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Blogs - Food Products Business in India

Food Products Business in India

Avatar for Aatmnirbhar Sena
Aatmnirbhar Sena
Nov 05, 2020
Business
Food Products Business in India

The food products business in India is a better prospect for business and startup enthusiasts. The Food market in India is the sixth-largest in the world. It constitutes almost 65% of the total retail market in India. In terms of production, consumption, and exports, India’s food industry is one of the largest industries. India’s food industry plays a vital role in developing the country’s economy because of the crucial linkages that it promotes between two pillars of our economy, industry, and agriculture. The sector has vast potential to contribute to the growth and employment opportunities of the country.

The significance of India’s food industry in the world market can be well understood by knowing some fascinating industry facts. Facts liken India being the world’s largest producer of milk, largest processor, producer, and consumer of cashew nuts, the second-largest producer of Fruit & vegetables, shows the significance of the Indian food industry. The food products business in India is ready for immense growth, increasing its contribution to world food trade every year. To enhance the growth and boost investments in Food processing industry, the government is taking all necessary steps. The government has permitted 100% FDI under the automatic route in Food processing industries.

Further, in efforts to boost investment, 100% FDI is allowed through government approval path for trading, including e-commerce in respect of food products fabricated or produced in India. By 2024, the Food Processing industry is expected to attract $33 billion of investments and generate employment for 9 million people, and by 2025, India’s food processing sector is expected to be worth over half a trillion dollars.

Food Products Business in India – An Opportunity to Flourish

To enhance the food processing industry’s growth, the government has sanctioned 39 Mega Food Parks (MFPs), out of which 18 have become functional.  The government gives aid up to 75% based on the general area or a difficult area to set up Mega Food Park. To help aspiring entrepreneurs in food processing industries set up their food products business in India, the government provides loans for up to seven years through NABARD. Introduction of Policies like ‘Make in India,’ ‘Start-up India’ has been instrumental in developing food products business in India to new levels. Although in its initial stages, India’s online food ordering business has been growing substantially over the past few years. With online food delivery partners like Zomato, Swiggy, FoodPanda, the organized food business has a huge potential and promising future.

For budding entrepreneurs, searching for a profitable business idea can go with the food products business in India. It is one of India’s most trending businesses and can be valuable enough if appropriately executed. Our organization Aatmnirbhar Sena will be guiding aspiring food businesses through the complete process of setting up and registering the food products in India. We will be collaborating with the country’s leading financial organizations to offer easy loans needed for starting food products business in India. Aatmnirbhar Sena’s professional team, comprising experienced Chartered Accountants, Company Secretaries, will create a perfect plan for food products business in India and take care of the licenses required to complete the registration process of starting a food products business in India.

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