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FOOD PROCESSING

FDI equity inflow of $6,492.19 mn in food processing in last six years
Thursday, 04 January, 2018, 08 : 00 AM [IST]
Our Bureau, New Delhi
According to the Department of Industrial Policy & Promotion (DIPP), Ministry of Commerce and Industry, there has been foreign direct investment (FDI) equity inflow worth $6,492.19 million in the food processing sector between 2010-11 and 2016-17.

One hundred per cent foreign direct investment (FDI) in food processing industries has been permitted through the automatic route, subject to the applicable laws/sectoral rules/regulations/security conditions.

As per the latest Annual Survey of Industries (ASI) conducted by the Central Statistics Office, Ministry of Statistics and Programme Implementation, in 2014-15, the total invested capital by the registered food processing units was estimated to be Rs 3,68,43,371 lakh.

The state-wise invested capital in the food processing industries by 2014-15 as per the survey is in the Annexure.

As per the surveys under ASI conducted by Central Statistics Office, Ministry of Statistics and Programme Implementation, the number of registered food processing units has increased from 35,838 in 2010-11 to 38,603 in 2014-15.

Annexure
State-wise invested capital in registered food processing units by 2014-15


Serial Number

State

Invested capital (Rs lakh)

1

Andaman and Nicobar Islands

733

2

Andhra Pradesh

23,03,736

3

Arunachal Pradesh

6,822

4

Assam

8,02,132

5

Bihar

6,88,407

6

Chandigarh

7,251

7

Chhattisgarh

3,55,497

8

Dadra and Nagar Haveli

2,337

9

Daman and Diu

33,297

10

Delhi

6,51,151

11

Goa

1,52,223

12

Gujarat

25,68,716

13

Haryana

20,54,238

14

Himachal Pradesh

2,96,996

15

Jammu and Kashmir

1,12,583

16

Jharkhand

1,24,541

17

Karnataka

32,27,013

18

Kerala

7,03,629

19

Madhya Pradesh

12,18,209

20

Maharashtra

67,49,766

21

Manipur

5,537

22

Meghalaya

44,828

23

Nagaland

1,938

24

Odisha

3,33,689

25

Puducherry

70,505

26

Punjab

22,98,109

27

Rajasthan

9,53,902

28

Sikkim

18,285

29

Tamil Nadu

28,09,159

30

Telangana

10,08,565

31

Tripura

20,030

32

Uttar Pradesh

51,19,369

33

Uttarakhand

5,06,498

34

West Bengal

15,93,680

Total

3,68,43,371




(Source: Annual Survey of Industries, Central Statistics Office, Ministry of Statistics and Programme Implementation)

Efforts to deal with fragmented supply chain in the food processing sector and scheme for skill development in food processing sector
Twenty-one states have adopted the contract farming provision in their Agricultural Produce Market Committee (APMC) Acts, and the Government of Punjab has legislated a separate Contract Farming Act, 2013, which helps contract sponsors, including the food processing industry, to enter into contract agreement with farmers for agriculture produce.

In order to assist the states in liberalising the agriculture market, to provide better access to farmers for marketing of their produce, the Department of Agriculture, Cooperation and Farmers’ Welfare had provided a model APMC Act, 2003, for adoption by states as agriculture marketing is a state subject. The Model APMC Act, 2003, provides for contract farming provision.

Under its Pradhan Mantri Kisan Sampada Yojana (PMKSY), the the ministry of food processing industries (MoFPI) has launched a new sub-scheme [i e Scheme for Human Resources and Institution – Skill Development (SHRISD)] to assist skilling infrastructure and development of course curriculum with a budget outlay of Rs 27.50 crore from 2017-18 to 2019-20.

The scheme has the following two components:
Development of course curriculum/training module in English, Hindi and translation of the same in recognised regional languages based on the qualification packs (QPs) validated by the National Skill Development Corporation (NSDC) as national occupational standards.

Grants-in-aid are provided to the eligible institutions upto a maximum of Rs 5 lakh per QP for development of training module both in print and multi-media for each job role and, up to a maximum of Rs. 0.50 lakh per QP is provided for the translation of already-developed training modules in recognised regional languages as per the eighth schedule.

Establishing training centre (TC)/expanding the existing training centre to impart skill/training on various job roles in food processing as per the National Skill Qualification Framework (NSQF).

Grants-in-aid is provided at the rate of 50 per cent of cost of plant and machinery required for an NSQF-validated training module subject to maximum of Rs 15 lakh per training module and limited to maximum two training modules per TC.

The following institutions/organisations are eligible to apply under the scheme:
    • Recognised Central/state/deemed universities or their departments of food processing technology
    • Colleges/institutions of food technology, affiliated with Central/state government universities
    • Government-approved Industrial Training Institutes (ITIs)
    • National Accrediation Board for Testing and Calibration- (NABL) accredited food laboratories
    • Training centres affiliated to or accredited with the Food Industry Capacity Skill Initiative (FICSI), the National Skill Development Agency (NSDA) or State Skill Councils

The ministry has finalised detailed guidelines for the scheme and has invited proposals from eligible and interested Institutions/organisations.

Training in food processing technology
Two academic-cum-research institutes under the administrative control of the ministry of food processing industries, namely the National Institute of Food Technology Entrepreneurship and Management (NIFTEM) at Kundli, Haryana, and the Indian Institute of Food Processing Technology (IIFPT) at Thanjavur, Tamil Nadu, are imparting education and conducting research in food technology to improve manpower in the food processing industry and to develop indigenous technologies for food processing in the country.

NIFTEM was set up to promote cooperation and networking among existing institutions both within the country and international bodies and bring in international best practices for improving food processing sector, provide industry-friendly short term courses including regular degrees and management courses with equal and complementary emphasis on research and education.

It is intended to be a centre for integrated research, education, enterprise incubation and outreach in the areas of food sciences and technology. The institute is conducting the following regular under-graduate (UG) and post-graduate (PG) degree courses since 2012-13 to meet the manpower requirement of food processing industries:

B Tech (Food Technology Management)
M Tech in five streams, namely
    • Food Process Engineering and Management
    • Food Safety and Quality Management
    • Food Technology and Management
    • Food Supply Chain Management
    • Food Plant Operations Management

Besides, the institute has commenced its Ph D programme from 2013-14 in five PG departments.

It also started an MBA programme in dual specialisations: (i) Compulsory: Food and Agri Business Management and (ii) Optional: One of Marketing/ Finance/International Business in academic year 2016-17.

IIFPT offers academic programmes in Food Process Engineering and Food Science and Technology to 60 under-graduates (UG) and post-graduates (PG). Besides, it offers doctorate degree (Ph D) programme to 20 scholars annually.

Its curriculum is designed in such a way that during the final year, students are mainly focusing on the training and development of the indigenous technologies for food processing in the country.

In addition, IIFPT also offers various training programmes, internship programmes and training to farmers, entrepreneurs and youths under the Pradhan Mantri Kaushal Vikas Yojana (PMKVY) for skill development.
 
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