Question : TECHNOLOGY FOR FPI

(a) the present level of processing of perishables in terms of value addition;

(b) the specific steps contemplated in Vision-2015 Document to strengthen the processed food sector to enhance the value addition leading to its increased share in the global food trade;

(c) whether the Government is contemplating to make use of the advanced technologies available overseas for processing, preservation and storage of perishable food items; and

(d) if so, the initiatives taken in this regard and the modalities chalked out to exploit overseas technologies for Food Processing Industries (FPI)?

THE MINISTER OF FOOD PROCESSING INDUSTRIES(SHRI SUBODH KANT SAHAI)

(a) to (d): A Statement is laid on the Table of the House.

STATEMENT REFERRED TO IN REPLY TO PART (a) TO (d) OF LOK SABHA STARRED QUESTION NO. 326 FOR ANSWER ON 02.12.2010 REGARDING FINANCIAL ASSISTANCE TO FPI.

(a): The level of processing of fruit and vegetables in the country is estimated at 2.20%. The low level of fruit and vegetable processing is due to non availability of processable varieties of raw material at right quantity and quality, seasonable nature of industry, lack of adequate post harvest infrastructure such as lack of cold chain facilities, transportation, proper storage facilities etc.

(b): In order to increase level of processing and to promote food processing industries to exploit both the domestic and international market potential for processed food products, Vision 2015 Document has been finalized by the Ministry of Food Processing Industries (MFPI), which envisages tripling the size of the processed food sector by increasing the level of processing of perishables from 6% to 20%, value addition from 20% to 35% and share in global food trade from 1.5% to 3% by 2015. An integrated strategy for promotion of agribusiness-Vision, Strategy and Action Plan for the Food Processing Sector has also been approved by the Government.

(c): Yes, Sir. Government has initiated various fiscal incentives of promotional measures to ensure transfer of technology.

(d): Ministry is implementing a Scheme for Technology Upgradation / Establishment/ Modernization of Food Processing Industries through which entrepreneurs are supported by grant support. They are expected to bring in developed technologies in food processing sector.

The thrust areas identified for strategic intervention include establishment of Mega Food Parks in identified clusters with appropriate backward and forward linkages, creation of integrated cold chains/value addition and preservation infrastructure, incentivising FDI and private investment in infrastructure, launching a major promotional campaign for the food processing sector and larger public investment for creation of critical rural infrastructure in food processing sector.