Abstract :
The need of today’s running is life is a instant
food and processing industries are playing
a vital role in filling the gaps of demand and
supply. The FDI in food processing industries is
having rising graph presently and the industry
growth with FDI also helps them to fetch the
international market. Government initiative
helps the food processing sector to opt the FDI
in convenient channel.
Keywords : Foreign Direct Investment, Food
Processing industries, Government role in FDI,
Market and FDI, opportunities, comparison in
US industries and Indian food companies.
Introduction
The Indian food industry is poised for huge
growth, increasing its contribution to world food
trade every year. In India, the food sector has
emerged as a high-growth and high-profit sector
due to its immense potential for value addition,
particularly within the food processing industry.
The food industry, which is currently valued
at US$ 39. 71 billion!, is expected to grow at a
Compounded Annual Growth Rate (CAGR) of
11 percent to US$ 65.4 billion by 2018. Food
and grocery account for around 31 percent of
India’s consumption basket.
Accounting for about 32 percent of the
country’s total food market, The Government of
India has been instrumental in the growth and
development of the food processing industry.
The government through the Ministry of Food
Processing Industries (MoFPI) is making all
efforts to encourage investments in the business.
It has approved proposals for joint ventures
(JV), foreign collaborations, industrial licenses,
and 100 percent export oriented units.