CENTRE WANTS STATES TO FORMULATE THEIR FOOD PROCESSING POLICIES

Press Information Bureau

Government of India

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CENTRE WANTS STATES TO FORMULATE THEIR FOOD PROCESSING POLICIES

And set up separate agencies for the sector

 

Kolkata: Wednesday, August 26, 2009.

 

The centre wants states to formulate their food processing policies and set up separate agencies for the sector. The Union Minister for Food Processing, .Sshri Subodh Kant Sahai said this in Kolkata today. Inaugurating a seminar on 'Growth Potential of Food Processing in India and West Bengal in particular, Shri Sahai said  that Ministry has been urging the states to formulate their food processing policies and establish separate agencies dedicated to food processing so that the development activities in this sector can be integrated and synergized. The minister also said that Government of West Bengal should take major initiatives like development of specialized agri-export zones and state horticulture farms in important horticultural crops like lychee, pine-apple, mango etc.

            Having noted that West Bengal is one of the few states in the country having a dedicated Minister for  Food Processing and a Department of Food Processing Industries, Shri Sahai  said that the dynamism of this sector in West Bengal can be gauged from the fact that the Ministry had released an amount of Rs. 4154.46 crores to various units in the state during the 10^th Plan, placing the state at second position in terms of assistance from the Ministry.

       Shri Sahai also said that agriculture continues to be one of the cornerstones of the Indian economy even though its share has been declining over the years. Its role remains critical as it accounts for about 52 per cent of the employment in the country. The slowdown in investments in agriculture and declining productivity raise serious concern about the economic sustainability of millions of farmers. It is estimated that if the country has to maintain a GDP growth rate of over 9%, the agricultural sector has to grow at the rate of at least 4%, he added.

    He also said that the Indian food market in 2006-07 has been estimated at around US$ 100 billion. Food retail, dominated by around 5 million retail outlets in India, is also likely to grow from around US$ 75 billion in 2007-08 to US$ 150 billion by 2025. In comparison, the world food industry, which stands at $175 billion, is expected to grow up to $400 billion by 2025, Shri Sahai noted.

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AH/spandey

 

PIB Kolkata