Elaborate the policy taken by the Government of India to meet the challenges of the food processing sector.
Elaborate the policy taken by the Government of India to meet the challenges of the food processing sector.
The food processing sector in India faces significant challenges including inadequate infrastructure, post-harvest losses, and limited market linkages. The Government of India has implemented comprehensive policy measures to transform this sector into a global manufacturing hub.
Infrastructure Development Through PMKSY
- Pradhan Mantri Kisan Sampada Yojana (PMKSY) launched with enhanced budget of ₹6,520 crore for 2024-25
- 41 Mega Food Parks established with 24 operational and 17 under implementation as of 2025
- Development of 50 multi-product food irradiation units and 100 food testing labs with ₹1,920 crore allocation
- Creation of Integrated Cold Chain and Value Addition Infrastructure to reduce post-harvest losses from 40% to 20%
- Establishment of Primary Processing Centers and Collection Centers at farm gate level
Cold Chain and Storage Solutions
- Allocation of ₹4,600 crore until March 2026 for cold chain infrastructure development
- Financial incentives for Private Sectors, Self Help Groups (SHGs), and Farmer Producer Organizations (FPOs)
- Public-Private Partnership (PPP) model for energy-efficient cold storage facilities
- Implementation of Mobile Processing Units for remote agricultural areas
- Development of Pack House facilities with modern grading and packaging technology
Export Promotion and Market Access
- Launch of comprehensive Agriculture Export Policy 2024 targeting $60 billion food exports by 2025
- Establishment of product-specific export promotion forums by APEDA
- Farmer Connect Portal linking farmers directly with international buyers
- Trade Infrastructure for Export Scheme (TIES) and Market Access Initiative (MAI) for logistics enhancement
- District as Export Hubs (DEH) scheme promoting unique regional products
Technology and Innovation Support
- Production Linked Incentive (PLI) scheme for food processing with ₹10,900 crore outlay
- SAMPADA 2.0 focusing on technology upgradation and R&D promotion
- Support for Agri-tech startups through dedicated incubation centers
- Implementation of blockchain technology for supply chain transparency
- Promotion of food fortification and organic processing initiatives
These policy interventions demonstrate government commitment to creating a robust food processing ecosystem. Success depends on effective implementation and continued private sector participation in building India's food processing capabilities.
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