The document provides information on India's food processing sector. Some key points:
- India has a large agriculture sector and is one of the largest producers of fruits, vegetables and milk globally.
- The food processing industry is an important contributor to India's GDP and employment. The organised sector accounts for 70% of the industry.
- There is strong demand growth driven by rising incomes, urbanization and changing consumer preferences. The sector is expected to attract more foreign investments.
- The key segments in the sector include fruits & vegetables, milk, meat & poultry, marine products and grain processing. States across India have been developed as agri export zones leveraging the country's diverse agricultural output.
The document provides information on India's food processing sector. Some key points:
- India has the 2nd largest arable land and is the largest producer and exporter of various foods like milk, fruits and vegetables.
- The food processing industry is one of India's largest industries, accounting for over 17% of manufacturing GDP and employing millions of people.
- The sector is split between the organized and unorganized segments, with the organized segment contributing around 58% currently.
- Major segments include dairy, fruits & vegetables, grains, meat, and consumer foods like beverages and packaged snacks.
The document provides an overview of the food processing industry in India. Some key points:
- India has a large agriculture sector and is one of the largest producers of fruits, vegetables and milk globally.
- The food processing industry is an important contributor to India's economy and employment. It accounted for 14% of India's GDP in manufacturing in FY2015.
- There are various segments in the food processing industry including fruits/vegetables, milk, grains and consumer food. The dairy sector is dominated by cooperatives while private players lead in other segments.
- The industry is growing with rising incomes, urbanization, and changing consumer preferences. Both domestic and international companies are increasing investments in the sector.
The document provides an overview of India's food processing industry through various sections:
1) The executive summary highlights India's advantages such as being the largest producer of milk and second largest producer of fruits and vegetables.
2) Advantage India section outlines factors like strong demand growth, policy support, and increasing investments that are driving the industry.
3) Market overview and trends section describes the size and segments of the industry, contributions to GDP and employment, and notable trends in consumption, international presence and product innovation.
The document provides information on India's food processing sector. Some key points:
- India has the 10th largest arable land resources in the world and is the largest producer of milk and second largest producer of fruits and vegetables.
- The food processing sector is growing due to rising consumption expenditure, changing lifestyles, and increasing foreign investment. The sector contributes over 8% to India's GDP and employs millions of people.
- The sector includes fruits/vegetables, milk, meat, marine products, grains, and packaged/consumer foods. Major players operate across the value chain from farming to retail.
The document provides an overview of the food processing industry in India. Some key points:
- India has a large agriculture sector and is one of the largest producers of milk, fruits and vegetables globally.
- The food processing industry is a major segment of India's economy, accounting for around 14% of GDP. It is expected to reach a value of $482 billion by 2020.
- The sector provides employment for millions of Indians and is expected to employ 9 million people by 2024. However, around 42% of the industry still operates in the unorganized sector.
- Changing consumer preferences, rising incomes, and the entry of international companies are driving growth in the processed food market in India. Ex
India has significant advantages in the food processing industry due to its large agricultural sector and diverse climatic conditions. It is the second largest producer of arable land globally and has a large livestock population. The food processing industry is growing rapidly due to rising incomes, urbanization, and changing consumer preferences. Exports of processed foods have also increased substantially in recent years due to India's strategic location and improvements in quality and packaging. The government is supporting the industry through various policies and infrastructure investments to take advantage of the strong domestic and global demand prospects in coming years.
Indian Food Processing Industry Presentation 060109Workosaur.com
The document provides an overview of India's food processing industry. Some key points:
- The industry is the 5th largest in India and accounts for 19% of industrial employment but has low levels of processing and value addition.
- The six major segments are dairy, fruits & vegetables, meat & poultry, fisheries, packaged foods, and beverages.
- India has favorable conditions for growth in the sector including arable land, water resources, and low labor costs.
- Exports of processed foods have been growing rapidly and account for around 5% of total exports. The government has initiatives to further develop the industry.
The document provides an overview of India's food processing industry. Some key points:
- India has a large agricultural sector and is one of the largest producers of fruits, vegetables, milk and meat globally.
- The food processing industry is a major contributor to India's GDP and employment. It is growing rapidly due to rising incomes, urbanization and changing diets.
- The industry includes segments like packaged foods, dairy, grains and beverages. Major players include Amul, ITC and Nestle.
- The government is supporting the sector through FDI policies and infrastructure projects to boost production and processing.
- Emerging trends include increasing exports, demand for health foods and changing consumer preferences.
The document provides information on India's food processing sector. Some key points:
- India has the 2nd largest arable land and is the largest producer and exporter of various foods like milk, fruits and vegetables.
- The food processing industry is one of India's largest industries, accounting for over 17% of manufacturing GDP and employing millions of people.
- The sector is split between the organized and unorganized segments, with the organized segment contributing around 58% currently.
- Major segments include dairy, fruits & vegetables, grains, meat, and consumer foods like beverages and packaged snacks.
The document provides an overview of the food processing industry in India. Some key points:
- India has a large agriculture sector and is one of the largest producers of fruits, vegetables and milk globally.
- The food processing industry is an important contributor to India's economy and employment. It accounted for 14% of India's GDP in manufacturing in FY2015.
- There are various segments in the food processing industry including fruits/vegetables, milk, grains and consumer food. The dairy sector is dominated by cooperatives while private players lead in other segments.
- The industry is growing with rising incomes, urbanization, and changing consumer preferences. Both domestic and international companies are increasing investments in the sector.
The document provides an overview of India's food processing industry through various sections:
1) The executive summary highlights India's advantages such as being the largest producer of milk and second largest producer of fruits and vegetables.
2) Advantage India section outlines factors like strong demand growth, policy support, and increasing investments that are driving the industry.
3) Market overview and trends section describes the size and segments of the industry, contributions to GDP and employment, and notable trends in consumption, international presence and product innovation.
The document provides information on India's food processing sector. Some key points:
- India has the 10th largest arable land resources in the world and is the largest producer of milk and second largest producer of fruits and vegetables.
- The food processing sector is growing due to rising consumption expenditure, changing lifestyles, and increasing foreign investment. The sector contributes over 8% to India's GDP and employs millions of people.
- The sector includes fruits/vegetables, milk, meat, marine products, grains, and packaged/consumer foods. Major players operate across the value chain from farming to retail.
The document provides an overview of the food processing industry in India. Some key points:
- India has a large agriculture sector and is one of the largest producers of milk, fruits and vegetables globally.
- The food processing industry is a major segment of India's economy, accounting for around 14% of GDP. It is expected to reach a value of $482 billion by 2020.
- The sector provides employment for millions of Indians and is expected to employ 9 million people by 2024. However, around 42% of the industry still operates in the unorganized sector.
- Changing consumer preferences, rising incomes, and the entry of international companies are driving growth in the processed food market in India. Ex
India has significant advantages in the food processing industry due to its large agricultural sector and diverse climatic conditions. It is the second largest producer of arable land globally and has a large livestock population. The food processing industry is growing rapidly due to rising incomes, urbanization, and changing consumer preferences. Exports of processed foods have also increased substantially in recent years due to India's strategic location and improvements in quality and packaging. The government is supporting the industry through various policies and infrastructure investments to take advantage of the strong domestic and global demand prospects in coming years.
Indian Food Processing Industry Presentation 060109Workosaur.com
The document provides an overview of India's food processing industry. Some key points:
- The industry is the 5th largest in India and accounts for 19% of industrial employment but has low levels of processing and value addition.
- The six major segments are dairy, fruits & vegetables, meat & poultry, fisheries, packaged foods, and beverages.
- India has favorable conditions for growth in the sector including arable land, water resources, and low labor costs.
- Exports of processed foods have been growing rapidly and account for around 5% of total exports. The government has initiatives to further develop the industry.
The document provides an overview of India's food processing industry. Some key points:
- India has a large agricultural sector and is one of the largest producers of fruits, vegetables, milk and meat globally.
- The food processing industry is a major contributor to India's GDP and employment. It is growing rapidly due to rising incomes, urbanization and changing diets.
- The industry includes segments like packaged foods, dairy, grains and beverages. Major players include Amul, ITC and Nestle.
- The government is supporting the sector through FDI policies and infrastructure projects to boost production and processing.
- Emerging trends include increasing exports, demand for health foods and changing consumer preferences.
The document provides an overview of the food processing industry in India. It discusses key points such as:
- The market is expected to grow at a CAGR of X% to reach a value of INR X billion by 2020 from INR X billion in 2015.
- Grains, spices and packaged foods contribute most to the industry, followed by beverages and dairy.
- Drivers of growth include rising incomes, urbanization, and government support through schemes and policies. Challenges include gaps in supply chains and high costs.
The document provides information on India's food processing sector. Some key points:
- India has a large agriculture sector and is the largest producer of milk and second largest producer of fruits and vegetables globally.
- The food processing industry is one of India's largest industries, accounting for around 14% of manufacturing GDP and expected to reach $482 billion by 2020.
- Major segments include fruits and vegetables, milk, meat and poultry, marine products, and grain processing. The organized sector accounts for around 70% of the industry.
- Notable trends include rising domestic and international demand, entry of international companies, changing consumer preferences towards healthier options, and increasing exports.
History OF Food Processing Industry, Food Processing Industry In India, Segments Of FPI, Market Size, Compound Annual Growth Rate, Leading Companies, Challenges Faced By The Industry, Future of the industry.
This presentation highlights the overview and subsidiaries of the agro and food processing sector in India & Gujarat. It details the major initiatives taken up by the government in terms of policies as well as infrastructure to promote industries and investments in the sector.
Potentials of food processing Industry in India
Projects having scope at
http://www.primaryinfo.com/agro-foodprocessing.htm
http://www.primaryinfo.com/foodproducts.html
Market Research Report : Agriculture and food industry in india 2014 - SampleNetscribes, Inc.
The document discusses the agriculture and food industry in India. It covers key drivers and challenges for the sector such as favorable demographics and lack of cold storage facilities. The document also outlines the competitive landscape, with leading players in the industry mentioned. Segmentation of the market is analyzed for various crops, fruits, vegetables and food processing. Export and import trends are also covered.
Opprtunities in agroprocessing sector in indiaHarish Deore
This document summarizes a presentation on opportunities in India's agro-processing sector. It notes that India is a major global producer of many agricultural commodities but that processing levels remain low compared to other countries. It identifies several challenges facing the sector, including low productivity, insufficient R&D, a lack of skilled human resources, and supply chain issues. However, it also outlines significant opportunities for growth given India's large domestic market and supportive government policies. The food processing sector could help address key issues around farmer incomes, waste reduction, and quality standards.
Food processing industry is estimated at USD 67 Billion that employs over 13 million people directly and 35 million people indirectly. This presentation includes key growth drivers,opportunities, key segments, foreign investments and what the Make In India program has for food processing industry of India .
This document provides an overview of the food processing industry in India. It discusses key areas of the industry like fruits and vegetables, fisheries, and meat. The food processing industry is significant because it provides employment, helps curb food inflation by reducing waste, and reduces rural to urban migration. The government has taken several initiatives to improve the sector such as allowing more FDI and establishing more food parks. The top challenges include high costs and competition from large multinational companies.
The document provides an overview of the food processing industry in India. It discusses that India is the 2nd largest producer of fruits and vegetables globally. The food processing sector contributes 12.7% to India's GDP and is the 5th largest sector in terms of production and consumption. It employs millions of people directly and indirectly. The document outlines the major crops produced in India and their production levels. It also discusses the scope and growth of the processed food industry in India, highlighting opportunities in minimally processed, frozen, and dehydrated fruits and vegetables. It summarizes India's leadership in meat and poultry production and the potential to increase processed meat exports.
The document provides an overview of the food processing industry in India. It discusses the structural analysis and classification of the industry. It also outlines the reforms undertaken, including liberalization policies, fiscal incentives and financial reforms. Key initiatives under the 10th and 11th Five Year Plans are summarized, focusing on infrastructure development, quality assurance standards, and human resource development. The impacts of union budgets on various food processing sub-industries are also highlighted.
- This document discusses a webinar being hosted by Aurum Equity Partners LLP on June 27th, 2014 about private equity and foreign investments in the Indian dairy industry.
- It provides an overview of the speakers for the webinar - Nitin Jain and Dr. R.S. Khanna from Aurum Equity Partners and introduces their backgrounds and areas of expertise related to the dairy industry.
- A disclaimer is also included stating that the information provided is for internal use only and does not constitute an offer to sell securities or assets.
Agribusiness in India : Some facts and emerging issuesMD SALMAN ANJUM
This document provides an overview of agribusiness in India from 2007-2017. It discusses the definition and components of agribusiness, including production, processing, marketing, and trade. It outlines the size and growth of the agribusiness sector in India, noting that it was worth Rs. 11.43 trillion in total by 2017. The document also examines the food processing industry, agricultural production trends, and various initiatives and policies by the Indian government to support agribusiness during this period.
The document discusses the food and beverages industry in India. It notes that India is one of the largest producers of milk, fruits and vegetables, livestock, and food grains in the world. It also discusses key players in the industry, trends, growth drivers and challenges. The organized food and beverage sector in India is growing at a fast pace and projected to reach $580 billion by 2013. The industry faces issues like rising food prices, climate change, and health concerns.
Introduction: Food Industry (INDIA)
Indian food industry accounts for 32% of countries total food market.
It ranked 5th in term of production, consumption and export.
It contributes about 14% to manufacturing GDP, 13% to India's export and 6% to total industrial investment.
Indian Food Processing Industry - A Synopsisnandanmalu
The document provides an overview of the Indian food processing industry. It discusses that India is the world's second largest producer of food and has significant potential for growth in food processing. The industry is expected to grow by 40% by 2015 to $258 billion. It also outlines the various sub-sectors in food processing like grains, dairy, fruits and vegetables, and meat and poultry. The document notes that India's level of food processing is still low compared to developed countries and there is significant opportunity and demand for growth in food processing infrastructure like cold storage and warehouses.
1. The document discusses agro-processing industries in India and their importance in the economy. It notes that agro-processing can help generate employment, improve rural incomes, and make India a major global player in processed foods and other agricultural products.
2. However, agro-processing in India remains underdeveloped, with only 3% of the workforce employed in the sector compared to 14% in developed countries. There are also regional disparities and constraints that have prevented balanced development.
3. The document examines issues that need to be addressed to promote growth of agro-processing industries, such as improving farmers' productivity and industry efficiency, increasing capacity utilization, developing organized markets and supply chains, and creating food
The document shares food industry in India 2015 and gives a detail description on food industry and its contribution to India. Also highlights the advantages and opportunity and FDI inflow.
Indian dairy industry future prospects & key challengesJitendra Vala
This File shows the current scenario(year 2017) of indian dairy industry with prospects and challenges of current situation.All the data has been discovered from the authorized sources from the governmental websites and relevant sources.
India has several advantages in the food processing industry:
- It is the largest producer of milk and second largest producer of fruits and vegetables. Consumer spending on food is rising rapidly and will reach $3.6 trillion by 2020.
- The industry is expected to grow from $258 billion in 2015 to $482 billion in 2020 due to strong demand growth from rising incomes, urbanization, and changing diets.
- The government is also supportive with 100% FDI allowed and various schemes to promote investment in food infrastructure and contract farming.
This document provides information about a knowledge partner organization that has been operating since 2002. It provides business consulting services across various industries to companies seeking business expansion support. The organization has a team of over 35 employees and 15 freelancers with industry experience. It has offices in India and Dubai, and a presence in 20 countries through channel partners. The document then discusses the Indian food processing industry and various government initiatives to support the agriculture and food processing sectors.
The document provides an overview of the food processing industry in India. It discusses key points such as:
- The market is expected to grow at a CAGR of X% to reach a value of INR X billion by 2020 from INR X billion in 2015.
- Grains, spices and packaged foods contribute most to the industry, followed by beverages and dairy.
- Drivers of growth include rising incomes, urbanization, and government support through schemes and policies. Challenges include gaps in supply chains and high costs.
The document provides information on India's food processing sector. Some key points:
- India has a large agriculture sector and is the largest producer of milk and second largest producer of fruits and vegetables globally.
- The food processing industry is one of India's largest industries, accounting for around 14% of manufacturing GDP and expected to reach $482 billion by 2020.
- Major segments include fruits and vegetables, milk, meat and poultry, marine products, and grain processing. The organized sector accounts for around 70% of the industry.
- Notable trends include rising domestic and international demand, entry of international companies, changing consumer preferences towards healthier options, and increasing exports.
History OF Food Processing Industry, Food Processing Industry In India, Segments Of FPI, Market Size, Compound Annual Growth Rate, Leading Companies, Challenges Faced By The Industry, Future of the industry.
This presentation highlights the overview and subsidiaries of the agro and food processing sector in India & Gujarat. It details the major initiatives taken up by the government in terms of policies as well as infrastructure to promote industries and investments in the sector.
Potentials of food processing Industry in India
Projects having scope at
http://www.primaryinfo.com/agro-foodprocessing.htm
http://www.primaryinfo.com/foodproducts.html
Market Research Report : Agriculture and food industry in india 2014 - SampleNetscribes, Inc.
The document discusses the agriculture and food industry in India. It covers key drivers and challenges for the sector such as favorable demographics and lack of cold storage facilities. The document also outlines the competitive landscape, with leading players in the industry mentioned. Segmentation of the market is analyzed for various crops, fruits, vegetables and food processing. Export and import trends are also covered.
Opprtunities in agroprocessing sector in indiaHarish Deore
This document summarizes a presentation on opportunities in India's agro-processing sector. It notes that India is a major global producer of many agricultural commodities but that processing levels remain low compared to other countries. It identifies several challenges facing the sector, including low productivity, insufficient R&D, a lack of skilled human resources, and supply chain issues. However, it also outlines significant opportunities for growth given India's large domestic market and supportive government policies. The food processing sector could help address key issues around farmer incomes, waste reduction, and quality standards.
Food processing industry is estimated at USD 67 Billion that employs over 13 million people directly and 35 million people indirectly. This presentation includes key growth drivers,opportunities, key segments, foreign investments and what the Make In India program has for food processing industry of India .
This document provides an overview of the food processing industry in India. It discusses key areas of the industry like fruits and vegetables, fisheries, and meat. The food processing industry is significant because it provides employment, helps curb food inflation by reducing waste, and reduces rural to urban migration. The government has taken several initiatives to improve the sector such as allowing more FDI and establishing more food parks. The top challenges include high costs and competition from large multinational companies.
The document provides an overview of the food processing industry in India. It discusses that India is the 2nd largest producer of fruits and vegetables globally. The food processing sector contributes 12.7% to India's GDP and is the 5th largest sector in terms of production and consumption. It employs millions of people directly and indirectly. The document outlines the major crops produced in India and their production levels. It also discusses the scope and growth of the processed food industry in India, highlighting opportunities in minimally processed, frozen, and dehydrated fruits and vegetables. It summarizes India's leadership in meat and poultry production and the potential to increase processed meat exports.
The document provides an overview of the food processing industry in India. It discusses the structural analysis and classification of the industry. It also outlines the reforms undertaken, including liberalization policies, fiscal incentives and financial reforms. Key initiatives under the 10th and 11th Five Year Plans are summarized, focusing on infrastructure development, quality assurance standards, and human resource development. The impacts of union budgets on various food processing sub-industries are also highlighted.
- This document discusses a webinar being hosted by Aurum Equity Partners LLP on June 27th, 2014 about private equity and foreign investments in the Indian dairy industry.
- It provides an overview of the speakers for the webinar - Nitin Jain and Dr. R.S. Khanna from Aurum Equity Partners and introduces their backgrounds and areas of expertise related to the dairy industry.
- A disclaimer is also included stating that the information provided is for internal use only and does not constitute an offer to sell securities or assets.
Agribusiness in India : Some facts and emerging issuesMD SALMAN ANJUM
This document provides an overview of agribusiness in India from 2007-2017. It discusses the definition and components of agribusiness, including production, processing, marketing, and trade. It outlines the size and growth of the agribusiness sector in India, noting that it was worth Rs. 11.43 trillion in total by 2017. The document also examines the food processing industry, agricultural production trends, and various initiatives and policies by the Indian government to support agribusiness during this period.
The document discusses the food and beverages industry in India. It notes that India is one of the largest producers of milk, fruits and vegetables, livestock, and food grains in the world. It also discusses key players in the industry, trends, growth drivers and challenges. The organized food and beverage sector in India is growing at a fast pace and projected to reach $580 billion by 2013. The industry faces issues like rising food prices, climate change, and health concerns.
Introduction: Food Industry (INDIA)
Indian food industry accounts for 32% of countries total food market.
It ranked 5th in term of production, consumption and export.
It contributes about 14% to manufacturing GDP, 13% to India's export and 6% to total industrial investment.
Indian Food Processing Industry - A Synopsisnandanmalu
The document provides an overview of the Indian food processing industry. It discusses that India is the world's second largest producer of food and has significant potential for growth in food processing. The industry is expected to grow by 40% by 2015 to $258 billion. It also outlines the various sub-sectors in food processing like grains, dairy, fruits and vegetables, and meat and poultry. The document notes that India's level of food processing is still low compared to developed countries and there is significant opportunity and demand for growth in food processing infrastructure like cold storage and warehouses.
1. The document discusses agro-processing industries in India and their importance in the economy. It notes that agro-processing can help generate employment, improve rural incomes, and make India a major global player in processed foods and other agricultural products.
2. However, agro-processing in India remains underdeveloped, with only 3% of the workforce employed in the sector compared to 14% in developed countries. There are also regional disparities and constraints that have prevented balanced development.
3. The document examines issues that need to be addressed to promote growth of agro-processing industries, such as improving farmers' productivity and industry efficiency, increasing capacity utilization, developing organized markets and supply chains, and creating food
The document shares food industry in India 2015 and gives a detail description on food industry and its contribution to India. Also highlights the advantages and opportunity and FDI inflow.
Indian dairy industry future prospects & key challengesJitendra Vala
This File shows the current scenario(year 2017) of indian dairy industry with prospects and challenges of current situation.All the data has been discovered from the authorized sources from the governmental websites and relevant sources.
India has several advantages in the food processing industry:
- It is the largest producer of milk and second largest producer of fruits and vegetables. Consumer spending on food is rising rapidly and will reach $3.6 trillion by 2020.
- The industry is expected to grow from $258 billion in 2015 to $482 billion in 2020 due to strong demand growth from rising incomes, urbanization, and changing diets.
- The government is also supportive with 100% FDI allowed and various schemes to promote investment in food infrastructure and contract farming.
This document provides information about a knowledge partner organization that has been operating since 2002. It provides business consulting services across various industries to companies seeking business expansion support. The organization has a team of over 35 employees and 15 freelancers with industry experience. It has offices in India and Dubai, and a presence in 20 countries through channel partners. The document then discusses the Indian food processing industry and various government initiatives to support the agriculture and food processing sectors.
This document provides an overview of investment opportunities in the food processing sector in India. It highlights that India has a large population with growing incomes, making it an attractive market for food production and processing. The food processing industry is identified as a priority sector by the Indian government and has seen increasing private investment. Several sub-sectors within food processing like fruits and vegetables, dairy, meat, and marine products are growing rapidly and expected to provide major opportunities. The document analyzes trends in various sub-sectors and trade to promote investment in India's large and promising food processing industry.
The document provides an overview of the food and beverage sector in India. It states that the sector is growing annually at 23-24% and is projected to reach $380 billion by 2017. The Indian food and grocery market is the sixth largest in the world and is expected to grow to $482 billion by 2020. The dairy sector in India is the largest producer of milk globally and is still growing. Key players in the dairy industry like Amul and Mother Dairy are expanding operations across India. The poultry industry is the fifth largest egg producer and ninth largest meat producer globally. Major poultry companies include Venky's, Godrej Tyson Foods, and Republic of Chicken.
The Indian food and beverage industry is growing annually at 23-24% and is expected to reach $380 billion by 2017. The food processing industry contributes 7% to India's GDP and employs 13 million workers. The government has initiatives to improve infrastructure for food processing and has approved setting up five Mega Food Parks to link farmers to markets. Foreign investment up to 100% is allowed in most food sectors, and major foreign investors in India include Nestle, Pepsi, and Coca-Cola.
Emerging opportunities in Indian Dairy Industry : outlook for futureVipin Kumar
The roles played by different sectors in emergence of dairy industry in India. The key drivers and trends of Indian dairy industry. The different emerging opportunities in coming future.
- India's food processing industry is growing at 12% annually and is expected to exceed INR 16,500 billion by 2020 due to rising incomes, urbanization, and demand for nutritional and convenient foods.
- Madhya Pradesh has huge potential in the food processing sector with abundant agriculture and opportunities across the food value chain. Several government initiatives are attracting more investment to the state.
- PHD Chamber of Commerce and Industry is organizing a conference on July 3rd, 2015 in Indore, Madhya Pradesh to promote investment opportunities in the state's food processing sector and facilitate capacity building.
- Madhya Pradesh has huge potential in the food processing sector due to its abundant agriculture and various crops produced. The state accounts for around 32% of total industrial output from food processing.
- There are over 650 food processing units in the state with an estimated investment of INR 91 billion. The state produces a variety of grains, fruits, and vegetables that can be further processed.
- Initiatives by the government and upcoming investments from major companies are expected to boost the food processing industry in the state. PHD Chamber of Commerce is organizing a conference on the food processing investment opportunities in Madhya Pradesh.
The document provides an overview of the FMCG sector in India. It discusses key trends such as the growing FMCG market in India, which is expected to reach $103.7 billion by 2020 growing at a CAGR of 20.6%. It notes that household and personal care makes up 50% of the FMCG market. The rural FMCG market is growing rapidly and expected to reach $100 billion by 2025. Top FMCG companies like ITC, HUL, and Dabur have reported increased sales in recent years, indicating strong growth in the sector.
The growing food processing market of india may expand at a cagr of 11.5%Bella Harris
The food processing industry is projected to expand at a compound annual growth rate of ~11.5% between FY 2018 and FY 2023. This has led to a subsequent market value reaching INR 15,971.9 Bn in FY 2023.
Browse Report: https://bit.ly/2Lc6g7V
This document is a project report submitted for a Master's in Business Administration program. It provides an overview of market research, retailer surveys, and sales promotions conducted for Gits Food Products Pvt. Ltd. The report includes an executive summary, introduction to the food processing industry and company profile, research methodology, data analysis and findings from retailer and consumer surveys, limitations, conclusions, and recommendations.
Indian Food processing Industry- The worth of the Indian processed foods sector stood at USD 157 billion in FY2012; it is expected to touch USD 255 billion by FY2016 with 13 percent growth rate per annum.
The food processing Industry in India is of fundamental importance, holding as it does the vital link between agriculture and industry. This industry provides nearly 60 percent of all job opportunities by directly employing around 1.6 million workers. It is the fifth largest industry in the country in terms of production, consumption, export and growth. The worth of the Indian processed foods sector stood at USD 157 billion in FY2012; it is expected to touch USD 255 billion by FY2016 with 13 percent growth rate per annum.
1. Current Size of Dairy Industry - Locally
World population and per capita consumption of dairy products, 2005, 2008–2016
IMPORTANCE OF DAIRY INDUSTRY TO THE INDIAN ECONOMY
Government to strengthen dairy industry to improve farmer income
The food processing industry in India has experienced significant growth and is expected to continue growing at a CAGR of 11%. Some of the largest companies in the industry include Britannia, Nestle, and KRBL. The industry faces challenges such as infrastructure issues but has a promising future given the large market size and growing demand for processed foods. The government is also supporting industry growth through favorable policies.
The document provides an overview of India's food and beverages sector, highlighting several key points:
1) India has significant potential for growth in food processing and value addition given its large agricultural output but high levels of food waste.
2) The overall market is large at Rs. 2,50,000 crore annually and growing at 20% for value-added products. Major segments like dairy, edible oils, and packaged foods are growing rapidly.
3) Opportunities exist in health and nutrition segments as well as exports as companies look to regional markets. However, lack of infrastructure like cold storage poses challenges to the industry's development.
This document provides an overview of the FMCG (fast moving consumer goods) sector in India. It discusses key trends such as:
- The FMCG market in India is expected to grow from USD49 billion in 2016 to USD103.7 billion by 2020, driven by rising incomes and growing demand.
- Rural consumption will be a major growth driver as rural FMCG consumption is estimated to reach USD100 billion by 2025 from USD29.4 billion in 2016.
- The urban market currently accounts for 60% of FMCG revenues but rural markets are growing faster, presenting opportunities for expansion.
- Food and beverages and household/personal care make up two-thirds of FMCG revenues in India. H
- India holds the second largest agricultural land area in the world at 157 million hectares. It has a variety of climatic conditions suitable for agriculture.
- India is the largest producer of many crops like spices, pulses, milk and the second largest producer of crops like wheat, rice, fruits and vegetables.
- Food grain production reached a record high of 252.68 million tonnes in FY2015 and increased slightly to 253.16 million tonnes in FY2016. The government has set a target of 280.6 million tonnes by FY2021.
Similar to Food Processing Sector Report March 2017 (20)
Tamil Nadu has a strong and growing economy, as evidenced by its GSDP which grew at a CAGR of 11.46% between 2011-12 and 2018-19, reaching Rs. 16.06 trillion (US$ 222.58 billion) in 2018-19. The state has a diversified industrial base and thriving services sector, especially in IT/ITeS. It also has robust infrastructure including roads, ports, airports, and an emphasis on further infrastructure development. With various initiatives like Vision 2023, Tamil Nadu aims to boost its economy and attract significant domestic and foreign investments over the coming years.
India has become the second largest steel producer in the world in 2018. Steel production and capacity in India have grown rapidly over the past decade, with capacity reaching 137.98 million tonnes in 2017-18. Consumption has also increased steadily, driven by growth in infrastructure, automotive, and other sectors. The government has implemented policies like the National Steel Policy to encourage further capacity growth to 300 million tonnes by 2030-31. Low per capita consumption compared to other countries also provides significant potential for further demand growth.
The document provides an overview of India's services sector, including:
1) The services sector contributes over 50% of India's GDP and grew at 12.75% in 2018-19, demonstrating its importance as the key driver of India's economic growth.
2) India has a large skilled workforce and is a global outsourcing hub, commanding a 55% share of the global sourcing market, which has helped establish the country as a leading provider of technology and digital services.
3) The government is working to further develop the services sector through initiatives like 'Startup India' and reforms that make India an attractive investment destination for both domestic and foreign investors.
The document provides an overview of the real estate sector in India. It discusses that the real estate sector is expected to reach $1 trillion by 2030 and contribute 13% of India's GDP by 2025. Rapid urbanization is driving demand for residential and commercial real estate space. The residential segment contributes around 80% of the sector currently. Government policies like Housing for All and Smart Cities are further boosting growth.
Rajasthan has experienced strong economic growth in recent years. Between 2011-12 and 2018-19, the state's Gross State Domestic Product grew at a compound annual growth rate of 11.37% to reach $128.1 billion. The tourism industry in Rajasthan is thriving, with over 47.5 million tourist arrivals in 2017, and the state is a leading producer of agro-based products. Rajasthan also has immense potential for renewable energy generation from solar and wind sources.
Indian Railways is the third largest rail network in the world by size. It saw strong revenue growth over the past decade, with freight accounting for over 65% of revenues in FY19. Freight and passenger traffic have both increased steadily in recent years. Various modernization initiatives are underway to upgrade infrastructure and technology. Private sector participation is being encouraged to augment rail connectivity and capacity.
India has the third largest installed power capacity in the world at 356.10 GW as of March 2019. It is the third largest producer and consumer of electricity globally. India has achieved 100% household electrification and aims to increase renewable energy capacity to 175 GW by 2022. Thermal energy accounts for over 63% of total installed capacity, while renewable sources account for 21.8%. The power sector in India is growing rapidly and offers many opportunities for investment and development.
Nagaland has a Gross State Domestic Product (GSDP) of around 0.24 trillion Indian rupees in 2017-18, growing at a CAGR of 11.83% between 2011-12 and 2017-19. The per capita GSDP in 2017-18 was 113,549 rupees, growing at a CAGR of 10.66% in the same period. Nagaland's Net State Domestic Product (NSDP) in 2016-17 was 0.19 trillion rupees, growing at 15.72% between 2011-12 and 2016-17. The per capita NSDP in 2016-17 was 90,168 rupees, growing at 12.
Meghalaya has the highest rainfall in India and diverse soil types that support agriculture. The state has strong potential in floriculture, bamboo processing, and medicinal plants due to its biodiversity. Meghalaya also has large hydroelectric power potential and abundant mineral resources. The state aims to promote industries like agro-processing, horticulture, minerals and tourism to create opportunities for its population.
- The Indian infrastructure sector is experiencing significant growth due to rising government investments and initiatives such as allocating Rs 4.56 lakh crore for infrastructure in the FY 2019-20 budget.
- Private sector participation is increasing across segments like roads, power and airports. Infrastructure sectors like power transmission and renewable energy will drive future investments.
- Improving connectivity through initiatives like Bharatmala Pariyojana and Sagarmala will boost infrastructure growth. 100% villages connectivity through roads is expected by 2019 under PMGSY.
The document provides an overview of the media and entertainment industry in India. Some of the key points from the document are:
- The Indian media and entertainment industry is growing rapidly at a CAGR of 12-13% and is expected to reach Rs. 3.73 lakh crore by 2022.
- Television is the largest segment with a market size of Rs. 740 billion in 2018, expected to reach Rs. 955 billion by 2021. Digital media, animation and VFX, and online gaming are among the fastest growing segments.
- Advantages for the industry in India include rising incomes, evolving lifestyles, a large young population, increasing digitization, and government support through
- The manufacturing sector is a major employer in India and aims to provide 25% of GDP and 100 million new jobs by 2022. It has grown at a CAGR of 4% between FY12-19 and contributes significantly to India's exports.
- The document discusses India's advantage in manufacturing including a large domestic market, favorable demographics, and government initiatives like Make in India. Key sub-sectors, growth drivers and the evolution of the sector are also outlined.
- Recent trends show growth in production, IIP, capacity utilization and exports, indicating the sector is expanding. The government has implemented various policies to develop manufacturing and make India a global hub.
Manipur has a flourishing bamboo processing industry as it is one of India's largest bamboo producing states. It also has a strong handicrafts industry, being home to the highest number of handicraft units and artisans in North East India. Handlooms is the largest cottage industry in Manipur. The state has strong potential for border trade opportunities through Moreh town, which is India's only land route for trade with Myanmar and Southeast Asia. Manipur is also home to the Ema Bazaar, one of India's largest markets run exclusively by women. Due to its natural beauty and biodiversity, Manipur is a popular tourist destination known as the "Switzerland of the East".
The document provides an overview of the economy of Himachal Pradesh, India. Some key points:
- Himachal Pradesh has a strong economic growth rate, with its GSDP reaching Rs. 1.52 trillion (US$21.04 billion) in 2018-19 growing at 11.09% annually.
- The state has a diverse economy with key sectors being tourism, agriculture, and hydroelectric power. Agricultural production and tourism visitor numbers are increasing.
- Himachal Pradesh has a large hydroelectric power potential and is becoming a major hub for hydroelectricity in India, though only around 40% of its potential has been harnessed so far.
Gujarat has experienced high economic growth rates in recent years.
- Gujarat's GSDP grew at a CAGR of 13.55% from 2011-12 to 2016-17, reaching Rs. 11.62 trillion (US$ 173.24 billion) in 2016-17.
- The state's per capita GSDP increased from Rs. 101,075 (US$ 2,108) in 2011-12 to Rs. 178,043 (US$ 2,654) in 2016-17, registering a CAGR of 11.99%.
The document provides an overview of India's gems and jewellery sector. Some key points:
- India is a major player in global gems and jewellery trade, contributing about 7% to India's GDP and employing over 4.6 million people.
- India is the world's largest cut and polished diamond exporter, exporting over 75% of global polished diamonds. It also processes over $23 billion worth of diamonds annually.
- Exports of cut and polished diamonds and gold jewellery have registered steady growth in recent years. Imports have also increased at a CAGR of nearly 8% between 2004-2018.
- The sector is adopting strategies like expanding retail networks, providing financing options
The engineering and capital goods industry in India is growing rapidly. The turnover of the capital goods industry reached $70 billion in 2017 and is forecasted to reach $115.17 billion by 2025. Electrical equipment production is also growing and is expected to reach $100 billion by 2022, up from $27.3 billion in 2017-18. The engineering research and design segment is also expanding, with revenues projected to increase from $28 billion in FY18 to $42 billion in FY22. Growth is being driven by increasing industrialization, infrastructure development, and capacity expansion across various core sectors in India.
Major e-commerce players in India have adopted strategies like expanding into new categories like groceries and used goods, acquiring analytics startups to improve pricing and positioning, and launching ancillary services like payments, logistics and video streaming. They have also introduced subscription models and personalized experiences to provide extra benefits and tailor their offerings to individual customer needs and interests.
Delhi has experienced strong economic growth, with its gross state domestic product increasing at a compound annual growth rate of 12.41% between 2011-12 and 2018-19. The real estate sector has been an important contributor to the state's economy. Delhi also has a growing tourism industry, owing to its historical and cultural attractions. The state government is working to improve infrastructure and implement policies to facilitate industrial development and attract investment across various sectors.
Chhattisgarh has a strong mineral production base and is a leading producer of coal and iron ore in India. It is the only state that produces tin concentrates. The state has emerged as a preferred investment destination and has witnessed strong growth in the agriculture sector. Key sectors driving growth include minerals, power, agriculture and tourism. Chhattisgarh aims to further develop its infrastructure, promote industries and boost skill development to achieve its vision of becoming an industrialized state.
Explore the world of investments with an in-depth comparison of the stock market and real estate. Understand their fundamentals, risks, returns, and diversification strategies to make informed financial decisions that align with your goals.
The Rise and Fall of Ponzi Schemes in America.pptxDiana Rose
Ponzi schemes, a notorious form of financial fraud, have plagued America’s investment landscape for decades. Named after Charles Ponzi, who orchestrated one of the most infamous schemes in the early 20th century, these fraudulent operations promise high returns with little or no risk, only to collapse and leave investors with significant losses. This article explores the nature of Ponzi schemes, notable cases in American history, their impact on victims, and measures to prevent falling prey to such scams.
Understanding Ponzi Schemes
A Ponzi scheme is an investment scam where returns are paid to earlier investors using the capital from newer investors, rather than from legitimate profit earned. The scheme relies on a constant influx of new investments to continue paying the promised returns. Eventually, when the flow of new money slows down or stops, the scheme collapses, leaving the majority of investors with substantial financial losses.
Historical Context: Charles Ponzi and His Legacy
Charles Ponzi is the namesake of this deceptive practice. In the 1920s, Ponzi promised investors in Boston a 50% return within 45 days or 100% return in 90 days through arbitrage of international reply coupons. Initially, he paid returns as promised, not from profits, but from the investments of new participants. When his scheme unraveled, it resulted in losses exceeding $20 million (equivalent to about $270 million today).
Notable American Ponzi Schemes
1. Bernie Madoff: Perhaps the most notorious Ponzi scheme in recent history, Bernie Madoff’s fraud involved $65 billion. Madoff, a well-respected figure in the financial industry, promised steady, high returns through a secretive investment strategy. His scheme lasted for decades before collapsing in 2008, devastating thousands of investors, including individuals, charities, and institutional clients.
2. Allen Stanford: Through his company, Stanford Financial Group, Allen Stanford orchestrated a $7 billion Ponzi scheme, luring investors with fraudulent certificates of deposit issued by his offshore bank. Stanford promised high returns and lavish lifestyle benefits to his investors, which ultimately led to a 110-year prison sentence for the financier in 2012.
3. Tom Petters: In a scheme that lasted more than a decade, Tom Petters ran a $3.65 billion Ponzi scheme, using his company, Petters Group Worldwide. He claimed to buy and sell consumer electronics, but in reality, he used new investments to pay off old debts and fund his extravagant lifestyle. Petters was convicted in 2009 and sentenced to 50 years in prison.
4. Eric Dalius and Saivian: Eric Dalius, a prominent figure behind Saivian, a cashback program promising high returns, is under scrutiny for allegedly orchestrating a Ponzi scheme. Saivian enticed investors with promises of up to 20% cash back on everyday purchases. However, investigations suggest that the returns were paid using new investments rather than legitimate profits. The collapse of Saivian l
Economic Risk Factor Update: June 2024 [SlideShare]Commonwealth
May’s reports showed signs of continued economic growth, said Sam Millette, director, fixed income, in his latest Economic Risk Factor Update.
For more market updates, subscribe to The Independent Market Observer at https://blog.commonwealth.com/independent-market-observer.
“Amidst Tempered Optimism” Main economic trends in May 2024 based on the results of the New Monthly Enterprises Survey, #NRES
On 12 June 2024 the Institute for Economic Research and Policy Consulting (IER) held an online event “Economic Trends from a Business Perspective (May 2024)”.
During the event, the results of the 25-th monthly survey of business executives “Ukrainian Business during the war”, which was conducted in May 2024, were presented.
The field stage of the 25-th wave lasted from May 20 to May 31, 2024. In May, 532 companies were surveyed.
The enterprise managers compared the work results in May 2024 with April, assessed the indicators at the time of the survey (May 2024), and gave forecasts for the next two, three, or six months, depending on the question. In certain issues (where indicated), the work results were compared with the pre-war period (before February 24, 2022).
✅ More survey results in the presentation.
✅ Video presentation: https://youtu.be/4ZvsSKd1MzE
Every business, big or small, deals with outgoing payments. Whether it’s to suppliers for inventory, to employees for salaries, or to vendors for services rendered, keeping track of these expenses is crucial. This is where payment vouchers come in – the unsung heroes of the accounting world.
KYC Compliance: A Cornerstone of Global Crypto Regulatory FrameworksAny kyc Account
This presentation explores the pivotal role of KYC compliance in shaping and enforcing global regulations within the dynamic landscape of cryptocurrencies. Dive into the intricate connection between KYC practices and the evolving legal frameworks governing the crypto industry.
Confirmation of Payee (CoP) is a vital security measure adopted by financial institutions and payment service providers. Its core purpose is to confirm that the recipient’s name matches the information provided by the sender during a banking transaction, ensuring that funds are transferred to the correct payment account.
Confirmation of Payee was built to tackle the increasing numbers of APP Fraud and in the landscape of UK banking, the spectre of APP fraud looms large. In 2022, over £1.2 billion was stolen by fraudsters through authorised and unauthorised fraud, equivalent to more than £2,300 every minute. This statistic emphasises the urgent need for robust security measures like CoP. While over £1.2 billion was stolen through fraud in 2022, there was an eight per cent reduction compared to 2021 which highlights the positive outcomes obtained from the implementation of Confirmation of Payee. The number of fraud cases across the UK also decreased by four per cent to nearly three million cases during the same period; latest statistics from UK Finance.
In essence, Confirmation of Payee plays a pivotal role in digital banking, guaranteeing the flawless execution of banking transactions. It stands as a guardian against fraud and misallocation, demonstrating the commitment of financial institutions to safeguard their clients’ assets. The next time you engage in a banking transaction, remember the invaluable role of CoP in ensuring the security of your financial interests.
For more details, you can visit https://technoxander.com.
3. 33MARCH 2017 For updated information, please visit www.ibef.org
EXECUTIVE SUMMARY
2nd largest arable land
in the world
• India has the 10th-largest arable land resources in the world with 161 million tonnes. With
20 agri-climatic regions, all 15 major climates in the world exist in India. The country also
possesses 46 of the 60 soil types in the world
Largest producer of milk • India is the largest producer of milk and second – largest producer of fruits and vegetables
Largest livestock
population*
• India has the largest livestock population of around 512 million, globally. This comprises
119 million milch (in-milk & dry) animals, 80.06 million goats & 44.56 million sheep, as of
FY15. The segment contributes about 25 per cent to the country’s farm GDP
Rising consumption
expenditure*
• Consumer spending in 2015 was USD1.46 trillion; it is likely to reach USD3.6 trillion by
2020
Source: World Travel and Tourism Council,
Directorate of Statistics, TechSci Research
Note: GDP - Gross Domestic Product; * As per the Latest Available Figures
FOOD PROCESSING
Favourable location for
exports
• Strategic geographic location and proximity to food importing nations favour India in terms
of exporting processed foods
5. 55MARCH 2017
Growing demand
For updated information, please visit www.ibef.org
ADVANTAGE INDIA
Strong demand growth
• Demand for processed food rising
with growing disposable income,
urbanisation, young population and
nuclear families
• Household consumption set to
double by 2020
• Changing lifestyle and increasing
expenditure on health and
nutritional foods
Food processing hub
• India benefits from a large
agriculture sector, abundant
livestock & cost competitiveness
• Investment opportunities to arise in
agriculture, food infrastructure &
contract farming
• Diverse agro-climatic conditions
encourage cultivation of different
crops
Policy support
• Sops to private sector participation;
100 per cent FDI under automatic
route. Investment in April 2000-
December 2016 stood at USD7.47
billion
• Promoting rationalisation of tariff
and duties relating to food
processing sector.
• Setting up of National Mission on
Food Processing
• Foreign Trade Policy 2015-2020
Increasing investments
• Investments, including FDI, would
rise with strengthening demand and
supply fundamentals
• Launch of infrastructure
development schemes to increase
investments in food processing
infrastructure
• Entry of foreign players
2015
Indian food
and Retail
industry:
USD258
billion
2020E
Indian food
and Retail
industry:
USD482
billion
Advantage
India
FOOD PROCESSING
Source: DIPP, Ministry of External Affairs, ASA and Associates, TechSci Research
Notes: 2015E – Estimate for 2015; Estimates are from UBM India Pvt Ltd press release, FDI – Foreign Direct Investment
Government expects USD21.9 billion of investments in food processing infrastructure by 2015
7. 77MARCH 2017 For updated information, please visit www.ibef.org
THE FOOD PROCESSING SECTOR COMPRISES SIX MAJOR SEGMENTS
Source: Indiabusiness.nic.in, Ministry of Agriculture, Directorate of
Statistics, APEDA, Indiastat, Meat & Poultry Processing Board, FAOSTAT,
Assocham, Department of Animal Husbandry, Dairying & Fisheries,
Economic Times (US Department of Agriculture)
Notes: FY – Indian Financial Year (April – March), E- Estimate,
(1) - 3rd Estimate, MT - Million Tonnes
FOOD PROCESSING
Food
processing
Fruits and vegetables(1)
Milk
Meat and poultry
Marine products
Grain processing
Consumer food
India is the world’s 2nd largest producer of fruits & vegetables. The
government expects the processing in this sector to grow by 25 per cent
of the total produce by 2025. In 2015-2016, the total production in
horticulture (fruits & vegetables) is estimated at 282.5 million tonnes.
India is the largest producer of milk in the world, with the production
estimated at 155.5 million tonnes in FY16.
India is the largest producer of buffalo meat (1.4 MT in 2015) & the 2nd
largest producer of goat meat (0.91 MT in 2015). India is also the 2nd
largest egg producer (82.9 billion) as of FY16 & 3rd largest producer of
broiler meat (4.2 million tonnes in 2016), globally. India’s production of
Meat was estimated at 7 MT as of FY16
Total fish production in India is estimated at 13.0 MT during 2015-16.
Andhra Pradesh stood as the largest producer of fish with production of
741.3 Thousand Tonnes during 2015-2016 (upto June 2015)
India produces more than 200 million tonnes of different food grains
every year. Total food grains production reached 270.10 MT in FY16 (As
per Ministry of Agriculture)
Among the fastest growing segments in India; it includes –
Packaged
food
Aerated soft
drinks
Packaged
drinking
water
Alcoholic
beverages
8. 88MARCH 2017 For updated information, please visit www.ibef.org
FOOD PROCESSING SECTOR AND ITS SEGMENTS
Contribution of food processing industry to India’s GDP
through manufacturing (FY15)
The food processing industry is one of the largest industries in India & ranks 5th in terms of production, consumption &
exports. As per the estimates for FY15, food processing sector stood at USD258 billion.
In FY15, food processing industry constituted 14 percent to India’s GDP through manufacturing
FOOD PROCESSING
14%
86%
Food processing
Other
Source: Ministry of Food Processing Industries (MOFPI),
TechSci Research
Note: (1) – Till December 2015, As per latest data available
9. 99MARCH 2017 For updated information, please visit www.ibef.org
VALUE CHAIN IN FOOD PROCESSING SECTOR AND KEY PLAYERS
Source: MOFPI, TechSci Research.
Note: NCMSL - National Collateral Management Services Limited
FOOD PROCESSING
Farmers,
cooperatives and
private
companies
Warehouses, cold
storage and silos
Retail shops,
malls, cash and
carry
Farmers, Amul,
ITC, Pepsi,
Hindustan
Unilever Ltd
Food Corporation
of India, NCMSL,
Arshiya
International
General Merchant
Stores, Bharti-
Walmart, Future
Retail, Aditya
Birla Retail
Limited
Inputs Production
Procurement
and storage
Processing Retailing
Seeds, Fertilizers
and Farm
equipment
Grading, sorting,
milling and
packing
National Seeds
Corporation
Limited, Cargill
and Advanta
India Ltd
ITC ltd, Cargill,
Adani
Enterprises, Olam
International
Key
activities
Major
players
10. 1010MARCH 2017 For updated information, please visit www.ibef.org
The sizeable presence of small-scale industries points to
the sector’s role in employment generation
Though the market falls under the unorganised sector in the
country, the organised sector has a larger share in the
secondary processing segment than the primary one
Rice mills account for the largest share of processing units
in the organised sector
In FY15, the organised sector is estimated to account for 70
per cent of India’s food processing industry
LARGE PRESENCE OF ORGANISED SECTOR
FOOD PROCESSING
Organised sector has the largest share in the
sector(1) (FY15)
Source: Ministry of Food Processing Industries (MOFPI),
Annual Report MOFPI (2015-2016), TechSci Research
Note: (1)- As per latest data available
Unorganised Sector & Small
Scale Industries, 30%
Organised
Sector, 70%
11. 1111MARCH 2017 For updated information, please visit www.ibef.org
Healthy contribution to employment generation
Source: Ministry of Food Processing Industries
Annual Report 2013-14, TechSci Research
Notes: FY – Indian Financial Year (April – March)
E:Estimated
(1)- As per latest data available
Policymakers have identified food processing as a key
sector in encouraging labour movement from agriculture to
manufacturing
By 2024, food processing sector is expected to employ 9
million people in India
This project is expected to generate 8,000 direct and 80,000
indirect jobs in the state.
FOOD PROCESSING IS A KEY CONTRIBUTOR TO EMPLOYMENT GENERATION IN INDIA(1)
FOOD PROCESSING
CAGR: 11.8%
1.5 1.6 1.6 1.7 1.8 1.6
9
FY08 FY09 FY10 FY11 FY12 FY13 FY24E
12. 1212MARCH 2017 For updated information, please visit www.ibef.org
Changing consumer
tastes
• Wide array of products, coupled with increasing global connectivity, has led to a change in
the tastes & preference of domestic consumers
• This trend has been bolstered by rising incomes, increasing urbanisation, a young
population & the emergence of nuclear families. Consumer preference is moving towards
healthier snacks
Entry of international
companies
• Liberalisation and growth of organised retail have made the Indian market more attractive
for global players
• With a large agriculture sector, abundant livestock, cost competitiveness, India is fast
emerging as a sourcing hub of processed food. Danone, Nestle, Kraft Foods, Mondelez
International, Heinz are the international players in food processing market in India
• Hindustan Coca-Cola Beverages is establishing 2 greenfield plants at Ahmedabad &
Nellore, with an investment worth USD 148.74 million
• Nepal’s CG Foods, manufacturer of Wai Wai Noodles, will invest USD 37.18 million to
open quick service restaurants (QSRs) in India
• With 11 coffee outlets in Mumbai, as of March 2017, Australia’s coffee chain - Di Bella is
planning on expanding to Bengaluru, Delhi & Gujarat.
NOTABLE TRENDS IN THE INDIAN FOOD PROCESSING SECTOR
FOOD PROCESSING
Rising demand on
Indian products in
international market
• Strategic geographic location and continuous increase in raw material production help
India to supply cheaper products to other countries
• India’s exports of processed food and related items rose at a CAGR of 21.5 per cent
during FY11–16(1), accounting for USD19,337.4 million in FY16(1)
• Companies like Haldiram’s and Bikarnervala have a presence in over 70 countries,
whereby they provide Indian snacks.
Note: FY – Indian Financial Year (April – March),
(1) Data upto December 2015
13. 1313MARCH 2017 For updated information, please visit www.ibef.org
Higher consumption of
Horticulture Crops
• There is a surge in demand for fruits & vegetables as a result of a shift in consumption.
• Accordingly, Indian farmers are also shifting production towards horticulture crops to cash
in on the growing demand.
Emphasis on Healthier
Ingredients
• Food processing companies are serving health and wellness as a new ingredient in
processed food, given that health conscious consumers prefer food products with lower
carbohydrate content and with low cholesterol edible oils. e.g. zero-per cent transfat
snacks and biscuits, slim milk, whole wheat products, etc. ITC is planning to launch
multigrain Bingo to increase its share in healthy snacks market
Note: FY – Indian Financial Year (April – March)
NOTABLE TRENDS IN THE INDIAN FOOD PROCESSING SECTOR
FOOD PROCESSING
Packaging as a
Purchase Influencer
and Communicator
• Food packaging has enabled today’s consumers to look for various options, and compare
the value offerings thereof, before making a purchase.
• Packaging has also helped enhance ‘carry ability’ of products and increase their shelf life.
A Shift from Usefulness
in Processing to
Usefulness to
Consumers
• Product innovation is always needed as consumers not only prefer safe ingredients and
additives but also useful ones
• This creates opportunities mainly in product innovation, specialised products, and product
extensions for the various existing food processors as well as new entrants
• Consumers have become aggressive in demanding better, safer, and convenient food
products and are willing to pay a higher price for health and convenience.
14. 1414MARCH 2017 For updated information, please visit www.ibef.org
Frozen and Processed
Goodness
• Frozen processed foods offer both convenience and nutrition
• The increase in spending capacities and the concurrent time-paucity has led to the continuous
development of such frozen processed food products as frozen vegetables (e.g. peas, potato, corn,
etc.) and such non-vegetarian products as chicken, fish, and meat products. Food processing market
accounts for 32 per cent of the total food market in India
Sensible Snacking
• Domestic consumers are now tuned in to the greater variety of foods available, thanks to both wider
variety in offerings as well as their own international exposure. ITC and PepsiCo are shifting their
focus on healthier snacks as the market for healthy snacks is growing with double speed
Note: FY – Indian Financial Year (April – March)
NOTABLE TRENDS IN THE INDIAN FOOD PROCESSING SECTOR
FOOD PROCESSING
Product Innovation as
the Key to Expansion
Strengthening
Procurement via Direct
Farmer-Firm Linkages
• Contract farming has been operational in India for a long time now; however, the experience of the
private sector players involved therein has been a mixed bag of successes and failures
• Largely, it has helped both the processing companies, via increasing sales and therefore augmenting
their incomes, as well as providing access to better technology and fetching better prices by securing
an assured market for Indian farmers. examples include Nestlé, PepsiCo, Venky’s, Milkfed, and
Mahagrapes, among others.
• It is now the norm for food processing companies to offer value-addition; those who hitherto offered
solely milk have now added other dairy products to their repertoire.
• This helps the processors to not only reduce wastage, but also expand uses and realise higher returns.
In 2015, Bonhomia has announced to launch ‘Boho’ coffee machines, the company is the first one to
manufacture coffee and tea capsule in India.
• In FY16, Ministry of Food Processing Industries has granted fund of USD18.81 million for the ongoing
Mega Food Park projects. As on September 2016, a Mega Food Park has been setup by the
government in Ludhiana.
• Mother Dairy has bought an old plant in Nagpur, for USD14.87 million for expansion beyond Delhi-
NCR region.
15. 1515MARCH 2017 For updated information, please visit www.ibef.org
Source: Company website, TechSci Research
COOPERATIVES DOMINATE DAIRY SECTOR; PRIVATE PLAYERS LEAD OTHERS
FOOD PROCESSING
Alcoholic beverages
Aerated soft drinks and
packaged drinking water
Packaged food
Fruits, vegetables,
processed grain
Milk and milk products
Meat, poultry and marine
products
Consumer
Food
18. 1818MARCH 2017 For updated information, please visit www.ibef.org
PORTER FIVE FORCES ANALYSIS
FOOD PROCESSING
Competitive Rivalry
Threat of New Entrants Substitute Products
Bargaining Power of Suppliers Bargaining Power of Customers
• Capital Intensive - High
investments are required to set
up processing units; this acts as
an entry barrier for new players
• Low bargaining power of
suppliers as the population
largely relies on unorganised
sector for products such as
milk and vegetables
• No close substitutes of
products such as milk, fresh
fruits and vegetables are
available in the market
• Due to a large influence of unorganised sector in the industry, the
competition is intense
• Existence of brand loyalty in certain products towards existing firms
such as Amul in case of butter limits competition in these products
Competitive
Rivalry
(Medium)
Threat of New
Entrants
(Medium)
Substitute
Products
(Low)
Bargaining
Power of
Customers
(High)
Bargaining
Power of
Suppliers
(Low)
• Tastes and preferences of
consumers in certain products
change and hence brand loyalty
is low in these products
• Low switching cost makes
consumers switch from one
supplier to another
20. 2020MARCH 2017 For updated information, please visit www.ibef.org
STRATEGIES ADOPTED
Source: TechSci Research
• Companies have been moving up the value chain; for example, cooperatives are transitioning from
being pure producers of milk to offering a wide range of dairy products. In 2015, Amul announced to
launch first branded lactose free milk in India
• Both domestic and global firms have been focusing on product innovation to cater to domestic tastes,
while also introducing international flavours; for example Ruchi Soya is innovating by entering into the
ready-to-cook segment to meet the needs of people with significant time constraint to provide a rich
source of protein in the breakfast category
• In 2016, Pepsi would begin selling new Diet Pepsi Classic Sweetener Blend containing aspartame and
will also continue to sell the aspartame-free versions of Diet Pepsi
• Low-cost price strategy is adopted so as to make the product affordable to the consumers by
guaranteeing them value for money. The main aim is to provide quality products to the consumers at
minimum cost, e.g., Amul Milk
• Parle and Sunfeast works on their pricing and costs so as to make the products available at
economical prices
Rising business and
product innovation
Low - cost price
strategy
Joint Ventures and Tie
ups
FOOD PROCESSING
• In 2015, Zespri International New Zealand based company tied up with Mumbai Dabbawalas to sell
new variants of fruits in India
• Many global and Indian companies are getting into joint ventures to make global products available in
India. Starbucks and TATA Alliance is one of the largest joint ventures
• Bharti Enterprises and Delmonte Pacific Ltd is the largest fresh baby corn exporter in India
• In 2016, Future Consumers and LT foods entered into a joint venture to enhance manufacturing and
distribution of rice and related products across the country
• In 2016, LT Foods had acquired branded rice business of Hindustan Lever
• In February 2017, PepsiCo's bottler - Varun Beverages, increased its stake from 60 per cent to 90 per
cent, in its Zambia subsidiary.
22. 2222MARCH 2017
STRONG FUNDAMENTALS AND POLICY SUPPORT AIDING GROWTH
For updated information, please visit www.ibef.org
Source: Ministry of Agriculture, TechSci Research
FOOD PROCESSING
Large domestic
market
Growing demand
Strong domestic
demand
Supply-side advantagesRising export
opportunities
Rising disposable
incomes
Growing middle
class, urbanisation,
a young population
Changing lifestyles
and food habits
India’s greater
integration with the
global economy
Increasing exports
with advantage of
proximity to key
export destinations
Expected spike in
global demand as
emerging markets
grow at a fast
pace
Favourable
climate for
agriculture; wide
variety of crops
Large livestock
base aids dairy
and meat
processing sector
Inland water
bodies, long
coastline help
marine products
Policy support
Vision 2015 plan
targets trebling of
food processing
sector
Mega food parks,
Agri Export Zones
to attract FDI and
aid infrastructure
Approval of
National Mission
on Food
Processing
23. 2323MARCH 2017 For updated information, please visit www.ibef.org
RISING INCOME AND GROWING MIDDLE CLASS TO DRIVE DEMAND FOR PROCESSED FOOD
Rising disposable incomes
• Strong growth in per-capita income has resulted in greater
demand for food items
• Incomes have increased at a brisk pace in India and would
continue rising considering the country’s strong economic
growth prospects. According to IMF, nominal per capita
income is projected to grow at CAGR of 4.94 per cent over
2010-19E
• During 2015-19, per capita income is expected to expand
at a CAGR of 8.09 per cent
• There has also been a shift in demand:
• From carbohydrates to meat products (in line with
the various phases of economic growth); and
• To convenience foods, and organic and diet foods
• Strong economic growth since the 1990s has led to:
• Rapid urbanisation and a growing middle class; and
• Nuclear families and dual income households
• Coupled with a young population and increasing media
penetration, this has led to a surge in demand for
packaged food, alcoholic and non-alcoholic beverages,
snacks, savouries, etc.
Rising per-capita income in India
Source: IMF, World Bank, TechSci Research
Notes: E - Estimate, F - Forecast
FOOD PROCESSING
1430.2
1552.5
1514.8
1504.5
1600.9
1617.3
1747.5
1874.9
2026.7
2207.6
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
0.0
500.0
1000.0
1500.0
2000.0
2500.0
GDP per capita, current prices Growth Rate
24. 2424MARCH 2017 For updated information, please visit www.ibef.org
Exports in USD billion
Source: Agricultural & Processed Food Products Export
Development Authority (APEDA), DGCIS, TechSci Research
Note: FY – Indian Financial Year (April –March),
(1) – Data for December 2016
During FY11–16, India's exports of processed food and
related products (inclusive of animal products) grew at a
CAGR of 11.74 per cent, reaching USD16.2 billion
Main export destinations for food products have been the
Middle East and Southeast Asia
The Gulfood 2017 event, organised in Dubai between
February 26, 2017, to March 2, 2017, witnessed
participation of 64 Indian exporters, offering a variety of
processed food & agriculture products.
FOOD PROCESSING
INDIA’S EXPORTS OF PROCESSED FOOD AND RELATED PRODUCTS
CAGR: 15.72%
9.3
17.3
21.7 22 21.5
19.3
FY11 FY12 FY13 FY14 FY15 FY16
(1)
25. 2525MARCH 2017
SHARES IN EXPORTS OF PROCESSED FOOD AND RELATED PRODUCTS
Rising demand from rest of the world
• Accounting for 28.4 per cent of the overall export value of key processed products, animal and related products
accounted for the largest value share in FY16
• In FY16, share of exports of cereals stood at 38.21 per cent
• Growth has primarily resulted from
• Greater exports to advanced economies; and
• More demand from emerging/developing economies as they experience strong growth
Source: APEDA Agri Exchange, TechSci Research
FOOD PROCESSING
Shares in APEDA exports (FY16)Exports of key processed products (USD million, FY15 and
FY16)
For updated information, please visit www.ibef.org
38.21%
28.4%
7.8%
6.7%
0.43%
17.9%
Cereals
Animal Products
Fresh Fruits and
Vegetables
Processed Fruits and
vegetables
Floriculture
Other Processed Foods
4518.11
3334.71
1552.15
828.76
202.29
75.39
1221.83
5411.33
4067.91
3477.96
2314.58
496.57
151.54
79.65
73.19
1277.56
4597.7
2881.22
BasmatiRice
NonBasmati
Rice
Guargum
Wheat
OtherCereals
Floriculture
Freshfruitsand
vegetables
AnimalProducts
OtherProcessed
Foods
FY15 FY16
26. 2626MARCH 2017 For updated information, please visit www.ibef.org
Supply-side advantages
• Growth in food product exports has been aided by:
• Significant improvements in product &
packaging quality; and
• Greater private sector participation
• India has a location advantage – it is geographically
close to key export destinations (Middle East, South
East Asia)
• USA is the top destination for processed products from
India
• Vietnam, Saudi Arabia, Iran & UAE are the other major
destinations for Indian exports
Major destinations of processed food and agricultural
related product exports in FY16 (USD million)
Source: Ministry of Food Processing Industries, APEDA,
Ministry of Commerce & Industry, TechSci Research
FOOD PROCESSING
EXPORTERS GAINING FROM RISING GLOBAL DEMAND AND LOCATION ADVANTAGES
1997.12
1228.86
725.55
1120.37
598.33
359.68
231.7
591.8
307.16
445.57
Vietnam
SaudiArabia
USA
UAE
Malaysia
Egypt
Kuwait
Iran
Bangladesh
Nepal
27. 2727MARCH 2017 For updated information, please visit www.ibef.org
India’s comparative advantage lies in its favourable climate,
large agriculture sector and livestock base, long coastline,
and inland water resources
India also has an edge in cost of production compared to its
competitors in Asia and the developed world
In FY15, milk production is estimated around 146.3 million
tonnes
In August 2015, rice production is estimated around 104.8
million tonnes
FOOD PROCESSING
Units Global rank(1)
Arable land
(million hectares)
161 2
Area under
irrigation
(million hectares)
55 1
Coast line
('000 kilometers)
7.5 7
Cattle (million) 3.1 1
Source: World Bank, FAOSTAT, CIA World Fact book, Ministry of
Agriculture, Tea Board, APEDA, Directorate of Statistics, Indian Council of
Agricultural Research (ICAR), TechSci Research
Note: (1) represents 4th advance estimates
2 - Updates for FY16
Production
(million tonnes)
FY15
Global
Share(1)
(%)
Global
rank(1)
Milk (Cow &
Buffalo)
141.1 17% 1
Pulses(1)
17.2 21% 1
Buffalo meat 1.4 42.8% 1
Bananas 29.13 27.8% 1
Mangoes and
Guavas
22.7 39.0% 1
Tea 1.2 28% 2
Rice (Paddy) (1)
104.8 22% 2
Sugarcane(1)
359.3 21% 2
Wheat(1)
88.94 15% 1
INDIA HAS A DISTINCT COMPETITIVE ADVANTAGE OVER PEERS
2
2
28. 2828MARCH 2017 For updated information, please visit www.ibef.org
Encouragement to
private sector
• 100 per cent export-oriented units allowed to sell up to 50 per cent of their produce in the
domestic market
• Export earnings exempt from corporate taxes
Tax incentives and
other sops
• Services like pre conditioning, ripening, waxing, retail packing, precooling, labelling of fruits
and vegetables have been exempted from service tax
• Excise duty of 2 per cent without CENVAT credit or 6 per cent excise duty with CENVAT credit
is imposed on peanut butter condensed milk
• Import duty scrapped on capital goods and raw materials for 100 per cent export-oriented units
• Full excise duty exemption for goods that are used in installation of cold storage facilities
Relaxed FDI norms
• 100 per cent FDI permitted under automatic route (except for alcohol, beer & Sectors reserved
for small scale industries)
• Repatriation of capital and profits permitted
• With the recent clearance of Foreign Direct Investment (FDI) in multi-brand food retail, the
government is looking to double food processing levels to 20 per cent
Source: Ministry of Food Processing Industries, APEDA, TechSci Research
Note: FDI – Foreign Direct Investment
FOOD PROCESSING
STRONG POLICY SUPPORT GIVES FOOD PROCESSING SECTOR A BOOST … (1/2)
Mega Food Parks
• The scheme based on “Cluster” approach, which creates a well-defined agri/horticultural
processing zone with better support of infrastructure and well-established supply chain
• Aims at providing mechanisms to link agricultural production to the market by bringing farmers,
processors and retailers together
• Under Union Budget 2015-16, USD19.65 million has been allotted for Mega Foodpark
Scheme
• Final approval has been received for 21 mega food parks, out of which, only 4 food parks are
operational
• As per Union Budget 2016-2017, government allocated USD89.62 million under National
Mission to food processing sector
29. 2929MARCH 2017 For updated information, please visit www.ibef.org
Focus on infrastructure
• The sector has been assigned priority status for bank credit.
• 60 Agri Export Zones (AEZ) have been set up across the country
• In Union Budget 2015-16, government has announced to make a provision of USD53.8
million to develop infrastructure
• Kwality Ltd., a dairy firm, signed an agreement with Bank of Baroda for providing USD
594.97 million loans to one lakh farmers from whom the company procures milk
Incentives for
development of storage
facilities
• Investment-linked tax incentive of 100 per cent deduction of capital expenditure for setting
up and operating cold chain facilities (for specified products), and for setting up and
operating warehousing facilities (for storage of agricultural produce). Till 2015, 112 storage
infrastructure projects have been approved, out of which 50 have been completed and 62
are in progress towards completion
Source: Ministry of Food Processing Industries (MOFPI), APEDA, TechSci Research
FOOD PROCESSING
STRONG POLICY SUPPORT GIVES FOOD PROCESSING SECTOR A BOOST … (2/2)
Focus on R&D and
modernisation
• The government launched initiatives such as for the Setting Up/Upgradation of Quality
Control/Food Testing Laboratory, R&D and Promotional Activity scheme and the
Technology Upgradation/Setting Up/Modernisation/Expansion of Food Processing
Industries Scheme. During 2014-15, 8 food testing laboratories were set up, 20 R&D
projects were completed and government allocated USD4.9 million for mentioned
initiatives.
• In November 2016, Food Safety and Standards Authority of India (FSSAI) launched a
major scheme worth USD 72 million, to address the urgent needs to upgrade food testing
laboratories in India.
National Mission on
Food Processing
• MOFPI launched a new Centrally Sponsored Scheme (CSS) National Mission on Food
Processing to promote facilities for post-harvest operations, including setting up of food
processing industries in India. In Union Budget 2016-17, government has announced to
spend USD1.1 million in Union territories only
30. 3030MARCH 2017 For updated information, please visit www.ibef.org
Cumulative FDI inflows (April 2000 to December2016)
in food and agriculture sector (USD million)
Source: Department of Industrial Policy & Promotion, TechSci Research
Note: FDI – Foreign Direct Investment
Between April 2000 & December 2016, FDI in food processing industry & agriculture machinery & in India stood at USD7.478
billion & USD0.445 billion, respectively
Demand growth, supply advantages & policy support have been instrumental in attracting FDI
The government’s main focus is on supply-chain related infrastructure, such as cold storage, abattoirs & food parks
10 Japanese brands such as Marubeni Corporation, Ise Foods, House Foods Group & Kagome are planning to invest in India
to source for raw materials. The Japanese firms are also planning to invest in cold chains & other infrastructure.
FOREIGN INVESTMENTS FLOWING IN; RISE IN PLAN EXPENDITURE
FOOD PROCESSING
44%
33%
11%
5%
3%
3%
1%
National Mission on Food
Processing
Infrastructure development
Strengthening of institutions
Food Safety, R&D and
Promotional Activities
Venture Capital Fund
11th plan projects to be
implemented under NMFP
Innovation Fund Scheme
12th Five Year Plan (2012-17) outlay shares:
Food Processing
Plan allocation to the Food Processing sector: USD2.9 billion
7478.92
2486.73
1869.37
622.00 445.96 111.07 190.22
0
0.5
1
1.5
2
2.5
0
1000
2000
3000
4000
5000
6000
7000
8000
FoodIndustry
Fermentation
AgriculturalServices
VegetableOil
AgriculturalMachinery
Tea&Coffee
Sugar
Cumulative FDI inflows Share of Total FDI inflows %
31. 3131MARCH 2017 For updated information, please visit www.ibef.org
Source: Thompson ONE Banker, Assorted news articles, TechSci Research
RISING PRIVATE EQUITY (PE) FUNDING; M&A ACTIVITY STABLE … (1/2)
FOOD PROCESSING
Major PE investments in food and agriculture
Date Company Investor Type of business
Deal value
(USD million)
September, 2016 Swiggy
SAIF Partners, Accel
Partners, Norwest Venture
Partners
Food Delivery 33.80
September, 2015 Sahayog Dairy Acumen Milk producer 1.7
August, 2015 Cremica CX-Partners Manufacturer of Snacks 24.56
April, 2014 Bikaji Foods International Ltd Lihthouse Funds LLC Manufacturer and wholesale snacks 14.9
July, 2013 VKL Seasonings India Value Fund Seasonings 44.19
July, 2013 Kohinoor Foods Al Dahra Hordings Rice 21.17
June, 2013 Milltec Group Multiples Private Equity
Technology and machinery
developer for agro mills and plants
43.2
April, 2013 Bush Foods Overseas Hassad Food Rice 147.3
32. 3232MARCH 2017 For updated information, please visit www.ibef.org
Source: Thompson One Banker, Assorted news articles, TechSci Research
Note: M&A – Mergers and Acquisitions
RISING PRIVATE EQUITY (PE) FUNDING; M&A ACTIVITY STABLE … (2/2)
FOOD PROCESSING
Major M&A activity
Date Target company
Acquiring
company/Investor
Type of business
Deal value
(USD million)
March, 2014 Shanghvi Brands Promoter Pvt Ltd Tano Capital LLC Floor and grain Mill products 9.86
March, 2014 Maroosh Unilazer Ventures Pvt Ltd
Owns and operates
restaurants
2.94
May, 2014 Nashik Vintners Pvt Ltd Investor Group Wines and brandy 39.27
July, 2014 United Spirits Ltd Relay BV Liquor 1,900.9
July, 2014 Siddhi Vinayak Agro Inds Pvt Anil Life Sciences Ltd Food 7.7
November, 2014 Westernland Dairy Pvt Ltd Milk Mantra Dairy Pvt Ltd Dairy 1.6
November, 2014 Parry Sugar Industries Ltd Grandhi Enterprises Pvt Ltd Sugar 1.5
July, 2015 Kraft Foods Group Inc H.J. Heinz Co Food 46000
October, 2015 Diageo Hieneken Liquor 781
March, 2016 Sampo Roselnew Oy Mahindra and Mahindra Ltd Combine harvester 20.46
October 2016 Delta Beverages Varun Beverages Beverages 26.03
December, 2016 OFD Holding BV Mahindra Agri Solutions Ltd Agri Business 5.49
33. 3333MARCH 2017 For updated information, please visit www.ibef.org
SECTOR HAS BEEN ATTRACTING FOREIGN JV PARTNERS FOR A LONG TIME
Source: Thompson ONE Banker, TechSci Research
Note: JV – Joint Venture
Players such as McCormick had identified India as a strategic market way back in the 1990s
Global players such as Hershey are now keen on entering the increasingly attractive Indian market
Established players such as Nestle and Coke are extending their global JVs to India
FOOD PROCESSING
Foreign players Indian partner Type of business Stake ratio Year
R&R Ice Cream Nestle Ice Cream 50:50 2016
Pepsi-Cola Products Philippines
Inc. (PCPPI)
PepsiCo, Inc. Snacks and beverages NA 2015
American Pistachio Growers VKC nuts Dry Fruits NA 2015
Select Ready Foods OSI Group LLC Animal Products NA 2014
Kagome and Mitsui Ruchi Soya Industries Tomato products 60:40 2013
Starbucks Corporation Tata Global Beverages Beverage 50:50 2012
Molson Coors Cobra India Brewing NA 2011
Dan Cake Phadnis Group Cake and biscuits 66:34 2011
McCormick Kohinoor Foods Ltd Basmati and food products 85:15 2011
McCormick Eastern Condiments Seasonings 26:74 2010
Hershey Godrej Chocolates 51:49 2007
35. 3535MARCH 2017 For updated information, please visit www.ibef.org
OPPORTUNITIES
Source: Make in India, TechSci Research
Notes: PPP – Public Private Partnership, AEZ – Agri Export Zones, FDI – Foreign Direct Investment
FOOD PROCESSING
Untapped market with strong
growth potential
• Fragmented market leads
to lower processing levels
and value addition
• The government plans to
raise value addition to 35
per cent by 2015 from 20
per cent in 2005
• PPP modules ideal for the
private sector
• Strong demand growth;
household consumption set
to double by 2020
Potential global outsourcing
hub
• Global supermarket majors
looking at India as a major
outsourcing hub
• The government has helped by
investing in AEZs, mega food
parks, easier credit
• The establishment of food
parks – a unique opportunity for
entrepreneurs, including foreign
investors to enter in the Indian
food processing sector.
• In FY16, Ministry of Food
Processing Industries has
granted fund of USD18.81
million for the ongoing Mega
Food Park projects
• In October 2016, the Central
Government announced that all
42 mega food parks will be
operational by next two years.
Supply chain infrastructure
and contract farming
• Both firms and the government are
eager to boost efficiency and
access to markets
• Investment potential of USD22
billion in food processing
infrastructure; 100 per cent FDI in
this area
• Firms increasingly taking recourse
to contract farming in order to
secure supply
• Supply chain infrastructure – this
niche has investment potential in
food processing infrastructure, the
government’s main focus is on
supply chain related infrastructure
like cold storage, abattoirs and food
parks.
36. 3636MARCH 2017
37.5
544.4
1,088.5
0
200
400
600
800
1,000
1,200
10th Five Year Plan 11th Five Year Plan 12th Five Year Plan
For updated information, please visit www.ibef.org
OPPORTUNITIES IN INFRASTRUCTURE DEVELOPMENT
Fund allocated for infrastructure development
in food processing industry (USD million)
Notes: PPP – Public Private Partnership, AEZ – Agri Export Zones, FDI – Foreign Direct Investment
The government’s focus and launch of various schemes to provide excellent infrastructure facility in food processing sector
open up various opportunity for private investors
Various schemes launched by the government provide capital grant, subsidy, duty free export of products & tax incentives to
investors. These includes schemes such as Mega Food Parks Scheme, Scheme for integrated Cold Chain & Scheme for
Modernisation of Abattoirs.
The government’s focus on infrastructure is likely to lead to a sharp rise in the number of cold storage units
To reduce post-harvest losses of fruits and vegetables, government plans to set up 500 cold chain projects in the country.
Moreover, 42 sanctioned mega food parks in the country are likely to become operational by 2018
Project-wise fund allocated in
12th Five-Year Plan (USD million)
CAGR: 27.2%
FOOD PROCESSING
677.0
349.0
58.1
Mega Food Parks
Scheme
Scheme for Integarted
Cold Chain
Scheme for
Modernsiation of
Abattoirs
38. 3838MARCH 2017 For updated information, please visit www.ibef.org
OPERATION FLOOD: INDIA GAINS SELF SUFFICIENCY IN MILK PRODUCTION
Source: Press Release Ministry of Agriculture, National Dairy Development Board, GCMMF (www.amul.com), TechSci Research
‘Operation Flood’ was the ‘billion litre idea’ of Dr Varghese Kurien, also known as the Father of the White Revolution. His
efforts made India self-sufficient in edible oils as well
Operation Flood was initiated in 1970 by the National Dairy Development Board (NDDB) to achieve national self- sufficiency
in milk production by creating nationwide milk grids
India became the world’s largest milk producer in FY2000, with the output of 78 MT. It has retained its position since then,
with the country’s estimated milk production standing at 155.5 MT in FY16
As per Government of India, Ministry of Finance, India ranks first in milk production accounting for 18.5 per cent of the
world’s production in FY15, recording a growth of 6.26 per cent over FY14
Dairy cooperatives offer employment opportunities to about 12 million agricultural families
FOOD PROCESSING
Phase I
(Jul,1970 – Mar,1981)
Phase II
(Jul,1981 – Mar,1985)
Phase III
(Jul,1985 – Mar,1996)
Dairy cooperative societies (‘000) 13.3 34.5 72.5
Members (million) 1.8 3.6 9.3
Milk procurement (million kg/day) 2.6 5.8 11.0
Liquid milk marketing (million litres/ day) 2.9 5.0 10.0
Milk drying capacity (million tonnes/ day 261 507.5 842
39. 3939MARCH 2017 For updated information, please visit www.ibef.org
GCMMF (Amul) sales (USD billion)
Source: GCMMF (www.amul.com),
thehindubusinessline.com, TechSci Research
Notes: CAGR – Compound Annual Growth Rate,
FY – Indian Financial Year (April – March)
Gujarat Cooperative Milk Marketing Federation (GCMMF) is
the largest food products marketing organisation in India
Set up in 1967, it is India’s largest exporter of dairy products
and has been accorded ‘trading house’ status
During FY16, the Federation recorded the highest growth of
187 per cent in turnover over the last six years, to reach a
value of USD3.5 billion by FY16
Amul is the fastest growing dairy organisation in the world. It
has risen to 15th position in the list of dairy companies in the
world in September 2014, from 20th position in 2012
Amul is planning to invest USD24.5 million in Punjab for
expansion
Amul is expected to procure 21.7 thousand tonnes milk per
day by January 2016
As on December 02, 2016, under its brand AMUL, GCMMF
announced its plans to sell camel milk, in the country in the
next three months.
THE AMUL SAGA: A COOPERATIVE MOVEMENT LEADS THE WAY … (1/2)
FOOD PROCESSING
CAGR: 16.29%
0.9
1.3
1.5
1.7
2.1
2.4 2.5
3.0
3.4 3.5
4.6
FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY18F
40. 4040MARCH 2017 For updated information, please visit www.ibef.org
Source: GCMMF (www.amul.com), TechSci Research
Main brand: Amul
Products: milk (including flavoured), butter, margarine, cheese, curd, desserts, infant food
FOOD PROCESSING
Facts and features (FY16)
Producer members (million) 3.6
Village societies 18,600
Milk processing capacity (million litres/
day)
38.0
Total milk collection (FY15, billion litres) 5.4
Daily milk collection (FY15, million litres) 14.9
Milk drying capacity (million tonnes/ day) 860
Notable awards Authority
Excellent performance in dairy product
exports for 11 consecutive years
APEDA
CIO International IT Excellence Award
(2003) for positive business performance
through resourceful IT management and
best practices
IDG’s CIO
Magazine
(USA)
International Dairy Federation Marketing
Award (2007) for Amul’s pro-biotic ice
cream launch
International
Dairy
Federation
THE AMUL SAGA: A COOPERATIVE MOVEMENT LEADS THE WAY … (2/2)
41. 4141MARCH 2017
Primary focus on crushing and
trading activities
Expansion of extraction and
refining capacity; focus on
branded products
Focus on developing upstream
business; secured access to
185,000 hectares of palm
plantation; major expansion of
refining capacity
For updated information, please visit www.ibef.org
RUCHI SOYA: ONE OF THE WORLD’S FASTEST GROWING FMCG COMPANY
Source: News release Ruchi Soya website, TechSci Research
FOOD PROCESSING
Top edible
oil producer in India with
market share of 18.2%
Strong presence in
Edible oil and meal market
Sales growth at a CAGR of
14.1% over FY11-15
Net profit generated in FY16
is USD134.23 million
Revenues for FY16
are USD4.25 billion
Organic
growth
phase
Strong brands such
as Nutrela,
Vanasapati and
Sunrich
Focus on R&D
Acquisitions of
companies and
plats facilities
2001–04 2005–08 2008–16
Aggressive
acquisitions of lands
for soya and palm
plantations
India’s No 1
cooking oil and
soya food maker
Launched dal
analogue and
butter margarine
The company is
planning to enter in
ready to eat food
market
2016: Company got
ranked among “Top
5 Packaged Food
Companies in
India”
2016: Received approval
from Government of
Karnataka to set up
manufacturing units at
Dakshina Kannada as on
10 June 2016
42. 4242MARCH 2017 For updated information, please visit www.ibef.org
Source: Company Annual Report, TechSci Research
Note: KRBL - Khushi Ram and Behari Lal
FOOD PROCESSING
Salient characteristics
• KRBL is world’s largest rice miller and basmati rice exporter
• It has strong brand presence through global retail giants like Carrefour, Bharti - Walmart, Spencer and Future Group
• It is the largest producer of contract farming basmati rice in the world
• The company accounts for 25 per cent of India’s total exports of branded basmati rice
• KRBL is well-integrated in terms of farming, rice processing, oil production and power generation
KRBL: LEADER IN GLOBAL RICE MARKET
Sales (USD million) Exports (USD million)
337.5 340.3 349.8
385
485.2
531.4 524.9
FY10 FY11 FY12 FY13 FY14 FY15 FY16
141
182.8 172.8
211.8 210.8
260.3
FY11 FY12 FY13 FY14 FY15 FY16
44. 4444MARCH 2017
INDUSTRY ASSOCIATIONS
Agricultural and Processed Food Products Export Development
Authority (APEDA)
NCUI Building 3, Siri Institutional Area,
August Kranti Marg, New Delhi – 110 016
Phone: 91 11 26513204, 26514572, 26534186
Fax: 91 11 26526187
E-mail: headq@apeda.com
Marine Products Export Development Authority (MPEDA)
MPEDA House, Panampilly Avenue
PB No 4272, Cochin-682 036
Phone: 91 484 2311979/2311803
Fax: 91 484 2313361
e-mail: mpeda@vsnl.com, mpeda@mpeda.nic.in
For updated information, please visit www.ibef.org
FOOD PROCESSING
45. 4545MARCH 2017
GLOSSARY … (1/2)
For updated information, please visit www.ibef.org
AEZ: Agri Exports Zones
MFP: Mega Food Parks
CAGR: Compound Annual Growth Rate
FDI: Foreign Direct Investment
MT: Million Tonnes
IIP: Index of Industrial Production
FY: Indian Financial Year (April to March)
So FY12 implies April 2011 to March 2012
GOI: Government of India
INR: Indian Rupee
PPP: It could denote two things (mentioned in the presentation accordingly) –
Purchasing Power Parity (used in calculating per-capita GDP)
Public Private Partnership (a type of joint venture between the public and private sectors)
FOOD PROCESSING
46. 4646MARCH 2017
GLOSSARY … (2/2)
For updated information, please visit www.ibef.org
PE: Private Equity
APEDA: Agriculture & Processed food products Export Development Authority
GCMMF: Gujarat Cooperative Milk Marketing Federation
USD: US Dollar
Wherever applicable, numbers have been rounded off to the nearest whole number
FOOD PROCESSING
47. 4747MARCH 2017
Exchange rates (Fiscal Year)
For updated information, please visit www.ibef.org
EXCHANGE RATES
Exchange rates (Calendar Year)
FOOD PROCESSING
Year INR equivalent of one USD
2004–05 44.81
2005–06 44.14
2006–07 45.14
2007–08 40.27
2008–09 46.14
2009–10 47.42
2010–11 45.62
2011–12 46.88
2012–13 54.31
2013–14 60.28
2014-15 61.06
2015-16 65.46
2016-2017E 66.95
Source: Reserve bank of India,
Average for the year
Year INR equivalent of one USD
2005 43.98
2006 45.18
2007 41.34
2008 43.62
2009 48.42
2010 45.72
2011 46.85
2012 53.46
2013 58.44
2014 61.03
2015 64.15
2016 (Expected) 67.22
48. 4848MARCH 2017
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FOOD PROCESSING