Question : Processing of Fruits and Vegetables

(a) whether a large quantum of perishables agriculture products are being damaged due to lack of proper processing and storage arrangements/facilities in the country and if so, the details thereof and steps taken to curb loss and spoilage of the same;

(b) whether despite being a major producer of fruits and vegetables, the country has a negligible presence in the global food processing industry and if so, the details thereof and the reasons therefor along with the corrective steps taken to improve the position of the country in this regard;

(c) the market share of food processing industry globally as well as in the country during the last three years and the current year;

(d) whether the Government has formulated any action plan/scheme to improve processing level and storage capacity of fruits and vegetables in the country and if so, the details and the outcome thereof; and

(e) the steps taken/being taken by the Government to improve the position and market share of the country’s food processing industry globally?

THE MINISTER OF STATE FOR FOOD PROCESSING INDUSTRIES
(SADHVI NIRANJAN JYOTI)

(a) As per the study conducted by Central Institute of Post-Harvest Engineering and Technology (CIPHET), Ludhiana, annual value of harvest and post-harvest losses of major agricultural produces at national level was of the order of Rs. 92,651 crore calculated using production data of 2012-13 at 2014 wholesale prices. The percentage of post-harvest losses as assessed by the study are as under:



Crops Cumulative Wastage (%)
Cereals 4.65-5.99
Pulses 6.36-8.41
Oilseeds 3.08-9.96
Fruits & Vegetables 4.58-15.88
Milk 0.92
Fisheries (Inland) 5.23
Fisheries (Marine) 10.52
Meat 2.71
Poultry Meat 6.74

(b)& (c) Based on the data maintained by International Trade Centre, India’s share in international food trade in 2015 is estimated at 2.34%. The details of India’s export of food products in 2015-16, as per the data maintained by Directorate General of Commercial Intelligence and Statisticsare given in the Annexure. Agricultural and Processed Food Products Export Development Authority (APEDA) under Ministry of Commerce & Industry is responsible for promoting export of food products from the country. Its Agriculture Export Promotion Scheme comprises four components; Infrastructure development; Transport Assistance; Market Development and Quality development.The market share of food processing industry in total exports during the last three years and the current year is as under:

Export of Food Products
2013 2014 2015
Market share of Indian food processing industry in total exports of India 12.30% 11.89% 11.51%
Market share of Indian food processing industry in global exports of food products 2.93% 2.61% 2.34%
Source: ITC Trade Map, 2016

(d) & (e) To improve the processing level and storage capacity of fruits and vegetables in the country Ministry is providing financial assistance under the Central Sector Schemes for promotion and development of food processing sector in the country. These are (1) Scheme for Mega Food Parks (2) Scheme for Modern Abattoirs (3) Scheme for Integrated Cold Chain and Value Addition Infrastructure (4) Scheme for Creation/Expansion of Food Processing and Preservation (5) Scheme for Quality Assurance (6) Scheme for Human Resource and Institutions. Farmers, Farmer Producer Organizations, Individuals, Group of Entrepreneurs, Cooperative Societies, Self Help Groups, NGO’s, Central/ State PSU etc. are eligible to avail financial assistance under these schemes for setting up food processing industries in the country. The detailed guidelines of these schemes having the pattern of financial assistance, eligibility criteria, procedure for approval of projects etc. are available on the Ministry’s website at www.mofpi.nic.in.100% FDI is permitted under the automatic route in food processing industries and through approval route for trading, including through e-commerce in respect of food products manufactured and/or produced in India.

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