The total food production in India will probably double over the following ten years and an opportunity pertaining to large purchases of food and food processing technologies, expertise and gear, especially in parts of Canning, Dairy products and Meals Processing, Niche Processing, Product packaging, Frozen Food/Refrigeration and Thermo Processing.
Fruits & Fresh vegetables, Fisheries, Dairy & Milk Products, Meat & Poultry, Packaged/Convenience Foods, Alcoholic Beverages & Fizzy drinks and Embryon are important sub-sectors of the meals processing market. A overall health food and health foodstuff supplement is another rapidly rising segment of this industry which can be gaining vast popularity amongst the health conscious. India is one of the planets major foodstuff producers but accounts for lower than 1 . a few per cent of international food trade. This indicates vast range for the two investors and exporters.
Food exports more than a decade ago stood at US $5. almost 8 billion although the world total was ALL OF US $438 billion. The Of india food industrial sectors sales proceeds is Rs 140, 000 crore (1 crore = 10 million) annually while at the start of year 2150. The sector has the maximum number of plant life approved by the US Food and Drug Administration (FDA) outside the USA.
India’s food processing sector covers fruit and veggies; meat and poultry; milk and milk products, alcoholic beverages, the fishing industry, plantation, grain processing and also other consumer merchandise groups like confectionery, chocolates and cocoa products, Soya-based products, mineral water, high necessary protein foods and so forth We cover an thorough database associated with an array of suppliers, manufacturers, exporters and importers widely dealing in sectors like the -Food Industry, Dairy processing, Indian beverage industry etc . We also cover areas like dairy plants, canning, bottling plant life, packaging industrial sectors, process machinery etc . One of the most promising sub-sectors includes -Soft-drink bottling, Sweetmeat manufacture, Doing some fishing, aquaculture, Grain-milling and grain-based products, Meat and chicken processing, Alcohol based drinks, Milk digesting, Tomato substance, Fast-food, Ready-to-eat breakfast cereals, Food additives, flavors etc . India is one of the world’s significant food manufacturers but accounts for less than 1 . 5 % of intercontinental food control. This indicates vast scope intended for both investors and exporters.
Food export products in 1998 stood at US $5. 8 billion dollars whereas the world total was US $438 billion. The Indian foodstuff industry’s sales turnover is usually Rs a hundred and forty, 000 crore (1 crore = 12 million) each year as at the beginning of yr 2000.
The industry requires about Rs 29, 1000 crore in investment within the next five years to 2005 to develop necessary facilities, expand production facilities and state-of-the-art-technology to match the intercontinental quality and standards. The office of the Gardening Affairs of the USDA as well as Foreign Gardening Services in New Delhi says that one of India’s proudest achievements has been attaining a tenuous self-sufficiency in food production and that the country produces a wide selection of agricultural goods at prices that are in or beneath world principles in most cases. The Indian taste buds is accustomed to traditional foods, mostly whole wheat and rice-based, rather than potato and corn-based western taste buds.
In marketing perspective, this is well known as an important factor to get foreign entrepreneurs. The USDA report says initially consumer-ready food products may have to be focused on include American indian spices and traditional ingredients. In addition to traditional tastes, there are additional social elements which influence consumption in India.
Hindus account for around 80 per cent of India’s population, and even though only twenty-five or 30 per cent are rigid vegetarians, gound beef slaughter is definitely prohibited in all of the but two states (Kerala and Western world Bengal) and consumption of other chicken is limited. In addition, India is a only nation where the US-based MacDonalds provides its hamburgers without any gound beef content as well as offers strictly vegetarian hamburgers. India’s midsection class part will hold the important thing to failure or success of the processed food market in India. From the country’s total population of 1 billion, the middle class sectors account for about 350-370 mil.
Though a majority of families in this segment include nonworking regular folks or are able to afford hired home help and thus prepare food of their style in their very own kitchens, the profile in the middle class is changing steadily and hired domestic help is becoming costlier. This can be conducive to an expansion in demand for ready-to-eat Indian-style foods.
India’s foodstuff processing sector covers vegetables and fruits; meat and poultry; dairy and dairy food, alcoholic beverages, the fishing industry, plantation, feed processing and other consumer product groups like confectionery, chocolates and powdered cocoa products, Soya-based products, standard water, high proteins foods and so forth According to latest established statistics, India exported highly processed fruits and vegetables really worth Rs 5240 million in 1997-98. The horticulture development is around 102 million hues. Foreign expense since 1991, when monetary liberalization began, stood by Rs eight, 800 crore.
Products that contain growing demand, especially in the Middle East countries include pickles, chutneys, fresh fruit pulps, refined fruits, and vegetables, centered pulps and juices, dried out vegetables and frozen fruit and veggies. Another potential processed foodstuff is various meats and fowl products. India ranks 1st in world cows population, 40 per cent of buffalo inhabitants and one-sixth of total goat human population of the world. Zoysia grass meat can be surplus in India.
There may be vast range to set up modern day slaughter establishments and cold store organizations in various meats and chicken processing sector. India’s current level of meats and meat-based exports is around Rs almost 8, 000 million. In last six years foreign expenditure in this segment stood in Rs your five, 000 , 000, 000 which is more than 50 per cent of the total investment manufactured in this sector. Compared with meats, poultry market has listed significant progress.
India rates high fifth on the globe with annual egg production of 1. 61 million colors. Both poultry and egg processing models have come really big approach in the country. India is conveying egg dust, frozen egg yolk and albumin powder to The european union, Japan and other countries. Poultry exports are mainly to Maldives and Oman.
Indian poultry meat items have very good markets in Japan, Malaysia, Indonesia and Singapore. Whilst meat products registered a rise of 12 per cent, eggs and broilers registered 16-20 per cent development. There are regarding 15 real line and grandparent operation projects in India. There are 115 coating and 280 broiler hatcheries producing 1 ) 3 mil layer parents and 280 million broiler parents. That they in turn supply 95 mil hybrid layer and 275 million broilers, day-old girl.
Presently there are merely five egg powder vegetation in India which is regarded as insufficient taking into consideration growing foreign trade demand for different kind of powdered complete egg, yolk and white. The opportunity of overseas investment and state-of-the-art technology in this field is for that reason tremendous. Milk and dairy food is graded as one of the most promising areas which warrants foreign expense in a big way. If the world dairy production signed up a negative growth of 2 percent, India performed much better with 4 percent growth. The whole milk production is around 72 million tones and the demand for milk is definitely estimated by around eighty million hues.
By 2006, the value of American indian dairy generate is expected to be Rs 1, 1000, 000 mil. In previous six years foreign expense in this sector stood for Rs 3600 million which can be about one-fourth of total investment made in this sector. Manufacture of casein and lactose, mainly being imported presently, features good range.
Exports of milk products have been decimalized. Embryon could arise as a key export one earning the money for India in approaching years. India’s food grains production is actually at about 225-230 million tones.
These include rice, jawar, bajra, maize, wheat, gram and pulses. Indian basmati rice looks forward to command in the international industry. Besides growing Middle East market for basmati rice, many other countries are demonstrating interest in this food grain. In 1998-99, export of basmati and non-basmati grain stood for Rs62000 , 000, 000.
There is a total rice milling capacity of 186 million tons in the country. Among planting, tea emerged as main foreign exchange one earning the money. India is a largest manufacturer and exporter of dark tea. Nevertheless , the most having to worry factor for Indian tea industry is the fact from early next year while using implementation of tea imports into the nation, India tea may face a rigid competition inside the country as well, specially danger of Sri Lanka’s presence in the Indian market is looming large.
The existing year’s tea export prospective client is not that very good in terms of forex earnings mainly because international prices have gone down significantly this coming year. India export products between150-170 million kilograms of tea per year. Of course , the scope of foreign expenditure in this sector is good as well as the multinational tea companies will either become trying pertaining to marketing joint ventures while using Indian makers or acquire stakes in Indian tea companies.
There is also a strong probability of third nation exports through such joint venture as top quality wise even now Indian green teas are lording it over the worldwide market. A great alcoholic beverage is another are where India seen substantial international investment. Foreign investment with this sector was standing at Rs 7000 mil which about 70 percent in the total purchase made until now. The IMFL (Indian Manufactured Foreign Liquor) primarily comprises wine, vodka, gin, bourbon, rum and brandy. Ale is a fairly recent launch in the American indian market.
The Indian dark beer market is estimated at Rs7000 million 12 months. One of the major advantages of any investor eyeing the Indian liquor market is that India presents enough raw materials like molasses, barely, maize, potatoes, fruit, yeast and hops intended for the industry. Yet another catchy investment sector is fisheries. There is growing canned and processed fishes from India. The underwater fish incorporate prawns, shrimps, tuna, cuttlefish, squids, octopus, red snappers, ribbon fish, mackerel, lobsters, cat fish etc . In last six years there were substantial purchase in fisheries to the tune of Rs 30, 500 million that foreign purchases were in the order of Rs 7000 million.
The could be gauged by the reality against seafood production potential in the Distinctive Economic Region of 3. on the lookout for million hues, actual get is to the tune of two. 87 million tones. Enjoying from away from the coast sources is about 2 . mil tones.
The most important bottleneck in expanding the food processing sector, in terms of the two investment and exports, is definitely lack of satisfactory infrastructure. With out a strong and dependable cool chain essential sector like food control industry which can be based mostly on perishable goods cannot survive and expand. Even at current amount of production, farm building produce appreciated at Rs 70, 500 million is being wasted each year only because you cannot find any adequate storage, transportation, frosty chain services and other infrastructure supports.