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Corporates must invest more in food processing sector to enhance processing level: Joshi
Dec-05-2025

Food Processing Secretary A P Das Joshi has asked corporates to invest more in the sector to enhance the processing level from the current low of 12 per cent and also boost exports of processed food items. He emphasised the need to dispel the myth that processed food is inherently bad. He also highlighted that the labour codes would benefit the sector.

The secretary said that the issues related to the HFSS (High fat, sugar, salt) and FOPNL (Front-of-pack nutrition labelling) are under ‘very, very active consideration of the government’ and there could be some decision in the near future. He said ‘we have 24 lakh units across the country, and only 2 per cent are organised. I look forward to a higher level of investment from the captains of the industry, and there is a huge scope for FDI and private domestic investment.’

He also emphasised the need for formalisation of the informal. He said ‘whatever you process ultimately comes from lakhs of farmers. So whenever we are doing the value addition, a part of it goes to the farmers. So rural prosperity, it is necessary that we increase the processing level. We process hardly 12 per cent of our food. We produce so much, but when we talk about the processing, we are not even nearby to countries like the Philippines and Thailand, forget about the EU and the US.’

He noted that the share of processed food in total agriculture exports has increased to 22 per cent from 11 per cent in 2014-15. He said the share could reach 30-32 per cent by 2020 as there is ‘unlimited scope’ for growth in the food processing sector. Talking about labour codes, he said the reform is very inclusive and will benefit food processing sectors, which are labour intensive. He said the labour codes are ‘worker-friendly, industry-friendly, and overall, it is growth-friendly’. He said ‘sometimes we have to undergo the changes so that we can achieve the higher heights or the higher performance.’


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