FOOD PROCESSING REDUCES THE DISTANCE BETWEEN FARM AND FORK SHRI NARENDRA MODI HONOURABLE PRIME MINISTER OF INDIA

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1 FOOD PROCESSING REDUCES THE DISTANCE BETWEEN FARM AND FORK SMT. HARSIMRAT KAUR BADAL Minister of Food Processing Industries SADHVI NIRANJAN JYOTI MOS for Food Processing Industries SHRI NARENDRA MODI HONOURABLE PRIME MINISTER OF INDIA

2 FOOD IS GOD We worship the provider of energy, the provider of life. We resolve to take it from the farm to every plate, in its best form.

3 INDIA IS THE WORLD S LEADING PRODUCER OF MILK AND DAIRY PRODUCTS CEREALS, FRUITS AND VEGETABLES FISH AND MARINE PRODUCTS 1st 2nd 3rd IN THE WORLD IN THE WORLD IN THE WORLD

4 HIGH PRODUCTION (PRODUCTION FIGURES FROM ) HORTICULTURE Million MT FOODGRAIN Million MT MILK Million MT FISH & MARINE 9.58 Million MT HIGH WASTAGE (PER ANNUM AT 2009 WHOLESALE PRICES) 4-18% = `44,143 CRORES LOSSES OF MAJOR AGRICULTURAL PRODUCE AT THE TIME OF HARVEST AND POST HARVEST

5 OUR MISSION FOOD PROCESSING IS INDIA S SOLUTION TO LET S MAXIMISE OUR FOOD POTENTIAL

6 INCREASED FOOD PROCESSING MEANS farmers earn more consumers pay less & THAT S THE PURPOSE OF EVERY INITIATIVE WE TAKE

7 ONLY A FRACTION OF OUR PRODUCE IS PROCESSED WE PROCESS ONLY 2% FRUITS & VEGETABLES 8% MARINE 35% MILK 6% POULTRY REASONS SUPPLY CHAIN INFRA GAPS MULTIPLE CLEARANCES NEEDED APMC RESTRICTIONS ON RAW MATERIAL PROCUREMENT COMPLEX FSSAI REGULATIONS INADEQUATE ORGANISED RETAIL OVERALL PROCESSING LESS THAN 10%

8 RIGHT DIRECTION MEANS RIGHT DESTINATION Our Ministry s Initiatives to take the Food Processing Industry to its rightful place. MEGA FOOD PARKS COLD CHAIN FOR HORTICULTURE PRODUCE NATIONAL MISSION ON FOOD PROCESSING Hub And Spoke Model Minimal Processing at Farm Gate Technology Upgradation/Establishment /Modernisation of Food Processing Industries Collection & Primary Processing Mobile Pre-Cooling Vans Cold Chain, Value Addition and Preservation of Infrastructure for Non-Horticulture Products Modern Infrastructure Cold Storage Processing Packaging Distribution Hubs with CA Chambers, Packing, CIP Fog Treatment, IQF, Blast Freezing, Ripening Chambers Irradiation Facilities Setting up/modernisation of Abattoirs and Meat Shops Creating Primary Processing Centres/Collection Centres in Rural Areas and Reefer Vehicles Human Resource Development and Promotional Activities

9 SCHEME 1 MEGA FOOD PARKS MADE OPERATIONAL 2 PARKS IN LAST 6 MONTHS 2 PARKS IN LAST 6 YEARS COLLECTION CENTRE (AT FARM GATES) PRIMARY PROCESSING CENTRE MEGA FOOD PARK (CENTRAL PROCESSING CENTRE) VALUE ADDED PRODUCTS FRESH PRODUCTS IMPORTERS EXPORTERS DOMESTIC RETAIL PRIMARY PROCESSING CENTRE PRE-COOLING, GRADING, PULPING, SORTING, WAXING, PACKING, TEMPORARY STORAGE Hon ble Prime Minister Shri Narendra Modi inaugurated the India Food Park in Tumkur, Karnataka on Inauguration of International Mega Food Park, Fazilka in Punjab on CENTRAL PROCESSING CENTRE PULPING, ASEPTIC PACKING, CA CHAMBER, COLD STORAGE, QC LAB, LOGISTICS CENTRE, ETC

10 SCHEME 2 PROJECTS COMPLETED DEC 13 - MAY INTEGRATED COLD CHAINS CURRENT REQUIREMENT IN THE COLD STORAGE CAPACITY IS ABOUT 29 MILLION TONNES PROJECTS COMPLETED JUNE 14 - DEC % OF THE FUNDS FOR THIS SCHEME HAS BEEN UTILISED

11 12 STATES DEC 13 to MAY STATES JUN 14 to DEC 14 REACH INCREASED NATIONAL MISSION ON FOOD PROCESSING FLEXIBILITY TO STATES TO PRIORITISE THEIR OWN FOCUS SECTORS OUR GOVERNMENT S FIRST 6 MONTHS VS PREVIOUS GOVERNMENT S LAST 6 MONTHS DEC 13 to MAY 14 crores 35 crores SCHEME 3 JUN 14 to DEC 14 FUND UTILISATION

12 SCHEME 4 TECHNOLOGY UPGRADATION IS THE KEY TO GROWTH WE ARE CREATING NEW FOOD PROCESSING CAPACITY AND UPGRADING EXISTING PROCESSING CAPABILITIES. OUR GOVT. FIRST 6 MONTHS PREVIOUS GOVT. LAST 6 MONTHS DEC 13 - MAY JUNE 14 - DEC 14 FUNDS RELEASED IN CRORES 134 DEC 13 - MAY JUNE 14 - DEC 14 PROJECTS COMPLETED Projects sanctioned in sectors: Bakery, Consumer, DaIry, Fish, Fruits & Vegetables, Grain (Rice/Pulse/Floor/Oil) Milling, Meat, Wine etc.

13 DEC 13 - MAY CR RELEASED 33 PROJECTS SANCTIONED PREVIOUS GOVT. JUNE 14 - DEC CR RELEASED 68 PROJECTS SANCTIONED THIS GOVT. ENSURING STANDARDISATION AND SAFETY WITH SPECIALISED FOOD TESTING LABORATORIES AND IMPLEMENTATION OF FOOD SAFETY MANAGEMENT SYSTEM. QUALITY IS THE KEY SCHEME 5

14 SKILL INDIA MoFPI IS COMMITTED TO STRENGTHEN INSTITUTIONS FOR DEVELOPING ACADEMIC AND ENTREPRENEURIAL SKILLS IN FOOD PROCESSING NIFTEM IICPT NATIONAL INSTITUTE OF FOOD TECHNOLOGY ENTREPRENEURSHIP AND MANAGEMENT, KUNDLI, HARYANA. SET UP WITH THE VISION TO BE AN INTERNATIONAL CENTRE OF EXCELLENCE. IT IS INTO ITS 3RD ACADEMIC SESSION. B.TECH, M.TECH IN 5 DISCIPLINES AND Ph.D VILLAGE ADOPTION PROGRAMME AS PART OF THE CURRICULUM INTERNATIONAL LEVEL PROGRAMME OF ACADEMIC LEARNING 100% PLACEMENT OF M.TECH STUDENTS INDIAN INSTITUTE OF CROP PROCESSING TECHNOLOGY OFFERS A HEALTHY MIX OF ACADEMIC COURSES, HANDS-ON TRAINING, CONSULTANCY SERVICES, INCUBATION SERVICES, QUALITY TESTING AND R&D SUPPORT FOR FOOD INDUSTRY STAKE HOLDERS. OFFERS B.TECH, M,TECH AND Ph.D COURSES PROMOTES COTTAGE LEVEL INDUSTRY TAILOR MADE PROGRAMMES FOR FARMERS AND WOMEN SELF-HELP GROUPS UNDERTAKES REGULAR SKILL AND OUTREACH PROGRAMMES

15 Our Key Initiatives LAST 6 MONTHS

16 FOOD MAP OF INDIA Chandigarh 0.8 Rajasthan 0.6 Jammu and Kashmir Punjab 13.5 Haryana Himachal Pradesh Uttarakhand Uttar Pradesh Delhi Sikkim Arunachal Pradesh NOW ON OUR WEBSITE Bihar Meghalaya Assam Nagaland Gujarat Madhya Pradesh 1.1 Chhattisgarh Jharkhand 0.6 Odisha West Bengal 2.7 Tripura Manipur Mizoram Dadra and Nagar Haveli Diu Daman Maharashtra Telangana Karnataka Goa Andhra Pradesh Andaman & Nicobar Islands Puducherry Lakshadweep Tamil Nadu Islands Kerala MAPPING THE POTENTIAL OF FOOD PROCESSING BY IDENTIFYING SURPLUS RAW MATERIAL. KEY INITIATIVE 1

17 Combining POLICY FOCUS with ease of doing business EXCISE DUTY ON MACHINERY REDUCED FROM 10% TO 6% LAUNCHING OF INVESTORS PORTAL GRIEVANCE REDRESSAL MECHANISM STRENGTHENED FACILITATING/COMMITTED TO TRANSPARENCY IN DECISION MAKING KEY INITIATIVE 2

18 Rs CRORES TO PROVIDE AFFORDABLE CREDIT TO FOOD PROCESSING UNITS TO BE SET UP IN DESIGNATED FOOD PARKS. SPECIAL FUND IN NABARD KEY INITIATIVE 3

19 THRUST ON DEVELOPMENT ENHANCED ALLOCATION ON INFRASTRUCTURAL DEVELOPMENT SCHEMES: 42 MEGA FOOD PARKS, 138 COLD CHAIN PROJECTS, 60 ABATTOIRS KEY INITIATIVE 4

20 OUR ACTIONS SHOW WE MEAN BUSINESS 1. CREATION OF COLD CHAIN CAPACITY Completed 10 projects under Cold Chain Scheme Under NMFP, State/UT governments sanctioned 28 projects of Cold Chain and 4 Reefer Vehicles Cumulative increased capacity in our Cold Storage, Controlled / Modified Atmosphere Storage, Deep Freezer by 2.46 Lakh MT Added capacity of MT per hour for Individual Quick Freezing, Lakh Litres per day of Milk Storage and 330 Reefer Carriers 2. MEGA FOOD PARK IS NOW A REALITY Inaugurated 2 Mega Food Parks - at Tumkur (Karnataka) and Fazilka (Punjab) Each Mega Food Park will generate employment (direct and indirect) for about 30,000 people 3. INCENTIVES FOR INVESTMENTS We have reduced excise duty on food processing and packaging machinery from 10% to 6%, in the current budget. 4. ENCOURAGING ENTREPRENEURS WITH AFFORDABLE CREDIT A special fund of Rs crores in NABARD has been created to provide affordable credit to food processing units to be set up in the designated Food Parks.

21 5. MAKING BUSINESS EASIER We have reduced the requirement of supporting documents such as affidavits, agreements, etc to be submitted with a proposal. 6. CREATING THE FOOD MAP OF INDIA Identifying surplus and deficient areas of various agricultural and horticultural produce in the country. It will help us in planning processing clusters by means of setting up suitable facilities in different parts of India. The map is available on the ministry s website. 7. BOOSTING OUR POTENTIAL WITH SKILL DEVELOPMENT Sectoral Skill Council on Food Processing has been operationalised by FICCI with a target of training 10,000 persons in the first year. 8. EXPANDING PROCESSING CAPACITIES Under the National Mission on Food Processing, State/UT governments have sanctioned 471 projects - including bakery, consumer, dairy, fisheries, flour milling, fruits & vegetables, meat products, oil milling, pulse milling, rice milling and wine. 9. BETTER UTILISATION OF FUNDS Total expenditure under National Mission on Food Processing increased from Rs crores in FY to Rs crores in FY MOVING AT TWICE THE SPEED Total expenditure under Plan Schemes of the Ministry is already Rs crore during the current financial year, while the last financial year saw a total expenditure of Rs crores only.

22 OVERALL IMPACT OF FOOD PROCESSING INDUSTRY 4.38% REGISTERED FACTORY WORKFORCE IN INDIA 12.13% EMPLOYED IN OUR SECTOR GROWTH IN EXPORTS 8.4% EXCEPTIONAL GROWTH SECTORS MARINE: 44.7% MEAT: 36.1% FOOD PROCESS- ING 6.6% MANUFAC- TURING 3.3% AGRICUL- TURE AVERAGE ANNUAL GROWTH RATE

23 MAKE IN INDIA MAKE IN INDIA Food processed is food saved LET S MAKE BRAND INDIA A GLOBAL FORCE.

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