Food Processing Units

Food Processing Units - Introduction

The food processing industry is one of the largest industries across the globe and is considered as “sunrise industry” and the needs of the consumers are also growing day by day. India has the capacity to develop the agricultural economy by the establishment of large-scale processed food and other related facilities result in the generation of employment opportunity and export earnings. The food industry can achieve its success by providing the best quality of food items. If the quality is not as per mark standards then food items are not to be consumed. India is a country that generates most of its revenue through its agrarian economy. India is the sixth-largest country in the food and grocery market and the fifth largest retail market at the global level. The food processing industry in itself is an emerging space and is seen as the potentially leading industry of the near future.

On April 17, 2021, Italy launched its first-ever mega food park project in India involving food processing facilities amid efforts from both sides to further ties between the two nations. This pilot project named “The Mega Food Park” was launched, with the signing of a letter of intent between the ICE office in Mumbai and Fanidhar mega Food Park, in Gujarat.

Concept of a Food Processing Unit

Food processing units include all the methods and techniques involved in converting a raw material or a combination of raw materials into a consumable product. Food processing units are an integral part of practices such as agriculture, horticulture, plantation, animal husbandry, and fisheries. It also includes other industries that use agricultural inputs for manufacturing edible products. This manufacturing industry has become a site of investment and profits.The net worth of the processed food industry is estimated to be around ₹1100 crore and it is fast accelerating at a rate of 10-15% per annum. The food processing units comprises nine categories based on the basic raw materials being used.

Importance of Food Processing Units

Food processing is an essential process that ensures we have food throughout the year irrespective of its seasonal nature or easily perishable variety. Mass production of these processed foods can be very profitable unlike those made by an individual.

Benefits of Investing in India

In India, this is a prospective industry due to the increased demand by the majority of the urban middle-class population

Availability of raw materials is abundant

Change in the consumption patterns

Comparatively low cost of production

Attractive fiscal incentives that make India the best option.