There is a new gold rush in food processing industry, there will be profits worth crores of crores.

India is the world’s largest producer of milk, mango and banana. We are second in wheat and rice. Even after such a huge production, there is a big problem. Every year one-third of the country’s crop gets wasted before it reaches the market. Tomatoes rot, fruits rot and the farmer suffers losses. There is a big opportunity hidden in this waste and the name of that opportunity is food processing industry.

In 2024, the market size of this sector was 354 billion dollars i.e. about Rs 30 lakh crore and by 2030 it can reach 700 billion dollars. Simply put, this industry will double in the next few years.

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How much is being wasted?

NITI Aayog says that every year crops worth more than Rs 90,000 crore are wasted just because there is no proper cold storage and transportation facilities. This means that what is becoming garbage today can be processed tomorrow and sold in packets. The farmer will get higher price, the company will get profit and the country’s money will be saved.

Packaged food is currently the largest segment but ready-to-eat i.e. RTE food is growing at the fastest pace. People working in cities, working women and youth all want quick food. This demand has pushed this sector forward like a rocket. The scope of processing in dairy, fruits and vegetables, meat and fish is increasing.

What is the government doing?

The Food Processing Ministry got Rs 4,364 crore in this year’s budget. Rs 1,444 crore were set aside for the PLI Scheme and Rs 2,000 crore were set aside for the PMFME Scheme for small entrepreneurs. Apart from this, 41 mega food parks have been built across the country and 399 cold chain projects have been approved.

This industry is currently providing employment to more than 7.6 lakh people. This number will increase further as new factories, food parks and cold chains are built. The special thing is that there is work for everyone from farmers to packaging workers.

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real picture

NABARD (National Bank for Agriculture and Rural Development) says that if a farmer gets the right cold chain, his income can increase by 15 to 20%. The government aims to increase the share of food processing in agricultural GDP from 10% to 25%. This means that in the coming years, the crop of the farmer who used to grow only crops will now be sent in packets to the world market. This is the biggest strength of this gold rush.