07 Feb, 2024 News Image Integrated cold chain and value addition infrastructure scheme.
The Ministry of Food Processing Industries (MoFPI) is implementing the Scheme for Integrated Cold Chain and Value Addition Infrastructure under the umbrella scheme - Pradhan Mantri Kisan Sampada Yojana (PMKSY). The objective of the scheme is to provide integrated cold chain, preservation and value addition infrastructure facilities without any break, from farm gate to the consumer in order to reduce post-harvest losses of non-horticulture produce, dairy, meat, poultry and marine/fish (except shrimp).
 
The Scheme is demand driven in nature. The eligible entities to apply for benefits under the scheme include individuals as well as entity/organisation such as Farmer Producer Organizations (FPOs), Farmer Producer Companies, Non-Governmental Organisations, Public Sector Undertakings, Firms, Companies etc., with business interest in cold chain solutions and also by those who manage supply chain.
 
The components of the Scheme are creation of Farm Level Infrastructure, Processing Centre, Distribution Hub, Refrigerated vans/ refrigerated trucks/ insulated vans/ mobile insulated tankers. The Scheme also supports creation of Irradiation Facility as a standalone component. The scheme allows flexibility in project planning with special emphasis on creation of cold chain infrastructure at farm level.
 
Under the Scheme, MoFPI provides grant-in-aid @35% of the eligible project cost for projects in General areas and @50% of the eligible project cost for projects in Difficult areas as well as for projects of SC/STs, FPOs and Self Help Groups, subject to maximum of Rs.10 crore per project. So far, MoFPI has approved 372 projects for creation of 38.82 lakh metric tonne (LMT) preservation capacity and 148.07 LMT processing capacity per annum. These projects benefit 35.53 lakh farmers and created employment opportunities to 2.23 lakhs persons.
 
This information was given by Union Minister of State for Food Processing Industries Km. Shobha Karandlaje in a written reply in the Lok Sabha today.

 Source:  pib.gov.in
07 Feb, 2024 News Image Growth of Food Processing sector.
Food Processing (FP) sector emerged as an important segment of the Indian economy in terms of its contribution to GDP, employment and exports. During the last seven years ending 2021-22, FP sector has been growing at an Average Annual Growth Rate (AAGR) of around 7.26%. Gross Value Added (GVA) in FP sector has also increased from 1.30 lakh crore in 2013-14 to 2.08 lakh crore in 2021-22.
 
Ministry of Food Processing Industries (MoFPI) through implementation of the Central Sector Scheme, namely, Pradhan Mantri Kisan Sampada Yojana (PMKSY) across the country helps in creation of modern infrastructure with efficient supply chain management from farm gate to retail outlet for promotion, overall development and growth of Food Processing Industries, through creation of employment opportunities, reducing wastage of agricultural produce, increasing the processing level and enhancing export of the processed foods.
 
MoFPI is also implementing a Centrally Sponsored Scheme- PM Formalisation of Micro Food Processing Enterprises Scheme (PMFME) for providing technical, financial and business support for setting up/upgradation of 2 lakh Micro Food Processing Enterprises.
 
MoFPI has also launched the Production Linked Incentive scheme (PLIS) for the period 2021-22 to 2026-27 to create global food champions and improving the visibility of Indian food brands abroad.
 
In order to enhance the investment in Food Processing Sector the following measures have been taken by the MoFPI:
 
Exempting all the processed food items from the purview of licensing under the Industries (Development and Regulation) Act, 1951.
100% Foreign Direct Investment (FDI) permitted through automatic route for food processing sector subject to sectoral regulations.
100% Foreign Direct Investment, under Government approval route, for trading including through e-commerce, in respect of food products manufactured or produced in India.
Lower GST for raw and processed products; more than 71.7% food products under various chapter heads/sub-heads are covered in lower tax slab of 0% & 5%.
As per NSSO 2015 report, the unorganized FP sector in the country comprises nearly 25 lakh food processing enterprises which are unregistered and informal. Most of these units falls under category of micro manufacturing units in terms of their investment in plant & machinery and turnover. These units face challenges in access to credit, modern technology & machinery, branding & marketing and food safety & hygiene.
 
As part of Atmanirbhar Bharat Abhiyan, MoFPI is implementing a centrally sponsored PMFME scheme for providing financial, technical and business support for setting up / upgradation of micro food processing enterprises in the country. The scheme is operational for a period of five years from 2020-21 to 2024-25 with an outlay of Rs. 10,000 Crore.  The scheme aims to enhance the competitiveness of existing individual micro-enterprises in the unorganized segment of the food processing industry and promote formalization of the sector. 
 
PMFME scheme is implemented in all the 36 States/UTs including Odisha. Till date 31st January 2024, following progress made under various components of PMFME Scheme:
 
72,556 loan sanctioned for the benefit of credit linked subsidy including 1175 loan sanctioned in Odisha.
Rs.771.12 crores released as Seed Capital for 236704 SHG members including Rs.67.91 crores for 23,400 SHG members in Odisha.
62,140 beneficiaries trained in Food Processing Entrepreneurship Development Program, including 6439 trained in Odisha.
14 ODOP Brands and 166 products have also been successfully launched so far.  No proposal in this regard has been received from the State of Odisha.
This information was given by Union Minister of State for Food Processing Industries Km. Shobha Karandlaje in a written reply in the Lok Sabha today.

 Source:  pib.gov.in
07 Feb, 2024 News Image Atmanirbhar Bharat Abhiyaan in food processing sector.
As part of Atmanirbhar Bharat Abhiyaan - Vocal for Local Initiative in food processing sector, Ministry of Food Processing Industries (MoFPI) is implementing a centrally sponsored 'PM Formalisation of Micro food processing Enterprises (PMFME) Scheme' for providing financial, technical and business support for setting up / upgradation of micro food processing enterprises in the country. Scheme primarily adopts One District One Product (ODOP) approach to reap the benefit of scale in terms of procurement of inputs, availing common services and marketing of products. It provides the framework for value chain development and alignment of support infrastructure.
 
Till 31st January 2024, 72,840 loans sanctioned for credit linked subsidy to beneficiaries located in various States/ UTs, including 1,933 in Punjab, under the scheme. The State wise details are at Annexure.
 
The challenges faced by the micro enterprises in implementation of the PMFME Scheme are discussed and resolved through regular follow up/review meetings with States/UTs, lending banks, concerned Ministries/Departments and other stakeholders. In addition, handholding support is provided to the beneficiary for project formulation, execution, access to credit, linkages to machine/equipment manufacturers, maintenance of hygiene & quality control etc.  
 
The Capacity Building component of the PMFME Scheme envisages to provide Food Processing and Entrepreneurship Training to the new and existing micro-food processing individuals taking benefits under the scheme. 2190 training sessions have been conducted till date. The details of persons trained under the scheme are as under:

Sl. No.

Type of Trainee

Numbers

1

Master Trainer (MT)

526

2

District Level Trainer (DLT)

1,058

3

District Resource Person (DRP)

1953

4

Beneficiary

63,099

 

ANNEXURE

 

State wise loans sanctioned for credit linked subsidy to beneficiaries

S. No

States and UTs

Loans Sanctioned

1

Andaman And Nicobar Islands

18

2

Andhra Pradesh

4861

3

Arunachal Pradesh

37

4

Assam

1109

5

Bihar

11245

6

Chandigarh

5

7

Chhattisgarh

506

8

Dadra And Nagar Haveli And Daman And Diu

7

9

Delhi

pib.gov.in

07 Feb, 2024 News Image Promotion of chemical free natural farming.
Government is promoting natural farming as chemical free farming since 2019-2020 through a sub-scheme namely Bharatiya Prakritik Krishi Paddhati (BPKP) under Paramparagat Krishi Vikas Yojana (PKVY). So far 4.09 lakh ha area has been sanctioned and Rs. 70.13 Crore has been released for natural farming in 8 states under BPKP across the country. An area of 1.48 lakh ha have also been sanctioned for promotion of natural farming along the Ganga Corridor. To motivate farmers to adopt natural farming and to enhance the reach of natural farming, the Government has formulated National Mission on Natural Farming (NMNF) as a separate and independent scheme by up scaling the BPKP.
 
For the benefit of farmers, Government of India is promoting Drones in the field of Agriculture which will help in infusing advanced technology, improve efficiency, enhance crop yield and reduce cost of operation.
 
Under Sub-Mission on Agricultural Mechanization (SMAM) financial assistance @100% of the cost of drone up to a maximum of Rs. 10 lakhs per drone is provided for its purchase and demonstration on the farmers’ fields by the institutes under Indian Council of Agricultural Research (ICAR), Farm Machinery Training & Testing Institutes, Krishi Vigyan Kendras (KVKs), State Agriculture Universities (SAUs), State and other Central Government Agricultural Institutions/Departments and Public Sector Undertakings (PSUs) of Government of India engaged in agricultural activities. The Farmers Producers Organizations (FPOs) are provided grants up to 75% of the cost of Kisan Drone for its demonstrations on the farmers’ fields. A contingency expenditure of Rs.6000 per hectare is provided to these implementing agencies that do not want to purchase drones but will hire drones for demonstrations from Custom Hiring Centres (CHCs), Hi-tech Hubs, Drone Manufacturers and Start-Ups. The contingent expenditure to implementing agencies that purchase drones for drone demonstrations is limited to Rs.3000 per hectare. In order to make available drone services to farmers on rental basis, financial assistance @ 40% up to a maximum of Rs. 4.00 lakhs are provided for purchase of drones by CHCs under Cooperative Society of Farmers, FPOs and Rural entrepreneurs. Agriculture graduates establishing CHCs are eligible to receive financial assistance @ 50% of the cost of drone up to a maximum of Rs.5.00 lakhs per drone. For purchase of drones on individual ownership basis, the Small and Marginal, Scheduled Caste/Scheduled Tribe, Women and North Eastern State farmers are provided financial assistance @ 50% of the cost up to a maximum of Rs. 5.00 lakhs and other farmers @ 40% up to a maximum of Rs. 4.00 lakhs.
 
Under SMAM, funds amounting to Rs. 141.39 crores have been released towards Kisan Drone promotion which includes Rs. 52.50 crores released to the ICAR for purchase of Kisan Drones and organizing their demonstrations on the farmers’ fields through 100 KVKs, 75 ICAR institutions and 25 SAUs. The funds have been provided to the State Governments for supply of 461 Kisan Drone to farmers on subsidy and establishment of 1585 Kisan Drone CHCs to provide drone services to the farmers. 263 Agri-Drones have been procured by 193 Institutions of ICAR across the country. 260 personnel from these institutions have undergone Drone Pilot Training. With a view to create awareness on the advantages of drone in agriculture, these Institutions have carried out 15,075 drone demonstrations on nutrients, fertilizers, chemicals (insect & pest) applications following Standard Operating Procedures (SOPs) covering 16,471 hectare area.
 
The Government has also recently approved Central Sector Scheme "NAMO DRONE DIDI” for providing drones to the Women Self Help Groups (SHGs) with an outlay of Rs. 1261 Crores. The scheme aims to provide drones to 15000 selected Women SHGs for providing rental services to farmers for agriculture purpose (application of fertilizers and pesticides). Of the total 15,000 drones, first 500 drones will be procured by Lead Fertilizer Companies (LFCs) in 2023-24, using their internal resources for distribution to selected SHGs. Remaining 14500 drones will be provided under this scheme during 2024-25 and 2025-26 and Central Financial Assistance @ 80% of the cost of drone and accessories/ancillary charges up to a maximum of Rs. 8.0 lakhs will be provided to the women SHGs for purchase of drones. The Cluster Level Federations (CLFs) of SHGs may raise the balance amount (total cost of procurement minus subsidy) as loan under National Agriculture Infra Financing Facility (AIF). Interest subvention @ 3% on the AIF loan will be provided to the CLFs. The scheme will help in infusing advance technology in agriculture for improved efficiency, enhanced crop yield and reduced cost of operation for the benefit of farmers. The scheme will also provide sustainable business and livelihood support to SHGs and they would be able to earn additional income of at least Rs. 1.0 lakhs per annum.
 
As informed by National Bank for Agriculture and Rural Development (NABARD) they have initiated JIVA programme under Watershed & Tribal Development Funds to promote an agro-ecological approach through chemical-free Natural Farming in the completed Watershed & Tribal Development Projects on a pilot basis. Incidentally, the NGOs who have implemented Watershed & Tribal Development Projects are acting as implementing agencies of JIVA agro-ecology programme (Natural Farming).
 
This information was given by the Union Minister of Agriculture and Farmers’ Welfare, Shri Arjun Munda in a written reply in Lok Sabha today.

 Source:  pib.gov.in
07 Feb, 2024 News Image Plans to make FSSAI single regulator to regulate food industry and trade.
The Union Health Ministry has disclosed a plan to make FSSAI a single regulator to regulate the food industry and trade in India.
 
In a meeting chaired by the Union Health Secretary here, several crucial amendments to streamline food safety and standards regulations were also approved.
 
These amendments related to both horizontal and vertical aspects of the FSS Act that will replace the Bureau of Indian Standards (BIS) or AGMARK certification for food products.
 
'After the amendments are finalised, food businesses would not have to go to different authorities for mandatory certification with only FSSAI certification being made mandatory for food products,' reads a statement by the Union Health Ministry.
 
Other approvals include standards of Mead (Honey wine) and Alcoholic Ready-to-drink (RTD) beverages, revision of standards of milk fat products, standards for Haleem and so on.
 
The food authority also approved a first-of-its-kind and comprehensive manuals of methods of analysis for ensuring regulatory compliance of the food products.
 
The amendments across different Food Safety and Standards Regulations were approved in the meeting for draft notification to invite stakeholder comments before finalisation.
 
These regulations included the revision of standards of Milk Fat Products, as part of which the fatty acid requirements for ghee will also be applicable for other milk fat products.
 
The food authority is also going to set standards for ‘Haleem’ as part of standards for meat products. Haleem is a dish made of meat, pulses, grains and other ingredients, which currently does not have any set standards.
 
The meeting was also attended by FSSAI officials.

 Source:  fnbnews.com
07 Feb, 2024 News Image Chickpea output will likely be higher on expansion in area this year.
India’s output of Kabuli chana (white chickpea) will likely increase this year, as farmers, riding on higher prices, have expanded the acreage across key growing regions in Madhya Pradesh and Maharashtra.
 
While the acreages have increased, weather conditions over the next few weeks will decide the crop size. Also, exports ahead of next month’s Ramadan have been good, trade sources said. 'The cultivation of Kabuli chana has seen a significant increase in all the major growing areas of the country this year. States such as Madhya Pradesh, Gujarat, Maharashtra and Andhra Pradesh have witnessed increase in areas. Farmers have responded to higher prices, which are at a record high hovering around ?150 per kg, by increasing their sowing for this year’s crop. Additionally, the demand for Kabuli chickpeas, both domestically and internationally, was remarkable last year, further contributing to the rise in prices,' said Harsha Rai, Vice-president, Sales at Mayur Global Corporation, an international agro commodities brokerage house.
 
Monsoon impact
While the crop area and the condition looked good, the weather over the next few weeks holds the key for the crop size. ' Central India, known for large scale cultivation of chickpeas, has felt the impact of the deficit monsoon rains. While December was warmer than usual, January brought colder temperatures. Looking ahead, it would be interesting to observe what kind of yields will be seen from the Central India crop as the IMD has forecasted a hotter February ahead for the region.' Rai said.
 
Farmers have expanded the area under Kabuli chana as the prices were good for most part of the last year ruling above ?100 per kg, said Suresh Agarwal, President, All India Dal Mills Association. As a result, the production will be more this year, he said.
 
Bimal Kothari, chairman of India Pulses and Grains Association, said the Kabuli chana crop will be bigger this year on increase in area. While there’s no official data on the production of Kabuli chana in the country, trade sources estimate it to be around 3.5 lakh tonnes. Production numbers of Kabuli chickpea are clubbed with crop estimates of chana by the Government. India exports and imports Kabuli chana. As per the DGCIS data, India exported 68,654 tonnes of Kabuli chana during April-November valued at ?816.72 crore. During 2022-23, exports were 1.21 lakh tonnes, valued at ?1,200 crore. India exports Kabuli chana to countries such as Turkey, UAE and Sri Lanka among others. During April-October of the current fiscal, imports of Kabuli chickpea were 72,060 tonnes valued at ?518.72 crore.
 
Opportunity for old stocks
The early start to Ramadan this year, is keeping the prices firm this year. 'Normally during the months of December, January, and February, kabuli chana prices witness a decline as the new crop harvest begins in mid-February. This period is characterised by increased stock liquidity from the previous year. However, this year was an exception to this trend, and prices did not decrease during these months as expected. The early start of Ramadan this year, beginning on March 10, has had a significant impact on the market for old crop stocks. This has provided a unique opportunity for old crop stocks to meet the demands of consumers,' Rai said.
 
Also, the new crop, which is in pod formation stages in many places, is expected from mid-February in Maharashtra and March in central India. 'With the export demand for the months of February and March already showing promising results, it will be interesting to watch how the market evolves after April, when the Mexican crop also hits the market,' Rai said.
 

 Source:  thehindubusinessline.com
07 Feb, 2024 News Image Inter-ministerial panel on Red Sea crisis to meet tomorrow.
The high-level inter-ministerial group on the Red Sea crisis, chaired by commerce secretary Sunil Barthwal, will meet Thursday amid shipment delays and increase in cargo transport costs. This is the second meeting of the group that has officials from ministries of external affairs, defence, shipping and finance.
 
'As of now, there is no volume impact of the Red Sea crisis on India's exports though transportation costs have risen. There will be discussions on the steps being taken to help exporters,' said an official.
 
The first meeting of the group was held on January 17. The Centre wants to ensure adequate credit flow to exporters as the disruption in the Red Sea region could impact over 80% of the trade with Europe.
 
'We will have to see how long-term demand is hit and how our competitor countries are being impacted,' the official added.
 
Exports from India are continuing as the sailings of ships carrying containers from the country have been diverted via the Cape of Good Hope route. Longer routes are resulting in an increase in shipping costs.

 Source:  economictimes.indiatimes.com
07 Feb, 2024 News Image Identification of districts under PMFMES scheme.
Ministry of Food Processing Industries (MoFPI) has approved One District One Product (ODOP) for 713 districts of 35 States and UTs under centrally sponsored 'PM Formalisation of Micro food processing Enterprises (PMFME) Scheme' on the recommendations of respective States / UTs and in consultation with the Ministry of Agriculture & Farmers’ Welfare. The detailed list of ODOP for 713 districts is at Annexure-I.
 
As part of Atmanirbhar Bharat Abhiyan, Ministry of Food Processing Industries (MoFPI) is implementing a centrally sponsored 'PM Formalisation of Micro food processing Enterprises (PMFME) Scheme' for providing financial, technical and business support for setting up / upgradation of micro food processing enterprises in the country. The PMFME Scheme primarily adopts One District One Product (ODOP) approach to reap the benefit of scale in terms of procurement of inputs, availing common services and marketing of products. It provides the framework for value chain development and alignment of support infrastructure.
 
 Till date, Rs 1289.15 crores have been allocated/released to 36 States/UTs as per the details given at Annexure-II.

ANNEXURE-I

 

State / district-wise details of ODOP approved in the country

  1. ANDAMAN & NICOBAR ISLAND

Sl. No.

District

ODOP

1

South Andaman

Marine Fish Products

2

Nicobar

Coconut based Products

3

Middle & North Andaman

Coconut based Products

TOTAL

 

3

 

  1. ANDHRA PRADESH

Sl. No.

District

ODOP

1

Ananthapur

Groundnut Products

2

Chittoor

Tomato

3

East Godavari

Coconut Products

4

Guntur

Spices (Chilli and Turmeric)

5

Kadapa

Banana

6

Krishna

Mango

7

Kurnool

Onion

pib.gov.in

07 Feb, 2024 News Image Series of initiatives taken to boost investments, trade, promote eco activity: Piyush Goyal.
The government has taken various measures like production-linked incentive schemes and simplified policies to boost investments, trade and promote economic activities in the country, Commerce and Industry Minister Piyush Goyal said on Tuesday. India continues to open its economy to global investors by raising FDI limits, removing regulatory barriers, developing infrastructure and improving the business environment, the minister added.
 
To give impetus to foreign direct investment (FDI) inflows, the government has put in place an investor-friendly policy, where most of the sectors are open for 100 per cent FDI under the automatic route, he noted.
 
'The government initiatives are significant to increase investments and promote economic growth besides converting the disruption caused by COVID-19 into an opportunity for growth and investment,' Goyal said.
 
To ensure that India remains an attractive and investor-friendly destination, the government reviews FDI policy on an ongoing basis and makes changes from time to time after having intensive consultations with stakeholders.
 
The policy provisions have been progressively liberalised and simplified across various sectors like asset reconstruction companies, broadcasting, pharma, single-brand retail trading, power exchanges, e-commerce activities, and coal mining.
 
In order to further improve the ease of doing business ecosystem in the country, he said, the government coordinates with ministries, departments and states for initiatives to reduce compliance burden on citizen and business activities.
 
In order to have a continuous evaluation framework, the government started a reform exercise - Business Reforms Action Plan for the assessment of the business environment in the states and UTs.
 
The other initiatives include PLI schemes for 14 sectors, a national infrastructure pipeline, a national monetisation pipeline, India's industrial land bank, a national single window system, and an industrial park rating system.
 
Talking about trade, the minister said the government is encouraging exporters to participate in the exhibitions and providing grants in aid under the market access initiative.
 
The 14 PLI schemes 'have the potential of significantly boosting production, employment, increase manufacturing activities and contribute to economic growth over the next five years or so, thereby having the potential to change the manufacturing ecosystem in the country,' Goyal told PTI.
 
The government in 2021 announced PLI schemes for 14 sectors like telecommunication, white goods, textiles, manufacturing of medical devices, automobiles, speciality steel, food products, high-efficiency solar PV modules, advanced chemistry cell battery, drones, and pharma with an outlay of Rs 1.97 lakh crore.
 

 Source:  economictimes.indiatimes.com
07 Feb, 2024 News Image Perishable items' prices within tolerance band: FM Nirmala Sitharaman.
Finance minister Nirmala Sitharaman on Tuesday said prices of perishable commodities are coming down and are within the 'tolerance band' now on the back of a raft of steps taken by the government, including imports of pulses and supplies of essential items to people at concessional rates.
 
Responding to questions in the Rajya Sabha, the minister said the government is well aware of the difficulties posed by the shortage of perishable goods that are not grown in India. Listing out some of the steps, the minister said the government imported 879,000 tonnes of tur dal and 1.51 million tonnes of masoor dal in 2023, in addition to other types of pulses, to bolster domestic supplies and tide over a shortage.
 
Retail inflation hit a four-month high of 5.69% in December, with food inflation touching 9.53%. Vegetable inflation remained as high as 27.64% in December, while that in pulses was 20.73%, driving up the overall food inflation.
 
'Since we don't grow enough pulses in the country and due to a shortfall in supply, prices of pulses normally keep fluctuating, for which, by analysing the crop estimates, we start tying up for imports,' Sitharaman said.
 
Through the 'Bharat Dal' initiative, the government is also ensuring supplies of pulses at concessional rates, she said. The chana dal, for instance, is made available at Rs.60 per kg for one kg packs and Rs.55 per kg for 30 kg packs, she said. About 297,000 tonnes of chana was sold at cheaper rates until January 30 (this fiscal).
 
Similarly, the government has released 396,000 tonnes of onions at a concessional rate of Rs.25 per kg in the market. Import restrictions have also been lifted so that prices of onions can be kept within a reasonable limit, the minister said.

 Source:  economictimes.indiatimes.com