Food Processing Technology

India’s food processing industry is poised to grow at a robust pace on the back of a strong resource base and currently low levels of processing of food products. The sector provides vital linkages between the two pillars of the economy – agriculture and industry. Furthermore, India is the world’s sixth largest food and grocery market, with a growing demand for processed and packaged food like yoghurt, cheese, ready-to-eat and processed food products. The processed food market is estimated at US$ 543 billion in 2020, growing at a CAGR of 14.6% over the past few years.

The market for plant and machinery in the food processing sector is projected to reach US$ 51.41 billion in 2024-25 from US$ 17.3 billion (2016-17). This potential is primarily led by cereals processing, dairy processing, prepared meals apart from other food products. During the same period, the fixed capital investment in the sector is expected to increase by more than two hundred per cent.

While significant gap exists, the sector is receiving strong support from the Government as a focus sector under the Make in India initiative. There is a massive requirement for infrastructure creation in the sector, including pack houses at the farm gate, cold storage facilities across the value chain, latest technology for processing of food products while retaining its nutritional value, multi-modal logistics, infrastructure at port gateways with phyto-sanitary facilitation etc. The government has instituted a number of schemes for setting up of mega food parks, integrated cold chain and value addition infrastructure, agro-processing clusters and food safety and quality insurance.

India’s imports of food processing equipment stood at US$ 168 million for 2016-17, out of which dairy accounted for US$ 16.75 million. A number of global companies such as GEA Group, Tetra Laval, Buhlar, Alfa Laval, Heat and Control and HRS process have established their base in India.