Lok Sabha Question No. 968 (UNSTARRED), answered on 2022-12-13
Subject: Value Addition in Agriculture Sector
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: Shardaben Anilbhai Patel, Jagannath Sarkar, Mitesh Rameshbhai (Bakabhai) Patel

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE AND FARMERS WELFARE

## LOK SABHA UNSTARRED QUESTION NO. 968

TO BE ANSWERED ON THE 13 TH  DECEMBER, 2022

## VALUE ADDITION IN AGRICULTURE SECTOR

968.   SHRIMATI SHARDABEN ANILBHAI PATEL: SHRI MITESH RAMESHBHAI PATEL(BAKABHAI): SHRI JAGANNATH SARKAR:

Will the Minister of AGRICULTURE AND FARMERS WELFARE कृ षि एवं ककसान कल्याण मंत्री be pleased to state:

- (a) the  quantum  of  value  addition  achieved  in  agriculture  sector  during  the  last  five years; and
- (b) the steps taken/being taken by the Government to ensure higher value addition in the agriculture sector?

## ANSWER

## MINISTER OF AGRICULTURE AND FARMERS WELFARE

कृ षि एवं ककसान कल्याण मंत्री

(SHRI NARENDRA SINGH TOMAR)

(a): As  per  the  information  from  Ministry  of  Food  Processing  Industries(MoFPI),  the Ministry of Statistics and Programme Implementation releases data on Gross Value Added (GVA) for all sectors including for Food Processing sector through the National Accounts Statistics.  During  the  last  5  years  ending  2020-21,  Food  processing  sector  has  been growing at an Average Annual Growth Rate (AAGR) of around 8.38 per cent (at 2011-12 prices). The year wise Gross Value Added (GVA) by Food Processing Industries (FPI) (at Constant 2011-12 Prices) is given below:

(Value in Rs. Lakh Crore)

| Year              |   2016-17 |   2017-18 |   2018-19 |   2019-20 |   2020-21 |
|-------------------|-----------|-----------|-----------|-----------|-----------|
| Gross Value Added |      1.79 |      1.93 |      2.36 |      2.26 |      2.37 |

Source: National Accounts Division, Central Statistics Office

(b): As per the information received from Ministry of Food Processing Industries(MoFPI), following are the major interventions of the Ministry of Food Processing Industries towards creation of post-harvest infrastructure & processing facilities:

O.I.H.

(1.). Ministry  of  Food  Processing  Industries  is  implementing  a  central  sector umbrella scheme 'Pradhan Mantri Kisan Sampada Yojana (PMKSY)' for creation of modern food processing and preservation infrastructure with efficient supply chain management  from  farm  gate  to  retail  outlet.  PMKSY  has  seven  components  for infrastructure  development  viz.  (i)   Integrated  Cold  Chain  and  Value  Addition Infrastructure, (ii) Infrastructure for Agro-Processing Clusters, (iii) Creation/ Expansion  of  Food  Processing  &  Preservation  Capacities,  (iv)  Food  Safety  and Quality Assurance Infrastructure, (v) Human Resources and Institutions-Research &  Development  and  (vi)  Operation  Greens.  Mega  Food  Park  and  Creation  of Backward and Forward Linkages schemes, earlier part of PMKSY, has since been discontinued.

(2.). Ministry  is  also  implementing  a  centrally  sponsored  "PM  Formalisation  of Micro  food  processing  Enterprises  (PMFME)  Scheme"  for  providing  financial, technical and business support for setting up / upgradation of micro food processing enterprises in the country. The scheme is operational for a period of five years from 2020-21 to 2024-25 with an outlay of Rs. 10,000 Crore. The Scheme adopts One District  One Product (ODOP) approach. It provides the framework for value chain development and alignment of support infrastructure.

(3.). Ministry is also implementing Production Linked Incentive Scheme for Food Processing  Industry  (PLISFPI)  approved  by  the  Government  on  31.3.2021  for implementation during FY 2021-22 to 2026-27 with an outlay of Rs. 10,900 crore. The objective of the scheme is to support the creation of global food manufacturing champions; promote Indian brands of food products globally; increase employment opportunities  for  off-farm  jobs;  ensure  remunerative  prices  of  farm  produce  and higher income to farmers.

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