Food Processing Sector’s share in country’s total FDI inflows at just 1.5 per cent : Ministry

The Ministry of Foodstuff Processing has claimed that the sector’s share in total Foreign Direct Investment (FDI) inflows in the state is pegged at just about 1.5 % and a lot more investments are necessary for overall growth of the sector.

Infact, the FDI inflows in the food stuff processing sector declined by 54 for each cent in 2020-21 as opposed to the preceding fiscal.

In a penned reply, Minister of Point out for Food items Processing Industries Prahlad Singh Patel educated Rajya Sabha that FDI in the food stuff processing sector stood at Rs 2,934.12 crore in 2020-21 compared to Rs 6,414.67 crore in the earlier fiscal. In 2018, FDI in the meals processing sector stood at Rs 4430.44 crore.

“The share of FDI in the Food items Processing sector is only 1.5 for each cent of total FDI inflows and the sector requires a lot more investments both equally domestic as effectively as Overseas direct expenditure. The Ministry of Foods Processing Industries (MoFPI) is employing a Central Sector plan Pradhan Mantri Kisan Sampada Yojana (PMKSY) since 2016-17 for over-all development and enhancement of the foodstuff processing sector which include for boosting financial investment,” he mentioned in his reply.

The government enables 100 % FDI in foods processing.

Also, through the PM Formalisation of Micro Food items Processing Enterprises Plan (PM FME), the Ministry ideas to support 2 lakh micro food processing models by credit score linked subsidy based mostly on A single District One Merchandise (ODOP) classification.

Under the ODOP scheme, so significantly the Ministry has permitted 137 “distinctive goods” in 710 districts throughout 35 States and UTs.

Meanwhile, in a individual penned reply the Ministry informed the Rajya Sabha, that as of October 31, “a full of 122 Major Processing Centres with processing capacity of 8500 MT, Dry Warehouse capability of 116450 MT, Chilly Storage ability of 56520 MT and deep freezer capability of 1750 MT have been permitted for assistance in 41 Mega Foodstuff Parks.” This was under the Pradhan Mantri Kisan Sampada Yojana.