PJ ACAD @Pracin Jain Academy Jan 31, 2021, 15:30 IST
How can the income of the farmers be substantially increased by encouraging food processing?
Key challenges faced by the food processing sector are gaps in supply chain infrastructure which means inadequate primary processing, storage and distribution facilities; the insufficient connection between production and processing; seasonality of operations and low capacity utilisations; institutional gaps in the supply chain, for instance, there is dependence on APMC markets; lack of focus on quality and safety standards; and not having enough of product development and innovation. Demand from retail, demand for items immediately available to eat or cook and safe processed food, and discontinuation of overdependence on cereals are some big opportunities for this sector.
Since processed food has immense export potential together with domestic demand, encouragement to it with proper marketing, latest technology and steady flow of raw materials from the farmers meeting specific quality standards at stable prices leads to greater development of the agriculture sector. Linking agricultural production to the market by bringing together the farmers, processors and retailers would substantially increase farmers’ income.
