Final beverages & food february 2014 low res (1)

India’s Ist Fortnightly Newspaper For Beverages, Food & Allied Industries

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Vol. 6, Issue 9, February (I) 2014, Rs. 20/-

Modified mega food park scheme guidelines approved by CCEA

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he cabinet committee on economic affairs has approved modifications in the mega food park scheme guidelines of infrastructure development for food processing. The move is expected to benefit 6,000 farmers/ producers directly and about 25,000 farmers indirectly.

According to the ministry of food

processing and industries, the estimated investment in each project will be about Rs 100 crore in common facilities and will leverage an additional investment of about Rs 250 crore. The expected annual turnover of each park will be Rs 500 crore and in each project, about 30 food processing units are expected to be setup.

The infrastructure development scheme for mega food parks, the ministry said, aims at providing modern infrastructure facilities for food processing industries along the value chain from farm to market.

According to the scheme, ownership and management of the mega food park vests with a special purpose vehicle (SPV) in which organized retailers, processors and service

providers may be the equity holders or there may be an anchor investor along with its ancillaries, associated companies and other stakeholders.

The modification aims at changing the nature of the SPV and the criteria of maximum 26% equity by the state government/state government entities/co-operatives has been removed. Anchor investor in the SPV holding majority stake, with or without other promoters of the SPV, will be required to set up at least one food processing unit in the park with an investment of not less than Rs 10 crore, the ministry said. However, state government/state government entities and co-operatives applying for projects under the scheme, will not be required to form a separate SPV and set up processing units in the park. These modifications, the ministry said, are expected to trigger further investment in the food processing sector.

FPI reaches $2.15 Billion FDI in India

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he food processing industry (FPI) attracted foreign direct investment (FDI) worth $2.15 billion between during the April-October period of this fiscal and the government expects higher inflows to improve further this fiscal, a senior government official said.

There is a significant increase in FDI in the food processing sector.

The average FDI inflow was $117 million for 11 years ending FY12 and $401 million in FY13. During the April-October period, it jumped to $2.15 billion.

“We see more investment from Fortune 500 companies in the food processing industry,” Meena said, adding that major multinationals like Nestle, PepsiCo, Coke, Kellogg’s, Heinz, Perfetti, GlaxoSmithKline, Ajinomoto, Nissin Met, Le Bon are already present and many others are in the pipeline,” Mr JP Meena, Joint Secretary, MoFPI said.

Besides domestic giants like ITC,

Dabur, Godrej, Britannia and Parle, others like Reliance, Bharti Group, Tatas, Wipro and Thapars are also entering in a big way in this field, he added.

The food processing sector is growing annually at 7.2 per cent as compared to 3.9 percent in agriculture for the last five years ending FY13, he said. It is growing at a faster rate than agriculture and investment in this sector is also increasing annually at 21.66 per cent, he said.

The government has also allocated $28 billion for infrastructure development like the mega food park scheme, integrated cold chain scheme and abattoirs modernisation scheme during the 12th Plan.

This is in addition to $18.50 billion allocated to the national mission on food processing, $3 billion to strengthen institutions and skill development, $2.9 billion for food safety as well as R&D, besides $7.5 billion for technology up-gradation in the 12th Plan.

Beverages & Food Processing Times - February - I - 2014

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Beverages & Food Processing Times - February - I - 2014

Dairy Products News

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Global Cheese Market to Hit $118 Billion by 2019

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riven by consumer demand for more nutritional cheese and increased sales from the fast-food segment, global cheese sales are expected to grow from $72.5 billion in 2012 to $118.44 billion by 2019, according to a new report from Transparency Market Research.

In terms of revenue, the global cheese market is on track to grown at a CAGR of 7.3% from 2013 to 2019.

According to the “Cheese (American, Italian, Hard, Soft, Fresh and Others) Market— Global Industry Analysis, Size, Share, Growth, Trends and Forecast, 2013 – 2019” report,

perishable nature of cheese and stringent government regulations are the major growth barriers to the market. However, product innovation provides a huge opportunity for the market players.

In 2012, the global cheese market by product type was dominated by Italian cheese that accounted for 40.5% of the overall share, followed by other types of cheese that accounted for 27.7% of the market share, respectively. Soft cheese, which contains considerable quantity of vitamin D and calcium good for keeping bones healthy is expected to grow at a CAGR of 7.2% from

Tesco recalls 4 Chocolate & Nut Ice Cream Cones over contamination concerns

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esco, a grocery and general merchandise retailer in the UK, is recalling its own-brand 4 Chocolate & Nut Ice Cream Cones over contamination of pain relief tablets, according to the UK Food Standards Agency.

The product associated with the recall is 4 x 110ml Tesco 4 Chocolate & Nut Ice Cream Cones with Best before dates: All date codes up to and including July 2014.

The retailer has issued the recall after it has found pain relief tablets within two individual cones. It will also place product recall notices in stores to notify the customers about the recall.

No other Tesco products are associated with the recall.

Consumers who have purchased the recalled product are advised not to consume and return it to the place of purchase for a full refund.

2013 to 2019. Fresh cheese, due to their nutritional qualities, unique taste and increasing health consciousness among consumers, is expected to grow at a rate of 7% from 2013 to 2019.

Europe accounted for 39% of global cheese demand in 2012, followed by North America at 33%. The report estimates that Asia Pacific will be the fastestgrowing market with an estimated

CAGR of 7.9% from 2013 to 2019.

Increasing consumer preference toward cheesy cuisine, rising disposable income and population are the major factors contributing to the growth of cheese in the region, particularly Japan, India and China.

At a regional level, the United States is the largest market for cheese followed by France. U.S. cheese sales are expected to grow

at a CAGR of 7.5% from 2013 to 2019. Increasing snacking habits of consumers and rise in more cheesy ethnic cuisines, such as Mexican and Italian are the major factors contributing to the market growth in the region. The report also notes there will large market opportunities in Brazil, Italy and Argentina between now and 2019.

Beverages & Food Processing Times - February - I - 2014

Global Breakfast Cereals Market is Expected to Reach USD 43.2 Billion Globally in 2019: Transparency Market Research

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ccording to a new market report published by Transparency Market Research “Breakfast Cereals Market - Global Industry Analysis, Size, Share, Growth, Trends and Forecast, 2013 - 2019,” the global breakfast cereals market was valued at USD 32.5 billion in 2012 and is expected to grow at a CAGR of 4.1% from 2013 to 2019, to reach an estimated value of USD 43.2 billion in 2019.

The need for convenience and busy schedules of people has been

propelling the processed food industry, which includes breakfast cereals. Developed nations already have breakfast cereals as part of their regular course of meals.

Increasing per capita income in developing countries is further giving the breakfast cereal industry a new dimension to look for.

The declining market in the U.S. is compelling the companies in this industry to increase their markets in the emerging economies. These companies have been increasing their advertising spends in the

News emerging markets in Asia pacific region to make consumers aware about the breakfast cereals and the health benefits associated with them. Companies have also developed some brands according to the regional preferences, such as inclusion of saffron and raisin flavored cereals in India.

Breakfast cereals are broadly marketed under two segments: Readyto-eat (RTE) cereals and Hot cereals. The market for RTE cereals is much bigger as compared to Hot breakfast cereals.

The RTE cereal had the larger share in the breakfast cereal market and was valued at USD 27.8 billion in 2012.

However, the Hot cereals is growing at more than double the CAGR of RTE cereals due to its increasing consumption in the Asian markets.

Geographically, North America, led by sales from the U.S., accounted for the largest share in the breakfast cereals market and was valued at USD 13.9 billion in 2012. Though China does not have a large market, but the market in the country is growing at a brisk pace, therefore showing opportunities for the companies to increase investments in this region.

Major companies operating in the market are Kellogg’s, Cereal Partners Worldwide and PepsiCo.

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India’s coconut exports double in two years

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nion Minister for Agriculture and Food Processing Sharad Pawar has said that India’s exports of coconut products had more than doubled from Rs 496 crore ($79,886,062 USD) in 2010-11 to Rs 1022 crore ($164,603,942 USD) in 2012-13.

Mr Pawar said India had the highest share of the world production of coconuts at 26.34 per cent. The country also had the highest productivity, with 10,736 nuts per hectare, he said.

He said that coconut is cultivated in 18 States and 3 union Territories of the country, with 90% of the total area under cultivation falling within the four southern States of Andhra Pradesh, Karnataka, Kerala and Tamil Nadu. These states also

account for 91% of production in India.

The Minister said the Government had accorded high priority to the development of the coconut sector. The budgetary allocation for the Coconut Development Board had significantly increased to Rs 181 crore ($29,152,881 USD) in the current year, he said.

He said difficulties in the coconut sector could be mitigated and a fair, reasonable and steady price cold be ensured by product diversification through various modern technologies. As many as 259 coconut processing units with capacity to process 61 lakh nuts per day have been set up in the country with the financial assistance of Technology Mission on Coconut, he said.

Super light Krones PET bottle wins iF packaging design award

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ightweights can be pretty impressive as well: an ultralight PET bottle from Krones was among the winners at this year’s packaging design awards in the “Beverages” category. In recognition of this achievement, the “PET lite 9.9 carbonated” is now entitled to wear the internationally prestigious iF label.

The innovative bottle is suitable for being filled with carbonated beverages, and has a capacity of 500 millilitres. It tips the scales at a mere 9.9 grams – making it 30 to 45 per cent lighter than comparable PET containers on the market.

The lightweight bottle has been developed by a design team at Krones that’s already won several awards for its innovative packaging solutions. One of the designers’ paramount priorities is to develop containers that are both supremely marketable and at the same time eco-friendly. Like the “PET lite 9.9 carbonated”, which

marries affordability to ecological awareness. Since it can be produced with minimal expenditure of energy and material, it’s a true lightweight, not least in terms of production costs and minimised environmental impact.

This is achieved, for example, by dividing up the bottle into several functional areas with different wall thicknesses. Most of the PET material is located in the upper part of the bottle, where it is held and opened. The walls in the lower section, by contrast, receive only half as much material. Nonetheless, the bottle is reassuringly stable for handling and consumers’ use, thanks to its sophisticatedly ingenious container geometry, in which the designers have left not a single square millimetre to chance.

Further significant weight savings are achieved with the special neck finish, since in contrast to other PET bottles this one does not have a screw-cap, but a tear-off ringpull closure.

The “PET lite 9.9 carbonated” is

displayed together with the other winners in the iF online exhibition.

Moreover, as from March 2014, it can be admired live as part of the iF design exhibition in Hamburg.

Ill. Krones-iF packaging design award-9.9: The innovative bottle is suitable for being filled with carbonated beverages, and has a capacity of

500 millilitres. It tips the scales at a mere 9.9 grams – making it 30 to 45 per cent lighter than comparable PET containers on the market.

Beverages & Food Processing Times - February - I - 2014

INDIA’S CHOCOLATE INDUSTRY TO CROSS ` 7,500 CR BY 2015

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rowing at a compounded annual growth rate (CAGR) of about 25 per cent, India’s chocolate industry is currently worth about `5,000 crore and is likely to cross `7,500 crore mark in the next couple of years. Globally the chocolate industry is worth over $85 billion. Besides, India’s per-capita chocolate consumption is hovering at about 100 gram and urban centres comprise 35 per cent of the chocolate consumption in the country.

Cadbury is leading the pack with about 70 per cent market share followed by Nestle, Amul, Ferrero Rocher, Toblerone and others, ASSOCHAM said in a report.

Though lower penetration levels provide large scope for expansion of chocolate industry across India but there is a lack of interest amid regional confectionary players to enter the chocolate market as firstly, it requires huge capital investment for production and brand promotion and secondly, facing established global players ruling the market is another tough task,” said ASSOCHAM secretary general D S Rawat. Demand for chocolates as a gift item has increased by almost 40 per cent with the advent of the festive season already and is likely to rise further as dry fruit prices have increased substantially by about 25-30 per cent, ASSOCHAM said.

Adulteration in traditional sweets eroding consumers’ confidence along with dry fruit prices going through the roof and other significant multiple factors like growing acceptance of chocolates amid varied Indian palates, attractive packaging, consistency in quality, growing gifting culture, rising

urban affluence amid youth with high disposable incomes and a crazy sweet tooth together with other related factors are driving the demand for chocolates,” according to a survey conducted

by ASSOCHAM to ascertain the gifting trends this festive season.

ASSOCHAM interacted with about 1,000 consumers, traditional sweet shopkeepers, kirana stores, wholesale dry fruit traders and shopkeepers during the course of past fortnight in 10 cities of Ahmadabad, Bangalore, Chandigarh, Chennai, DelhiNCR, Hyderabad, Jaipur, Kolkata, Lucknow and Mumbai. Most of the consumers said that dry fruits would be the last thing on their minds as a gifting option this festive season as its prices have already sky-rocketed and will rise further as Diwali draws closer.

Besides, majority of these also said they preferred chocolates over sweets as a gift option considering the factors like longevity, health related benefits, attractive packaging and others.

Another significant factor that is fuelling chocolate demand during festive season in India is that it can be easily ordered online and its timely delivery at the desired destination highlighted the ASSOCHAM survey.

Most of the dry fruit traders and shopkeepers said that recent rupee depreciation against major currencies had lead to an escalation of about 10-15 per cent in wholesale markets and the retail shoppers would have to cough up about 20-25 per cent more money.

Chocolate confectionary makers have also increased prices and reduced pack sizes owing to sky-rocketing input costs as prices for major ingredients like cocoa, milk and sugar have soared in both domestic/global markets and this will only lead to consumers tightening their purse strings further.

Chocolate News

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Beverages & Food Processing Times - February - I - 2014

Technology News

IIP Delhi inaugurates new academic block and food packaging laboratory

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new academic block and food packaging laboratory was inaugurated at Indian Institute of Packaging (IIP) Delhi Centre on 29 January 2014.

EM Sudarsana Natchiappan, Minister of State for Commerce & Industry, Government of India and chief guest for the ceremony, said, “Government of India

has made a target to increase the growth of the processed food sector from 7% to 20% by 2020. Since packaging and food processing industries are complementary to each other, it had become necessary to set up a laboratory which would support the testing of the same. It is quite interesting to note that there is no exclusive laboratory for the

testing of packaged foods.”

“India is an agriculture-based economy; international agribased trade suffers because of lack of packaging expertise.

India is ranked second with respect to the production of food grains, third in milk production, fourth in the production of fruits and vegetables and fifth in the marine foods including inland fishes. Thus, packaging is very important for the country,” Natchiappan further added.

Despite having such a large raw material base in the country, the international trade of India is only 1.3%, which is very low as compared to the neighbouring countries. Ministry of Food Processing Industries has also implemented its National Food Processing Mission. As on date, only 2% of fruits and vegetables and 15% of fresh milk are processed. As a result, the average growth of processed food sector is only 7%.

The Indian Institute of Packaging, being an autonomous body in the field of packaging technology and working under the Ministry of Commerce and Industry, GoI, has therefore taken an initiative to expand the infrastructural facilities of its Delhi centre which is located at Patparganj by way of setting up an exclusive food package testing laboratory under the current 12th Five Year Plan.

NC Saha, director IIP, said, “Demand of qualified packaging professionals is increasing dayby-day because of the growth of packaging industry. The Institute also offers a two-year post graduate diploma course in packaging, which was started in Delhi in the year 2000 with 15 students. However, IIP plans to increase the total seats to 100. This has also created requirement of infrastructural facilities and thus the Institute has also constructed an exclusive academic block to accommodate more number of PG students.”

Saha also added that IIP will now modernise the Vaishnodevi prasad packaging process. Pilot experiments had been done in 2004; but the setting up of an exclusive food package testing laboratory under the current 12th Five Year Plan will now revive

Bühler extends its presence in China with a turnkey project at Hangzhou Wahaha Group for processing rice and beans Leading Chinese producer trusts Bühler expertise to improve quality and reduce costs with the installation of advanced cleaning and grading lines

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he Bühler Group, a global leader in rice and pulses processing and optical sorting solutions, has announced a further strengthening of its commitment to excellence in Chinese rice and bean processing with the completion of a turnkey installation at the Hangzhou Wahaha Group’s plant in Haining. Dedicated to the production of historic Chinese eight treasure porridge under the Wahaha brand, the new Bühler cleaning and grading plant has allowed Hangzhou Wahaha, one of China’s largest and most prestigious food and beverage manufacturers, to make dramatic improvements to the quality of its end product and reduce the cost of its eight treasure porridge operations.

Dating back more than 2200 years, to the Han dynasty, when it was consumed on the eighth day of the 12th month in the Chinese lunar calendar, eight treasure porridge is now a popular favourite in China and consumed every day as a convenient, cost effective and nutritious ‘fast food’. It

is made with various ingredients, including red beans, cranberry beans, myotonin (Chinese barley) and oats, as well as sticky rice and black glutinous rice to create a rich porridge that can be simply opened and consumed.

With such a frequently consumed and well known product, derived from a wide variety of different raw materials, coupled with the rigours imposed by an increasingly discerning consumer in China, Hangzhou Wahaha’s mission to produce the finest porridge, reflecting its high standards, had been severely challenged in

recent years. In order to build on its reputation for quality and drawing on its knowledge of Bühler’s expertise in tailor-made engineered solutions, the company trusted Bühler to help automate its operations, create a more hygienic working environment and achieve the high quality production of eight treasure porridge that its customers were demanding.

Replacing the existing, largely manual cleaning and sorting process, the Bühler installation involves two complete, compact and advanced lines, each of which can clean and grade the

various raw materials.

Currently, one line is dedicated to rice and the other to beans.

Each line incorporates Bühler’s MTSD De-stoners, MTRC Vibrosifters, metal detection equipment and SORTEX Z+ sorting machines.

Incoming product is mechanically cleaned to remove impurities that are larger and smaller than the product. Then stones and metals are targeted for removal, as they are passed automatically to de-stoners and magnetic metal detectors.

Reinforcing the drive for safety and quality, the produce is then fed through Bühler‘s SORTEX optical sorters, which can identify and remove product defects as well as foreign materials. The sorters effectively eliminate contaminants such as glass, stones, wood, sticks and soil blocks, as well as deformed or discoloured beans, and discoloured or unwanted varieties of rice., Each machine in Hangzhou Wahaha’s compact cleaning

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the project.

Established in 1996, Indian Institute of Packaging is an apex body of the packaging industries in India and working with the active support of packaging and allied industries and ministry of Commerce & Industry, Government of India.

Headquartered in Mumbai, the Institute opened its first branch offices in Chennai, Kolkata, the northern regional centre of the institute was set up in Delhi and Hyderabad. In 2013, Government of Karnataka allotted a land of four-acres, to set up a branch at Bengaluru. An institute has also been proposed for Guwahati, Assam.

The institute is closely linked with International organisations such as World Packaging Organization (WPO) and Asian Packaging Federation (APF). The services are recognized by the UNIDO (United Nations Industrial Development Organization), ITC (International Trade Centre), The Commonwealth Fund for Technical Cooperation (CFTC) and the European Economic Community (EEC).

IIP laboratories at Mumbai are NABL Accredited and recognized by Bureau of Indian Standards.

and sorting solution is fitted with an aspiration system that extracts any dust or dirt particles, to create a hygienic working environment that also reduces the risk of fungal growth. By automating the entire process and creating a closed system, human intervention for checking or adjustments is minimised.

Bühler has removed the chance for cross contamination and boosted Hangzhou Wahaha’s throughput significantly.

“Our investment in Bühler’s advanced technology and custom-designed solutions has surpassed our expectations.

It has drastically reduced our customer complaints about foreign body contamination, which are expensive to handle in terms of both customer service and reputation; reduced our operating costs dramatically; and given us consistent quality in production,” said a spokesperson from Hangzhou Wahaha. “We trusted the Bühler team to deliver and the resulting solution fits our requirements exactly. We look forward to working with Bühler on future projects.”

Bühler’s installation of this successful turnkey solution for Hangzhou Wahaha substantially reinforces the company’s leading position and influence in delivering innovative, customised technology projects in China and underpins its reputation for technology expertise and quality.

Beverages & Food Processing Times - February - I - 2014

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Nestlé launches environmental friendly ice cream freezers

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wiss food giant Nestlé is launching new environmentally efficient ice cream freezers, developed using natural refrigerants across Europe.

The move is part of Nestlé’s commitment to progressively phase out the use of high global warming potential refrigerants, such as hydrofluorocarbons (HFC).

It also allows the company to step towards meeting the Consumer Goods Forum Resolution on Refrigeration that encourages businesses to take actions to phase out some HFC refrigerants from 2015.

Nestlé made its commitment to purchase the commercial horizontal ice cream chest

freezers across Europe that use only natural refrigerants.

Natural refrigerant substances occur naturally like carbon dioxide, ammonia, water or air and hydrocarbons, like propane and iso-butane. These do not harm the ozone layer and have no or negligible global warming effects.

The new freezers help reduce energy consumption by more than a third over the existing systems.

Nestlé has already introduced 18,000 natural refrigerant hydrocarbon freezers across the world.

In addition, it replaced synthetic refrigerants with natural alternatives in more than 92% of its industrial refrigeration systems, with an investment of CHF240m.

Denali Flavors unveils new ice cream products

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enali Flavors, a USbased Moose Tracks ice cream flavor maker, has unveiled four new ice cream products based on its Moose Tracks and

Caramel Caribou flavors.

The new range includes Original Moose Tracks Ice Cream Sandwiches, Original Moose Tracks Ice Cream Bars, Triple Chocolate Moose Tracks Ice Cream Bars and Caramel Caribou Ice Cream Bars. The sandwiches are available in a pack of four, while the bars are sold in package of three.

Original Moose Tracks Ice Cream Sandwiches feature vanilla ice cream, Moose Tracks fudge and chocolaty peanut butter flakes between two chocolate wafers, Original Moose Tracks Ice Cream Bars are filled with vanilla ice cream, Moose Tracks fudge and chocolaty peanut butter flakes, covered in Moose Tracks fudge coating.

The Triple Chocolate Moose Tracks Ice Cream Bars feature chocolate ice cream with Moose Tracks fudge and chunks covered with Moose Tracks fudge coating, while the Caramel Caribou Ice Cream Bars have toffee-flavored ice cream with Denali caramel and chocolaty flakes, covered in milk chocolate coating.

Currently sold at Meijer and other select retailers, the Moose Tracks and Caramel Caribou ice cream bars and sandwiches will be available across the country in the next month for a retail price of up to $3.99 per package.

Scotsburn to acquire Canadian Ice Cream producer Les Aliments

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cotsburn Co-operative Services, a Canada-based dairy product manufacturer, has entered into an agreement to acquire Les Aliments Lebel Foods.

Les Aliments Lebel is a family-run company that offers a wide range of frozen dessert products such as ice cream, frozen yogurt and frozen treats.

Following completion in March, this acquisition will enable the company to grow as a producer and supplier of ice cream products across the country, the company claims.

As per the agreed terms, Les Aliments Lebel Foods president Gaetan Lebel will continue to manage operations for Scotsburn at the plant in Lachute. The Lachute currently employs around 160 people.

The financial terms of the transaction have not been disclosed.

In a separate transaction, Saputo has agreed to purchase Scotsburn’s milk business for around $61m.

Scotsburn Co-operative Services manufactures and distributes dairy and creamery products in Canada and internationally. Its products include fluid milk, frozen desserts, cultured products, butter, and fruit and squirt drinks, and spring water, as well as ice creams, frozen yogurts, sherbets and novelties.

Indian Agro Food Product Exports Rise

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he Indian agricultural food products have seen a dramatic rise in exports over the last two years – rising by 55 per cent two years ago and 13 per cent last year, writes Chris Harris.

Last year’s figures from the Ministry of Food Processing show that wheat and rice products led the way.

In 2011-12 wheat exports rose to more than $202 million and then

soared to more than $1.9 billion – a growth of 857.2 per cent.

However the export sales of wheat were just 5.36 per cent of the total agrifoods’ export market.

Close behind the rise in exports of wheat were the rises in export sales of basmati and other rice products.

Basmati rice exports rose by 29 per cent two years ago and then last year by 10.7 per cent to reach $3.56 billion, which other rice

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Nestlé weighs sale of French frozen food unit Davigel

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wiss food giant Nestlé is considering plans to sell its French frozen foods business Davigel in a deal that could fetch the company about €300m.

The company is close appoint a bank to advise on the possible sale, reported Reuters citing sources familiar with the matter.

The proposed plans are part of Nestlé efforts to trim its sprawling portfolio.

The sources stated that potential buyers are likely to include food service firms such as Brake Brothers, Booker Group and Sodexho as well as private equity firms.

Bain & Co and Clayton, Dubilier & Rice could be the possible buyers as they have previously invested in food service.

Nestle has not yet officially appointed a bank to manage the possible sale of Davigel; however, in the past it worked closely with Credit Suisse and is likely to appoint that bank for this deal.

Davigel supplies frozen and chilled meals and ice cream to restaurants and hospitals. In 2012, it reported EBITDA of around €35m.

sales rose by 53.6 per cent last year to reach $2.65 billion.

Production of food grains during 2012-13 was around 255.36 million tonnes compared to 259.29 million tonnes in 2011-12.

Meat and meat preparations, largely bolstered by the sales of buffalo beef, have risen by 48.2 per cent two years ago followed by a 12.7 per cent rise last year to £3.3 billion and taking 9.13 per cent of the total export market.

Poultry product sales also saw a sharp rise in 2011-12, going up by 28.7 per cent followed by a 5.7 per cent rise last year to $84.79 million.

Two years ago, export sales of dairy products took a severe hit, dropping by 31.3 per cent.

However, over the last year they rose sharply by 153.4 per cent to reach $326 million.

Fish and marine product exports rose sharply two years ago and remained fairly static last year according to the official figures with sales reaching nearly $3.5 billion.

Overall, agrifood exports for India were worth more than $36 billion and have been showing continual growth over the last three years with rises of 38 per cent three years ago, more than 55 per cent two years ago and 12 per cent last year.

Beverages & Food Processing Times - February - I - 2014

Beverages News

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Indian Beverage industry to grow at 16.519%: report

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onsumption of non-alcoholic beverages is expected to increase by 16.5-19% over the next three years as more people are trading up to packaged drinks, according to a report by the Indian Council for Research on International Economic Relations (ICRIER) and the Indian Beverage Association (IBA) released.

Corporate manufacturers of non-alcoholic beverages are expected to grow at an annual rate of 16.5% and non-corporate manufacturers at 19%, according to the report titled Unleashing the Potential of the Non-alcoholic Beverage Sector.

The estimates are based on an assumed gross domestic product growth of 7%, which is much higher than the 5% growth several economists are forecasting.

India’s beverage market is largely unorganized, with nearly 75% of the demand serviced by companies in the unorganized sector. But in the past 18 months, the world’s largest beverage makers Coca-Cola Co. and PepsiCo Inc. invested heavily towards building capacity and developing bottling infrastructure in the country over the next 7-8 years, to meet the growing demand for packaged beverages.

The ICRIER-IBA report said that with the rise in incomes India’s non-alcoholic beverage sector has evolved both in terms of product variety and the number of companies in the market.

According to another report by researcher Business Monitor International, the Indian market of non-alcoholic beverage market comprising carbonated drinks, juices, bottled water, ready-to-drink tea and coffee, and sports drinks is expected to touch $5.18 billion by 2015.

S.R. Goenka, president, IBA, said India’s non-alcoholic beverage sector holds several advantages in terms of its large consumer base, abundant supply of raw material and a pool of low-cost, skilled labour.

“The sector has seen double digit growth postliberalisation, and is currently contributing over 1% to India’s GDP. With industry leaders such as Coca-Cola and PepsiCo announcing significant investment plans for India, there is a clear indication that the sector offers significant potential for growth in the coming years,” he said in a press release.

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Vol. 6, Issue 9, February (I) 2014, Rs. 20/-

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Goldman Sachs, Mitsui to invest Rs.315 crore in Global Beverages and Foods

ood processing sector is among the top ten sectors getting FDI equity.

FDI up to 100 per cent equity is permitted under the automatic route in food and infrastructure like food parks and cold chains. There are many areas for investment in this sector which include mega food parks, agri-infrastructure, supply chain aggregation, logistics and cold chain infrastructure, fruit and vegetable products, animal products, meat and dairy, fisheries and seafood cereals, consumer foods/ready to eat foods, wine and beer, machinery/packaging.

Ministry of Food Processing Industries had taken many steps to give impetus to this sector which included virtual de-licensing of the sector, allowing 100% FDI, inclusion in the priority sector for lending, several duty and tax reliefs, financial assistance for infrastructure building, setting up of food processing units etc. In case of export-oriented units, foreign investment was permitted even in case of items reserved for small scale sector.

Sensing enormous unexploited potential, foreign players have been increasingly showing their interest to be a part of this rapidly rising sector.

And today FDI sets record of investment in the food processing industry of India. Can you imagine multinational food processing companies have invested $2.14 billion in India in 2013 between April and October, the highest in over a decade and accounting for about 17% of the overall foreign direct investment (FDI) in the country in those six months.

Foreign investment in food processing companies in India in all of 201213 was $401 million, and the average FDI in the sector in the 11 years to March 2012 was $117 million.

Overall, FDI in India declined by 15% year-on-years to $12.6 billion in the first six months of this fiscal year, according to the department of industrial policy and promotion. Also India’s economic growth slowed to decade-low of 5% in 2012-13 and averaged 4.6% in the first half of this fiscal year. The consumer packaged industry was hugely affected, its volume growth contracting for the first time in the September quarter.

FMCG (fast moving consumer goods) consumption has contracted by 0.5% in third quarter of the calendar year 2013, over the same quarter in 2012. Though there was a growth of 6% in value terms, all of it was driven by unit value increases, But fortunately this did not deter multinational food companies from making investments in India. In the past six months, Hindustan Unilever Ltd, PepsiCo India Holdings Pvt. Ltd, Cadbury India and Nestle India Ltd have announced significant investments in the country. In November, PepsiCo Inc.’s chief executive officer Indra Nooyi said the US food and beverage company will invest Rs.33,000 crore ($5.5 billion) by 2020 to more than double production capacity and develop infrastructure in India.

Likewise, in August, 2013 Cadbury India, part of Mondelēz International Inc., announced plans to invest more than Rs.1,000 crore in phase one of the company’s largest manufacturing plant in Asia Pacific to be located in Sri City, Andhra Pradesh.

More investment from Fortune 500 companies in the food processing industry is expected. Major multinationals like Nestle, PepsiCo, Coke, Kellogg’s, Heinz, Perfetti, GlaxoSmithKline, Ajinomoto, Nissin Met, and Le Bon are already present and many others are in the pipeline. Besides domestic giants like ITC, Dabur, Godrej, Britannia and Parle, others like Reliance, Bharti Group, Tata’s, Wipro and Thapars are also entering the field.

The food processing sector is growing a faster rate than agriculture. It is growing annually at 7.2 per cent as compared to 3.9 percent in agriculture for the last five years ending FY13. Investment in this sector is also increasing annually at 21.66 per cent.

The government has also allocated $28 billion for infrastructure development like the mega food park scheme, integrated cold chain scheme and abattoirs modernisation scheme during the 12th Plan.

This is in addition to $18.50 billion allocated to the national mission on food processing, $3 billion to strengthen institutions and skill development, $2.9 billion for food safety as well as R&D, besides $7.5 billion for technology up gradation in the 12th Plan.

It attracted around INR45.19 billion FDI during 1991- 2005 which is 3.3% of total FDI inflow in India, and ranked as the 7th sector attracting largest FDI.

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oldman Sachs, Mitsui Global Investment (MGI) and some others will invest Rs315 crore to buy stakes in Global Beverages and Foods Pvt. Ltd, a company founded by entrepreneur A. Mahendran.

Mahendran had resigned as managing director of Godrej Consumer Products Ltd in July to start his own venture.

GBFPL is looking to build a portfolio of consumer brands in juices, confectionaries and snacks as consumption spending in India rises, said Mahendran. He declined to disclose the shareholding pattern in the new entity because of confidentiality agreements with investors.

“The snacks and non-carbonated drinks space has high growth potential as they are underpenetrated,” said Gaurav Gupta, senior director at Deloitte Touche Tohmatsu India Pvt. Ltd. Known for building consumer brands, including Good Knight and Hit, the 58-year-old Mahendran joined Godrej Consumer after it acquired Transelektra Domestic Products Ltd in 1994.

“We will be launching our brands in the next 3-4 months and are also looking at inorganic growth opportunities,” said Mahendran.

Global Beverages plans to introduce new brands at a time when consumers have cut back on discretionary spending because of high inflation and the overall tough macro-economic environment.

“This is the right time to enter the market as there is a slowdown and large investments will help fuel the sector growth,” said Mahendran.

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PepsiCo India goes in for more organizational changes

n continuation with the organizational restructuring announced last month, beverage and foods major PepsiCo India is making further changes to its core marketing team as it fights intense competition from rival Coca-Cola in the local market.

Homi Battiwalla, currently senior director of marketing, colas, juices and juice drinks at the company, is moving on to take up a global role wherein he will be designated as senior director, beverage marketing, for the entire Middle East & Africa (MEA) region.

Battiwalla, a PepsiCo veteran of 17 years, will report to Carla Hassan, chief marketing offer of PepsiCo, MEA region.

He was instrumental in driving brand communication for PepsiCo along with leading the cola major’s Indian Premier League strategy.

Ruchira Jaitly will now lead the entire cola category as senior director of social

beverages. She is currently the category director for flavours, responsible for brands including Mountain Dew, 7UP, Nimbooz and Mirinda.

These changes are a part of the ‘power of one’ structure introduced by PepsiCo India after D Shivakumar took over as chairman and CEO last year.

The new structure has combined the food and beverage verticals, which earlier had independent heads across various functions like marketing, operations, HR, finance, legal, corporate affairs and R&D. Post the restructuring, the India beverage and food marketing teams have merged.

The combined entity is now overseen by Deepika Warrier, earlier the marketing head for PepsiCo India beverages. Vidur Vyas, senior director, foods marketing, will now report to Warrier. These changes are in line with the new India region structure.

The transition will start immediately and the new organization will be fully in place

by March 1 this year.

Beverages & Food Processing Times - February - I - 2014

News

Work of food park at Paithan begins

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he work of the state’s first mega food park near Paithan, about 30km from

Aurangabad, has started and within six months, plots within the park will be allocated to set

up processing plants.

The park, which is coming up on 110 acres of land, has an investment of Rs 250 crore.

Aurangabad is among the 15 cities in the country chosen by the central government in 2011 to establish mega food parks. The project will create a network of around 5,000 farmers from 10 centres to produce crops in about 100 villages in the 100-km periphery of Paithan.

It has a cluster-based approach, which will eventually lead to annual turnover of about Rs 450 -Rs 500 crores and offer direct employment to 2,500 people.

Nandkishore Kagliwal, chief promoter of the mega food park, said that the capital outlay of the project would be Rs 125 crore, of which Rs 30 crore would be raised through

AMITABH BACHCHAN ANNOUNCED AS THE CELEBRITY FACE OF COMPLAN

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ndian Cinema’s legendary icon Mr. Amitabh Bachchan has added yet another feather to his cap with his association with one of India’s leading brands and nutrition experts in the health drink category, Complan. Mr. Bachchan will be seen as the ‘Taakat Ka Bhoot’ (‘spirit of strength’) in Complan’s new TV commercial placing importance on “strength”.

Renowned for its superior nutrition Complan, one of India’s favorite health drinks, has been given a complete make-over to highlight its numerous health benefits through its superior nutritional properties. The new, strategic USP focuses on strength to help children build stronger bones and muscles.

Speaking about Mr. Bachchan as the undisputed choice for the endorsement, Mrs. Seema Modi – Managing Director, Heinz India Pvt Ltd said “Celebrating its Golden Jubilee this year, Complan has signed Mr. Bachchan as one of the three celebrity brand ambassadors to unveil its new packaging and branding. It was an unanimous choice by our consumers. He is a living legend, evokes a lot of trust and embodies strength. It is the first time that Complan has associated with celebrities for endorsements.

Mr. Bachchan will bring immense credibility and memorability

to Complan and the ‘Taakat ka Naya Plan – Naya Complan’ brand message. We are absolutely confident that his association would only further enhance the brand’s equity and help us appeal to a wider audience.”

Commenting on his support for Complan, Mr. Bachchan said: “I feel very privileged to be a part of this innovative and thoughtprovoking brand campaign. I am looking forward to taking this professional journey with the team at Complan, and I am excited to see the response we will get from audiences to the new commercial and brand messaging for Complan.”

Commenting on the new brand positioning, the Golden Jubilee and signing Mr. Bachchan, Mr. V. Mohan - Wholetime Director/ VP-Business Development, Corp. & Legal Affairs & Co. Secretary, Heinz India Pvt Ltd said: “We are delighted to celebrate fifty years of Complan

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equity and Rs 50 crore through loan by Nath Seeds industry.

The remaining amount would be procured as government grants.

Another Rs 125 crore would be invested by the firms developing food processing plants in the mega park.

“The work of setting up infrastructure required for processing industry such as cooling chambers, laboratories, wet and dry chambers and effluent treatment plants has commenced.

Moreover, in six months, the allocation of plots to the entrepreneurs interested in setting up plants would be started,” said Kagliwal, chairman of Nath Group, which has been selected by the government as the chief promoter of the project.

The ministry of food processing, Government of India had launched the mega food parks scheme (MFPS) under its 11th Five Year Plan. The MFPS is expected to facilitate rise in processing of perishables in the country from the existing 6% to 20%, value addition from 20% to 35% and increase share in global food trade from 1.5% to 3% by 2015.

The scheme aims to facilitate the establishment of a strong food processing industry backed by an efficient supply chain, which would include collection centres, primary processing centres and cold chain infrastructure and a central processing unit. Moreover, the scheme has the potential to substantially reduce post-harvest

losses, add value to agricultural produce, create substantial investment and rejuvenate the rural economy.

“The primary objective of the MFPS is to provide adequate and excellent infrastructure facilities for food processing, along the value chain from the farm to the market. It will include creation of infrastructure near the farm, transportation, logistics and centralized processing centres.

The scheme will be demanddriven, pre-marketed and would facilitate food processing units to meet environmental, safety and social standards,” said Kagliwal.

The College of Food Technology, MKV, Parbhani had designed a similar project to set up a mega food park in its campus and submitted to central ministry of food processing in 2008. The fundamental mission of the project was to develop and motivate students’ entrepreneurship.

However, the project was not sanctioned because of critical technical issues.

V N Pawar, head of department of food science and technology of the college, said, “The mega food park is basically a cluster of food industries made technoeconomically viable by very sound and strategic action plan, based on provision of common facility motivation module through central control system. We will extend cooperation to the Paithan mega food park.”

in India and there was no better way to commemorate this than by enlisting the support of one of India’s most recognized and trusted names. Mr. Bachchan and Complan go a long way in delighting the discerning audience / consumers through generations.”

It is the first time that Complan will be shifting to a premium metallic packaging with a single brand color of Gold. The new logo signifies strength, conveying this through the bold use of red in the logo design. The new packaging features icons which represent everyday tasks a child and adult engages in, highlighting how Complan helps to provide the 4As- advantages for the entire family: Appearance through enhancing physical stature, Activity, as it gives the strength to cope with life, Armour by providing immunity-building nutrients, and Alertness through nutrition that helps brain development and cognition. The mnemonics on the center of the pack instantly communicate the benefits of strength in the daily lives of the consumer and the image of a splash on the pack instantly stimulates the taste buds, Complan is available in 6 delicious flavors.

Mr. Abhishek Prasad – General Manager - Marketing, Heinz India Pvt Ltd further expands on the commercial’s concept and how this relates to the brand’s broader messaging of ‘strength’: “Through our extensive research we knew

that Complan needed to focus on the message of strength which is personified by the profile of Mr Bachchan. The anchor for the commercial’s creative direction is Mr. Bachchan’s bhoot avatar, invisible but omnipresent, where he is seen supporting a child overcome various daily activities, be it riding a bike uphill or carrying his heavy school bag,or helping his mom in her heavy chores- giving him that extra strength in the form of Complan.”

In the TV commercial Mr. Bachchan premiers a new avatar of a Bhooth and will be seen in a white robe with flowing white locks. The new character will provide consumers with a unique and lasting impression of the iconic Mr Bachchan.

Beverages & Food Processing Times - February - I - 2014

Dairy Products News

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Kraft Cheese removes artificial preservatives from KRAFT singles

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Electronics Devices Worldwide Pvt. Ltd.

raft Foods is announcing the launch of KRAFT Singles with No Artificial Preservatives, a welcomed renovation that removes artificial ingredients, while still delivering the same quality, taste, look and melt its consumers expect.

Grilled cheese made with KRAFT Singles is an iconic American tradition, beloved by kids and adults alike - and now KRAFT Singles are simpler than ever.

“We know families today want convenient foods that have no artificial preservatives and a simpler, more recognizable ingredient list, and Kraft is working to deliver more of these options for some of our most beloved brands,” said Brian Gelb, Senior Associate Brand Manager, Kraft Foods. “Kraft is excited to deliver the same great tasting American cheese it always has with KRAFT Singles - always made with real cheese, milk and no artificial flavors - and now with no artificial preservatives.

It’s just simpler this way, and it’s the way cheese fans want it.”

KRAFT Singles with No Artificial Preservatives - available now in the dairy aisle of leading grocery stores nationwide - are offered for the American and White American varieties (currently does not include 2% milk varieties). A serving of KRAFT Singles provide an excellent source of calcium, and a good source of Vitamin D per serving, both of which are important nutrients lacking in American diets today.

What does this mean for cheese lovers?

Now there is more reason than ever to warm up the skillet to make a warm, gooey grilled cheese sandwich on a cold winter day. In fact, according to a recent survey, more than half (51%) of Americans are more likely to enjoy a grilled cheese sandwich during winter, with summer noted as the next most common time of year (19%) A few other fast facts regarding KRAFT Singles include: • Americans Love KRAFT Singles: Nearly 4 out of every 10 U.S. households buy KRAFT Singles, with more than 480 packages of KRAFT Singles sold every minute.

• Amped-up Grilled Cheese is All the Rage: With a third (33%) of Americans wanting only cheese in their grilled cheese sandwiches, Americans do love to add meats to this classic sandwich - with ham (29%), bacon (23%) and turkey (10%) topping the list.

Although less popular, other delicious combinations include the addition of vegetables, such as tomato (20%), onions (8%) and avocado (6%).

• Taking Taste Beyond the Grilled Cheese: While 65 percent of Americans claim that grilled cheese is their primary use for KRAFT Singles - followed by burgers and sandwiches, both at 61 percent - approximately a third admit to eating KRAFT Singles right out of the wrapper (34%) or enjoying the cheese with crackers (31%).

Beverages & Food Processing Times - February - I - 2014

Food Processing News

ITC to take on Nestle, PepsiCo , Amul and HUL with dairy products & non-carbonated drinks

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TC is firming up plans to foray into non-carbonated beverages and dairy businesses next fiscal to establish itself as one of the largest food companies in the country, a senior industry executive aware of the company’s plans said.

The Kolkata-based tobaccoto-hospitality conglomerate is developing products in categories such as juices, tea and coffee in the noncarbonated beverage space, while its ambitious dairy business rollout will include products such as packaged milk, butter and ghee, to take on category leaders such as Nestle, PepsiCo, Amul, Hindustan Unilever and Dabur, the executive said.

The company also plans to soon start scientific trials on functional foods — a pet focus area of its chairman YC Deveshwar — addressing various metabolic disorders such as blood pressure, diabetes and nutritional deficiency.

“ITC is on the job on developing several new product for these categories which will be rolled out in a phased manner from next fiscal,” the executive said, requesting anonymity. The new

products are developed in the company’s food research unit at Bangalore.

Market watchers say ITC has carved out its niche in the food space and can give tough competition in the beverage and dairy space to big marketers operating in the space. ITC’s food business clocked Rs 4,720-crore sales last fiscal, 27% more than the previous year’s Rs 3,712 crore.

Mohit Kampani, president and CEO at Spencer’s Retail, said ITC has found a differentiated proposition with fairly unique products and customer marketing skills even in highly penetrated categories such as biscuits.

Successful examples include a Rs 5 pack of instant noodles and unique packaging for Dark Fantasy biscuits, he said. Last fiscal, ITC overtook HUL in branded food and beverage sales a decade after it entered the business. ITC has been creating dairy back-end at Munger and Saharanpur for the last two years. The milk procurement network at Munger covers more than 2,800 dairy farmers with average procurement of over 10,000 litres per day. The company

has also started milk-mapping studies in two other locations.

ITC plans to position its dairy products and beverages on the health platform, a marketing line it wants to increasingly focus for its packaged food business, the industry executive quoted earlier said.

Chitranjan Dar, divisional chief executive for foods at ITC, declined to comment on dairy and beverages forays, but said health platform will be next big thing for ITC in food business. “There are plans to enter several new categories which would quadruple contribution of health food to total food business in 3-4 years from 5% now,” he said.

Last week, ITC launched a new health biscuit, FarmLite, and revamped the Marie biscuit segment with newer fortified variants such as oats. Dar said the company will expand the FarmLite range with newer variants next fiscal.

ITC has been giving a run for money to big guns in whatever category it has been entering.

Its Sunfeast Yippee! instant noodle has become the second largest brand, forcing Nestle to undertake various marketing and sales innovation for Maggi; and Dark Fantasy has become the market leader in premium cream biscuits, forcing Britannia to revamp the Bourbon and Pure Magic portfolio. ITC’s Bingo! Chips, too, has consolidated share in snacks segment vis-a-vis PepsiCo’s Lay’s.

ITC is the leader in packaged atta and Candyman in confectionery.

Poland eyeing India’s food processing sector

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oland is targeting India’s food processing sector to boost bilateral trade.

“Energy and defence are the two main pillars of our trade now. I think the future is in food processing,” Jerzy Witold Pietrewicz, Secretary of State in the Ministry of Economy in Poland told a seminar on doing business in Poland.

He cited the example of Polish

company Obram which supplied the machinery for processing Amul’s paneer.

Bilateral trade stood at USD 1,674 million in 2012-13 with India importing iron and steel, transport equipment and machinery.

Engineering exporters body EEPC chairman Anupam Shah said the two countries were focusing in areas like mining, agri-processing and IT. New prospects were also opening up in many other fields like crude oil and gas exploration, maritime economy, pharmaceuticals and medical devices, paper industry,

food processing machines and plants, he said.

Speaking on India Show at ITM in Poland during June, he said: “Engineering manufacturers will showcase our hi-tech capabilities, especially in the areas of energy and transport sectors of railways, shipping and aviation, which are of special interest to the Polish economy.”

The India Show at ITM is meant to promote India’s image and to provide a platform for Indian engineering industry to showcase its strength and capabilities in both emerging and developed markets.

He said the venue of the show has been chosen carefully to effectively promote exports and advance commercial relations.

ITM organisers have already agreed to invite India to the show as a partner country.

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Therapeutic food to fight malnutrition invented by Indian Scientists

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ndian scientists have designed ready-to-eat therapeutic food (TF-RTE) products and handed over associated scientific findings and technology to an industry partner, a step that could benefit the millions of children afflicted with severe acute malnutrition (SAM) - the most dangerous level of malnutrition.

SAM is globally responsible for the death each year of 2.6 million children under the age of five. The research undertaken by scientists of the agricultural and food engineering department, at the Indian Institute of TechnologyKharagpur, led to creation of five varieties of TF-RTEs which, in paste form, can be administered to the children until they have gained adequate weight.

According to WHO, severe acute malnutrition is when children suffer severe wasting that may or may not be accompanied by swelling of the body from fluid retention. The

afflicted have been tagged as the most vulnerable people in the world. Out of the 20 million children worldwide afflicted with SAM (mainly in sub-Saharan Africa and south Asia), India is home to 8.1 million SAM children.

“SAM is diagnosed when the circumference of the upper arm is less than 115 mm or when the weight for the height of a child is severely reduced. They are very thin as most of their fat and muscle has been used by their bodies to stay alive,” H.N. Mishra, professor of food technology and principal investigator of the project, agricultural and food engineering department at the IIT, told.

“As per WHO guidelines, the SAM children who do not require hospitalisation, can be administered specially formulated nutrient-rich foods at home for treatment...the proportions of essential nutrients required have also been designated,” he elaborated.

Mishra’s team came up with five formulas using peanut, potato and Bengal gram as the core ingredients, as part of a project sponsored by department of biotechnology and a Delhibased industry partner (Gattapu Chemicals Pvt. Ltd.).

DSG invests Rs 10 crore in Saraf Foods

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SG Consumer Partners (DSG) has infused Rs 10 crore investment in freeze dried products player Saraf Foods to boost its production capacity at its state-of-the-art food processing facility near Vadodara.

The expansion plans of Saraf Foods will be powered by a total investment of Rs 15 crore, which includes DSG funding and loan from State Bank of India.

Having quadrupled its production capacity over the last five years, Saraf Foods’ production capacity will be enhanced by 1.5 times

from its existing capacity.

Suresh Saraf, chairman and managing director, Saraf Foods, said, “We aim to increase our production capacity to tap the demand for our products in domestic and international markets. In view of our expansion plans and the inherent potential of the company’s quality product range, we envisage a 10-fold increase in turnover by 2018 by further working on backward and forward integration and for achieving this we are also exploring merger and acquisition opportunities to fuel our growth.

Beverages & Food Processing Times - February - I - 2014

Ice Cream News

Perry’s Ice Cream Introduces Otto’s Cupcake

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he wait is over! Otto’s Cupcake Ice Cream is now also available in Tops Markets and soon to come to other grocery stores selling Perry’s Ice Cream. This flavor was launched last fall, and was available only at

the Syracuse University Dome and at the few ice cream stands that are open during the winter months.

The flavor named after the S.U. team mascot, Otto, was developed

by Eilish Mitchell ‘12, Syracuse University graduate who works

for Perry’s Ice Cream in the Quality Assurance and Research & Development Department. Avid supporter of the Orange, Eilish was thrilled when she heard that there was a need to develop a flavor for S.U. Athletics. “I knew that the flavor would have to have orange in it, but orange ice cream isn’t really a popular flavor,” says Mitchell.

She tried and tried, and finally, she struck gold: “Chocolate cupcakes with orange frosting!” The flavor got team buy-in really quickly and will now be enjoyed by Orange fans everywhere Perry’s Ice Cream is sold.

This chocolate cupcake ice cream with orange colored frosting swirls and chocolate cupcake pieces not only delights all your senses, but it is also proof of the Perry family’s longstanding commitment to supporting

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college sports and the communities it serves. The product boasts the flavor and creaminess you expect from Perry’s and was very well received by S.U. fans and consumers alike. Through its affiliation with Syracuse University Athletics, Tops Markets is the first grocery chain to carry Otto’s Cupcake, with other fine retailers such as Wegmans, Price Chopper, and Olean Wholesale following suit shortly thereafter.

Consumers can scoop up Otto’s Cupcake at the S.U. Carrier Dome, independent ice cream stands, and retail locations across New York State, Western Pennsylvania, Northeastern Ohio, Vermont and Virginia.

In addition to Otto’s Cupcake, Perry’s has introduced a few new flavors, with more to come as the new season kicks off:

Indulgence drives ice cream consumption in Russia

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nuts, pellets + specialty snack processing

fryers + roasters seasoning + coating application accumulation + distribution pollution control oil management controls + info systems

info@heatandcontrol.com | heatandcontrol.com

ndulgence has been the major motivating factor behind the consumption of ice creams in Russia, finds a report by UK-based research firm Canadean.

The report ‘Market Focus: Trends and Developments in the Ice Cream Sector in Russia’ analyzed the actual influence of each motivator and gave top spot to indulgence with 40.8%, followed by better value for money at 25.2%, and both personal space & time and fun & enjoyment in the third position with 21.1%.

Older consumers, aged 55 plus, have accounted for over two fifth consumption in the ice cream market, majorly driven by male consumers who held 41.9% of share in terms of consumption by volume. This indicates opportunity for healthy product line, so that Russians can have guilt free indulgence, opines Canadean.

Moderate income and better off groups together constituted over two third of consumption with 40% by males and 42.6% by females for the former category, and 28% by males and 31% by females for the latter respectively.

Time-rich Russians outpaced all others in leisure group, holding a significant 44.6% by males and 36.7% by females, while time-pressed males and females stood next with 25.2% and 24.8% respectively, followed by time poor individuals at 22% by males and 21.2% by females.

Russian kids and babies segment has topped the charts in the heavy consumption habit analysis with over two thirds of share, indicating the need for providing products that affect health.

Although impulse ice cream had a clear edge of take-home ice cream in the market value of 2012 with close to 70% share, Canadean observed the trend for take-home is catching up in Russia as marketers position ice cream as an everyday consumption product.

It is expected that take-home ice cream will have 6.4% of positive change in market share during 2007-2017, while impulse ice cream is set to lose the proportionate share in the ten-year period.

Beverages & Food Processing Times - February - I - 2014

Catering to the silver tsunami

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ccording to the UN’s report on World Population Ageing, there will be more than 1 billion ‘senior’ people aged 60 plus by 2050, with 62 percent of these seniors coming from the Asia-Pacific region.

Asia’s so-called ‘silver tsunami’ is imminent, and with it come multiple implications for society.

The impact should be greatest on healthcare, as many healthconditions, including osteoporosis and constipation, are age-related.

It is no coincidence, therefore, that rates of osteoporosis are projected to escalate to epidemic proportions in ageing Asia, where over the next 50 years the numbers of elderly is projected to more than triple2.

Constipation, a very common

complaint amongst seniors, is also expected to become more prevalent in Asia as the elderly population grows. The region’s food manufacturers can cater to the ‘silver tsunami’ by developing or modifying food products that are relevant and beneficial to older generations.

Asia’s osteoporosis epidemic Osteoporosis, which literally means porous bone, is a disease in which the density of bone is reduced, meaning that the risk of fracture is increased. Hip fractures, which are associated with pronounced morbidity, have increased two- to three-fold in most Asian countries during the past 30 years, and it is projected that more than 50 percent of

Cadbury investing in sales to increase reach, India

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adbury brand owner Mondelez International is investing heavily in sales and route-to-market expansion in India, a priority market for the American food giant where sales have slumped to their lowest since 2005.

“We increased our sales infrastructure with one lakh visicoolers in the market and the company took big strides by expanding into rural India and reaching seven states in 2013,” a spokeswoman for Cadbury India said.

According to data provided by Mondelez, its India business grew in the “lowteens” in 2013. It was 21% in 2012 and over 30% in the preceding years. Cadbury India attributed it to economic slowdown, increase in commodity prices and the depreciation in the rupee.

Although India is one of the fastest growing markets for chocolates, domestic sales of the commodity have fallen with consumers spending less due to the economic slowdown. In 2013, growth in overall food segment slowed to 11.6%, from over 17% in the previous year, data showed.

At the annual performance presentation last week, Mondelez’s chief financial officer, David Brearton, said, “While economic conditions are likely to remain difficult, especially in emerging markets, we intend to leverage

News all osteoporotic hip fractures will occur in Asia by the year 20503. As the region assesses the implications of supporting an elderly population affected by the disease, responsible food manufacturers can also play an interjectory role, by offering products tailor-made for this population group.

The elderly are more prone to osteoporosis because as the body ages it loses bone mass which results in brittle bones that are prone to painful and debilitating fracture. Lowcalcium is one of the causes of osteoporosis, and it is thought that the condition may have its roots in childhood and adolescence, which is the period when the body does the most bone ‘building’.

Throughout life, calcium is continuously being deposited into multiplying bone cells, like the cement that holds together the particles of stone and sand in a chunk of concrete. Therefore, the stronger the bone development during childhood and adolescence, the healthier those bones will be in old age. Studies show that it is never too early to invest in bone health, particularly as a 10 percent increase of peak bone mass in children reduces the risk of an osteoporotic fracture during adult life by some 50 percent.

During childhood and adolescence, bones grow rapidly, but unfortunately, the majority of calcium from a normal diet escapes absorption, with estimates suggesting that barely 30 percent is absorbed. BENEO’s prebiotic fibre Orafti®Synergy1 (oligofructose-enriched inulin) is proven to aid bone development market share gains to offset potential volatility.”

Despite the cloudy outlook, Mondelez’s Rs 4,000-crore plus Indian unit last year announced plans to invest $190 million to build the country’s largest chocolate manufacturing plant near Hyderabad.

“Given our advantaged portfolio and footprint, strong fundamentals and ongoing investments, we’re confident that we’re wellpositioned to take on the opportunity, as this market turns around,” said the spokeswoman for Cadbury India, which is in the process of transitioning its legal name to Mondelez India Foods.

In the Rs 6,000-crore domestic chocolate segment, Cadbury has over 67% market share, followed

by Nestle at 21% and Ferrero at 6%.

Increasing market share, however, may not be easy for Cadbury, which has been pushing its pricier brand ‘Silk’ and lowestpriced ‘Cadbury Shots’. Rival Nestle, which grew 7% in 2013, too is focusing on its new brand, Alpino, and Munch. In the health beverage section, Cadbury’s Bournvita faces competition from Heinz India’s Compla

by improving calcium absorption.

In adolescents, a one-year long human intervention study supported by the United States’ Department of Agriculture (USDA) and National Institute of Health (NIH) shows that BENEO’s Orafti®Synergy1 produces positive effects on bone health through enhanced calcium absorption, leading to increased bone mineral density.5 The study, conducted on 100 adolescent subjects, was designed to test whether oligofructose-enriched inulin could increase calcium retention within bones. Over a period of one year, calcium retention and accretion in bones increased by as much as 15 percent in the group supplemented with oligofructose-enriched inulin compared to a control group. Compared to the control group, the group consuming Orafti®Synergy1 also benefited from significantly enhanced bone mineral density. Additionally, results from other clinical trials have shown that supplementation with oligofructose-enriched inulin can also improve calcium absorption, and impact markers of bone turnover, in postmenopausal women.

Constipation concerns In Asia, self-reported surveys8 show about 13 to 17 percent of the population suffers from constipation, which especially affects the elderly. This is because as people age, the diet often becomes low in fibre, fluid intake is insufficient, and mobility decreases, putting seniors at greater risk of gastrointestinal disease and discomfort.

So-called ‘good bacteria’ can contribute to relieving the symptoms associated with

15

constipation, by helping to balance the digestive system.

Prebiotic fibres like inulin or oligofructose are substrates for microflora, encouraging the growth of bifidobacteria – the beneficial bacteria in the large intestine that help to maintain a strong digestive system. Food manufacturers can therefore cater to Asia’s seniors by supplementing common staples such as cereals and breads fortified with fibre that offers quick and easy options to boost fibre intake.

Additionally, BENEO’s inulin and oligofructose is also proven to reduce constipation, by adding bulk to stools and increasing stool frequency.

Smarter enrichment Enriching a wide variety of foods for all ages with Orafti®Synergy1 for improved health is easy, as the functional ingredient is suitable in a variety of applications. With osteoporosis rates projected to escalate to epidemic proportions in Asia in less than one generation, supplementation with BENEO’s Orafti®Synergy1 to increase calcium absorption can help food manufacturers address the prevalence of the condition in Asia, via healthy, preventionorientated nutrition. Further, enriching with prebiotic fibres can also aid a healthy digestive system for seniors, relieving the discomfort associated with constipation.

- Ends BENEO is a world leader in supplying functional food and beverage nutrients that directly address all of the important and evolving demands of the consumer products markets of today and tomorrow.

Cremica to shed 49% to Kedaara Capital & TA Associates

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rivate equity majors Kedaara Capital and TA Associates in planning to buy 49% stake in Cremica, a Punjab-based maker of biscuits and bakery products, the deal size is estimated at about Rs 300 crore, people familiar with the matter said.

Investment bank Avendus Capital is running the sale process at Cremica.

Cremica Group, founded by Rajni Bector as a backyard enterprise 35 years ago, till recently was controlled by three siblings - Anoop, Akshay and Ajay Bector - with equal shareholding. As part of a recent settlement, Anoop Bector will take charge of the biscuits and bakery unit, while Akshay Bector will helm the condiments business.

The biscuits and bakery unit is bigger, but condiments are a faster growing business for the group. Ajay Bector along with Motilal Oswal is expected to divest stake to one of the two shortlisted financial investors.

Kedaraa Capital, co-founded by private equity veterans Manish Kejriwal and Sunish Sharma, recently raised a $540-million maiden fund. The Boston-headquartered TA Associates, managing assets worth over $16 billion globally, has been keen on a bite of the domestic consumption story. Its current Indian portfolio includes Dr Lal Pathlabs, Micromax and Billdesk.

Anoop Bector, Kedaraa Capital and Avendus declined to comment.

TA Associates could not be reached for immediate comments, while Ajay Bector said he was unaware of the developments. India’s food services sector has slowed down in recent quarters as Asia’s third largest economy lost some steam. Still, foreign investors continue to explore opportunities around the broader consumption story, counting on its long-term potential.

Beverages & Food Processing Times - February - I - 2014

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Coke to beef up portfolio, enter dairy segment in India

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everage giant Coca-Cola India is betting on a bevy of new launches to go one up on its rival PepsiCo in the coming season. On the anvil is a lowcalorie variation of Coca-Cola called Coke Zero, a relaunch of its energy drink Burn and a pan-India launch of its dairy-based drink Maaza Milky Delite.

Interestingly, senior executives at the Atlanta-based company are unfazed by the fact that Diet Coke, a sugar-free soft drink, is already present in the market. “In taste, Coke Zero is nearly identical to Coca Cola, something that Diet Coke is not. It was created with young adults in mind. Its look, positioning, communication is very unlike a diet drink and therefore a lot of young adults, go getters identify with the brand,” Venkatesh Kini, head of Coca-Cola India told.

Though diet drinks currently have about 1% share of the carbonated soft drinks market in India, Coca-Cola is banking on its new product to become a potential

game changer in the category when it is introduced in the second half of this year. Launched in 2005 globally, Coke Zero is estimated to be the seventh largest carbonated soft drink in the world today by retail value.

However, Coca-Cola’s trump card might well be its foray into India’s dairy segment with its milk-based drink Maaza Milky Delite. After being test marketed in Kolkata, the beverage made from milk and mango pulp will now be rolled across the country in 200-ml tetra packs, that will be priced between Rs 15 and Rs 18.

“Since, it’s a milk-based product we wanted to make sure that it can withstand India’s extreme weather conditions. The inputs from our experiment in Kolkata made us go back to the lab and develop a product that could survive without a cold chain,” said Kini.

Kini also confirmed the relaunch of the energy drink Burn that had met with a tepid response after it was introduced in 2009.

“We were selling Burn at select outlets in Delhi, Bengaluru, Mumbai and Hyderabad since we were importing it. Now, we are producing it locally, so you will see us launching it across 15 other cities,” he said.

Burn is sold for Rs 75 for a can and is the company’s second energy drink after Shock that was launched in 2001. While it failed to impress Indian palates, Burn is set to compete with Tzinga and Red Bull among others, in the country’s Rs 600-crore energy drink market.

Beverages & Food Processing Times - February - I - 2014

Cargill acquires Dalmias’ Leonardo Olive Oil business

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argill, an American agribusiness giant, has entered into an agreement to acquire Dalmia Continental’s (DCPL) Leonardo Olive Oil business.

Leonardo is the leading brand in the olive oil segment in India.

With this acquisition, Cargill, which already has a strong presence in the global olive oil segment, will have an opportunity to participate and create value of this nascent and high-growth category in India.

The company will now be able to consolidate its position in the premium oils segment.

Cargill India chairman Siraj Chaudhry said, “This acquisition represents a natural extension of Cargill Food’s India strategy in the premium consumer space by providing a diversified portfolio of products.

We will build on its strong brand heritage, and consumers will benefit f r o m C a rg i l l ’s commitment to quality, food safety, innovation and value.”

C a r g i l l Foods India Consumer S a l e s director Aseem Soni said, “Acquiring Leonardo underscores Cargill’s long-term commitment to growing our consumer food business in India. It is an excellent fit with our existing strong brand portfolio through which we serve a significant consumer base across the country.

“Leonardo’s acquisition will give us the relevant access & entry to a premium brand in edible oils which has the potential to be horizontally integrated across other premium & related food categories.

Dairy News

Amul launches India’s first milk ATM in Gujarat

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utomated Teller Machines (ATMs) in India are about to revolutionise their very purpose and customer service.

Here in Gujarat, the ATMlike kiosks will now sell milk through ‘Any Time Milk’ vending machines thanks to an innovative Indian dairy cooperative called Amul - a system of buying milk via ATMs. The flagship project kicked off in the western Gujarat state in January this year. And if all goes

“Now I can buy milk any time, even if am returning late from work,” said resident Sunil Shinde.

While the kiosk itself runs on a high-tech system, the brains behind the innovation are aware of the flip-side of the business.

In a power strapped country like India, the machines require continuous refrigeration to prevent the milk from getting spoilt.

Rahul Kumar Srivastava, managing director of Amul Dairy, said: “We have to ensure that there

well, the Milk ATM’s might just spread across the entire country.

Traditionally, milk is usually available in India only in the morning and evening, from overthe-counter shops or when the milkman drops it off at the doorstep.

This might soon be a thing of the past.

With the installation of these ‘Any Time Milk’ kiosks in the western city of Anand, residents won’t have to wait to get their milk.

is constant power supply for proper refrigeration and the quality of the milk remains good.”

Milk kiosks run by the subsidiary of the National Dairy Development Board have a presence in every Indian city but they don’t operate around-the-clock.

The new Milk ATMs might just fill in the gaps but having these Milk ATMs across the country may not be all that easy to operate, especially in rural areas and in villages where there is no power.

Banas Dairy to invest $48.5m in new milk processing plant in

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anaskantha District Cooperative Milk Producers’ Union (Banas Dairy), a member union of Gujarat Co-operative Milk Marketing Federation (GCMMF), is geared up to invest around INR3bn ($48.5m) in a new milk

processing plant in Faridabad, Haryana, which is a part of the National Capital Region (NCR).

The proposed facility is expected to have a capacity to process 10 lakh liters of milk every day. It will manufacture pouched milk, curd, buttermilk and ice-cream under the

Amul brand.

The plant is the fourth of its type in the NCR region for member unions of GCMMF, including Mehsana District Cooperarive Milk Producers’ Union and Sabarkantha District Cooperative Milk Producers’ Union which had established two plants in Manesar and Dharuhera; as well as a plant in Rohtak respectively.

Banaskantha Milk Union chairman Parthi Bhatol was quoted by The Business Standard as saying, “At the moment, GCMMF sells around 2.5 million lpd of milk in the NCR, of which Banas Dairy’s share is around 0.65 million lpd, which is expected to go up to one million lpd within a year’s time.”

Meanwhile, Banas Dairy also plans to open two plants in Lucknow and Kanpur in the state of Uttar Pradesh, in the coming future.

Banas Dairy currently sources milk from over 3.5 lakh milk producer members of Banaskantha district.

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Dairy sector likely to witness positive growth in FY15: Ind-Ra

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he dairy sector is likely witness positive growth next fiscal, increase in market size and milk production and strong rise in exports, according to India Ratings & Research (Ind-Ra).

Ind-Ra assigned a positive outlook to the dairy sector for FY’15.

There is likely to be reasonable growth in the sector’s market size and milk production and strong growth in dairy products exports, Ind-Ra said in a report here.

India’s milk sector is regarded as one of the world’s fastest growing market and the agency expects it to expand by 16.3 per cent in FY’15.

The positive outlook also stems from increasing the government’s initiatives on improving rural income.

The agency also assigned a stable outlook to the dairy cooperatives (DCs) for FY’15 due to their stable financial performance although with some liquidity issues.

On the back of likely favourable monsoons and strengthening farmer base of the cooperative model, National Dairy Development Board (NDDB) expects 5.47 per cent year-on- year growth in milk production in FY’15.

Export opportunities, it said, have opened up as milk production is higher than domestic demand.

“Milk surplus and low production cost coupled with rupee depreciation augur well for exports.

Additionally, a demand upsurge in Nepal, an embargo on milk imports from China and untimely drought in New Zealand will favour the dairy sector in FY15,” it pointed out.

Ind-Ra also expects revenue to be robust for large milk federations’ (MFs) and their associated unions in FY15.

However, reduced milk and milk products demand in the domestic and global markets could derail milk production plans and weaken the pricing of dairy products, it added.

Danone increases stake in Chinese dairy firm Mengniu

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rench dairy major Danone has agreed to increase its holding in Chinese dairy firm Mengniu from 4% to 9.9%, with an investment of €486m.

The company, along with COFCO Dairy Investments, signed a deal to subscribe a reserved rights issue

by Mengniu.

With this development, the French firm now becomes the second largest shareholder in Mengniu.

The move comes after a deal in

May 2013 between COFCO, Danone and Mengniu to boost development of dairy products in China.

Subject to Mengniu’s shareholders approval, the transaction is expected to be finalized in the coming months.

COFCO, Danone and Arla will combine their 16.3%, 9.9% and 5.3% respective stakes in Mengniu within COFCO Dairy Investments, a jointlyowned venture pooling all three shareholders’ interests in the governance of Mengniu.

Danone operates in Fresh Dairy Products, Baby Nutrition, Waters and Medical Nutrition segments.

The company runs more than 190 production plants and has a workforce of 102,000. In 2012, it generated revenues of over €20bn.

Beverages & Food Processing Times - February - I - 2014

Organic Food News

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India exported record 1.6 lakh MT organic products in 2012-13

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he Government is promoting organic farming through various schemes like National Project on Organic Farming (NPOF), National Horticulture Mission (NHM), Horticulture Mission for North East & Himalayan States (HMNEH), National Project on Management of Soil Health and Fertility (NPMSH&F), Rashtriya

Krishi Vikas Yojana (RKVY) and also Network Project on Organic Farming of Indian Council of Agricultural Research (ICAR).

Under National Project on Organic Farming (NPOF) scheme, assistance upto 25% and 33% of financial outlay upto a ceiling of Rs. 40 lakhs and Rs. 60 lakhs respectively is provided as back

ended subsidy through NABARD for establishment of bio- pesticides/ bioÂŹfertilizers production units and agro waste compost production units respectively. Besides, under National Horticulture Mission (NHM) and Horticulture Mission for North East & Himalayan States (HMNEH), financial assistance is provided for setting up vermi-

compost production units @ 50% of the cost subject to a maximum of Rs. 30,000/- per beneficiary, for adoption of organic farming @ Rs.10,000/per hectare for maximum area of 4 hectare per beneficiary and for organic farming certification @ Rs.5.00 lakh for a group of farmers covering an area of 50 hectares.

Assistance for promotion of organic farming on different components are also available under Rashtriya Krishi Vikas Yojana (RKVY) with the approval of State Level Sanctioning Committee. Under National Food Security Mission (NFSM) on Pulses, including Accelerated Pulses Production Programme (A3P), assistance for popularizing Rhizobium culture/ Phosphate Solubilising bacteria is provided to the farmers under cluster demonstrations.

Similarly, under Initiative for Nutritional Security through Intensive Millets Promotion (INSIMP) Programme, Phosphate Solubilising Bacteria/Azotobacter culture is provided to the farmers as

part of technology demonstration.

Further, under National Project on Management of Soil Health and Fertility (NPMSH&F) financial assistance of Rs 500 per hectare is provided to promote use of organic manure. The financial assistance is provided on the basis of project proposals received from States including Maharashtra. Indian Council of Agricultural Research (ICAR) under Network Project on Organic Farming, with lead centre at Project Directorate for Farming Systems Research Modipuram is developing package of practices of different crops and cropping system under organic farming in different agro-ecological regions of the country. As a result India exported agri-organic products of total volume of 160276.95 MT and realization was around Rs.1155.81 crores in year 2012-13.

This information was given today

by Minister of State for Agriculture and Food Processing Industries, Shri Tariq Anwar in a written reply to Rajya Sabha questions.

Beverages & Food Processing Times - February - I - 2014

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Beverages & Food Processing Times - February - I - 2014

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10 MoUs involving Rs 2,600 crore investment signed

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s curtains drew on the four-day Progressive Punjab Agricultural Summit at Chappar Chiri, Punjab government claimed to have firmed up investments worth Rs 2,600 crore with 10 memoranda of understanding (MoUs) signed for collaborations in agriculture, food processing and bio-mass renewable energy.

Chief minister Prakash Singh Badal was joined by industrialists like director, ITC, Kursh Grant, CMD Bharti Agro, Rakesh Bharti Mittal, vice-president of Vardhman group, Kamal Oswal, CMD of Trident Group, Rajinder Gupta and CEO of KPMG, Richard Rekhi at

the valedictory function.

An MoU for setting up a “centre of potato expertise in Punjab” was signed with Netherlands government by Punjab Agriculture University and Confederation of Potato Seeds Farmers.

Another MoU was signed between P&R Agri Energy Pvt Ltd and Punjab government to establish a 20MW biomass power project with an investment of Rs 125 crore.

Another MoU between Nextgen Solux Power Pvt Ltd and Punjab government to set up 100MW solar power project at Faridkot and Abohar with an investment of Rs 800 crore was also signed.

Likewise, an MoU was inked between Sampuran Agri Ventures Pvt Ltd and Punjab government to set up 30MW rice straw-based biomethanation power projects at a cost of Rs 400 crore.

An agreement to set up nine

projects for production of bioethanol from rice straw and other agriculture waste and molasses at a cost of Rs 900 crore was inked between Bio Echo Energy Pvt Ltd and Punjab government.

Another MoU was signed between MD Group and Punjab government as an innovative initiative to solve the wheat and rice waste problem on a sustainable economic model.

An MoU was signed between Mrs Bector Food Specialties Ltd and Punjab government in food processing involving an investment of Rs 100 crore.

A spokesperson claimed that out of the 128 MoUs inked at the summit held in December 2014, 62 MoUs with an investment of Rs 12,000 crore were signed between key players in the field of agro and food processing. “With the signing of 10 new MoUs worth Rs 2,600 crores, the total number of MoUs in the agro and food processing has gone up to 72 with a total investment of Rs 14,600 crore,” he said.

The MoUs were signed by financial commissioner development, Suresh Kumar, on behalf of the state government.

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Food processing sector registers fast growth

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he food processing sector has witnessed fast growth, employment generation and export earnings in the recent past according to the press release issued by the central government. In major indicators, the growth in this sector has been better than other industries and the economy as a whole.

On its part, the ministry of food processing industries has contributed to encouraging investment into the sector, improving infrastructure, evolving better standards,

r e m o v i n g bottlenecks and initiating R&D and skill development.

The National Mission on Food Processing (NMFP) was approved in June this year followed by quick formulation of guidelines to states. The ministry has taken a number of steps for encouraging investment into the FPI sector; these include issuing expression of interest (EOI) for setting up 15 cold chain projects, information dissemination on resources and facilities available in different states, creating an investor portal, and modification of guidelines for setting up cold chains. On the Ministry’s initiative, concessional duty on food processing machinery is under consideration of the government.

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