The food processing industry, which is still in its early stages of development, is vital to linking India’s manufacturing and agricultural sectors. At $110 billion in revenue, it holds a third of the Indian food market and has grown at a respectable rate of 14% in the last few years.
The Union Cabinet approved the Production Linked Incentive Scheme on March 31, 2021, with a budgetary allocation of Rs. 10,900 crores. The scheme has been in effect for the food processing industry in India from the fiscal year 2021–22 through the fiscal year 2026–27. The Initiative seeks to promote industry manufacturing in four key areas, specifically:
1.Products that are ready to eat and cook;
2.Fruits and vegetables that have been processed;
3.Marine products; and
4.Mozzarella cheese.
The scheme aims to:
1.Support creative and natural products from small and medium-sized enterprises (SMEs); and
2.Offer financial support for branding and marketing campaigns aimed at advancing Indian brands internationally.
The PLI Scheme is expected:
1.To improve the infrastructure for food processing;
2.Draw in technology to maximize farm-to-industry output; and
3.Increase exports.
According to reports, the companies that applied successfully for the scheme invested Rs. 7126 crores in the food processing sector and produced cumulative sales up to Rs. 49825 crores by the quarter ending in September of 2023.
The PLI scheme guidelines state that beneficiaries must submit incentive claims by December 31 of the subsequent fiscal year for a given financial year. It is reported that incentives distributed under the scheme totalled Rs.584 crores for the fiscal year 2022.
According to the PLI scheme’s quarterly report, as of September 30, 2023. 237,335 people were working for PLI beneficiaries.
Get the List of Top 25 Consumer Food in India (BSE) based on Net Profit.
Company Name | Net Profit (Rs. cr) |
Nestle | 2,390.52 |
Britannia | 2,139.30 |
Adani Wilmar | 607.23 |
Jubilant Food | 356.21 |
Godrej Agrovet | 303.64 |
Devyani Int | 246.07 |
Hatsun Agro | 165.86 |
LT Foods | 160.31 |
HMA Agro | 137.32 |
Bikaji Foods | 127.67 |
Dodla Dairy | 94.99 |
Bectors Food | 76.25 |
Vadilal Ind | 71.94 |
Sukhjit Starch | 70.14 |
Parag Milk Food | 68.49 |
Zydus Wellness | 66.42 |
Heritage Foods | 65.89 |
Hindustan Foods | 64.51 |
ADF Foods | 60.01 |
IFB Agro | 51 |
Foods and Inns | 47.24 |
Gulshan Poly | 45.36 |
Tasty Bite | 30.21 |
MSR India | 20.51 |
Sheetal Cool Pr | 20.45 |
Source: BSE, India, last updated 16 February, 2024
This news is a creative derivative product from articles published in famous peer-reviewed journals and Govt reports:
References:
1. Vepa, S. S. (2004). Impact of globalization on the food consumption of urban India. Globalization of food systems in developing countries: impact on food security and nutrition, 83, 215.
2. Senauer, B. (2001). The food consumer in the 21st century: new research perspectives (No. 1710-2016-139984).
3. Kinsey, J. D. (2001). The new food economy: consumers, farms, pharms, and science. American Journal of Agricultural Economics, 83(5), 1113-1130.
4. Yi, J., Meemken, E. M., Mazariegos-Anastassiou, V., Liu, J., Kim, E., Gómez, M. I., … & Barrett, C. B. (2021). Post-farmgate food value chains make up most of consumer food expenditures globally. Nature Food, 2(6), 417-425.
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