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“Food Processing industry  expected to touch $530 Billion  in next 5 years”: CII Study

“Food Processing industry expected to touch $530 Billion in next 5 years”: CII Study

The Confederation of Indian Industry (CII) today released a report on “Unlocking Value in India's Food Processing Sector” during its event – Food Pro 2022 International Conference & Exhibition on Food Processing & Technology [14th edition] – being held at the Chennai Trade Centre from 5-7 August 2022. Independent research and analysis for this report was conducted by McKinsey & Company, who served as Knowledge Partners.

According to the report the chances of this touching USD 600-650 billion in the same period is potentially high provided there is a sustained focus on optimizing food wastage, enhancing food processing penetration and increasing exports.

McKinsey & Company, Knowledge Partners of the report point out, India has emerged as a global agricultural powerhouse and it currently is the world's second largest agricultural producer leading in production of cereals, pulses, fruits and vegetables, sugar, and milk. 

The sector also fuels the economy and provides jobs to about 7 million Indians. Agriculture not only contributes to 19 percent of the country’s GDP , but also supports nearly half of the population’s livelihoods. 

The per capita agricultural GDP, at constant prices, grew at a CAGR of 6 percent to Rs. 15,056/ year between 2000-01 and 2020-21 while the industry grew at a CAGR of 11 percent between FY 15-20 to USD 300-320 billion.Despite these achievements, the potential still remains untapped. 

A greater thrust on food processing could not only help India bring richer, more convenient food options to the world, but also significantly increase farmer income and create thousands of jobs and successful businesses on its shores mentions the report.