Expressing hopes of better growth ahead, Food Processing Minister Harsimrat Kaur Badal stated that the foreign direct investment (FDI) in the food processing sector has already touched the $1-billion mark so far this year. She said ‘When we took over the government in 2014, FDI in the food processing sector used to be $500 million every year. This year, we touched $1-billion mark. This is a tip of the iceberg, we have to go a long way.’
According to the data, FDI in the food processing sector was $904.9 million in the 2017-18 fiscal, while it stood at $727.22 million, $505.88 million and $515.86 million in 2016-17, 2015-16 and 2014-15, respectively. Badal said the FDI in multi-brand retail was allowed keeping in mind the need to boost food processing level and provide an alternative market to farmers to sell their produce.
The focus was to see retailers directly procure farm produce from farmers. About $14 billion that was committed during the World Food India 2017 for next few years, the minister said, ‘I am happy to share that 70% of the projects have already started the grounding.’ She said this will help grow the processing levels and reduce food wastage which is estimated to be Rs 1 lakh crore per year.