31% yoy drop in FDI in food processing in 2018-19
Food Processing Minister, Smt. Harsimrat Kaur Badal, pointed out that there has been a 31% year-on-year decline in FDI in food processing in 2018-19. During the last financial year, FDI in food processing stood at US$ 904.90 million; while the FDI figures recorded in 2018-19 were US$ 628.24 million and US$ 727.22million in 2016-17. As far as the investments for fiscal years 2014-15, 2015-16 & 2016-17 are concerned, the figures registered according to the Annual Survey of Industries (ASI) are Rs 3,68,433.71 crore; Rs 3,86,339.38 crore and Rs 4,17,690.89 crore respectively. The total number of people employed in registered food processing unit during the same periods were 17.73 lakh, 17.65 lakh and 18.54 lakh respectively.
To entice foreign investors, FDI of up to 100% under the automatic route has been allowed in food processing industries. Furthermore, 100% FDI under government route for retail trading is permitted in respect of food products manufactured and/or produced in India.