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Inflow of FDI to food processing industries for 2012-13 is Rs 2,887.03

Zoom in font  Zoom out font Published: 2013-05-02  Views: 20
Core Tip: Replying in writing to a query in the Lok Sabha, Charan Das Mahant, minister of state for agriculture and food processing industries, said the inflow of foreign direct investment (FDI) to the food processing industries sector for the last three years
Replying in writing to a query in the Lok Sabha, Charan Das Mahant, minister of state for agriculture and food processing industries, said the inflow of foreign direct investment (FDI) to the food processing industries sector for the last three years, including 2012-13 (April to February), was as follows:

Serial Number Year (April to March) FDI (Rs crore) FDI ($ million)
1 Nov-10 5,796.22 1,271.77
2 Dec-11 7,677.74 1,652.38
3 2012-13 (April to February) 2,887.03 529.09

FDI complements and supplements domestic investment. Apart from capital, it brings in state-of-art technology and best managerial practices, thereby providing better access to foreign technology by the domestic food processing industry.

The government is implementing the schemes of infrastructure development (which includes such components as mega food parks, integrated cold chain projects and abattoirs).

It is also focussing on quality assurance; Codex standards; R&D and other promotional activities; human resource development, and strengthening of institutions for the promotion and development of the food processing sector in the country.

The government has also set up the National Institute for Food Technology Entrepreneurship and Management (NIFTEM) to offer high-quality educational research and management programmes specific to the food industry, provide referral advice on food standards, disseminate knowledge on the food sector and provide business incubation facility.

GDP

Meanwhile, Mahant also said the contribution of food processing industries to the country's gross domestic product (GDP) has been rising over the years, as stated by the following table:

Year Contribution to GDP (%)
Oct-09 1.3
Nov-10 1.4
Dec-11 1.5

To promote food processing industries, the government has implemented a scheme for the creation of infrastructure which includes such components as:

(i) Mega food parks;
(ii) Cold chain, value addition and preservation infrastructure, and
(iii) Modernisation of abattoirs.

NMFP

The government launched the National Mission on Food Processing (NMFP) to support the food processing industries with the active participation of the state/Union Territory governments.

The scheme provides for the establishment of a National Mission as well as corresponding missions at the state and district level for implementation of the scheme.

The various components under the scheme currently being implemented related to:

(i) Technology upgradation/establishment/modernisation of food processing industries;
(ii) Setting up cold chain, value addition and preservation infrastructure for non-horticulture products;
(iii) Human resource development, and
(iv) Promotional activities.

NMFP has been implemented with the financial contribution of the government of India and states/Union Territories (UTs) in the ratio of 75:25, except in the north-eastern states, where the ratio is 90:10. Further, in UTs administered by the government of India, it is funded 100 per cent by the government of India.

 
 
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