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PRESENTATION ON FOOD PROCESSING INDUSTRIES . GOALS / OBJECTIVES OF MFPI. Promotion of FPIs resulting in :- Reduction in wastages Value / quality addition Employment generation Remunerative income for farmers . STATUS OF FOOD PROCESSING INDUSTRIES.
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PRESENTATION ON FOOD PROCESSING INDUSTRIES
GOALS / OBJECTIVES OF MFPI Promotion of FPIs resulting in :- • Reduction in wastages • Value / quality addition • Employment generation • Remunerative income for farmers
STATUS OF FOOD PROCESSING INDUSTRIES • Size of food market in India - Rs. 8,60,000 Crores • Primarily processed food market – Rs. 2,80,000 crore • Value added processed food market – Rs. 1,80,000 crore • Investment during the 10th plan is estimated at Rs. 62,105 Crores • Industry growth rate during the last five years is estimated at 7.14% against GDP of 6.2% • Investment required during next ten years – Rs. 1,50,000 crore
LEVEL OF PROCESSING, VALUE ADDITION ETC. • Fruits & Vegetables Sector at 2%, • Poultry 6% • Milk 35% (only 13% in modern dairies), • Marine products 8%, • Buffalo meat 21%. • Value addition 20% • Wastage – Rs. 58,000 crore
CONSTRAINTS OF FPI SECTOR • Lack of suitable infrastructure • Inefficient supply chain vis a vis involvement of middlemen • Lack of processable varieties of farm produce • Seasonality of raw material • High taxation, high packaging cost • Affordability and cultural preference of fresh food.
ROLE OF MFPI • Policy support • FPI sector delicensed except alcoholic beverages • Excise duty waived on F&VP (from 2000 – 01) • Income tax holiday for F&VP (from 2004 – 05) • Customs duty reduced on freezer van from 20 to 10% (from 2005 – 06) • Contd
(b) Promotional support • Assistance for workshop / seminars / fairs / exhibitions • Assistance for studies / surveys • publications / Films • (c) Regulatory • Implementation of FPO • Implementation of MFPO • Enactment of FSS Bill 2005
(d) Developmental / financial support under various schemes under 10th Plan:- • Scheme for infrastructure development • Scheme of technology upgradation / establishment / • modernization of food processing industries. • Scheme for human resource development • Schemes for quality assurance, R&D, codex, bar coding • and establishment of labs.
SCHEME FOR INFRASTRUCTURE DEVELOPMENT • Food Park Scheme • Intends to make provision of common facilities like cold storage, food testing effluent treatment plant, power, water supply, etc. • 25% of the project cost in general areas and 33.33% in difficult areas subject to a maximum of Rs.4 crores • Land required :- 30 acres • Units to be located :- 20 minimum
VALUE ADDED CENTER • 25% of the project cost in general and 33.33 % in difficult areas subject to a ceiling of Rs 50 Lakhs and Rs 75 Lakhs respectively. • COLD STORAGE • 25% of the project cost in general areas and 33.33% in difficult areas with a common ceiling of Rs.75 lakhs. • Admissible for non – horticultural produce
IRRADIATION FACILITIES • Objectives are :- • prevent infestation in spices , flour / change in chemical composition of potato etc. • Enhance shelf life by irradiation • Eligibility for assistance • Technology to be guaranteed by he Department of Atomic Energy • Grant @ 25% of the project cost in general areas and 33.33% in difficult areas subject to a maximum of Rs.5 crores.
WHO IS ELIGIBLE • Governmental organizations • Non-Governmental Organisations • Cooperatives • Private Sector Industries • Public Sector Undertakings • HRD and R&D Institutions.
STATES INITIATIVES REQUESTED • Amendment to APMC Acts • Lowering of VAT rates • Declaring industry seasonal • Intergrate promotional infrastructure
