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National Mission on Food Processing (NMFP)


India enjoys a ‘competitive advantage’ in food processing sector given its huge production base of a number of agricultural, dairy, fishing and horticultural items. To ensure that this sector gets the stimulus it deserves, the MoFPI has been implementing a number of schemes for infrastructure development, technology upgradation and modernisation, human resources development and R&D in this sector. In the context of the 12th Plan , it is felt that there is a need to decentralise the implementation of schemes through involvement of the states/UTs for better outreach, supervision, monitoring and ensuring job creation. Accordingly, National Mission on Food Processing (NMFP) was launched as a centrally sponsored scheme in 2012. The NMFP contemplates establishment of a National Mission as well as corresponding Missions at the state and district levels.


Challenges

The most important challenges among others in the sector include avoidance of the significant ‘wastage’ at every level and in value addition. High food inflation, high post-harvest wastage particularly in fruits and vegetables, low level of processing, etc., are the main challenges in the food processing sector. Addressing these core concerns by reducing wastage of food, increasing shelf life and enhancing value of agricultural produce are some of the objectives of the food processing industry. In terms of employment, the contribution of the sector is s ignificant. Presently, the total number of

persons employed in the food processing sector is about 17 lakh. The National Manufacturing Policy, 2011 seeks to give special attention to food processing industries to ensure job creation. To promote industrial growth along with the objective of inclusive growth the food processing sector will get higher attention from the government.


Outlook for the Future

So that the FPI expands as per the expectations emphasis is needed on the following fronts:

(i) Given the need for wastage reduction , value addition and the high employment potential of the sector, there is a need to substantially step up the allocations given the importance of the sector in terms of its contribution to the economy.

(ii) There is also a need for greater involvement of state governments for better outreach, supervision and monitoring (keeping this in view, government has already launched centrally sponsored National Mission on Food Processing).

(iii) There is a need for greater emphasis on creation of infrastructure with full participation of state governments and private sector . The main infrastructure schemes for setting up food parks and cold chains are at present ‘closed ended’. This should be ‘open ended’ permitting the Ministry to fund all the viable projects proposals received under these schemes rather than limiting the number of projects.

(iv) The credit dimension of the sector is also a vital issue.

With the idea of ‘Team India’ under the NITI Aayog, it is believed that a new synergy will come to the food processing industry. The nature of industry requires active participation from not only the concerned states, but the loacal bodies, too. Experts believe that the emerging emphasis by the government on the issue of ‘ease of doing business’ will be of great help to the sector.