Lok Sabha Question No. 902 (UNSTARRED), answered on 2017-02-07
Subject: Processing of Fruits and Vegetables
Ministry: FOOD PROCESSING INDUSTRIES
Asked by: RAVINDRA KUMAR RAY, HARISH DWIVEDI, RANJANBEN BHATT, CHINTAMANI MALVIYA, RAMESH BIDHURI

## GOVERNMENT OF INDIA MINISTRY OF FOOD PROCESSING INDUSTRIES

## LOK SABHA UNSTARRED QUESTION NO. 902

ANSWERED ON 07 TH  FEBRUARY, 2017

## PROCESSING OF FRUITS AND VEGETABLES

902:  DR. RAVINDRA KUMAR RAY:

SHRI HARISH CHANDRA ALIAS HARISH DWIVEDI:

SHRIMATI RANJANBEN BHATT:

PROF. CHINTAMANI MALVIYA:

SHRI RAMESH BIDHURI:

Will the Minister of FOOD PROCESSING INDUSTRIES be pleased to state:

- (a) whether a large quantum of perishables agriculture products are being damaged due to lack of proper processing and storage  arrangements/facilities in the country and if so, the details thereof and steps taken to curb loss and spoilage of the same;
- (b) whether  despite  being  a  major  producer  of  fruits  and  vegetables,  the  country  has  a negligible presence in the global food processing industry and if so, the details thereof and the  reasons  therefor  along  with  the  corrective  steps  taken  to  improve  the  position  of  the country in this regard;
- (c) the market share of food processing industry globally as well as in the country during the last three years and the current year;
- (d) whether  the  Government  has  formulated  any  action  plan/scheme  to  improve  processing level and storage capacity of fruits and vegetables in the country and if so, the details and the outcome thereof; and
- (e) the steps taken/being taken by the Government to improve the position and market share of the country's food processing industry globally?

## ANSWER

## THE MINISTER OF STATE FOR FOOD PROCESSING INDUSTRIES (SADHVI NIRANJAN JYOTI)

- (a) As  per  the  study  conducted  by  Central  Institute  of  Post-Harvest  Engineering  and Technology  (CIPHET),  Ludhiana,  annual  value  of  harvest  and  post-harvest  losses  of  major agricultural  produces  at  national  level  was  of  the  order  of  Rs.  92,651  crore  calculated  using production data of 2012-13 at 2014 wholesale prices. The percentage of post-harvest losses as assessed by the study are as under:

| Crops              | Cumulative Wastage (%)   |
|--------------------|--------------------------|
| Cereals            | 4.65-5.99                |
| Pulses             | 6.36-8.41                |
| Oilseeds           | 3.08-9.96                |
| Fruits &Vegetables | 4.58-15.88               |
| Milk               | 0.92                     |
| Fisheries (Inland) | 5.23                     |
| Fisheries (Marine) | 10.52                    |
| Meat               | 2.71                     |
| Poultry Meat       | 6.74                     |

(b)  &  (c)  Based  on  the  data  maintained  by  International  Trade  Centre,  India's  share  in international  food  trade  in  2015  is  estimated  at  2.34%.    The  details  of  India's  export  of  food products  in  2015-16,  as  per  the  data  maintained  by  Directorate  General  of  Commercial Intelligence and Statistics are given in the Annexure .  Agricultural and Processed Food Products Export Development Authority (APEDA)  under  Ministry of Commerce  &  Industry is responsible  for  promoting  export  of  food  products  from  the  country.    Its  Agriculture  Export Promotion Scheme comprises four components; Infrastructure development; Transport Assistance; Market Development and Quality development. The market share of food processing industry in total exports during the last three years and the current year is as under:

| Export of Food Products                                                            | Export of Food Products   | Export of Food Products   | Export of Food Products   |
|------------------------------------------------------------------------------------|---------------------------|---------------------------|---------------------------|
|                                                                                    | 2013                      | 2014                      | 2015                      |
| Market share of Indian food processing industry in total exports of India          | 12.30%                    | 11.89%                    | 11.51%                    |
| Market share of Indian food processing industry in global exports of food products | 2.93%                     | 2.61%                     | 2.34%                     |

Source: ITC Trade Map, 2016

( d) & (e)   To improve the processing level and storage capacity of fruits and vegetables in the country  Ministry  is  providing  financial  assistance  under  the  Central  Sector  Schemes  for promotion and development of food processing sector in the country. These are (1) Scheme for Mega Food Parks (2) Scheme for Modern Abattoirs (3) Scheme for Integrated Cold Chain and Value  Addition  Infrastructure  (4)  Scheme  for  Creation/Expansion  of  Food  Processing  and Preservation (5) Scheme  for Quality Assurance (6)  Scheme  for  Human  Resource  and Institutions.  Farmers,  Farmer  Producer  Organizations,  Individuals,  Group  of  Entrepreneurs, Cooperative Societies, Self Help Groups, NGO's, Central/ State PSU etc. are eligible to  avail financial assistance under these schemes for setting up food processing industries in the country. The detailed  guidelines  of  these  schemes  having  the  pattern  of  financial  assistance,  eligibility criteria,  procedure  for  approval  of  projects  etc.  are  available  on  the  Ministry's  website  at www.mofpi.nic.in . 100%  FDI  is  permitted  under  the  automatic  route  in  food  processing industries and through approval route for trading, including through e-commerce in respect of food products manufactured and/or produced in India.

****

## ANNEXURE  REFERRED  TO  IN  REPLY  TO  PART  (b)  &  (c)  OF  LOK  SABHA UNSTARRED QUESTION NO. 902 ANSWERED  ON 07 TH FEBRUARY, 2017 REGARDING PROCESSING OF FRUITS AND VEGETABLES

| India's Export of Food Products (Values in US $ Million)   | India's Export of Food Products (Values in US $ Million)   | India's Export of Food Products (Values in US $ Million)                                                     | India's Export of Food Products (Values in US $ Million)   |
|------------------------------------------------------------|------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------|------------------------------------------------------------|
| Sl. No.                                                    | HS Code                                                    | Commodity                                                                                                    | 2015-2016                                                  |
| 1                                                          | 02                                                         | MEAT AND EDIBLE MEAT OFFAL.                                                                                  | 4209.98                                                    |
| 2                                                          | 03                                                         | FISH AND CRUSTACEANS, MOLLUSCS AND OTHER AQUATIC INVERTABRATES.                                              | 4486.28                                                    |
| 3                                                          | 04                                                         | DAIRY PRODUCE; BIRDS' EGGS; NATURAL HONEY; EDIBLE PROD. OF ANIMAL ORIGIN, NOT ELSEWHERE SPEC. OR INCLUDED.   | 328.48                                                     |
| 4                                                          | 07                                                         | EDIBLE VEGETABLES AND CERTAIN ROOTS AND TUBERS.                                                              | 1261.4                                                     |
| 5                                                          | 08                                                         | EDIBLE FRUIT AND NUTS; PEELOR CITRUS FRUIT OR MELONS.                                                        | 1584.68                                                    |
| 6                                                          | 09                                                         | COFFEE, TEA, MATE AND SPICES.                                                                                | 2954.87                                                    |
| 7                                                          | 10                                                         | CEREALS.                                                                                                     | 6272.02                                                    |
| 8                                                          | 11                                                         | PRODUCTS OF THE MILLING INDUSTRY; MALT; STARCHES; INULIN; WHEAT GLUTEN.                                      | 299.47                                                     |
| 9                                                          | 12                                                         | OIL SEEDS AND OLEA. FRUITS; MISC. GRAINS, SEEDS AND FRUIT; INDUSTRIAL OR MEDICINAL PLANTS; STRAW AND FODDER. | 1673.53                                                    |
| 10                                                         | 13                                                         | LAC; GUMS, RESINS AND OTHER VEGETABLE SAPS AND EXTRACTS.                                                     | 868.99                                                     |
| 11                                                         | 15                                                         | ANIMAL OR VEGETABLE FATS AND OILS AND THEIR CLEAVAGE PRODUCTS; PRE. EDIBLE FATS; ANIMAL OR VEGETABLE WAXEX.  | 877.27                                                     |
| 12                                                         | 16                                                         | PREPARATIONS OF MEAT, OF FISH OR OF CRUSTACEANS, MOLLUSCS OR OTHER AQUATIC INVERTEBRATES                     | 211.97                                                     |
| 13                                                         | 17                                                         | SUGARS AND SUGAR CONFECTIONERY.                                                                              | 1763.61                                                    |
| 14                                                         | 18                                                         | COCOA AND COCOA PREPARATIONS.                                                                                | 193.31                                                     |
| 15                                                         | 19                                                         | PREPARATIONS OF CEREALS, FLOUR, STARCH OR MILK; PASTRYCOOKS PRODUCTS.                                        | 506.24                                                     |
| 16                                                         | 20                                                         | PREPARATIONS OF VEGETABLES, FRUIT, NUTS OR OTHER PARTS OF PLANTS.                                            | 488.25                                                     |
| 17                                                         | 21                                                         | MISCELLANEOUS EDIBLE PREPARATIONS.                                                                           | 568.83                                                     |
| 18                                                         | 22                                                         | BEVERAGES, SPIRITS AND VINEGAR.                                                                              | 320.51                                                     |
| 19                                                         | 23                                                         | RESIDUES AND WASTE FROM THE FOOD INDUSTRIES; PREPARED ANIMAL FODER.                                          | 802.68                                                     |
| India's Total Food Export                                  | India's Total Food Export                                  | India's Total Food Export                                                                                    | 29672.37                                                   |