The food and beverage industry in India is one of the largest in the world in terms of production, consumption, export, and growth prospects. The food processing market is forecasted to grow at a CAGR of 15% and reach $535 Bn by 2025 (Source: Invest India). It encompasses a wide range of segments including dairy, fruits & vegetables, oils, poultry, meat & fisheries, beverages, and more.
The Indian government has been actively promoting the food processing sector through various initiatives including the Production Linked Incentive (PLI) Scheme, ‘Pradhan Mantri Kisan Sampada Yojana’, tax benefits u/s 35 AD of the Income Tax Act,1961 for setting up cold chain and warehousing facilities for storage of agricultural produce, and providing subsidies for setting up food processing units. These initiatives aim to attract investments, modernize infrastructure, and enhance food safety and quality standards