The Union food processing ministry is working on a proposal to increase the level of processing of fruits and vegetables from a paltry 2% at present, to 20% by 2015, Subodh Kant Sahai, minister for state for food processing industries said on Tuesday. ?Lack of processing and storage of fruits and vegetables results in an annual wastage estimated at a value of Rs 33,000 crore,? Sahai said, while inaugurating a Confederation of Indian Industry (CII) seminar on food safety.
Calling for increased private investment in the food processing sector, Sahai said that the time was right as the demand was growing and the sector was ?virtually taxless?. Exhorting private entrepreneurs, he said, ?Your investment will finally go to farmers as it would push demand-driven agriculture. Farmers will have long-term sustainability.? He also urged the private sector to set up food laboratories at the district level with a 50% grant from the government.
Sahai said that the food processing sector recorded a 13.4% growth last fiscal compared to about 6% in 2004. He said that the ministry has restructured its thrust areas by focusing on infrastructure development during the 11th Plan.
?Infrastructure development will be given high priority during the 11 th Plan and this will have a direct bearing on food safety and quality,? he said. He also said that a scheme would soon be launched for street-food vendors to help them improve hygiene and quality.