry of Micro, Small & Medium Enterprises, Government of India, emphasized the indispensable role played by MSMEs in India’s economic tapestry. These enterprises, accounting for over 30% of the GDP, nearly 50% of exports, and a substantial 45% of industrial output, are pivotal contributors to the nation’s economic vitality.
In essence, India’s food processing sector stands at the precipice of a transformative journey, poised to usher in prosperity, innovation, and unparalleled employment opportunities. As the nation’s voracious appetite for culinary delights continues to grow, this sector is set to play a pivotal role on the global stage, solidifying India’s position as a culinary powerhouse and an economic force to be reckoned with.
