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International Trade in Processed Foods: An Indian Perspective
EXPORT-IMPORT BANK OF INDIA
WORKING PAPER NO. 61
INTERNATIONAL TRADE IN PROCESSED FOODS:

AN INDIAN PERSPECTIVE
EXIM Bank’s Working Paper Series is an attempt to disseminate the findings of research studies carried out in the Bank.
The results of research studies can interest exporters, policy makers, industrialists, export promotion agencies as well
as researchers. However, views expressed do not necessarily reflect those of the Bank. While reasonable care has been
taken to ensure authenticity of information and data, EXIM Bank accepts no responsibility for authenticity, accuracy
or completeness of such items.
© Export-Import Bank of India

March 2017
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Export-Import Bank of India
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CONTENTS
Page No.
List of Exhibits 5
List of Tables 7
List of Boxes 9
Executive Summary 11
1. Introduction 20
2. Global Scenario 22
3. Indian Scenario 31
4. Trade Scenario of Indian Processed Food Industry 34
5. Market Identification of Processed Food for Indian Manufacturers 45
6. Challenges 49
7. Strategies 65
Annexures
Annexure I: Categorization of HS Codes 71
Annexure II: India’s Share in Global Exports of Processed Fruits and Vegetables Sector 77
Annexure III: India’s Share in Global Exports of Processed Fishery Sector 84
Annexure IV: India’s Share in Global Exports of Processed Meat Sector 90
Annexure V: India’s Share in Global Exports of Dairy Products 95
Annexure VI: India’s Share in Global Exports of Poultry and Egg Products 99
Project Team
Mr. Ashish Kumar, Deputy General Manager, Research and Analysis Group
Mr. Rahul Mazumdar, Chief Manager, Research and Analysis Group
Ms. Simaran Kaur, Manager, Research and Analysis Group
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LIST OF EXHIBITS
Exhibit No. Title Page No.
1.1 Key Processes in Value Chain of Food Processing Industry 21

2.1 Major Exporters of Processed Food in the World (2014) 22
2.2 Major Importers of Processed Food in the World (2014) 23
2.3 Global Production of Fruits and Vegetables 23
2.4 Major Producers of Fruits in the World (2014) 23
2.5 Major Producers of Vegetables in the World (2014) 23
2.6 Major Exporters of Processed Fruits and Vegetables in the World (2014) 24
2.7 Major Importers of Processed Fruits and Vegetables in the World (2014) 24
2.8 Major Producing Countries of Marine Capture Fishery in the World (2014) 25
2.9 Major Producing Countries of Inland Capture Fishery in the World (2014) 25
2.10 Major Producing Countries of Aquaculture Fishery in the World (2014) 25
2.11 Major Exporters of Fishery Products in the World (2014) 26
2.12 Major Importers of Fishery Products in the World (2014) 26
2.13 Major Milk Producing Countries in the World (2014) 27
2.14 Major Exporters of Dairy Products in the World (2014) 27
2.15 Major Importers of Dairy Products in the World (2014) 27
2.16 Major Meat Producing Countries in the World (2014) 28
2.17 Major Exporters of Meat (Bovine, Ovine and Pig) in the World (2014) 28
2.18 Major Importers of Meat (Bovine, Ovine and Pig) in the World (2014) 29
2.19 Major Poultry Meat Producing Countries in the World (2014) 29
2.20 Major Exporters of Poultry and Egg in the World (2014) 29
2.21 Major Importers of Poultry and Egg in the World (2014) 30
3.1 Employment in Registered Food Processing Units (in lakhs) 32
3.2 FDI Inflows in Food Processing Industry 33
4.1 India’s Major Export Destinations of Processed Food (2015-16) 34
4.2 India’s Major Import Sources of Processed Food (2015-16) 34
4.3 Production of Fruits and Vegetables in India 35
4.4 Major Fruits and Vegetables Produced in India (2015-16) 35
4.5 State- Wise Production of Fruits and Vegetables in India (2015-16) 36
4.6 India’s Export and Import of Processed Fruits and Vegetables (US$ million) 36
4.7 India’s Major Export Destinations of Processed Fruits and Vegetables (2015-16) 36
4.8 India’s Major Import Sources of Processed Fruits and Vegetables (2015-16) 37
4.9 Fish Production in India (lakh tonnes) 37
4.10 Top 5 Fish Producing States in India (2014-15) 38
4.11 India’s Export and Import of Processed Fishery and Seafood Products (US$ million) 38
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Exhibit No. Title Page No.
4.12 India’s Major Export Destinations of Processed Fishery and Seafood Products (2015-16) 39
4.13 India’s Major Import Sources of Processed Fishery and Seafood Products (2015-16) 39
4.14 Meat Production in India 39
4.15 Category-Wise Meat Production in India (2014-15) 40
4.16 Major Egg Producing States in India (2014-15) 40
4.17 Major Milk Producing States in India (2015-16) 40
4.18 India’s Export and Import of Meat Products (US$ million) 41
4.19 India’s Major Export Destinations of Meat Products (2015-16) 42
4.20 India’s Major Import Sources of Meat Products (2015-16) 42
4.21 India’s Export and Import of Poultry and Egg 43
4.22 India’s Major Export Destinations of Poultry and Egg (2015-16) 43
4.23 India’s Major Import Sources of Poultry and Egg (2015-16) 43
4.24 India’s Export and Import of Dairy Products (US$ million) 43
4.25 India’s Major Export Destinations of Dairy Products (2015-16) 44
4.26 India’s Major Import Sources of Dairy Products (2015-16) 44
6.1 Supply Chain in Food Processing Industry 54
6.2 Supply Chain in Cold Chain Market 56
6.3 Major Cold Storage facilitated States in India (as on March 2014) 57
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LIST OF TABLES
Table No. Title Page No.
2.1 Major Exporters of Processed Food 22

2.2 Major Importers of Processed Food 22
2.3 Major Exporters of Processed Fruits and Vegetables 24
2.4 Major Importers of Processed Fruits and Vegetables 24
2.5 Major Exporters of Fishery Products 26
2.6 Major Importers of Fishery Products 26
2.7 Major Exporters of Dairy Products 27
2.8 Major Importers of Dairy Products 28
2.9 Major Exporters of Bovine, Ovine and Pig Meat 28
2.10 Major Importers of Bovine, Ovine and Pig Meat 29
2.11 Major Exporters of Poultry and Egg 30
2.12 Major Importers of Poultry and Egg 30
3.1 Contribution of Food Processing Industries to GDP at 2011-12 Prices 31
3.2 Share of Food Processing Industry in Total FDI Equity Inflow 33
4.1 Major Meat Producing States in India 40
4.2 Milk Production and Per Capita Availability of Milk in India 40
5.1 India’s Share in World Market of Processed Food 48
6.1 Challenges in the Food Processing Industry 49
6.2 Top 10 Producers of Wheat in the World 50
6.3 Top 10 Producers of Rice in the World 50
6.4 Top 10 Producers of Potatoes in the World 50
6.5 Top 10 Producers of Banana in the World 51
6.6 State-Specific Market Reforms in Agriculture 53
6.7 Cold Chain Infrastructure Capacity in India: Evaluation of Gaps 56
6.8 Some Areas of Cold Chain Intervention 58
6.9 Annual Wastage of Agricultural Produce, Milk, Meat, Marine and Poultry Products 59
6.10 Logistics Performance Index: The World Bank 60
6.11 Credit Flow to Food Processing Industry 61
6.12 India’s Ranking in Global Competitiveness Index 2016-17 62
6.13 Basic Functional Distribution of Human Resources across Segments in
Food Processing Industry in India 63
6.14 Distribution of Human Resources by Education Level in Food Processing Industry
in India 63
6.15 Ranking of Countries in terms of Gross Expenditure on R&D as a % of GDP 64
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LIST OF BOXES
Box No. Title Page No.
1. Integrating Technology in Dairy Farming through Internet of Things 65
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Executive Summary
OVERVIEW Segment-Wise Export Analysis

Agriculture is the third largest sector of India’s Fruits and Vegetables
economy after services and industry. Although, the
The value of world exports of processed fruits and
contribution of agriculture to overall GDP has declined
vegetables was estimated at US$ 66.3 billion during the
from approximately 30% in 1990-19911 to nearly
year 2014, having recorded a CAGR of 6.9% during the
17.4% in 2015-16, agriculture is still considered the
period 2010 to 2014. China was the largest producer as
backbone of the Indian economy. It is in this regard,
well as exporter of fruits and vegetables with its share
that the food processing industry is widely recognised
in global exports estimated at 15.6% during the year
as a predominant driver in the process of economic
2014. The USA, the Netherlands, Belgium and Italy,
development of the country. Food processing refers to
with shares of 8.4%, 8.2%, 6.1% and 5.9%, respectively,
the collection of procedures and methods that lead to
were other major exporters of processed fruits and
the conversion of raw materials to food or cause the
vegetables in the world.
alteration of food into other forms of consumption.
Food processing technologies are the practices used As far as imports are concerned, the USA was the
by the food and beverage industry to transform raw leading importer of processed fruits and vegetables in
plant and animal material such as grains, meat and milk the world during the year 2014, with a share of 13.8%
into products that can be directly consumed by the in world imports. Other major importers of processed
producers; examples of this can be freezing vegetables, fruits and vegetables were Germany, France, the UK,
milling wheat into flour and frying potato chips. Japan and the Netherlands with shares of 10.3%, 7.9%,
6.7%, 6.4% and 5.9%, respectively.
The establishment of an effective food processing
sector is crucial to ensuring safety, reducing Fishery Products
wastage, augmenting value addition, increasing crop With a share of 14.6% in world exports, China was
diversification and guaranteeing better returns for the the leading exporter of fishery products in the world,
farmers. followed by Norway (8.3%), Vietnam (6.0%), Thailand
PROCESSED FOOD: INTERNATIONAL TRADE SCENARIO (4.9%) and the USA (4.4%). India was the sixth largest
exporter, accounting for a share of 4.3% in the aggregate
The global exports of processed food was estimated at
world exports of fishery products.
US$ 750.9 billion during the year 2014. Exports have
recorded a CAGR of 7.8% during the period 2010 to The USA was the leading importer of fishery products
2014. The USA was the leading exporter of processed with its share in world imports standing at 16.8% in 2014.
food with exports valued at US$ 62.2 billion (share of Japan was the second largest importer with imports
8.3% in global exports) during the year 2014. Germany valued at US$ 13.5 billion. Other major importers of
was the second largest exporter of processed food with fishery products included Spain, China, France and Italy.
a share of 7.7%. India however, held the seventeenth Processed Milk, Meat, Poultry and Egg
position in the exports of processed food in the world
Milk
and had a share of just about 2% in the aggregate global
exports.The major importers of processed food in the The top exporter of dairy products was New Zealand
world are the USA (11.5%), Germany (7.3%), the UK with a share of 14.3%, followed by Germany (13.3%),
(6.2%), Japan (5.7%) and France (5.3%). the Netherlands (10.3%), France (9.7%) and the USA
State of Indian Agriculture (2011-12)

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(6.5%). India stood at the thirty fifth position, with a of approximately 17.3% as compared to the previous
share of 0.4% in global dairy exports during 2014. year. Vietnam was the leading export destination for
processed foods from India and occupied a share of
As far as imports are concerned, Germany was the
22.6% in the country’s aggregate exports. The other
leading importer of dairy products in the world with a
major export destinations for Indian processed foods
share of 9.1% in 2014. Other major importers of dairy
included the USA (15%), UAE (4.8%), Malaysia (4.6%),
products were China (7.9%), Italy (6.0%), the UK (5.1%),
Saudi Arabia (3.4%), Japan (3.4%), Egypt (3.1%),
the Netherlands and France (4.9% each). India had a
Thailand (2.5%), the UK (2.1%) and Indonesia (2%).
share of 0.1% in world import of dairy products.
The imports of processed food from India has been
Meat
estimated at US$ 1.3 billion during the year 2015-16,
World exports of meat (bovine, ovine and pig) stood at with the value of imports being stable as compared
US$124.8 billion in 2014. USA, with a share of 12.0% in to the previous year. The UK with a share of 16.8% in
total world exports, was the largest exporter of meat the total imports was the leading import source for
products in 2014, followed by Germany (9.2%), Australia processed food in India in 2015-16. The other major
(8.4%), Brazil (7.8%), the Netherlands (6.7%) and Spain import sources were the USA, Nepal, China, Indonesia,
(4.7%). India was ranked tenth with a share of 4.0% in France, Singapore, Brazil, Bangladesh and UAE.
global exports of bovine, ovine and pig meat.
Segment-Wise Export Analysis
Japan was the largest importer of bovine, ovine and
Fruits and Vegetables
pig meat, accounting for 10.1% of the global imports of
meat in 2014. Other major importers of meat were the India’s export of processed fruits and vegetables were
USA (8.0%), the UK (7.0%), Germany (6.9%), Italy (5.6%) estimated at US$ 856.7 million during the year 2015-
and Hong Kong (5.5%). 16, registering a marginal decline of 4% as compared to
the previous year. The USA with a share of 14.4% is the
Poultry and Egg
leading export destination for export of processed fruits
Brazil was the leading exporter of these products with and vegetables from India. The exports of processed
its share in world exports estimated at 22.2% during the fruits and vegetables to Saudi Arabia during the year
year 2014. Other major exporters of poultry and egg 2015-16 was estimated at US$ 81.5 million and it is the
products included the USA (17.1%), the Netherlands second largest export destination of processed fruits
(12.8%), Poland (6.1%), Germany (5.0%), Belgium and and vegetables from India. The Netherlands (8.3%), the
France (3.6% each). India had the thirty first position in UK (8.1%), Germany (5.4%), UAE (5.2%), Russia (3.7%),
export of poultry and egg, accounting for a mere 0.3% France (3.65), Belgium (3.4%) and Canada (2.8%) are
of world exports during the year 2014. other significant export destinations of India’s processed
Germany was the leading importer of poultry and egg fruits and vegetables.
products during the year 2014, and had a share of 9.4% India’s imports of processed fruits and vegetables were
in the global imports. The UK was the second largest estimated at US$ 99.9 million during the period 2015-
importer with imports aggregating US$ 1.9 billion. 16. China is the leading import source of processed fruits
Other major importers of these products included Hong and vegetables followed by the USA and Afghanistan.
Kong, Mexico, the Netherlands, Japan, France, Russia,
Fishery Products
China and UAE.
India had a significant trade surplus in the fishery and
PROCESSED FOOD: INDIAN TRADE SCENARIO
seafood sector, with exports amounting to US$ 4696.6
During the year 2015-16, the exports of processed food million and imports worth US$ 67.7 million during the
from India stood at US$ 12.9 billion, registering a decline year 2015-16. The USA was the leading importer of
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processed fishery and seafood from India and accounted UAE (4.4%), Iraq (2.8%), Philippines (2.8%), Algeria
for nearly 28.2% of the aggregate seafood exports from (2.7%), Thailand (2.6%) and Kuwait (2.3%).
India during 2015-16. Vietnam was the second largest
The imports of meat were estimated at US$ 3.8 million
seafood importer with imports of US$ 885.6 million.
during 2015-16, registering a sharp decline of 28.8% as
Other major export destinations of seafood from India
compared to the previous year. Sri Lanka was the largest
included Japan (8.5%), Spain (3.9%), Belgium (3.7%),
import source of meat and meat products for India and
China (3.1%), UAE (3.0%), the UK (2.9%), Italy (2.7%)
its share in India’s aggregate imports was 23.2% during
and Thailand (2.7%).
the year 2015-16. Other major source countries for
Bangladesh was the largest supplier of fishery and imports during the same period were Belgium, New
seafood products to India during 2015-16. The other Zealand, Spain, Italy, the UK, Australia, the Netherlands,
significant import sources for fishery products to India Germany and Thailand.
included Vietnam, the USA, Myanmar, the UK, Oman,
Poultry and Egg
Indonesia, Thailand, Denmark and Singapore.
Oman was the leading export destination for poultry
Processed Milk, Meat, Poultry and Egg
and eggs from India and had a share of nearly 26.5%
Milk of the aggregate poultry and egg exports from India.
The value of exports to Oman was approximately US$
The exports of dairy products from India were
31 million during the year 2015-16. Saudi Arabia, with
estimated at US$ 115.3 million during the year 2015-16
a share of 12.5%, was the second largest destination of
registering year-on-year decline of 41% as compared to
poultry and egg exports from India. Other major export
the previous year. UAE, with imports of US$ 27.6 million
destinations for poultry and egg from India during the
(23.9% share) was the largest export destination of dairy
year included Japan, Germany, Maldives, Bahrain and
products from India. Pakistan was the second largest
Indonesia with shares of 10.5%, 7.6%, 6.9%, 6.4%, and
importer of dairy products and had a share of 16.1%
5.9%, respectively.
in the aggregate dairy products exported from India
during 2015-16. Bangladesh, Singapore, Nepal, Bhutan As far as imports were concerned, Germany was the
and Afghanistan were other major export destinations predominant source country accounting for a share of
for Indian dairy products. 80.5% of India’s total imports of poultry and egg during
2015-16.
The aggregate imports of dairy products from India
during the period 2015-16 was US$ 49 million. France MAJOR CHALLENGES
was the leading import source and had a share of nearly
Low Productivity of Agricultural Produce
27.5% in the total imports of dairy products. Other
significant import sources for dairy products were New The average productivity of a majority of fruits,
Zealand, Denmark, the Netherlands and Uganda. vegetables and other agricultural produce is low in
India in comparison to the international standards. An
Meat
increase in agricultural productivity requires the usage
India is among the largest exporters of meat in the of improved varieties of seeds and technology. The
world and the value of exports during the year 2015-16 productivity growth of crops in India is negatively affected
was US$ 4201 million. Vietnam was, by far, the leading by the sluggish growth in technological advancement
export destination of meat from India, accounting for coupled with the slow rate of dissemination. The most
47.4% of the aggregate exports of meat products from critical issues in this regard include irrigation and water
India during the year 2015-16. Malaysia, with imports management, need for increase in quality seed usage,
of US$ 410 million was the second largest importer of improved disease and pest management and the need
meat from India. Other leading export destinations of to focus on technology which is suited particularly for
meat from India were Egypt (8.5%), Saudi Arabia (5.8%), small and marginal land holdings.
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Although, India is the second largest producer of wheat Dearth of Extension Services
globally, the yield of wheat in India is relatively low Extension service providers are often reported to have
when compared to major producers like China, France limited knowledge related to technology solutions
and Germany and is even lower than the world average and post-harvest management. The limitations in the
which stood at 3289 kg/ha (as against 3029.5 kg/ha for efficient functioning of these workers has posed a
India). India is the second largest producer of rice in the major hurdle in the growth of agricultural productivity.
world and contributes approximately 21% of the total Inadequate technical support has led to inefficiency in
production. However, the productivity of rice in India the services of extension workers. It has been noted
(3622.1 kg/ha) is significantly lesser than the global that research majorly provides generic technical
average (4539 kg/ha). recommendations for problems faced by farmers.
However, it cannot be ignored that the natural resource
Irrigation and Water Management Issues
base differs greatly in different parts of the country,
As per statistics, approximately 55 percent of the area and there are various types of farming systems and
under agricultural cultivation in India does not have the methodologies of cultivation. The limited amount of
provision of irrigational facilities. This in turn increases human and financial resources also pose a challenge to
the risk of crop failure especially in water scarce areas. the extension service provided in the field of agriculture.
As per the international norms, a country is classified Extension services are majorly performed by the lower
as Water Stressed and Water Scarce if per capita level functionaries of the State Level Directorates,
water availability goes below 1700 m3 and 1000 m3, who in spite of being qualified in agriculture, lack the
respectively. With 1544 m3 per capita water availability, first hand farm level experience and observance and
India is already a water-stressed country and moving therefore are inefficient in dealing with the farm level
problems experienced by the farmers.
towards turning water scarce2.
Lack of Implementation of Agricultural Marketing
Limited Efforts in Research and Development
Reforms
The non-availability of appropriate research
The provisions of the State Agricultural Produce
infrastructure is another obstacle affecting productivity
Marketing Committee Acts prevented the creation of
of crops in India. In the Agricultural National Research competitive conditions for the sale and distribution
Systems (NARS), ICAR institutions are facilitated with of commodities. Moreover, multiple layers of
updated technological advancements, however this is intermediation led to rise in prices. However, during the
not the case in the zonal research stations which are year 2003, the Central Government formulated a model
situated in comparatively remote areas. Moreover, APMC Act for adoption by the States. While in principle,
the state agricultural universities face the problem of the model APMC Act provides greater freedom to the
limited funding, causing impediments in expansion farmers to sell their produce directly to the markets set
of technological developments. There are also up by the private entities, they are still required to pay
limitations of appropriate documenting and recording market fee to the notified APMCs, even if they provide
of experimental data on crop breeding, management no services, in addition to the fee charged for providing
of plant nutrients, weed and soil fertility. There is trading platform and other services like loading,
no systematic and comprehensive compilation of unloading, grading, weighing etc.
innovations in spheres other than breeding. In Indian Supply Chain Issues in the Food Processing Industry
Agricultural State Universities, scientists engage
Limitations in the Quality of Produce
themselves in research, teaching as well as extension
services, which involves transfers across various centres. Various farmers in India are not adequately trained
This creates hurdles for specialisations in particular and educated which is the leading cause of insufficient
fields which impedes the quality of research. attention towards the quality of produce. The limited
Raising Agricultural Productivity and Making Farming Remunerative for Farmers

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awareness regarding the modern technological firm. Cold chain infrastructure involves the storage and
practices and information regarding integrated nutrient transportation of food, ensuring an augmentation in its
management are essential in ensuring the nutritional shelf life and maintenance of its quality. It includes both
benefit of the produce. storage as well as transportation of food under optimal
temperature conditions in order to prevent spoilage
Packaging, Labelling and Standardisation of Processed
and preserve the nutritional value and freshness of
Foods
food items.
The supply chain of food in India is long and does not
involve the usage of modern technology leading to In India, a considerable quantity of fruits, vegetables
immense wastage and higher chances of contamination and other perishable food items are wasted owing to
prior to delivery. The application of various pesticides lack of appropriate cold storage facilities. Most of the
are done frequently to enhance the appearance and cold chains in the country are concentrated in the
taste of food leading to a compromise on the quality states of Uttar Pradesh, West Bengal, Maharashtra and
of food, which ultimately results in them being banned Punjab. Furthermore, these cold chains are designed for
in the international markets. Thus, it is exceptionally single commodity such as potato and banana leading to
important to scan and supervise the hygiene of food ineffective capacity utilization.
across various levels of the food chain. Hence, there Wastage of Agricultural Produce
is an urgent need for an improvement in the food
safety standards and reforms in the food safety laws In the food processing supply chain, post-harvest losses
at all levels of the supply chain to ensure supply of can be enormous and can occur at various stages of the
good quality food to the consumers. There have been supply chain including in the field, while transportation,
instances of Indian snacks being rejected because of in processing and packaging, and even while storage, as
the usage of certain pesticides which have been banned well as in the wholesale and retail markets. The post-
in the United States, although there is no restriction in harvest losses of agricultural produce requires utmost
their usage in India. One of the major reasons for the attention in India. According to the study by the Central
rejection of Indian agricultural exports in developed Institute of Post-Harvest Engineering and Technology
countries has been the imprudent use of fertilisers and (CIPHET), the wastage levels of food in India are
pesticides at the farm level and the limited use of good significantly high (4.6%-15.9% in fruits, 5.2% in inland
agricultural practices (GAP). fish, 10.5% in marine fish, 2.7% in meat and 6.7% in
poultry).
The equipment in the food testing laboratories are
not upgraded and the labs themselves are highly Infrastructural and Logistics Issues
understaffed, thereby resulting in inefficiency. A major movement of agri produce happens by road
Moreover, food testing laboratories often face the transport which continues to have infrastructural issues.
pressure of approval by the food packaging and There is a problem of congestion in national highways
processing companies. and the capacity to handle vehicles carrying bulky and
Another obstacle with regard to food safety is that heavy goods is less. Moreover, there are problems of
the nodal agency for food safety in India, FSSAI, can connectivity which are exacerbated by high logistics
regulate the domestic market and imports, but does cost and inappropriate fleet management. On various
not monitor exports. As a result, FSSAI does not engage occasions, the delivery is not timely which adds to the
in ensuring traceability of food products from the farm existing challenges.
level to the consumer.
Need for Production of Value- added Agri Produce,
Inadequate and Inefficient Cold Chain Infrastructure meeting International Demand
The absence of appropriate cold chain facilities can There is a requirement for the food supply chain to
lead to substantial food wastage and losses to the be adaptive in accordance to consumer demands.
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Globally, countries are into the practice of sourcing raw agricultural products from India being rejected in the
materials from India, while they engage in processing global markets. There is a mismatch between the supply
in their respective country, which has been the case in and demand of skilled professionals, which needs to be
tea, spices and various other commodities. Moreover, addressed in order to enhance India’s competence in
India imports certain finished goods such as processed the food processing sector.
juices and oils, which could possibly be prepared by
The availability of profitable job opportunities in other
using domestic resources. It is imperative that there
sectors has led to a paucity of number of professionals
is a change in focus for the food processing industry.
available for the food processing sector. For the smooth
Indian food processors undertake production of low
operation of the food processing industry, there is an
value added produce with the objective of meeting the
urgent requirement of efficient technicians, manpower
demands of the domestic market. Nevertheless, the
skilled in marketing as well as supply chain and logistics
food processing industry should aim to produce globally
suited value added products in order to increase exports managers. This will ensure efficacy in operations across
and bring about a rise in earnings. the entire value chain in the food processing industry.
There is need to introduce more courses specializing in
Limitations of Finance food processing which train the employees keeping into
The establishment of a food processing unit is capital account the industry demand, with enhanced emphasis
intensive caused by the considerable initial capital on research and development and qualifications on
requirement. The requirement of working capital in technology and innovations.
these industries is also high owing to the volatility in
Insufficient Innovation
the availability of raw materials caused by seasonal
factors. The RBI has classified loan to food and agro Given the significance of research and development
based processing units and cold chain under agriculture in the food processing industry, there is a need for
activities for Priority Sector Lending subject to aggregate enhanced focus in the area. This would require
sanctioned limit of INR 100 crore per borrower from the capitalizing on the science and technology investments
banking system, in order to encourage the setting up of that are already in place. Modern technology is a
food processing units. However, the procedural hurdles necessary requirement for ensuring the safety of
involved in obtaining credit from financial institutions nutritional quality of food and the value addition in
acts as a drawback in the development of the industry. the processing of food products. The utilization of
technology in sectors such as processing, warehousing,
Tax Structure
logistics and other segments of the supply chain in India
The high rates of taxation makes agri produce less remains low as compared to other economies of the
competitive in domestic as well as the global market. world. When food chain is unorganised, the application
The heavy excise duties and exorbitant rates of of poor technology leads to a decline in the nutritive
taxation require attention. Multiple taxes are levied value of food, thus making it unsuitable for exports.
on agricultural commodities in different states in the This, therefore calls for increased investments in R&D
form of market fee, sales tax etc. It is imperative that and technology in the food processing industry.
the processed food from India should be reasonably
priced through the rationalization of tax regime. STRATEGIES
Implementation of GST is expected to address this issue. Augmenting Productivity through Greater Technology
Limited Availability of Skilled Manpower Intervention
It is the dearth of skilled specialists which create an The yield of crops in India is negatively affected by the
obstacle in the process of product development and sluggish growth in technological advancement coupled
innovation in the food processing industry. The limited with the slow rate of knowledge dissemination. The
availability of quality control specialists has led to sophistication of today’s sensors, internet-enabled
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devices, software applications, and cloud data storage Managing Non-tariff Measures
facilities allow vast amounts and types of data to be
Many agricultural produce, either raw or processed, face
captured, stored, managed, and fed into decision-
a number of such NTBs across the world. This is largely
support tools to guide business decisions.
because of the lack of harmonization of standards of
Mobile phones are being used in countries like Ghana, products, stringent quarantine procedures, mandatory
Kenya, Nigeria and Thailand for the proliferation of labelling and packaging, different minimum residual
information on the appropriate fertiliser variety, prices of limits prescribed by countries for pesticides, drugs and
crops and inputs and forecast weather conditions. These other contaminants, including dispute with regard to
have proved very beneficial to increase productivity of definitions (for example, in the case of whisky). In fact,
crops and farmers income. Drones could also be put to according to ITC, the sectors with the highest numbers
use by the State Agricultural Universities to disseminate of technical regulations per imported product and the
important information on pest control, apt methods of highest share of imports subject to such regulations are
irrigation and integrated nutrient management. fresh and processed food3. To reduce compliance costs
and minimize disputes, an institution like APEDA can
Strengthening Research Institutes
play a crucial role in advocating a globally uniform set of
Significant reforms in agricultural research and accepted rules and regulations for various products at
extension services are crucial for the development of international forums. Countries should be encouraged
agro and agro processed industry in India. The most to base their domestic technical regulations or standards
critical issues in this regard include irrigation and water on those developed by international organizations,
management, the need for increase in quality seed including the Joint FAO/WHO Codex Alimentarius
usage, improved disease and pest management and the Commission (Codex) for food safety; the Office
need to focus on technology which is suited particularly International des Epizooties (OIE) for animal health; and
for small and marginal holdings. These could be made the International Plant Protection Convention (IPPC) for
possible by dedicated investment for the development plant health.
of infrastructure for agricultural research and education.
Adopting Good Agricultural Practices (GAP)
The research outcomes amongst the scientist may be
enhanced by incorporating performance indicators. The cost compliance for SPS measures have resulted in
Incentives should be given to the private sector to greater gains to the exporters in India allowing them
participate in the innovation process, which could lead market access. Therefore, the government needs to
to research in high yielding variety of seeds. encourage compliance to international standards
and help the exporters with the needed facilities. The
Human Resource Development
government needs to create means and mechanisms
There is a need for imparting training on pre-harvest to upgrade the national system for testing, certification
and post-harvest management practices in a crop- and laboratory accreditations in order to meet the
specific and location-specific manner to facilitate higher global trade demands. At the same time exporters
farm yields and better storage/transportation/quality must learn to supply safe products and to defend their
of the produce. The institutions engaged in this field interests in transparent, equivalence standards.
need to work more proactively with the Ministry of
Enhanced Emphasis on Packaging
Food Processing Industries towards introducing food
processing curriculum in the State educational system. The retailers can utilize the advantages being offered by
Training should be focussed on modern techniques innovative forms of packaging such as active packaging
of farming and product marketing. Curriculum could and smart tagging. In this regard, APEDA and other
also include a compulsory field work in spreading the relevant agencies could make provisions of financial
learnings to village panchayats and farmers. assistance, for small and medium sized exporters
Meeting the Standard For Trade, ITC
3
17
to undertake short term courses on food packaging Government through its various agencies could consider
provided by reputed institutes like Indian Institute of conducting more training programs with the aim of a
Packaging (IIP). While APEDA has been working with betterment in food standards, which will guarantee
Indian Institute of Packaging, the collaboration could be food safety.
further augmented to train exporters about packaging Promoting Synergy among Different Export Promotion
and labelling trends prevalent in international markets. Organisations
Cold Chain Infrastructure There is a need for synergising the activities of various
It is essential that at the producer stage, the farmers export promotion organisations such as Agricultural and
should be aware of the importance of cold chain Processed Food Products Export Development Authority
infrastructure and how that would link the farmers to (APEDA), the Marine Products Export Development
the value chain. There should be an increase in the Authority (MPEDA), the Coffee Board, the Tea Board,
the Spices Board, the Cashew Export Promotion Council,
extension services imparting knowledge in this regard.
and the Export Inspection Council, in such a manner
Not only among farmers, but also among all value
that the collaborative efforts can be undertaken with
chain actors including consumers and policy makers,
the objective of augmenting exports. A synchronised
the importance of cold chain in maintaining food
approach will help in India garnering greater share in
safety and quality, and preserving its economic value
agricultural and processed food exports.
should be inculcated. In this regard, the Ministry of
Food Processing Industries under the Scheme for Cold Strategizing Geographical Location for Food Processing
Chain, Value Addition and Preservation Infrastructure The location of food processing industries can be selected
provides financial assistance at the rate of 50% of the taking into account the vicinity of logistics centre and
total cost of plant and machinery and technical civil port. In this regard, initiatives are already being taken –
work in general areas, and 75% for the North Eastern for instance, as a part of the Sagarmala Programme of
Region. Such programs should be widely advertised by the Ministry of Shipping, two mega food park projects
APEDA for greater usage as a part of their knowledge are being implemented in Kakinada, Andhra Pradesh and
dissemination exercise. Satara, Southern Maharashtra by the Ministry of Food
Processing Industry. These projects are tactically placed
Focus on Food Safety
in the Coastal Economic Zone in close proximity to the
It is essential for all the participants of the food supply port with the aim of augmenting export of processed
chain including the farmers, manufacturers as well as food from India. Moreover, there should be provision of
the retailers to put in coordinated efforts to enforce green channel at airports and seaports for horticultural
food safety. There is a need to set up a robust system items. The introduction of international flights to and
for the purpose of ensuring compliance with the from Amritsar and Chandigarh would allow the smooth
regulatory regime in regions where the food product is flow of horticultural produce in Punjab to the Gulf
being consumed. An effective track and trace system is countries.
indispensable in maintenance of food quality, which is Conjunctive Management of Water
possible only when there is transparent communication
Conjunctive management could be a very successful
facilitation among members of the supply chain, who
tool in water management for irrigation. It refers to
should also be aware of the hazards accompanying the
the integrated and joint management of rainwater,
quality failure in food.
surface water, wastewater, and groundwater resources
Moreover, increasing the number of standards and for optimal socio-economic and environmental
aligning them with the international standards like outcomes at the level of aquifer and irrigation system
Hazard Analysis and Critical Control Points (HACCP), or a river basin. Conjunctive use refers to integrated
would help the food processing industry flourish. The use of surface and groundwater at the farm level.
18
Conjunctive management works through structures up both road and rail connectivity. This will ensure that
and processes that guide individual water users to farm produce can be transported across the length and
undertake conjunctive use. Conjunctive management breadth of the country in a more secure environment
is an important opportunity for increasing irrigation and in quick time, thereby ensuring minimal impact on
efficiency in India and prevent groundwater depletion, the quality of the produce. There is also a need for a
avoid farm-power subsidies, alleviate drought and dry sustained campaign to improve existing storage spaces
spells, and reduce water quality deterioration. and introduce technology to make the entire supply
chain smooth, transparent and mobile to ensure quality,
Need for Improved Extension Services
timely delivery, right price and minimal losses.
There is need of more specialized services like marketing
Clear-cut Agri Trade Policy
intelligence, price forecasting, soil testing, customized
fertilizer, foliar nutrition services, mobile based Emphasis should be laid towards formulating a focussed
extension, etc. Guided by private extension, farmers can agri export policy, as even in the case of free trade
become more export oriented and focused. Advanced agreements and regional trade agreements, agricultural
extension services will also help in price discovery for trade is largely overlooked. While a focussed agri-
undertaking food processing and thereby determine export policy is needed, even a stable agri-export
what could be the best produce to be engaged in. policy has not been formulated4. Measures should be
taken in this regard, to ensure hassle free provision
Improved Storage can Prevent Wastage of Agri-Products
of credit, adherence to sanitary and photo sanitary
There is a need to adopt best warehousing practices conditions of export markets and the availability of
for a robust supply chain management for agriculture appropriate infrastructure and marketing facilities. The
products. According to NITI Aayog, the estimated gap mind-set of the farmers should be changed from
between agri-warehousing supply and demand is 35 subsistence and domestic oriented farming to export
million tonnes. There is also an urgent need to spruce oriented farming.
Reviving Accelerating India Export Issues

4
19
1. Introduction
India is a richly endowed agricultural nation. It has Food Processing
nearly a tenth of world’s arable land and a fifth of
Food processing predominantly refers to the collection
world’s irrigated land. The country has all major of procedures and methods that lead to the conversion
climates, enjoys long sunshine hours, fairly good rainfall of raw materials to food or cause the alteration of food
which are ideally suited for round the year cultivation. into other forms of consumption. Hence, food processing
chiefly includes the blending of raw food ingredients to
All these in a way contribute towards making agriculture
produce food products that are marketable, easy to
as the third largest sector of India’s economy behind the
cook and have a long shelf-life. On the other hand, food
services and industry sector. Although, the contribution
processing technologies are the practices that are used
of agriculture to overall Gross Domestic Product (GDP) by the food and beverage industry to transform raw
has declined from approximately 30% in 1990-19915 to plant and animal material such as grains, meat and milk
nearly 17.4% in 2015-16, the sector is still considered into products. This in turn can be directly consumed by
the backbone of the Indian economy. With nearly the producers, for example frozen vegetables, flour and
58% of India’s population engaged in agriculture, it is potato chips.
essentially the principal means of livelihood. Besides,
As per the Ministry of Food Processing Industries, the
this sector also has a significant amount of backward
process of food processing includes the following:
or forward linkages, which contributes substantially - Manufacturing Process: If any raw product
to production, employment and demand generation. of agriculture, animal husbandry or fisheries
Overall, the sector plays a significant role in alleviating is transformed through a process (involving
poverty and ensuring sustainable development of the employees, power, machines or money) in such a
economy. way that its original physical properties undergo a
change and the transformed product is edible and
According to Food and Agriculture Organisation (FAO), has commercial value.
during the year 2014, India was the third largest - Value- Added Process: If the product has undergone
producer of wheat globally with the quantity of significant value-addition (increased shelf life,
production estimated at 95.9 million tonnes. Its share shelled and ready for consumption etc.).
in global wheat production was estimated at 13% The areas being looked into by Ministry of Food
during this period. In addition, India is the fifth largest Processing Industries are as follows:-
producer of coarse grains globally with its production  Processing and refrigeration of certain agricultural
estimated at 42 million tonnes in 2014 (a share of 3.2% products like milk powder, infant milk food, malted
in global production of coarse grains). India is also the milk food, condensed milk, ghee and other dairy
second largest producer of rice globally, behind China. products, poultry and eggs, meat and meat products.
The quantity of production during the year 2014 was  Processing of fish (including canning and freezing)
estimated at 104.8 million tonnes, accounting for  Establishment and servicing of development council
approximately 21% of the aggregate rice production in for fish processing industries
the world. Besides, India is the second largest producer  Technical assistance and advice to fish processing
of fruits and vegetables in the world. India is also the industry
leading producer of bananas, papayas, mangoes and  Fruit and vegetable processing industry (including
guavas, and the second largest producer of potatoes, freezing and dehydration) and
green peas, tomatoes, cabbage and cauliflower.  Food grains milling industry
State of Indian Agriculture (2011-12)

5
20
A strong and dynamic food processing sector plays a And hence, the establishment of an effective food
vital role in diversification and commercialization of processing sector with high levels of processing
agriculture, enhances shelf life, ensures value addition is extremely crucial to ensuring safety, reducing
to the agricultural produce, generates employment, wastage, while augmenting value addition, increasing
enhances income of farmers and creates markets for crop diversification and warranting better returns to
export of agro foods. Food processing helps the farmers farmers and increasing export opportunities. The food
to get better returns, higher yields and lowers the risk of processing industry therefore remains vital in providing
perishability. The growth of food processing sector can solutions to the issues of food security and food inflation
make significant contribution to the Indian Economy as it ensures the provision of nourishing food.
not only in economic terms but also in meeting the
The Study
objectives of ‘inclusive growth’ and ‘food security’.
Significant opportunities are, however, yet to be tapped This Study makes an attempt to analyse the production
in the areas of supply chain management, cold storage, and trade data of processed fruits and vegetables, fishery
financing retails and exports. and seafood, meat and poultry products, amongst
others. An effort has also been made to analyse India’s
Value Chain position and potential in the global markets.
Food processing includes various value additions that Given the resource endowment, India has the potential
are incorporated to the agricultural produce beginning to become one of the largest food processing countries
from the harvest stage, till making it available to the end in the world. Potential for production is also matched by
user for consumption or offering it as an industrial raw strong domestic demand for processed food products
material for the manufacturing industries. This process due to rapid urbanization, change in preferences and
assists in increasing the shelf life of agro products. practices in consumption. However, there remains some
challenges which the sector has been facing. Meeting
It may also be noted that the global agricultural markets the market requirements for agribusiness products has
are increasingly becoming complex because of the become more challenging in recent years. The Study has
concentration at all points in the value chain and the elucidated such challenges while recommending select
increasing scope and complexity of food standards, strategies which could help the food processing sector
particularly those relating to food safety. realise its full potential and become a global player.
Exhibit 1.1: Key Processes in Value Chain of Food Processing Industry
Source: Ministry of Food Processing Industries, Govt. of India
21
2. Global Scenario
The global food processing industry has experienced Exhibit 2.1: Major Exporters of Processed Food
massive development over the years, and has huge in the World (2014)
potential for further growth. Globally, the demand for
processed food is on the rise caused by an increase
in urbanisation and augmentation in the disposable
income of consumers worldwide. Food and beverage
e-commerce sales is another developing trend in
the food retail sector, which presents a tremendous
opportunity to meet the demands of the time-pressed
urban consumer.
GLOBLE TRADE OF PROCESSED FOODS
Table 2.1: Major Exporters of Processed Food
2010 2014 CAGR Share Source: ITC Geneva; Exim Bank Research
Rank Country
US$ bn %
The USA was also the leading importer of processed
1 The USA 41.8 62.2 10.5 8.3
food in the world, accounting for 11.5% of global imports
2 Germany 44.4 58.0 6.9 7.7
during 2014. Other major importers of processed
3 The Netherlands 38.1 53.5 8.8 7.1 food in the world included Germany (7.3%), the UK
4 France 38.5 46.1 4.6 6.1 (6.2%), Japan (5.7%), France (5.3%), the Netherlands
5 China 28.0 41.5 10.3 5.5 (4.4%), China (4.1%), Italy (3.6%), Canada (3.1%) and
6 Italy 23.9 30.5 6.2 4.1 Belgium (3.1%) (Table 2.2).
7 Belgium 23.3 29.5 6.1 3.9
8 The UK 19.1 25.4 7.3 3.4 Table 2.2: Major Importers of Processed Food
9 Spain 17.9 24.2 7.9 3.2
2010 2014 CAGR Share
10 Brazil 17.8 22.0 5.3 2.9 Rank Country
US$ bn %
17 India 5.9 15.2 26.5 2.0
1 The USA 57.3 81.6 9.2 11.5
World 555.6 750.9 7.8 100.0
2 Germany 41.5 51.9 5.8 7.3
Source: ITC Geneva; Exim Bank Research
3 The UK 36.1 43.8 4.9 6.2
The global exports of processed food was estimated at 4 Japan 36.3 40.4 2.7 5.7
US$ 750.9 billion during the year 2014. Exports have 5 France 31.2 37.4 4.7 5.3
recorded a CAGR of 7.8% during the period 2010 to
6 The Netherlands 22.0 31.1 9.1 4.4
2014. The USA was the leading exporter of processed
food with exports valued at US$ 62.2 billion (share of 7 China 14.0 29.4 20.3 4.1
8.3% in global exports) during the year 2014. Germany 8 Italy 22.9 25.7 2.9 3.6
was the second largest exporter of processed food with 9 Canada 16.5 22.2 7.7 3.1
a share of 7.7%. India held the seventeenth position in
10 Belgium 16.8 21.9 6.9 3.1
the exports of processed food in the world and had a
share of just about 2% in the aggregate global exports World 537.7 708.1 7.1 100.0
(Table 2.1). Source: ITC Geneva; Exim Bank Research
22
Exhibit 2.2: Major Importers of Processed Food Exhibit 2.4: Major Producers of Fruits
in the World (2014) in the World (2014)
Source: ITC Geneva; Exim Bank Research Source: FAO; Exim Bank Research
FRUITS AND VEGETABLES the second largest producer accounting for a share
Production of 12.8% of global production. Brazil (5.4%), the USA
(3.8%), Mexico (2.6%), Spain (2.6%), Indonesia (2.5%),
The global production of fruits and vegetables during Philippines (2.4%), Italy (2.3%) and Turkey (2.1%) were
the year 2014 was estimated at 1.9 billion tonnes. The
the other major producers of fruits globally (Exhibit 2.4).
production of fruits and vegetables recorded a CAGR of
2.7%, as the quantity of production increased from 1.67 The total vegetable production in the world during
billion tonnes in 2010 to 1.86 billion tonnes in 2014. The the year 2014 stood at 1169 million tonnes. China
aggregate production of fruits and vegetables increased was the largest producer of vegetables in the world
at a year-on-year rate of 2.8% during the year 2014
with the quantity of vegetables produced aggregating
(Exhibit 2.3).
to approximately 596.1 million tonnes. India was the
The aggregate fruit production in the world during second largest producer of vegetables globally and
the year 2014 was estimated at 689.9 million tonnes. accounted for a share of 10.8% in the global vegetable
China was the leading producer of fruits globally,
production. Other major producers of vegetables in the
with a production of 158.4 million tonnes. India was
world were the USA (3.1%), Turkey (2.4%), Iran (1.8%),
Exhibit 2.3: Global Production of Exhibit 2.5: Major Producers of Vegetables in

Fruits and Vegetables the World (2014)
Source: FAO; Exim Bank Research Source: FAO; Exim Bank Research
23
Egypt (1.7%), Vietnam (1.5%), Russia (1.4%), Mexico with shares of 8.4%, 8.2%, 6.1% and 5.9%, respectively,
(1.2%) and Spain (1.2%) (Exhibit 2.5). were other major exporters of processed fruits and
vegetables in the world. India, in spite of being the
Trade
second largest producer of fruits and vegetables, held
The value of world exports of processed fruits and the 18th position in the exports of processed fruits and
vegetables was estimated at US$ 66.3 billion during the vegetables, and accounted for a minor share of 1.3% in
year 2014, having recorded a CAGR of 6.9% during the the world exports in 2014 (Exhibit 2.6).
period 2010 to 2014. China was the largest producer as The USA was the leading importer of processed fruits
well as exporter of fruits and vegetables with its share and vegetables in the world during the year 2014,
in global exports estimated at 15.6% during the year with a share of 13.8% in world imports. Other major
2014. The USA, the Netherlands, Belgium and Italy, importers of processed fruits and vegetables were
Table 2.3: Major Exporters of Processed Table 2.4: Major Importers of Processed
Fruits and Vegetables Fruits and Vegetables
2010 2014 CAGR Share 2010 2014 CAGR Share
Rank Country Rank Country
US$ mn % US$ mn %
1 China 7682 10333 7.7 15.6 1 The USA 6111 8610 8.9 13.8
2 The USA 4093 5591 8.1 8.4 2 Germany 5100 6421 5.9 10.3
3 The Netherlands 4078 5469 7.6 8.2 3 France 3997 4926 5.4 7.9
4 Belgium 3354 4064 4.9 6.1 4 The UK 3350 4212 5.9 6.7
5 Italy 3273 3943 4.8 5.9 5 Japan 3493 4019 3.6 6.4
6 Spain 2624 3608 8.3 5.4 6 The Netherlands 2598 3659 8.9 5.9
7 Germany 2402 3189 7.3 4.8 7 Belgium 1922 2838 10.2 4.5
8 Turkey 1851 2459 7.4 3.7 8 Canada 1887 2623 8.6 4.2
9 Brazil 2024 2299 3.2 3.5 9 Italy 1474 1754 4.4 2.8
10 France 1844 2210 4.6 3.3 10 Russia 1612 1712 1.5 2.7
18 India 587 872 10.4 1.3 70 India 50 67 7.6 0.1
World 50831 66305 6.9 100.0 World 47807 62527 6.9 100.0
Source: ITC Geneva; Exim Bank Research Source: ITC Geneva; Exim Bank Research
Exhibit 2.6: Major Exporters of Processed Exhibit 2.7: Major Importers of Processed
Fruits and Vegetables in the World (2014) Fruits and Vegetables in the World (2014)
24
Germany, France, the UK, Japan and the Netherlands Exhibit 2.9: Major Producing Countries of
with shares of 10.3%, 7.9%, 6.7%, 6.4% and 5.9%, Inland Capture Fishery in the World (2014)
respectively. Among the leading importers of processed
fruits and vegetables, Belgium recorded the highest
CAGR of 10.2% during the period 2010 to 2014 (Exhibit 2.7).
FISHERY PRODUCTS
Production
As per FAO, the global production of capture fishery
and aquaculture during the year 2014 was estimated at
167.2 million tonnes, experiencing a growth of nearly
2.6% over the previous year.
The aggregate global capture fishery production during
Source: The State of World Fisheries and Aquaculture 2016;
2014 was approximately 93.4 million tonnes, of which Exim Bank Research
81.5 million tonnes were from marine waters and 11.9
million tonnes constituted production from inland
The global aquaculture production of fishery during
waters. In the case of marine fishery production,
the year 2014 was estimated at 73.8 million tonnes,
China was the leading producer and accounted for
registering a CAGR of 5.8% during the period 2010 to
approximately 18.2% of the global marine capture
2014, as it rose from 59 million tonnes to 73.8 million
fishery production. Other major producers of marine
tonnes. China accounted for approximately 61.6% of
capture fishery production included Indonesia (7.4%),
the aggregate aquaculture production in the world
the USA (6.1%), Russia (4.9%) and Japan (4.5%). India
was the seventh largest producer of marine capture during 2014. India was the second largest producer of
fishery production in 2014 (Exhibit 2.8). As far as aquaculture fishery with the quantity of production
inland water capture was concerned, China accounted estimated at 4.8 million tonnes (Exhibit 2.10).
for 19.3% of the aggregate production and was the Trade
leading producer globally during the year 2014. Other
producers of inland water capture production included World exports of fishery products during the year
Myanmar (11.6%), India (10.9%), Bangladesh (8.4%) 2014 were estimated at US$ 127.2 billion. The value of
and Cambodia (4.2%) (Exhibit 2.9). exports recorded a CAGR of 8% during the period 2010
Exhibit 2.8: Major Producing Countries of Exhibit 2.10: Major Producing Countries of
Marine Capture Fishery in the World (2014) Aquaculture Fishery in the World (2014)
Source: The State of World Fisheries and Aquaculture 2016; Source: The State of World Fisheries and Aquaculture 2016;
Exim Bank Research Exim Bank Research
25
to 2014. China was the leading exporter with a share of Japan was the second largest importer with imports
14.6% in world exports. Norway (8.3%), Vietnam (6.0%), valued at US$ 13.5 billion. Other major importers of
Thailand (4.9%) and the USA (4.4%) were other major fishery products included Spain, China, France and Italy.
exporters of fishery products. India was the sixth largest Among the leading importers of fishery products, China
exporter, accounting for a share of 4.3% in the aggregate had recorded the highest CAGR of approximately 10.9%
world exports of fishery products (Exhibit 2.11). followed by Sweden with a CAGR of 10.2% during the
period 2010 to 2014 (Exhibit 2.12).
The USA was the leading importer of fishery products
with its share in world imports standing at 16.8% in 2014. MILK, MEAT, POULTRY AND EGG
With a CAGR of 9.8% during 2010-2014, the country
Milk
also witnessed the third fastest increase in imports of
fishery products among the major importing countries. Production
The total world production of milk was estimated at
Table 2.5: Major Exporters of Fishery Products 801.6 million tonnes in 2014, experiencing an increase
2010 2014 CAGR Share Table 2.6: Major Importers of Fishery Products
Rank Country
US$ mn %
1 China 11715 18563 12.2 14.6 Rank Country
US$ mn %
2 Norway 8607 10542 5.2 8.3 1 The USA 14292 20747 9.8 16.8
3 Vietnam 4858 7597 11.8 6.0 2 Japan 13329 13544 0.4 10.9
4 Thailand 6764 6270 -1.9 4.9 3 Spain 6222 6581 1.4 5.3
4 China 4318 6523 10.9 5.3
5 The USA 4272 5571 6.9 4.4
5 France 5618 6302 2.9 5.1
6 India 2326 5438 23.7 4.3 6 Italy 5110 5810 3.3 4.7
7 Chile 2602 5014 17.8 3.9 7 Germany 4210 5683 7.8 4.6
8 Canada 3741 4403 4.2 3.5 8 Sweden 3190 4699 10.2 3.8
9 The UK 3469 4397 6.1 3.6
9 Ecuador 1674 4121 25.3 3.2
10 Korea 2660 3609 7.9 2.9
10 Indonesia 2437 4113 14.0 3.2
84 India 48 53 2.5 0.04
World 93633 127272 8.0 100.0 World 96372 123760 6.5 100.0
Source: ITC Geneva; Exim Bank Analysis Source: ITC Geneva; Exim Bank Analysis
Exhibit 2.11: Major Exporters of Exhibit 2.12: Major Importers of

Fishery Products in the World (2014) Fishery Products in the World (2014)
Source: ITC Geneva; Exim Bank Analysis Source: ITC Geneva; Exim Bank Research
26
Exhibit 2.13: Major Milk Producing Countries Table 2.7: Major Exporters of Dairy Products
in the World (2014)
Rank Country
US$ mn %
1 New Zealand 7248 11928 13.3 14.3
2 Germany 8198 11110 7.9 13.3
3 The Netherlands 6090 8620 9.1 10.3
4 France 6445 8125 6.0 9.7
5 The USA 2777 5471 18.5 6.5
6 Belgium 3144 3841 5.1 4.6

Source: FAO; Exim Bank Research
7 Italy 2472 3200 6.7 3.8
of 3.5% over the previous year. India was the largest
producer of milk accounting for 18.3% of the world 8 Denmark 2302 2563 2.7 3.1
production. Other major producers were the USA 9 Ireland 1837 2369 6.6 2.8
(11.7%), Pakistan (6.3%), China (5.3%), Brazil (4.4%) and
Germany (4.0%) (Exhibit 2.13). 10 Belarus 1464 2263 11.5 2.7
Trade 35 India 101 301 31.4 0.4
World exports of dairy products amounted to US$ World 59903 83668 8.7 100.0
83.7 billion during the year 2014, recording a CAGR of Source: ITC Geneva; Exim Bank Analysis
8.7% during the period 2010 to 2014. The top exporter
was New Zealand with a share of 14.3%, followed by
As far as imports are concerned, Germany was the
Germany (13.3%), the Netherlands (10.3%), France
leading importer of dairy products in the world with
(9.7%) and the USA (6.5%). India stood at the thirty fifth
a share of 9.1% in 2014. Other major importers of
position, with a share of 0.4% in global dairy exports
dairy products were China (7.9%), Italy (6.0%), the UK
during 2014 (Exhibit 2.14).
(5.1%), the Netherlands and France (4.9% each). India
Exhibit 2.14: Major Exporters of Exhibit 2.15: Major Importers of

Dairy Products in the World (2014) Dairy Products in the World (2014)
27
had a share of 0.1% in world import of dairy products 8.3% and 2.8%, respectively in the global production.
(Exhibit 2.15). India accounted for 2.0% share of the total global
Meat meat production (Exhibit 2.16).
Production Trade
The world’s aggregate meat production during the World exports of meat (bovine, ovine and pig) stood
year 2014 was estimated at 314.5 million tonnes. at US$124.8 billion in 2014. The USA, with a share of
China was the leading producer of meat with a share 12.0% in total world exports, was the largest exporter
of 26.8% in the world’s aggregate production during of meat products in 2014, followed by Germany (9.2%),
the year 2014. The USA was the second leading meat Australia (8.4%), Brazil (7.8%), the Netherlands (6.7%)
producing country in the world with a production of and Spain (4.7%). India was ranked tenth with a share
42.3 million tonnes. Brazil and Russia had shares of of 4.0% in global exports of bovine, ovine and pig meat.
Exhibit 2.16: Major Meat Producing Countries Exhibit 2.17: Major Exporters of Meat
in the World (2014) (Bovine, Ovine and Pig) in the World (2014)
Source: FAO; Exim Bank Research Source: ITC Geneva; Exim Bank Research
Table 2.8: Major Importers of Dairy Products Table 2.9: Major Exporters of Bovine, Ovine and
2010 2014 CAGR Share Pig Meat
Rank Country
US$ mn % 2010 2014 CAGR Share
Rank Country
1 Germany 5540 7271 7.0 9.1 US$ mn %
2 China 1935 6300 34.3 7.9 1 The USA 9689 15009 11.6 12.0
3 Italy 4267 4844 3.2 6.0 2 Germany 9640 11470 4.4 9.2
4 The UK 3361 4049 4.8 5.1 3 Australia 6129 10465 14.3 8.4
5 The Netherlands 2727 3961 9.8 4.9 4 Brazil 7076 9763 8.4 7.8
6 France 2915 3892 7.5 4.9 5 The Netherlands 6201 8312 7.6 6.7
7 Belgium 2832 3808 7.7 4.8 6 Spain 4066 5882 9.7 4.7
8 Russia 1907 3425 15.8 4.3 7 Canada 4241 5320 5.8 4.3
9 Spain 2060 2282 2.6 2.8 8 New Zealand 3800 5178 8.0 4.1
10 Algeria 988 2035 19.8 2.5 9 Denmark 4903 5114 1.1 4.1
87 India 178 45 -29.1 0.1 10 India 1767 5052 30.0 4.0
World 55468 80123 9.6 100.0 World 92052 124793 7.9 100.0
Source: ITC Geneva; Exim Bank Analysis Source: ITC Geneva; Exim Bank Research
28
However, among the top 10 exporters of meat products, Poultry and Egg
India was the country to record the highest growth, Production
registering a CAGR of 30.0% during the 2010 to 2014
The world production of eggs was estimated at 75.5
period (Exhibit 2.17).
million tonnes during the year 2014, registering an
Japan was the largest importer of bovine, ovine and increase of 2.1% as compared to the previous year.
pig meat, accounting for 10.1% of the global imports of The global production of poultry meat during the year
meat in 2014. Other major importers of meat were the 2014 stood at 112.9 million tonnes. The USA was the
USA (8.0%), the UK (7.0%), Germany (6.9%), Italy (5.6%) leading producer of poultry meat with a share of nearly
and Hong Kong (5.5%) (Exhibit 2.18). 18.1% of the aggregate global production. Other major
producers of poultry meat during the same period
Exhibit 2.18: Major Importers of Meat were China, Brazil, Russia, Mexico and India with shares
(Bovine, Ovine and Pig) in the World (2014) of 15.5%, 11.5%, 3.3%, 2.6% and 2.4% respectively
(Exhibit 2.19).
Exhibit 2.19: Major Poultry Meat Producing Countries

in the World (2014)
Table 2.10: Major Importers of Bovine, Ovine Source: FAO; Exim Bank Research
and Pig Meat
Trade
Rank Country World exports of poultry and egg products were valued
US$ mn %
at US$ 32.1 billion during the year 2014. Brazil was
1 Japan 10112 11490 3.2 10.1
2 The USA 5019 9130 16.1 8.0
Exhibit 2.20: Major Exporters of Poultry and
3 The UK 6689 7961 4.4 7.0 Egg in the World (2014)
4 Germany 6661 7819 4.1 6.9
5 Italy 6086 6330 1.0 5.6
6 Hong Kong 3100 6300 19.4 5.5
7 France 5035 5750 3.4 5.0
8 China 1532 5206 35.8 4.6
9 Russia 5201 5094 -0.5 4.5
10 The Netherlands 3457 4709 8.0 4.1
130 India 1 2 18.9 0.0
World 86967 113881 7.0 100.0
29
the leading exporter of these products with its share Table 2.12: Major Importers of Poultry and Egg
in world exports estimated at 22.2%. Other major
exporters of poultry and egg products included the Rank Country
USA (17.1%), the Netherlands (12.8%), Poland (6.1%), US$ mn %
Germany (5.0%), Belgium and France (3.6% each). India 1 Germany 2008 2387 4.4 9.4
had the thirty first position in export of poultry and egg,
2 The UK 1714 1932 3.0 7.6
Exhibit 2.21: Major Importers of Poultry 3 Hong Kong 1717 1773 0.8 7.0
and Egg in the World (2014) 4 Mexico 852 1542 16.0 6.1
5 The Netherlands 893 1418 12.3 5.6
6 Japan 1154 1403 5.0 5.5
7 France 991 1289 6.8 5.1
8 Russia 945 1105 4.0 4.4
9 China 963 879 -2.3 3.5
10 UAE 0 858 - 3.4
130 India 0 1 - 0.0
World 20509 25370 5.5 100.0
Table 2.11: Major Exporters of Poultry and Egg

accounting for a mere 0.3% of world exports during the
2010 2014 CAGR Share year 2014 (Exhibit 2.20).
Rank Country
US$ mn % Germany was the leading importer of poultry and egg
1 Brazil 6034 7122 4.2 22.2 products during the year 2014, and had a share of 9.4%
2 The USA 4111 5485 7.5 17.1 in the global imports. The UK was the second largest
importer with imports aggregating US$ 1.9 billion.
3 The Netherlands 2984 4102 8.3 12.8
Other major importers of these products included Hong
4 Poland 1055 1976 17.0 6.1 Kong, Mexico, the Netherlands, Japan, France, Russia,
5 Germany 1157 1611 8.6 5.0 China and UAE (Exhibit 2.21).
6 Belgium 976 1171 4.7 3.6 OTHER PROCESSED FOOD
7 France 1115 1170 1.2 3.6 The category of ‘other processed food’ includes
8 Turkey 352 1047 31.3 3.3 groundnuts, guar gum, jaggery and confectionery,
cocoa products, cereal preparations, milled products,
9 Hong Kong 860 772 -2.7 2.4
processed beverages, and miscellaneous preparations,
10 China 486 636 7.0 2.0 as categorised by APEDA. The exports of ‘other
31 India 61 101 13.4 0.3 processed foods’ from the world was valued at US$
316.7 billion during the year 2014. The exports of other
World 24233 32145 7.3 100.0
processed food has recorded a CAGR of 7.7% during the
Source: ITC Geneva; Exim Bank Research period 2010 to 2014.
30
3. Indian Scenario
India ranks second in terms of arable land in the world, trends such as a rise in the disposable income of the
and has the advantage of being endowed with a diverse population has been fuelling the demand for processed
agro climatic zone. These benefits enable India to food.
produce a wide range of agricultural products. It is this
potential in the field of agriculture that leads to the Emerging Industry
provision of large and varied raw materials for the food The agricultural production in India has been rising
processing industry. While India realises the immense steadily over the years. According to the Ministry of
potential in the food processing industry, tapping this Food Processing Industries (MOFPI), Government of
can help India to become a leading global food supplier India, the country is the leading producer of milk, ghee,
and get recognized as an important player in the global pulses, ginger, bananas, guavas, papayas and mangoes
agricultural and food trade. globally. Additionally, India ranks second in the world
Moreover, with a population of 1.2 billion growing at in the production of rice, wheat, and various other
about 1.25% per annum, India is a large and growing vegetables and fruits. The provision of ample quantity
market for food products6. Additionally, India has been of raw material, and a consistent rise in the demand
experiencing a major shift in its dietary pattern, driven for food products has led to a vibrant food processing
by its young population. This factor along with other industry.
Table 3.1: Contribution of Food Processing Industries to GDP at 2011-12 Prices
Economic Activity 2011-12 2012-13 2013-14 2014-15

Rs. thousand crore
GDP - All India 8195.5 8599.2 9169.8 9827.1
GDP- Manufacturing 1482.2 1574.5 1658.2 1776.5
GDP- Agriculture, Forestry & Fishing 1505.6 1523.5 1579.3 1582.9
GDP-Food Processing Industry 150.4 143.4 149.6 160.2
Growth (%) 2012-13 2013-14 2014-15 AAGR
GDP - All India 4.93 6.64 7.17 6.23
GDP-Food Processing Industry -4.66 4.32 7.13 2.26
Share of FPI in GDP (%) 2011-12 2012-13 2013-14 2014-15
GDP - All India 1.83 1.67 1.63 1.63
Source: Ministry of Food Processing Industries; Govt. of India
CII-RABO Equity Report on Driving Make in India in Food Processing

6
31
According to the available data from the MOFPI, the food Foreign Direct Investments
processing sector has been growing at a faster rate than In the food processing sector, 100% FDI is permitted
the increase in the agricultural sector. While the annual under the automatic route. Additionally, 100% FDI is
growth rate of the food processing sector averaged allowed through the government approval route for
2.26% during the 2011-12 to 2014-15 period, that of trading, including through e-commerce in the case of
the agricultural sector averaged only 1.69% during this food products manufactured or produced in India. The
period. As per the Index of Industrial Production, the Indian food processing industry is an attractive FDI
food processing sector has performed better than the destination.
manufacturing sector during the period 2014-15. While Cumulative FDI equity inflows during the period April
the growth in index for the food processing sector was 2000 to December 2016 in the food processing sector
4.8% during this period, that of the manufacturing was estimated at US$ 7.5 billion. This was equivalent
sector was recorded as 2.3%. to a share of 2.3% of the total FDI inflows in the
country during that period. The FDI inflow in the food
Generating Employment
processing industry has recorded a CAGR of 21.8%
Food Processing is an employment intensive industry during the period 2010-11 to 2015-16. The FDI in food
and offers immense employment generation processing industry peaked during the year 2013-14
opportunities. The sector contributed 11.69% to the with investments reaching US$ 3982.9 million, however
employment generated in the registered factory sector it declined considerably in the following two years and
in 2012-13. According to the latest Annual Survey of amounted to US$ 500.8 million during the first half of
Industries (ASI) for 2012-13, the aggregate number of 2016-17 (Exhibit 3.2).
people engaged in registered food processing sector Government Policies
amounted to 16.89 lakhs. The employment in the To support the food processing sector, the Government
registered food processing units has recorded a CAGR of India has taken several initiatives. Some of the major
of 2.3% during the period 2007-08 to 2012-13. As per ones are as follows:
the National Sample Survey Office (NSSO) 67th Round
 The food processing sector had been recognised as
(2010-11), the unregistered food processing sector
a priority sector in the New Manufacturing Policy
provides employment to around 47.9 lakh workers.
during the year 2011.
Exhibit 3.1: Employment in Registered Food  Loans to food and agro based processing units and
Processing Units (in lakhs) cold chain are covered under the Priority Sector
Lending (PSL) by banks.
 100% FDI is permitted through automatic route in
food processing sector.
 Concessional rate of customs duty applicable on
imported equipment under the project import
benefits.
 Income tax deductions on capital expenditure

allowed at the rate of 150% for setting up and
operating cold chain or warehouse for storage of
Source: Ministry of Food Processing Industries; Govt. of India agricultural produce.
32
 100% income tax exemption available to new food  E-National Agriculture Market (e-NAM) coverage
processing, preservation and packaging units for the will be expanded to 585 markets.
first five years of operation, and at the rate of 25%-
 New mini labs in Krishi Vigyan Kendras (KVKs) and
30% thereafter.
efforts to ensure 100% coverage of all 648 KVKs in
 The Government has set up a special fund called the country for soil sample testing.
“Food Processing Fund” worth approximately USD
Table 3.2: Share of Food Processing Industry in Total
300 million (at Rs. 67.25 to 1 USD) in National Bank FDI Equity Inflow
for Agriculture and Rural Development (NABARD)
for extending affordable credit to designated food FDI in Food Share of FPI
Processing in Total FDI
parks and the individual food processing units in the Year
Industry Equity Inflow
designated food parks. (US$ mn) (%)
The Union Budget 2017-18 has also announced a few 2010-11 188.7 0.9
measures in support of the food processing sector.
2011-12 170.2 0.5
These include the following:
2012-13 401.5 1.8
 Dairy Processing Infrastructure Development Fund
to be set up with NABARD with an initial corpus of 2013-14 3982.9 16.4
Rs. 8,000 crore. 2014-15 515.9 1.7
 Coverage under Fasal Bima Yojna scheme to be 2015-16 505.9 1.3
Page increased
33: from 30% to 40%. Source: DIPP
Exhibit 3.2: FDI Inflows in Food Processing Industry

Exhibit 3.2: FDI Inflows in Food Processing Industry
(US$ mn)
4500.0
3982.9
4000.0
3500.0
3000.0
2500.0
2000.0
1500.0
1000.0
401.5 515.9 505.9
500.0 188.7 170.2
0.0
2010-11 2011-12 2012-13 2013-14 2014-15 2015-16
Source: DIPP
33
4. Trade Scenario of Indian Processed Food Industry

The food processing sector is among the relatively The imports of processed food from India has been
larger sectors in India in terms of production, estimated at US$ 1.3 billion during the year 2015-16,
consumption and exports. During the year 2015-16, the with the value of imports being stable as compared
exports of processed food from India stood at US$ 12.9 to the previous year. The UK, with a share of 16.8% in
billion, registering a decline of approximately 17.3% the total imports, was the leading import source for
as compared to the previous year. Vietnam was the processed food in India in 2015-16. The other major
leading export destination for processed foods from import sources were the USA, Nepal, China, Indonesia,
India and occupied a share of 22.6% in the country’s France, Singapore, Brazil, Bangladesh and UAE (Exhibit 4.2).
aggregate exports. The other major export destinations
Analysis of Sub-Segments
for Indian processed foods included the USA (15%),
UAE (4.8%), Malaysia (4.6%), Saudi Arabia (3.4%), Japan This study specifically focusses on the status of the
(3.4%), Egypt (3.1%), Thailand (2.5%), the UK (2.1%) and following segments of the food processing industry in
Indonesia (2%) (Exhibit 4.1). India, given their contribution to the sector as a whole.
• Processed Fruits and Vegetables
Exhibit 4.1: India’s Major Export Destinations of
Processed Food (2015-16) • Processed Marine Products
• Processed Meat, Poultry and Dairy
PROCESSED FRUITS AND VEGETABLES
Production
The production of fruits and vegetables has increased
considerably in the country in recent years. India is
the second largest producer of fruits and vegetables
in the world, second only to China, which is the largest
producer of fruits and vegetables globally7. Fruits and
vegetables together constituted about 90.7% of the
Source: DGCIS; Exim Bank Research
total horticultural production in the country. India is
the leading producer of bananas, papayas, mangoes
Exhibit 4.2: India’s Major Import Sources of and guavas, and holds the second position in the
Processed Food (2015-16)
production of potatoes, green peas, tomatoes, cabbage
and cauliflower.
According to the National Horticulture Board, fruit
production in India has increased from 28.6 million
tonnes in 1991-92 to 91.4 million tonnes in 2015-16.
Similarly, vegetable production has increased from 58.5
million tonnes to 166.6 million tonnes during the same
period. The production of fruits and vegetables has
recorded a CAGR of 4.6% and 1.6%, respectively during
the five year period 2011-12 to 2015-16. On a year on
Source: DGCIS; Exim Bank Research year basis, the production of fruits increased by 2.2%,
Pocket Book of Agricultural Statistics 2014; Ministry of Agriculture and Farmers Welfare; Govt. of India
7
34
major fruits produced in India are mango (20.5%), citrus

Exhibit 4.3: Production of Fruits and (12.6%), papaya (6.2%) and guava (4.4%). Potato was
Vegetables in India
the major vegetable produced in India with a 26.3%
share in total vegetable production during 2015-16.
Onion was the second leading vegetable produced in
India followed by tomato, brinjal and cabbage (Exhibit 4.4).
Uttar Pradesh was the leading producer of fruits in
India, with a production of approximately 10.1 million
tonnes in 2015-16 (11.0% of total fruit production).
Andhra Pradesh (10.9%) and Maharashtra (10.6%)
were the second and third largest fruit producing states
in India. As far as vegetables are concerned, Uttar
Pradesh and West Bengal were the largest vegetable
Source: National Horticulture Board, Ministry of Agriculture and
Farmers Welfare; Govt. of India
producing states with shares of 15.4% and 13.7% each.
Other major vegetable producing states included Bihar,
while the growth in production of vegetables was flat Madhya Pradesh, Odisha, Tamil Nadu, and Andhra
during 2015-16 (Exhibit 4.3). Pradesh (Exhibit 4.5).
The area under cultivation of fruits and vegetables has Trade Pattern
also increased in sync with the production. The area
Though India has registered a significant growth in
under fruit cultivation increased from 2.9 million ha
the export of processed fruits and vegetables, India’s
in 1991-92 to approximately 6.4 million ha in 2015-16, share constitutes an insignificant portion of global
and area under vegetable cultivation increased from 5.6 exports of these commodities. In the light of growing
million ha to 9.6 million ha in 2015-16. global demand for processed fruits and vegetables
With a share of 31.8% in total fruits produced, banana and India being amongst the leading producer of fruits
is the leading fruit in terms of quantity produced. Other and vegetables in the world, there is a huge scope for
Exhibit 4.4: Major Fruits and Vegetables Produced

in India (2015-16)
Source: National Horticulture Board, Ministry of Agriculture and Farmers Welfare; Govt. of India
35
Exhibit 4.5: State- Wise Production of Fruits and Vegetables in India (2015-16)
Source: National Horticulture Board, Ministry of Agriculture and Farmers Welfare; Govt. of India
Exhibit 4.6: India’s Export and Import of Processed

further surge in exports. India’s export of processed
Fruits and Vegetables (US$ million)
fruits and vegetables were estimated at US$ 856.7
million during the year 2015-16, registering a marginal
decline of 4% as compared to the previous year. India’s
imports of processed fruits and vegetables during the
same period have observed a decline of 0.2% and were
estimated at US$ 99.9 million. The exports of processed
fruits and vegetable during the period 2011-12 to 2015-
16 increased at a CAGR of 5.1%, while imports during
the same period registered a CAGR of 4.9% respectively
(Exhibit 4.6). Source: DGCIS, Exim Bank Research
*Includes exports of processed fruits and vegetables except pulses
The USA, with a share of 14.4%, is the leading export
destination for processed fruits and vegetables from Exhibit 4.7: India’s Major Export Destinations of
India. The exports to Saudi Arabia during the year Processed Fruits and Vegetables (2015-16)
2015-16 was estimated at US$ 81.5 million and it is the
second largest export destination of processed fruits
and vegetables from India. The Netherlands (8.3%), the
UK (8.1%), Germany (5.4%), UAE (5.2%), Russia (3.7%),
France (3.6%), Belgium (3.4%) and Canada (2.8%) are
other significant export destinations of India’s processed
fruits and vegetables (Exhibit 4.7).
China is the leading import source of processed fruits
and vegetables followed by the USA and Afghanistan.
According to MOFPI, the wastage of fruits and vegetables
is estimated at approximately 4.6% - 15.9% annually. Source: DGCIS, Exim Bank Research
36
Exhibit 4.8: India’s Major Import Sources of Processed for prosperity in trade. Thus, this potential should be
Fruits and Vegetables (2015-16) optimally utilized for further developments.
PROCESSED FISHERIES AND SEAFOOD
Fisheries and aquaculture has emerged as an important

commercial activity from its traditional role as a
supplementary activity for subsistence. The sector has
displayed significant developments over the years,
and plays a major role in increasing food supply,
generating job opportunities, raising nutritional levels
and earning foreign exchange. India today is the second
largest producer of aquaculture in the world producing
approximately 7% of the global output, second only to
Source: DGCIS, Exim Bank Research
China. India is endowed with abundant geographical
This loss can be attributed to lack of modern harvesting
resources including a long coastline, rivers, canals,
practices and inadequate cold chain infrastructure. The
reservoirs, ponds, tanks and brackish water, which are
processing levels in fruits and vegetables is as low as
suited for both inland and marine fishery.
2%. Thus, there is an urgent requirement to invest in
initiatives that will ensure lesser wastage, by enabling Production
adequate infrastructure, research and development Fish production in India was estimated to be 100.7 lakh
for processed food and packaging, innovation in areas tonnes, recording a year-on-year growth of 5.1% in
of farm preservation and skill development. India’s 2014-15. While inland fish production8 in India recorded
geographical location and close proximity to the a CAGR of 6.4% during the period 2004-05 to 2014-15,
countries in South East Asia gives it immense advantages marine fish production, estimated at 34.9 lakh tonnes,
Exhibit 4.9: Fish Production in India (lakh tonnes)
Source: Department of Animal Husbandry, Dairying & Fisheries, Ministry of Agriculture and Farmers Welfare; Govt. of India
8
Capture Fishery: The harvesting of fish stocks occurring naturally in a body of water. Aquaculture: The farming of fish/shell fish in freshwater
or salt water. Inland Fishery is defined by FAO as Inland Capture plus Aquaculture.
37
registered a CAGR of 2.3% during the same period by 13% as compared to the previous year. However,
(Exhibit 4.9). imports of fishery and seafood increased at 8.7% year-
The top 5 states for fisheries production in India are on-year during the same period (Exhibit 4.11).
Andhra Pradesh, West Bengal, Gujarat, Kerala and Tamil
Exhibit 4.11: India’s Export and Import of Processed
Nadu with a combined share of nearly 57%. Andhra
Fishery and Seafood Products (US$ million)
Pradesh is the leading state in inland fishery production
and the quantity produced during 2014-15 was nearly
15 lakh tonnes. Other major states in inland fishery
production are West Bengal, Uttar Pradesh and Bihar
with shares of 21.9%, 7.5% and 7.3%, respectively.
Exhibit 4.10: Top 5 Fish Producing States in India

(2014-15)
The USA was the leading importer of processed fishery

and seafood from India and accounted for nearly 28.2%
of the aggregate seafood exports from India during
2015-16. Vietnam was the second largest seafood
importer with imports of US$ 885.6 million. Other major
export destinations of seafood from India included Japan
Source: Department of Animal Husbandry, Dairying & Fisheries, (8.5%), Spain (3.9%), Belgium (3.7%), China (3.1%), UAE
Ministry of Agriculture and Farmers Welfare Govt. of India (3.0%), the UK (2.9%), Italy (2.7%) and Thailand (2.7%).
Frozen shrimp was the major item of export from India.
During the year 2014-15, Gujarat was the largest The USA was the largest importer of frozen shrimp from
producer of marine fish production with the quantity India, followed by the European Union and South East
of production being estimated at approximately 7 lakh Asia. The increase in seafood exports from India can be
tonnes, followed by Kerala and Maharashtra. attributed to an increase in shrimp aquaculture in India.
Most of the exports are in the frozen form and there is
Trade Pattern
immense potential for export of value added products
Indian seafood is demanded substantially in the global (Exhibit 4.12).
markets, and over the years, seafood exports from India
Bangladesh was the largest supplier of fishery and
have increased both quantitatively and qualitatively.
seafood products to India during 2015-16. The other
India had a significant trade surplus in the fishery and significant import sources for fishery products to India
seafood sector, with exports amounting to US$ 4696.6
included Vietnam, the USA, Myanmar, the UK, Oman,
million and imports worth US$ 67.7 million during
Indonesia, Thailand, Denmark and Singapore (Exhibit 4.13).
the year 2015-16. While India’s export of fishery and
seafood has registered a CAGR of 49.5%, the imports There is a huge scope for augmentation in exports of
have recorded a CAGR of 45.9% during the period seafood from India, given the present low levels of value
2011-12 to 2015-16. The exports of fishery and seafood addition and lack of product branding. In this regard,
suffered a setback during 2015-16, as exports declined various measures need to be taken by the Government
38
Page 39:
Exhibit 4.12: India’s Major Export Destinations of ExhibitExhibit

4.14:4.14:
Meat
Meat Production in India
Production in India
Processed Fishery and Seafood Products (2015-16)

8.0 14
13.3
7.0 12
6.0
10
Growth(%)
5.0
8
Production
7.9
4.0 7.3
6.6
6
3.0
4.8 4.6
4
2.0
1.0 2
4.6 4.9 5.5 5.9 6.2 6.7 7.0
0.0 0
2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16
Production(mn tonnes) Growth(%)
Source: Ministry of Agriculture and Farmers Welfare; Govt. of India
With respect to this, demonstrating the traceability

Source: DGCIS; Exim Bank Research of seafood has become a crucial requirement for
exports to foreign markets, and priority should be given
Exhibit 4.13: India’s Major Import Sources of to ensure international standards of seafood are
Processed Fishery and Seafood Products (2015-16)
complied with.
PROCESSED MEAT, POULTRY AND DAIRY
Production
Meat and Poultry
India is the leading producer of livestock in the world. The

aggregate production of meat in India during the year
2015-16 was estimated at 7 million tonnes, registering
a year-on-year growth of 4.6% (Exhibit 4.14). The total
production of meat recorded a CAGR of 7.4% during
the period 2009-10 to 2015-16. Uttar Pradesh is the
largest producer of meat in the country and accounted
to encourage diversification of products, promote value for approximately 20.2% of the aggregate production of
addition and product branding such that the export meat in India during 2015-16. West Bengal with a share
market can flourish. Moreover, upgrading infrastructure of 9.8% and Maharashtra, with a share of 9.6%, were
and ensuring betterment of the value chain thereby the other leading producers of meat during 2015-16
enabling the supply of quality fish to the consumers (Table 4.1).
is critical for enhancing exports. As per the Ministry of With an estimated production of 2 million tonnes and
Food Processing Industries, the processing levels9 of a share of 30.2% in total meat production, commercial
marine food in India have been estimated at 23%. There poultry was the largest segment of meat production
is huge demand for processed and ready-to-eat marine during the year 2014-15 (Exhibit 4.15).
products in both the domestic and overseas market.
Buffalo meat was the second largest segment with a
Due to the increased focus on environmental production of approximately 1.4 million tonnes (20.98%
sustainability of fisheries, traceability of seafood and share) during the same period. Uttar Pradesh was the
eco-labelling are being given increased emphasis. largest producer of buffalo meat in India followed by
The level of conversion of raw materials to food or causing the alteration of food into other forms of consumption.
9
39
Table 4.1: Major Meat Producing States in India
State 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16

thousand tonnes
Uttar Pradesh 845.0 955.6 1136.9 1221.0 1397.2 1417.9
West Bengal 577.0 611.1 648.4 649.0 657.2 686.3
Maharashtra 563.0 584.7 590.7 605.0 630.6 675.1
Andhra Pradesh 747.0 823.6 906.2 935.0 527.7 566.3
Tamil Nadu 466.0 460.4 462.3 465.0 491.9 544.5
Kerala 124.0 425.6 401.0 416.0 445.8 466.0
Haryana 319.0 336.9 347.6 367.0 381.4 402.8
Bihar 223.0 227.8 228.3 292.0 294.3 301.7
Punjab 175.0 180.8 212.1 235.0 236.9 249.9
Karnataka 124.0 139.6 166.1 170.0 181.5 196.6
India 4869 5514.3 5948.1 6235 6691.7 7020.0
Exhibit 4.15:Category-Wise Meat Production in India Exhibit 4.17: Major Milk Producing States in India
(2014-15) (2015-16)
Source: National Dairy Development Board

Table 4.2: Milk Production and Per Capita Availability

Exhibit 4.16: Major Egg Producing States in India of Milk in India
(2014-15)
Year Production Per capita
availability
(million tonnes) (gms/day)
2009-10 116.4 273
2010-11 121.8 281
2011-12 127.9 290
2012-13 132.4 299
2013-14 137.7 307
2014-15 146.3 322
2015-16 155.5 337
Source: Ministry of Agriculture and Farmers Welfare; Govt. of India Source: National Dairy Development Board
40
Punjab and Kerala. The production of poultry meat was leading milk producing state in the country and its share
estimated at 1 million tonne. Haryana and West Bengal in the total milk produced in India during 2015-16 was
were the leading producers of poultry meat with shares 17.0%. Rajasthan, Gujarat, Madhya Pradesh and Punjab
of 35.9% and 33.1% respectively. The production of had shares of 11.9%, 7.9%, 7.8% and 6.9% respectively
(Exhibit 4.17). India is also the largest consumer of
sheep meat and goat meat was estimated at 0.5 million
milk with per capita availability being 337 gms/ day,
tonnes and 0.9 million tonnes, respectively during the
slightly higher than the global average. The production
year 2014-15. As per the Ministry of Food Processing of milk during the year 2015-16 was estimated at
Industries, the current processing levels in meat stand approximately 155.5 million tonnes, displaying a growth
at 21% and that of poultry stand at 6%. of 6.3% as compared to the previous year (Table 4.2).
The production of milk in India has recorded a CAGR
Egg
of 4.9% during the period 2009-10 to 2015-16. India’s
Egg production in India during the year 2014-15 was milk production is expected to reach 180 million tonnes
estimated at 78.5 billion. Egg production in India has by 2020 from the current 155.5 million tonnes, and
the demand for that period is projected at 200 million
displayed an increasing trend with the year-on-year
tonnes.
growth rate being nearly 5%. With production of
Trade Pattern
approximately 15.9 billion eggs, Tamil Nadu was the
largest egg producing state accounting for a share of Meat
20.3% in aggregate production of eggs. Other major egg India is among the largest exporters of meat in
producing states in India are Andhra Pradesh, Telangana, the world and the value of exports during the year 2015-
Maharashtra, West Bengal and Haryana (Exhibit 4.16). 16 was US$ 4201 million. However, the export of meat
Dairy products have declined at a y-o-y rate of 14.7% during
this period. Nonetheless over a larger time horizon,
India was the largest milk producer in the world,
accounting for approximately 18.3% of total global exports of meat products from India have grown at a
output during the year 2014. Uttar Pradesh is the healthy pace, registering a CAGR of 9.6% during the
Exhibit 4.18: India’s Export and Import of Meat Products (US$ million)
Source : DGCIS, Exim Bank Research
41
period 2011-12 to 2015-16, as the value of exports Exhibit 4.19: India’s Major Export Destinations of
rose from US$ 2906.6 million to US$ 4201 million. The Meat Products (2015-16)
imports of meat were estimated at US$ 3.8 million
during 2015-16, registering a sharp decline of 28.8% as
compared to the previous year (Exhibit 4.18).
Vietnam was, by far, the leading export destination of
meat from India, accounting for 47.4% of the aggregate
exports of meat products from India during the year
2015-16. Malaysia, with imports of US$ 410 million
was the second largest importer of meat from India.
Other leading export destinations of meat from India
were Egypt (8.5%), Saudi Arabia (5.8%), UAE (4.4%),
Iraq (2.8%), Philippines (2.8%), Algeria (2.7%), Thailand Source: DGCIS; Exim Bank Research
(2.6%) and Kuwait (2.3%) (Exhibit 4.19).

Exhibit 4.20: India’s Major Import Sources of Meat
Sri Lanka was the largest import source of meat and Products (2015-16)
meat products for India and its share in India’s aggregate
imports was 23.2% during the year 2015-16. Other
major source countries for imports during the same
period were Belgium, New Zealand, Spain, Italy, the
UK, Australia, the Netherlands, Germany and Thailand
(Exhibit 4.20).
Poultry and Egg
The exports of poultry and egg products from India have
been displaying a rising trend, with exports increasing
from US$ 45.4 million in 2011-12 to US$ 117.0 million
in 2015-16, thereby registering a CAGR of 26.7% during Source: DGCIS; Exim Bank Research
this period. On the other hand, imports of poultry and

egg were valued at US$ 1.3 million during 2015-16. The As far as imports were concerned, Germany was the
import of egg and poultry rose considerably during the predominant source country accounting for a share of
year 2013-14, and reached the value US$ 0.9 million 80.5% of India’s total imports of poultry and egg during
(Exhibit 4.21). 2015-16 (Exhibit 4.23).
Oman was the leading export destination for poultry Dairy Products
and eggs from India. The value of exports to Oman was The exports of dairy products from India were estimated
approximately US$ 31 million during the year 2015-16. at US$ 115.3 million during the year 2015-16, while
Saudi Arabia, with a share of 12.5%, was the second imports during the same period were valued at US$ 49
largest destination of poultry and egg exports from million. The exports of dairy products had increased
India. Other major export destinations for poultry and significantly during the year 2013-14, however it
egg from India during the year included Japan, Germany, has been declining ever since, registering year-on-
Maldives, Bahrain and Indonesia with shares of 10.5%, year decline of 41% during the year 2015-16. On the
7.6%, 6.9%, 6.4%, and 5.9%, respectively (Exhibit 4.22). other hand, imports recorded growth rate of 5.9%
42
Exhibit 4.21: India’s Export and Import of Poultry and Egg
Exhibit 4.22: India’s Major Export Destinations of Exhibit 4.23: India’s Major Import Sources of Poultry
Poultry and Egg (2015-16) and Egg (2015-16)
Source: DGCIS; Exim Bank Research Source: DGCIS; Exim Bank Research
Exhibit 4.24: India’s Export and Import of Dairy

during the same period to amount to US$ 49.0 million Products (US$ million)
(Exhibit 4.24).
UAE, with imports of US$ 27.6 million (23.9% share) was
the largest export destination of dairy products from
India. Pakistan was the second largest importer of dairy
products and had a share of 16.1% in the aggregate
dairy products exported from India during 2015-16.
Bangladesh, Singapore, Nepal, Bhutan and Afghanistan
were other major export destinations for Indian dairy
products (Exhibit 4.25). The aggregate imports of dairy
products from India during the period 2015-16 was US$ Source: DGCIS; Exim Bank Research
43
49 million. France was the leading import source and Exhibit 4.26: India’s Major Import Sources of Dairy
had a share of nearly 27.5% in the total imports of dairy Products (2015-16)
products. Other significant import sources for dairy
products were New Zealand, Denmark, the Netherlands
and Uganda (Exhibit 4.26).
Exhibit 4.25: India’s Major Export Destinations of

Dairy Products (2015-16)
cocoa products, cereal preparations, milled products,

processed beverages, and miscellaneous preparations,
as categorised by APEDA. The exports of ‘other
processed foods’ from India was estimated at US$
2.9 billion during the year 2015-16, registering a
decline of about 28.9% as compared to their exports
in the previous year. The imports of ‘other processed
OTHER PROCESSED FOOD foods’ was valued at US$ 1.1 billion during 2015-
The category of ‘other processed food’ includes 16, recording a marginal year-on-year decline of 2%
groundnuts, guar gum, jaggery and confectionery, during 2015-16.
44
5. Market Identification of Processed Food for

Indian Manufacturers
This chapter seeks to analyse processed food products The world imports of processed fruits and vegetables
that have substantial international demand, and the increased from US$ 47.8 bn in 2010 to US$ 62.5 bn
major countries importing these products. An analysis in 2014. At the same time, India’s exports of these
of India’s exports has been undertaken at HS-6 digit commodities increased from US$ 0.6 bn in 2010 to
classification level for processed food and their major US$ 0.9 bn in 2014. Despite being a leading producer
export markets. These products have been classified of fruits and vegetables, India’s share in global exports
on the basis of the commodity categorisation of APEDA remains insignificant.
(Agricultural and Processed Food Products Export
Further analysis reveals that there are 4 products in
Development Authority) and MPEDA (Marine Products
which India has a decent share in world exports. Given
Export Development Authority).
India’s competitiveness in these products vis-à-vis its
The sectors have been divided and analysis has been share in world exports, the possibility for India to further
undertaken as per the following categories: enhance its exports into the major import markets
 Processed Fruits and Vegetables Sector remains high. These products are fruits, nuts & other
edible parts of plants (HS-200899; 3.9% share in world
 Processed Fishery and Seafood Sector
exports), vegetables, fruit, nuts and other edible parts
 Processed Meat and Poultry Sector
of plants, prepared or preserved by vinegar or acetic
- Meat acid (HS-200190, 3.4% share in world exports), guavas,
- Poultry and Egg mangoes/mangosteens fresh/dried (HS-080450; 3.2%
- Dairy share in world exports), jams, jellies, marmalades,
 Other Processed Food
purees or pastes of fruit nes (HS-200799; 2.1% share in
world exports), and vegetables & its mixtures prepared/
In the current section, the objective is on identifying preserved; not frozen nes (HS-200590; 2% share in
products where India can enhance its exports and world exports).
thereby increase its share in global exports. It is
essential to identify major demand centres and the - The world imports of fruits nuts & other edible parts
major competitors of India in these markets for such of plants (HS Code 200899) aggregated US$3321
products. million in 2014. India was the ninth largest exporter
in the world, with a share of approximately 3.9%
Methodology in the world exports. The leading exporters of this
product were China (14.8% share), the USA (12.4%),
HS 6-digit levels have been identified in each of the
Thailand (8.8%), Mexico (7.5%) and Germany (4.7%).
above processed food categories for deeper analysis.
The major markets include the USA (29.5% share in
The following section gives an analysis of product
word imports), Japan (8.4%), the Netherlands (7.6%),
groups (HS 6-digit level) that are having a share of more
Germany (6.1%), and Canada (5.6%).
than 1% in global imports.
- With regard to vegetables, fruit, nuts and other
PROCESSED FRUITS AND VEGETABLES SECTOR edible parts of plants, prepared or preserved by
vinegar or acetic acid (HS Code 200190), India had
At HS-6 digit, there are 28 commodities out of 70
a share of 3.4% in global exports. India was the
commodities which have been identified (Annexure II).
45
eleventh largest exporter of this product globally. shrimps and prawns during 2014 were the USA,
India was the second largest exporter of vegetables, Japan, Spain, France and Italy. India was among the
fruit, nuts and other edible parts of plants, prepared key suppliers to the USA, Japan, France and Italy. The
or preserved by vinegar or acetic acid to the United USA, the biggest importer of this product, had a share
Kingdom, second only to the Netherlands. of 31.5% in global imports. India was the leading
exporter of this product to the USA accounting for
- India had a share of 3.2% in the exports of guavas,
a share of 24.2% of the US imports of this product.
mangoes/mangosteens fresh/dried globally (HS Code
Japan, the second largest importer in the world with
080450). The leading importers of these products
a share of 11.8%, imported the largest amount from
were the USA (21.9% share in global imports), the
Vietnam (22%), followed by India (17.6%), Indonesia
Netherlands (11.2%), China (7.9%), Germany (7%)
(17.6%), Argentina (7.5%) and Thailand (7%). Other
and the United Kingdom (7%). India was the eighth
than the USA and Japan, where India is among the
largest exporter of this product during the year 2014.
top suppliers of frozen shrimps and prawns, India
- The world imports of jams, jellies, marmalades, can also explore opportunities in other major import
purees or pastes of fruit nes (HS Code 200799) was markets – e.g. Spain - where India does not feature
valued at US$ 2085 million during the year 2014. among the top suppliers currently.
India ranked sixteenth in the world exports of this
- India’s share globally in the exports of other molluscs
product, and had a share of nearly 2.1% in the excluding live fresh / chilled (HS Code 030799) stood
aggregate exports. The major importers of jams, at 8.5% in 2014. The major importers of this product
jellies, marmalades, purees or pastes of fruit nes were Japan (24.5%), Hong Kong (22.5%), Spain
were the USA (11.4%), Germany (10.8%), France (16.1%), Italy (7.7%) and China (4.7%). India was
(9.9%), the Netherlands (6.4%) and the United the second largest exporter of this product to Spain
Kingdom (6.3%). after Peru. India was the leading exporter of molluscs
- Among the leading exporters of vegetables & its excluding live fresh/chilled nes to Italy accounting for
mixtures prepared/preserved; not frozen nes (HS a share of 32.9%. India has the potential to increase
Code 200590), India had a share of 2%, and was exports to Japan, Hong Kong, and China.
ranked thirteenth. The major exporters of this - India has good potential in the exports of cuttle fish
product were China (26.2%), Peru (8.4%), France and squids excluding live fresh/chilled (HS Code
(7.2%), Spain (6.0%) and the Netherlands (5.4%). 030749) where India had a share of 6.8%. Among
the key importing countries, namely Italy, Spain,
PROCESSED FISHERY AND SEAFOOD SECTOR
China, Thailand and the USA, India was one of the
There are 23 commodities which have been identified main suppliers to all countries except China. Among
out of a total of 103 products, whose value of imports all other major importing countries, India had the
was greater than 1% of the value of global imports of highest share of 12.7% in the market of Spain.
processed fishery and seafood sector (Annexure III). - Other fillets (excluding frozen) & other fish meat (HS
The cumulative exports of fishery products from India Code 030490) is another product segment where
has increased from US$ 2.3 bn in 2010 to US$ 5.4 bn in India could increase its global presence. The major
2014. importers of this product in 2014 included Japan,
Korea, Russia, Canada and Germany. However, it was
- Amongst the processed fishery products identified
only in the case of Japan that India was one of the
under the 6 digit HS Code, India had the highest
main suppliers, with a share of 7.9% in 2014.
share of 19.5% in the world for the category frozen
shrimps and prawns, whether in shell or not (HS - The global imports of shrimps and prawns prepared/
Code-030613). The major importers of frozen preserved (HS Code 160520) stood at US$ 4937
46
million during the year 2014. The leading importers of the market share, followed by Mexico, Korea, the
of this product were the USA (29.1%), Japan (14.6%), USA and Egypt. India was the fifth largest exporter of
the United Kingdom (8.9%), Denmark (7%) and this product to Egypt with a share of 2.2% in Egypt’s
the Netherlands (5.9%). India was the fifth largest aggregate imports.
exporter of shrimps and prawns to the USA (7.9%)
Dairy
and Japan (1.4%). India should take measures to
increase its exports of shrimps and prawns to other An aggregate of 15 commodities have been identified
major markets like the United Kingdom, Denmark from a total of 19 commodities, with value of imports
and the Netherlands. greater than 1% of the global value of imports of dairy
products (Annexure V). India ranked eleventh in the
PROCESSED MEAT AND POULTRY SECTOR export of fats and oils derived from milk, and dehydrated
butter and ghee (HS Code 040590) and had a share of
Meat
1.4% in the global exports. The leading importers of this
At HS 6 digit level, a total of 20 commodities have been product were Belgium, Italy, France, China and Mexico.
analysed from a total of 52 commodities, whose share India is not the leading supplier to any of the key
was greater than 1% in the value of global imports of markets, and should explore opportunities to enhance
processed meat products (Annexure IV). World imports exports.
of meat was estimated at US$ 113.9 billion during
In the global exports of milk and cream in powder,
the year 2014. India’s exports of these commodities
general or solid form containing fat not exceeding 1.5%
increased from US$ 1.8 billion in 2010 to US$ 5.1 billion
by weight (HS code 040210), India ranked thirteenth
in the year 2014.
and had a share of 1.4% in the aggregate exports. The
Within the meat sector, India’s share in the export major importers of this product were China, Mexico,
of boneless meat of bovine animals, frozen (HS Code Algeria, Indonesia and Malaysia. India’s competitors for
020230) was 8.8% - the highest among the 20 identified this product in the global market include the USA, New
meat sector products. The top five importers of this Zealand, Germany, France and Australia.
product were the USA, Russia, Hong Kong, Japan and Poultry and Egg
Egypt. India was the fifth largest exporter of this product
Eight commodities have been identified and analysed out
globally, and had a share of 8.8% in world exports.
of 13 commodities under this category. The total imports
Australia, Brazil, the USA and New Zealand were the
globally of poultry and egg products was estimated at
major competitors for India for this product. In Egypt,
US$ 25.4 billion during the year 2014 (Annexure VI).
which was one of the top five importers of boneless
Within the poultry and egg sector, frozen cuts and edible
meat of bovine animals, India was the second largest
offal of fowls of the species Gallus domesticus (HS Code
exporter with a share of 44.8%.
020714) was the major item of import. The leading
India had a share of nearly 1.5% in the global exports importers of this product were Hong Kong (13%), Japan
of edible offal of bovine animals, frozen (HS Code (12.2%), China (7.6%), Russia (5.3%) and the United
020629), making it the ninth largest exporter of this Kingdom (4.9%). India does not have a substantial
product globally. Leading exporters included Brazil share in the export of this product. The major
(32.1%), the USA (17.8%), Australia (16.1%), Argentina exporters of the product globally are Brazil (36.8%), the
(7.9%) and New Zealand (4.6%). Hong Kong was the USA (20.8%), the Netherlands (9.4%), Poland (3.7%) and
leading importer of this product accounting for 46.9% Germany (3.2%).
47
Table 5.1: India’s Share in World Market of Processed Food
Total Value of Total Value of

World Imports India’s Exports
Total No. of HS No. of HS Codes Share of India
Category (of identified (of identified
Codes Identified in the Market
products) products)
in US$ mn in US$ mn
Processed Fruits
70 28 52395 473.6 0.9
and Vegetables
Processed
Fishery and 103 23 97159 4422.2 4.6
Seafood Sector
Processed Meat
and Poultry
Sector
Meat 52 20 101811 1669.4 1.6
Dairy 19 15 77891 220.3 0.3
Poultry and Egg 13 8 24695 46.8 0.2

48
6. Challenges
The Indian Food Processing industry has significant Low Productivity of Agricultural Produce
opportunities both in the domestic and export markets.
However, there are also challenges engulfing this sector. One of the major challenges faced by the food processing
Since the demand for processed food is on the rise, industry in India is the low productivity of agricultural
the industry needs to keep pace with the requirement produce. In spite of being among the leading producers
by means of advanced technology and adherence to of food and having a strong agricultural base, India lags
global standards of food safety. On the production side, considerably in terms of productivity when compared
while the major challenge is low productivity in this to other countries. With the objective of improving
sector, at the post production stage, the wastage rate the food processing sector, it is of vital importance
is very high. There are various other obstacles which to enhance the productivity of raw materials in this
are hampering growth in this sector which include sector. For the food processing industry to grow, the
limitations in infrastructure, skilled manpower, research concerns towards productivity of raw material has to be
and development and access to finance. This chapter addressed.
attempts to assess the various challenges faced by the The average productivity of a majority of fruits,
food processing sector in India. vegetables and other agricultural produce is low in
Table 6.1: Challenges in the Food Processing Industry India in comparison to the international standards. An
increase in agricultural productivity requires the usage
1. Low Productivity of Agricultural Produce of improved varieties of seeds and technology. The
2. Slow Implementation of Agricultural Market productivity growth of crops in India is negatively affected
Reforms by the sluggish growth in technological advancement
coupled with the slow rate of dissemination. The most
3. Supply Chain Issues in Food Processing
critical issues in this regard include irrigation and water
Industries
management, need for increase in quality seed usage,
4. Inefficient and Inadequate Cold Chain improved disease and pest management and the need
Infrastructure to focus on technology which is suited particularly for
5. Wastage of Agricultural Produce small and marginal land holdings.
6. Infrastructural and Logistics Issues A comparison of the production and yield of rice, wheat
7. Insufficient Value Addition in Agricultural and horticultural crops has been done. Although India
Produce is the second largest producer of wheat globally, the
yield of wheat in India is relatively low when
8. Limited Availability of Finance compared to major producers like China, France and
9. Tax Structure Germany and is even lower than the world average
which stood at 3289 kg/ha (as against 3029.5 kg/ha
10. Limited Availability of Skilled Manpower
for India).
11. Insufficient Innovation
India is the second largest producer of rice in the
12. Inadequate Ease of Doing Business
world and contributes approximately 21% to the total
Source: Exim Bank Research
49
production. However, the productivity of rice in India Table 6.3: Top 10 Producers of Rice in the World
(3584.5 kg/ha) is significantly lesser than the global
average (4556.9 kg/ha). Among the top 10 producers of 2014
Countries
rice in the world, the yield of only Thailand was lower Production Yield
than that of India during 2014, with countries such
(million tonnes) (kg/ha)
as Indonesia (5134.8 kg/ha), Bangladesh (4622.6 kg/
ha) and Vietnam (5753.8 kg/ha) having much higher China 208.2 6815.2
productivity. India 157.2 3584.5
India was the second largest producer of potatoes Indonesia 70.8 5134.8
after China in 2014, with the productivity at 22922.4 Bangladesh 52.3 4622.6
kg/ha being marginally higher than the world average
Viet Nam 45.0 5753.8
(20051.1 kg/ha). Notwithstanding this, the productivity
of potatoes in India is less than half of the yield Thailand 32.6 3058.6
of potatoes in countries like USA (47150.7 kg/ha), Myanmar 26.4 3891.5
Germany (47415.4 kg/ha), France (47943.5 kg/ha) and
Philippines 19.0 4001.9
the Netherlands (45660.2 kg/ha).
Brazil 12.2 5201.3
However, India’s productivity of bananas (37037 kg/ha)
stood greater than the global average (21160 kg/ha). World 741.5 4556.9
Source: FAO; Exim Bank Research
Table 6.2: Top 10 Producers of Wheat in the World
Table 6.4: Top 10 Producers of Potatoes in the World
2014
Countries
Production Yield 2014
Countries
Production Yield
China 126.2 5048.3
China 96.1 17021.8
India 94.5 3029.5
India 46.4 22922.4
Russia 59.7 2497.6
Russian Federation 31.5 14990.2
The USA 55.4 2943.8
Ukraine 23.7 17644.7
France 39.0 7356.7
The USA 20.1 47150.7
Canada 29.3 3094.6
Germany 11.6 47415.4
Germany 27.8 8629.6
Bangladesh 9.4 19030.5
Pakistan 26.0 2824.1
France 8.1 47943.5
Australia 25.3 2006.1 Poland 7.7 27766.1
Ukraine 24.1 4011.9 Netherlands 7.1 45660.2
World 729.0 3289.0 World 385.1 20051.1
Source: FAO; Exim Bank Research Source: FAO; Exim Bank Research
50
Table 6.5: Top 10 Producers of Banana in the World scarce areas. As per the international norms, a country
is classified as Water Stressed and Water Scarce if
2014
Countries per capita water availability goes below 1700 m3 and
Production Yield 1000 m3, respectively. With 1544 m3 per capita water
(million tonnes) (kg/ha) availability, India is already a water-stressed country
and moving towards turning water scarce11.
India 29.7 37037
China 11.8 30081 Limited Efforts in Research and Development
Philippines 8.9 20067 R&D in agriculture plays a crucial role in increasing
Brazil 7.0 14524 productivity and enhancing sustainability in production
of crops. The need for development of better quality
Indonesia 6.9 51186
high yielding seeds, an efficient plant disease forecast
Ecuador 6.8 37090 system and effective post-harvest management can
Guatemala 3.6 49888 be fulfilled by appropriate and adequate research and
Angola 3.5 27436 development activities.
United Republic of Stable and sustainable levels of funding are vital in

3.2 6317 supporting agricultural research required for increasing
Tanzania
agricultural productivity. The spending on R&D as a
Costa Rica 2.2 51235
share of agricultural GDP has fallen from 0.34% in 2000
World 114.1 21160 to 0.30% in 2014. As per a report by International Food
Source: FAO; Exim Bank Research Policy Research Institute (IFPRI), India spent 0.30% of
the agricultural GDP on agricultural research, which was
Irrigation and Water Management Issues only half the share invested by China (0.62%) and one-
sixth of Brazil (1.8%). India has the potential to develop
Water is a vital component in the growth of crops, and
agricultural research facilities; however, that is possible
the yield of crops depends extensively on the irrigation
only with enhanced focus on financial commitment
facilities available. The provision of high yielding seeds
towards research.
and efficacy in the use of fertilizers might not turn
fruitful if there is inadequate quantity of water. Owing There is a scope for further development in this sector.
to the rise in urbanisation and the rising income of Some of the obstacles faced in this regard are:
people, a change in the composition of food basket has
 Need for better human resources in agricultural
been observed over the years. The intake of high value
research organisations and requirement for increase
agricultural commodities such as fruits and vegetables,
in efficiency of existing employees. More than 95
meat products, poultry, fish and milk has been rising.
percent of the agricultural scientists are in public
Most of the fruits, vegetables and livestock products are
institutions with an average track record12. In Indian
more water intensive as compared to cereals other than
Agricultural State Universities, scientists engage
rice10.
themselves in research, teaching as well as extension
Moreover, as per statistics, approximately 55 percent services, which involves transfers across various
of the area under agricultural cultivation in India does centres. This creates hurdles for specialisations
not have the provision of irrigational facilities. This in in particular fields which impedes the quality of
turn increases the risk of crop failure especially in water research.
Raising Agricultural Productivity and Making Farming Remunerative for Farmers

10,11
12
Indian Agricultural R&D: An Introspection and Way Forward
51
 The non-availability of appropriate research practice. Though contract farming performed by

infrastructure is another obstacle affecting agri-business companies do provide some kind of
productivity of crops in India. In the Agricultural integrated support, they do not focus on farmer
National Research Systems (NARS), ICAR institutions organizational development. The importance of
are facilitated with updated technological providing this integrated support to producers
advancements, however this is not the case in by extension has been articulated by the Working
the zonal research stations which are situated in Group on Agricultural Extension for the XIIth Plan
comparatively remote areas. Moreover, the state constituted by the Planning Commission13.
agricultural universities face the problem of limited
 Inadequate technical support has led to inefficiency
funding, causing impediments in expansion of
in the services of extension workers. It has been
technological developments.
noted that research majorly provides generic
 There are also limitations of appropriate technical recommendations for problems faced by
documenting and recording of experimental data farmers. However, it cannot be ignored that the
on crop breeding, management of plant nutrients, natural resource base differs greatly in different
weed and soil fertility. There is no systematic parts of the country, and there are various types of
and comprehensive compilation of innovations farming systems and methodologies of cultivation.
in spheres other than breeding (Vaidyanathan, Thus along with a holistic approach, detailed in-
2010). There is an urgent need for preparing and depth information and suggestions should be
maintaining a detailed comprehensive evaluation provided to farmers with regard to their respective
of data related to these research projects which can socio economic condition and method of production.
bolster further analysis in this regard.
 The limited amount of human and financial
Dearth of Extension Services resources also pose a challenge to the extension
service provided in the field of agriculture.
A deterioration has been noted in the quality of
 Extension services are majorly performed by
extension services in India. An agriculture extension
the lower level functionaries of the State Level
service provider gives talks, guidance and actual
Directorates, who in spite of being qualified in
demonstrations on latest technologies related to
agriculture, lack the first hand farm level experience
agriculture. He also works with other experts in
and observance and therefore are inefficient in
agriculture to learn more or even develop new methods
dealing with the farm level problems experienced
that could advance production. However, extension
by the farmers.
service providers are often reported to have limited
knowledge related to technology solutions and post-  It has been reviewed that due to the dearth of
harvest management. The limitations in the efficient information, extension workers often propose to
functioning of these workers has posed a major hurdle the farmers to get advice and suggestions to tackle
in the growth of agricultural productivity. their problems directly from ICAR, State Agricultural
Universities and Krishi Vigyan Kendras. However,
 Farmers need a wide range of support covering
it should be pointed that ICAR and SAU have
technical, organizational, marketing and
the function of extension education rather than
entrepreneurial aspects. Without such an integrated
provision of direct education services14.
support, new knowledge cannot be applied in
Agricultural Extension In India: Current Status And Ways Forward

13
Exim Bank Study: Indian Horticulture-Imperatives to Enhance Trade from India

14
52
Lack of Implementation of Agricultural Marketing States. While in principle, the model APMC Act provides
Reforms greater freedom to the farmers to sell their produce
directly to the markets set up by the private entities,
The potential benefits from agriculture have remained they are still required to pay market fee to the notified
largely untapped, and there exists a wide difference APMCs, even if they provide no services, in addition to
between the prices paid by the consumers and those the fee charged for providing trading platform and other
received by the farmers. The provisions of the State services like loading, unloading, grading, weighing etc.
Agricultural Produce Marketing Committee Acts
prevented the creation of competitive conditions for The State of Maharashtra amended its APMC Act, and
the sale and distribution of commodities. Moreover, allows private traders and corporates to buy fruits,
multiple layers of intermediation led to rise in prices. vegetables and other farm produce, under the direct
However, during the year 2003, the Central Government marketing license system. Moreover, during 2016,
formulated a model APMC Act for adoption by the Maharashtra de-listed fruits and vegetables from the
Table 6.6: State-Specific Market Reforms in Agriculture

Area of Marketing Reforms States/Union Territories which adopted the Reform
Establishment of private market yards/ Andhra Pradesh, Arunachal Pradesh, Assam, Chhattisgarh, Gujarat,
private markets managed by a person Goa, Himachal Pradesh, Jharkhand, Karnataka, Maharashtra, Mizoram,
other than a market committee Nagaland, Orissa (excluding paddy / rice), Rajasthan, Sikkim, Telangana,
Tripura, Punjab, Uttarakhand, West Bengal & Chandigarh
Establishment of farmer/consumer Arunachal Pradesh, Assam, Chhattisgarh, Gujarat, Goa, Himachal Pradesh,
market by a person other than Market Jharkhand, Karnataka, Maharashtra, Mizoram, Nagaland, Rajasthan,
Committee (Direct sale in retail by the Sikkim, Tripura, Uttarakhand & West Bengal
farmers to the consumers)
Direct wholesale purchase of Andhra Pradesh, Arunachal Pradesh, Assam, Chhattisgarh, Gujarat, Goa,
agricultural produce by processors/ Haryana (with collection centres for specified crops), Himachal Pradesh,
exporters/ bulk buyers, etc at the farm Jharkhand, Karnataka, Madhya Pradesh, Maharashtra, Mizoram, Nagaland,
gate Punjab, Rajasthan, Sikkim, Telangana, Tripura, Uttarakhand, West Bengal
& Chandigarh
Provision for Contract Farming Andhra Pradesh, Arunachal Pradesh, Assam, Chhattisgarh, Goa, Gujarat,
Haryana, Himachal Pradesh, Jharkhand, Karnataka, Maharashtra, Madhya
Pradesh, Mizoram, Nagaland, Orissa, Punjab (separate Act), Rajasthan,
Sikkim, Telangana, Tripura & Uttarakhand
Unified single license/registration for Andhra Pradesh, Goa, Gujarat, Haryana, Himachal Pradesh, Karnataka,
trade transaction in more than one Rajasthan, Chhattisgarh, Madhya Pradesh, Maharashtra, Mizoram,
market Nagaland, Sikkim & Telangana
Provision for e-trading Andhra Pradesh, Chhattisgarh, Gujarat, Jharkhand, Haryana, Himachal
Pradesh, Karnataka, Rajasthan, Sikkim, Goa, Madhya Pradesh, Maharashtra
(license to Commodity Exchanges registered under Forward Market
Commission), Mizoram, Telangana and Uttarakhand
Single point levy of market fee across Andhra Pradesh, Chhattisgarh, Gujarat, Goa, Himachal Pradesh, Karnataka,
the State Madhya Pradesh, Mizoram, Nagaland, Punjab, Rajasthan, Sikkim,
Telangana, Uttarakhand, Uttar Pradesh, Jharkhand & Chandigarh
53
APMC’s Schedule. However, Uttar Pradesh has not awareness regarding the modern technological
implemented any of the major features of the model practices and information regarding integrated nutrient
APMC Act, except allowing direct procurement of management are essential in ensuring the nutritional
food grains (primarily wheat) by big players, on the benefit of the produce. In the rapidly globalising world,
condition that total procurement in a season should be consumers are health conscious and display preference
at least 50,000 tons. Notifications are issued every year; for low-input method of agricultural production and
however, reforms are not undertaken by many States. minimal use of pesticides. The usage of fertilisers and
pesticides have been associated with significant health
Supply Chain Issues in the Food Processing Industry and environmental hazards. Thus, it has become vital
The supply chain in the food processing industry for farmers and cultivators to give utmost importance
involves the engagement of various stakeholders which to food quality and safety.
include farmers, seed growers, merchants, transporters, Inadequate Focus on Food Safety
wholesalers, retailers, financial institutions and the
insurance companies. Over the years, there has been a radical rise in the
consumer’s interest with regard to the subject of food
Exhibit 6.1: Supply Chain in Food Processing Industry safety. Food consumption is highly monitored in terms
of farming practices involved, the usage of growth
hormones in livestock, the method of processing, the
quantity and quality of food additives and preservatives
employed in the process, as well the level of freshness
of the food product. At the same time, contamination in
processed foods is also an area of concern.
The lag in implementation of laws and enforcement

of safety standards, worsened by inadequately
staffed regulatory authorities, have led to instances of
Source: Improving India’s Food Supply Chain; N Viswanadham hazardous residual elements in food.
The supply chain of food in India is long and does not

The supply chain in the food processing industry is involve the usage of modern technology leading to
substantially complex which can be attributed to immense wastage and higher chances of contamination
the perishable nature of food, especially fruits and prior to delivery. The application of various pesticides
vegetables and the participation of innumerable are done frequently to enhance the appearance and
stakeholders. It is of paramount importance to taste of food leading to a compromise on the quality
comprehend the various components of the food chain of food, which ultimately results in them being banned
well and evaluate opportunities for improvement and in the international markets. Thus, it is exceptionally
execute appropriate measures to augment competence. important to scan and supervise the hygiene of food
across various levels of the food chain. Hence, there is
Limitations in the Quality of Produce
an urgent need for an improvement in the food safety
Various farmers in India are not adequately trained standards and reforms in the food safety laws at all
and educated which is the leading cause of insufficient levels of the supply chain to ensure supply of good
attention towards the quality of produce. The limited quality food to the consumers.
54
There have been instances of Indian snacks being Under Equipped Laboratories
rejected because of the usage of certain pesticides
which have been banned in the United States, although Additionally, the food safety labs in India are not able
there is no restriction on their usage in India. According to keep pace with the increasing changes and demands
to industry sources, multinationals cannot source fresh of the food processing industry. The equipment in the
green beans which are utilised in preparing instant food testing laboratories are not upgraded and the labs
noodles from India due to the inclusion of pesticides. themselves are highly understaffed, thereby resulting in
The beans are consequently imported from the US, and inefficiency. Moreover, food testing laboratories often
the processing of noodles take place in India, followed face the pressure of approval by the food packaging
by exports. and processing companies. Since food is a state
subject, policy changes taken at the Centre may not get
In the EU, there have been 172 notifications against implemented at the State level, resulting in a dichotomy.
Indian peanut and peanut products in the EU’s Rapid
Alert System for Food and Feed (RASFF) portal during Ambiguity in Food Standards
the period March 8, 2004 to April 30, 2016. It was
during the month of May in the year 2014, that the EU While the comprehensive new food safety rules have
banned the exports of fresh mangoes from India caused come into effect, there is still ambiguity, limitations
by the presence of fruit flies. Following this, corrective of dialogue and well-articulated framework when it
action was taken which led the ban to be lifted during comes to rules and regulations regarding the food
March 2015. There are various Indian vegetables which industry. Limited consumer awareness on food quality
have been banned in the EU, driving revenue loss parameters benefits the unorganized segments. Hence
for the producers and exporters. Appropriate action there is a need to increase the awareness on food
should be taken in this regard, as this is causing India quality and related issues16.
to lose its market share in the EU and the US, and these
regions are eventually importing from other developing Another obstacle with regard to food safety is that the
countries such as Kenya, Brazil and Uganda. nodal agency for food safety in India, FSSAI, can regulate
the domestic market and imports, but does not monitor
One of the major reasons for the rejection of Indian exports. As a result, FSSAI does not engage in ensuring
agricultural exports in developed countries has been traceability of food products from the farm level to the
the imprudent use of fertilisers and pesticides at the consumer. Nevertheless, Agricultural and Processed
farm level and the limited use of good agricultural Food Products Export Development Authority (APEDA),
practices (GAP). According to industry estimates, there set up to promote agricultural and processed food
are 67 pesticides which have been banned in the US, products, has taken up the role to set up a traceability
the EU and other nations, however, their application system known as the Tracenet for various products
is still allowed in India. Certain examples of these such as grapes, mangoes and peanuts. Contrary to
pesticides are carbosulfan, chlorpyriphos, endosulfan the situation in India, in many developed countries,
and quinalphos. If farmers continue the application of the food safety authorities have a comprehensive
these pesticides in the fresh or processed form, the food control over the farmers, exporters, importers and the
products will have traces of these chemicals which will domestic market along with following a uniform food
cause barriers to trade in the US, the EU and Japan15. safety standard for the domestic as well as the export
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market. In India, dual standards have been maintained In India, a considerable quantity of fruits, vegetables
– exports from India have to adhere to the standards and other perishable food items are wasted owing to
set by the importing country, while imports and lack of appropriate cold storage facilities. The change
products targeted for the domestic market have to be in consumption pattern and increased demand for
in accordance to the standards specified by the FSSAI. processed food has put a lot of pressure on the existing
The FSSAI is making efforts to peg its standards with the cold chain infrastructure, which is not robust enough to
Codex Alimentarius, although the EU and the US have meet the growing demand. On its part, the Government
more stringent standards comparatively17.
reportedly expects to sanction around 100 cold chain
Inadequate and Inefficient Cold Chain Infrastructure projects in 2017-18 as compared to 81 such projects
Storage of food product is one of the crucial stages that have been sanctioned by the Ministry of Food
in the processed foods value chain. The absence of Processing Industries, Govt. of India, since 2013-14.
appropriate cold chain facilities can lead to substantial
According to the National Centre of Cold Chain
food wastage and losses to the firm. Cold chain
Development (NCCD), Government of India, as at end
infrastructure involves the storage and transportation
of food, ensuring an augmentation in the shelf life of March 2014, the total number of cold stores in India
food and maintenance of its quality. It includes both were 7000, with an aggregate holding capacity of 32
storage as well as transportation of food under optimal million tons. During the year 2015 (upto December),
temperature conditions in order to prevent spoilage an additional 238 projects of capacity 1.04 million
and preserve the nutritional value and freshness of tons were created. The status of Cold Chains in India is
food items. tabulated below.
Exhibit 6.2: Supply Chain in Cold Chain Market
Source: Technavio Analysis
Table 6.7: Cold Chain Infrastructure Capacity in India: Evaluation of Gaps
Infrastructure Infrastructure Created All India Gap

Type of Infrastructure
Requirement (A) (B) (A-B)
Cold Storage (mn tons) 35.1 31.82 3.28
Pack-house (in no.) 70080 249 69831
Refer Vehicles (in no.) 61826 9000 52826
Ripening Chambers (in no.) 9131 812 8319
Source: National Centre for Cold Chain Development, Government of India
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The cold storage facilities available in India have been Limited knowhow of labour - It has been observed that a
mostly for the storage of potatoes. Nevertheless, the majority of the refrigerated transport in India is operated
creation of multi-purpose cold storage is also on the by small sized and non-integrated firms, the employees
rise. Nearly 60% of the total cold storage capacity is of which do not use appropriate management practices.
concentrated in the states of Uttar Pradesh and West The technical knowhow of employees needs to be
Bengal, wherein majority of the cold storages are for upgraded for development.
the storage of potatoes. As per the Ministry of Food
Limited level of backward and forward linkages to
Processing Industries, Govt. of India, approximately
supplement cold chain - The supply chain of a majority
75% of the total cold storages in India are for single
of agri products in India is long, fragmented with huge
commodities (mostly potatoes) and 25% are multi
gaps and poorly integrated, in capacity as well as
commodity cold storages.
integration terms. Critical linkages like reefer transport
Exhibit 6.3: Major Cold Storage facilitated States in and on farm infrastructure are almost non-existent.
India (as on March 2014)
Low level of demonstrated success in viability of
Haryana cold chain projects - In India, cold chain projects are
Karnataka
Maharashtra
2.2%
1.8%
1.7% characterised by large volume of capital infusion
Others
Madhya Pradesh 7.4%
and an extended payback period for the investment.
3.4% Bihar
Uttar Pradesh Additionally, cold chain projects require the need for
4.4% 42.8%
rigorous marketing and investment in backward and
Andhra Pradesh
5.0% forward linkages. All these factors discourage potential
Punjab
investors.
6.3%
High Capital Investment - The initial phase in establishing
Gujarat of cold chain requires sizeable amount of investment
6.4%
which dissuades investors. The entry by institutional
West Bengal Total Capacity- 31.8 million tonnes
18.5% investors is also limited causing inadequate cold chain
facilities in India.
Source: National Centre for Cold-chain Development, Govt. of India
High cost of Power and Fuel - The operational cost in
Unfortunately, other States continue to face hurdles India are high in comparison to other countries, acting
with regards to capital for investments for this purpose. as a major barrier. As per Technavio Analysis, the energy
The limitations of appropriate storage facilities poses a expenses in cold chain in India account for approximately
grave issue in the food processing industry. The current 29.9 percent of the total expenses incurred in operating
scenario of the cold chain infrastructure is not adequate cold chain storage, as compared to 10 percent in the
to meet the requirements of the industry. Consequently, United States. Moreover, the widespread instances of
the Government is encouraging private participation power cuts in various regions lead to higher investment
through various subsidies schemes and grants, and in the form of power backups.
sometimes restructuring the existing ones18. Moreover,
with regards to investments in this sector, 100% FDI is Deficient Cold Chain Logistics Provision - The cold chain
allowed under the automatic route. logistics are considerably fragmented. Moreover, the
18
To avoid duplication, the sectoral & regional focus of NHM (National Horticultural Mission) and NHB (National Horticultural Board)
- (the two sub-schemes under MIDH – the Mission for Integrated Development of Horticulture) were segregated. NHM operates as a
Central Sector Scheme with States contributing 40% of the subsidy (10% in case of North-East States) and NHB functions as a Centrally
Supported Scheme without contribution at state level. Both support programs allow subsidy to projects after physical creation of
infrastructure (50%) and remaining after operationalising of infrastructure.
57
small scale agricultural fields are scattered and spread and there is dire need for upgradation, all of which
across remote areas causing a supply chain gap. require adequate and competitive access to finance.
Regional Concentration - Most of the cold chains in the
Unavailability of appropriate infrastructure and
country are concentrated in the states of Uttar Pradesh,
finance- The cold chain industry is capital-intensive with West Bengal, Maharashtra and Punjab. Furthermore,
significant requirement of investment in infrastructure, these cold chains are designed for single commodity
followed by requirement of finance for maintenance of such as potato and banana leading to ineffective
systems. The technology used is obsolete in many cases capacity utilization.
Table 6.8: Some Areas of Cold Chain Intervention
Commodity Potential States Indicative Interventions
Apples Himachal Pradesh, Delhi NCR, J&K, Controlled Atmosphere (CA) Store, reefers, pre
Uttarakhand, Mizoram, Arunachal Pradesh, cooling solutions at farm level
Sikkim
Mangoes Andhra Pradesh, Gujarat, Maharashtra Ripening chambers, cold storage/ controlled
atmosphere storage for mango, cold chain for mango
pulp
Kiwi Arunachal Pradesh Cold chain, modern pack house
Onion Gujarat, Maharashtra Technology for long term storage of onion
Banana Gujarat, Andhra Pradesh, Tamil Nadu, Modern pack house and ripening chambers
Maharashtra
Potato Uttar Pradesh, West Bengal, Punjab New technologies for storage of processing, grading
of potato, upgradation of existing cold chain
Fish Andhra Pradesh, Gujarat, Kerala, Tamil Cold storage and transportation, pre cooling
Nadu, West Bengal, Odisha, Manipur, infrastructure, freezing units-IQF (Individual Quick
Mizoram Frozen Freezer), plate freezers, blast freezer and
freezer cold storages
Meat Andhra Pradesh, Kerala, Maharashtra, Uttar Modern abattoirs and cold chain for meat and meat
Pradesh, Nagaland, Assam and other North products
Eastern states
Dairy Pan India Processing plants for high value dairy products, low
cost technology for chilling milk at farm level and
insulated vehicles
Source: Ministry of Food Processing Industries, Govt. of India
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Wastage of Agricultural Produce According to the Ministry of Food Processing Industries

(2016), India produces more than 400 million metric
The post-harvest losses of agricultural produce requires tonnes of perishables every year which includes
utmost attention in India. The usage of productive horticultural produce, dairy, meat, poultry and fish.
practices in cultivation, appropriate harvesting According to the study by the Central Institute of
techniques, efficient storage and suitable transport Post-Harvest Engineering and Technology (CIPHET),
facilities attribute to the development of quality the wastage levels of food in India are significantly
produce for consumption. In the food processing high (4.6%-15.9% in fruits, 5.2% in inland fish, 10.5%
supply chain, post-harvest losses can be enormous in marine fish, 2.7% in meat and 6.7% in poultry).
and can occur at various stages of the supply CIPHET has estimated the annual value of harvest and
chain including in the field, while transportation, post-harvest losses of major agricultural produces at
in processing and packaging, and even while national level to be of the order of Rs. 92,651 Crore
storage, as well as in the wholesale and retail calculated using production data of 2012-13 at 2014
markets. wholesale prices.
Table 6.9: Annual Wastage of Agricultural Produce, Milk, Meat, Marine and Poultry Products
Losses during
Losses during Farm Operations
Commodity/ Losses during Overall Total Value of the loss
Transportation (including
Crop Storage (%) Loss (%) (Rs. crore)
(%) transportation
loss) (%)
Milk 0.02 0.71 0.21 0.92 4409
Meat 0.00 1.99 0.72 2.71 1235
Marine Fish 0.91 9.61 0.91 10.52 4315
Inland Fish 0.17 4.18 1.05 5.23 3766
Egg 0.36 4.88 2.31 7.19 1320
Poultry Meat 0.66 2.74 4.00 6.74 3942
Cereals 4.65-5.99 20698
Pulses 6.36-8.41 3877
Oilseeds 3.08-9.96 8278
Fruits &
4.58-15.88 40811
Vegetables
Source: Central Institute of Post-Harvest Engineering and Technology
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Infrastructural and Logistics Issues The rapid industrialisation and increase in economic
A major movement of agri produce happens by road growth is putting pressure on the already exhausted
transport which continues to have infrastructural network. Special emphasis needs to be laid on bulk
issues. There is a problem of congestion in national handling of food products and augment the efficiency of
highways and the capacity to handle vehicles carrying cargo handling at major ports as well as transportation
bulky and heavy goods is less. Moreover, there are of cargo by air, in order to ensure safe delivery of
problems of connectivity which are exacerbated by high quality produce in domestic and global markets. There
logistics cost and inappropriate fleet management. On is a requirement for ample investment in upgradation
various occasions, the delivery is not timely which of technology and advancement in these areas in
adds to the existing challenges. accordance with the expansion and progress globally in
other developed nations.
As compared to the international logistics network,
India’s logistics network lags is relatively under Need for Production of Value- added Agri Produce,
developed leading to an increase in operational cost, meeting International Demand
more investment of time and lack of certainty in profit
making. This is reflected in India’s low ranking of 35 in In the rapidly globalizing world, the preferences of
the World Bank’s Logistics Performance Index (on the people towards the food basket has been changing.
positive side, the ranking has improved significantly The demand for cereals has been declining consistently,
from 54th in 2014). while that of milk, and milk products, meat, egg fruits and
Table 6.10: Logistics Performance Index: The World Bank
Country 2016 2014 2012
Rank Score Rank Score Rank Score
Germany 1 4.23 1 4.12 4 4.03
Luxembourg 2 4.22 8 3.95 15 3.82
Sweden 3 4.20 6 3.96 13 3.85
The Netherlands 4 4.19 2 4.05 5 4.02
Singapore 5 4.14 5 4.00 1 4.13
Belgium 6 4.11 3 4.04 7 3.98
Austria 7 4.10 22 3.65 11 3.89
The United Kingdom 8 4.07 4 4.01 10 3.90
Hong Kong 9 4.07 15 3.83 2 4.12
The United States 10 3.99 9 3.92 9 3.93
India 35 3.42 54 3.08 46 3.08

Source: World Bank
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beverages is on the rise. Moreover, the family structure However, the procedural hurdles involved in obtaining
has been changing globally, with a rise in nuclear family credit from financial institutions acts as a drawback in
households, increased participation of females in the the development of the industry. As is evident from
work force and an expansion in the number of working Table 6.11, the credit flow to the food processing sector
hours causing a rise in the ready to eat food category. (outstanding as on end March) declined in absolute
Additionally, there has been increased mobilisation in value during 2015-16 by as much as 12.5%, thereby
the work field which involves rise in travel across the resulting in a decline in the share of the sector in total
world, for work purposes, which leads to a demand for bank credit to Industry.
foods which fulfil the international standards of quality.
Table 6.11: Credit Flow to Food Processing Industry
There is a requirement for the food supply chain to Credit Flow to Food
Share in Total
be adaptive in accordance to the consumer demands. Processing Industry
Gross Bank
Globally, countries are into the practice of sourcing raw Year (outstanding as at
Credit to
materials from India, while they engage in processing in end March)
Industry (%)
in Rs. billion
their respective country, which has been the case in tea,
spices and various other commodities. Moreover, India 2010-11 768.4 4.8
imports certain finished goods such as processed juices 2011-12 941.5 4.9
and oils, which could possibly be prepared by using the
2012-13 1173.7 5.3
domestic resources. Thus, it is imperative that there
is a change in focus for the food processing industry. 2013-14 1462.5 5.8
Indian food processors undertake production of low 2014-15 1715.0 6.5
value added produce with the objective of meeting the 2015-16 1500.9 5.5
demands of the domestic market. Nevertheless, the Source: RBI
food processing industry should aim to produce globally
suited value added products in order to increase exports Tax Structure
and bring about a rise in earnings.
In order to have cost competitiveness, it is essential for
Limitations of Finance the price of processed food to be affordable. It is the
taxation included in the processed food which leads
The availability of finance is considered another major to an increase in the cost, and ultimately affects its
constraint in the development of the food processing demand among consumers.
industry. The establishment of a food processing unit
is capital intensive caused by the considerable initial The taxation in certain states stands at 20%. On
capital requirement. The requirement of working processed foods, there is the impact of value-added tax
capital in these industries are high owing to the (VAT) and excise, which, on an average, is 25% (peak
volatility in the availability of raw materials caused 40%). That means when a consumer buys a product for
by seasonal factors. The RBI has classified loan to Rs 100, actually he is paying Rs 25 tax, which is a very
food and agro based processing units and cold chain big barrier19. For sales of food products, actually there
under agriculture activities for Priority Sector Lending is taxing of value addition, and hence is detrimental
subject to aggregate sanctioned limit of INR 100 crore to the benefit of farmers and consumers who will not
per borrower from the banking system, in order to undertake value addition (and hence crops may get
encourage the setting up of food processing units. perished without processing them). Today, processed
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foods are not luxuries but necessities and should stage. In this regard, the implementation of GST would
be taxed at par with agri produce with zero or help resolve these issues, although the GST on food
minimum tax. processing needs to be at the lowest slab20.
Limited Availability of Skilled Manpower
The high rates of taxation makes the good less
competitive in domestic as well as the global market. The performance of the food processing sector is highly
The heavy excise duties and exorbitant rates of contingent upon the availability of talent pool in the
taxation require attention. Multiple taxes are levied on country in order to maintain its position worldwide.
agricultural commodities in different states in the form It is the dearth of skilled specialists which create an
of market fee, sales tax etc. obstacle in the process of product development and
innovation in the food processing industry. The limited
It is imperative that the processed food from India availability of quality control specialists has led to the
should be reasonably priced through the rationalization agricultural products from India being rejected in the
of tax regime. The implementation of the GST will have global markets. There is a mismatch between the supply
a major impact on the food processing industry as it will and demand of skilled professionals, which needs to be
be a single tax, avoiding the cascading effect of multiple addressed in order to enhance India’s competence in
taxes, causing only the value added to be taxed at each the food processing sector.
Table 6.12: India’s Ranking in Global Competitiveness Index 2016-17
Secondary Education Enrollment Rate Tertiary Education Enrollment Rate
Country Rank Value Country Rank Value
Belgium 1 164.8 Greece 1 110.2
Finland 2 145.5 Korea 2 95.3
Australia 3 137.6 Spain 3 89.1
Sweden 4 132.9 Finland 4 88.7
The Netherlands 5 132.3 The United States 5 86.7
India 102 68.9 India 93 23.9
Quality of Education Extent of Staff Training
Switzerland 1 6.2 Switzerland 1 5.7
Singapore 2 5.9 Norway 2 5.5
Finland 3 5.7 Singapore 3 5.5
Belgium 4 5.6 Sweden 4 5.5
Qatar 5 5.6 Luxembourg 5 5.4
India 29 4.5 India 30 4.6

Source: Globle Compitituness Report 2016-17
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The Global Competitiveness Report (GCR) states with enhanced emphasis on research and development
that quality higher education and training is crucial and qualifications on technology and innovations.
for economies to move up the value chain and go
beyond simple processes and products. The Global The value addition at various stages of the food
Competitiveness Index measures secondary and processing industry requires particular skill sets, across
tertiary education enrolment rates as well as the quality different segments of the food processing industry.
of education as evaluated by the business leaders. The However, as can be observed from the Table 6.13,
extent of on-job training is also taken into account as it a majority of the employees engaged in the food
is beneficial in upgrading the skill of employees. processing industry have inadequate qualifications,
leading to lack in skill set and dearth of innovations in
According to the GCR 2016-17, India scores relatively the industry undertakings.
low and ranks 102nd among 140 countries in gross
Table 6.13: Basic Functional Distribution of Human
enrolment for secondary education, and ranks 93rd in
Resources across Segments in Food Processing
gross enrolment for tertiary education. India also scored Industry in India
relatively low in availability of specialized training.
Function % of employees
Singapore, despite being a small sized economy, was
Procurement 10%
ranked second overall in the global competitiveness
index 2016-17, due to its superb performance in the Testing and Quality 20%
productivity parameters such as education. There is a
Production 55%
huge emphasis on education in Singapore which has
led to the advancement in expertise and competence R&D 1-2%
of the labour force and consequently growth of
Storage 2-3%
the economy. Singapore’s increased investment in
education, research and training has enabled the Other
10%
comprehensive development of the country. A similar (Sales & other Support Function)
case is with Switzerland, which had the leading position Source: Journal of Rural Development, Vol. 32, No. 4, Oct - Dec.: 2013
in the overall global competitiveness ranking 2016-17.It
Table 6.14: Distribution of Human Resources by
has maintained its superior position over the years and
Education Level in Food Processing Industry in India
a major driving factor is the number of well quipped
scientific research institutions in the country. Education Level % of Employees
The availability of profitable job opportunities in other Management Education 1-2%

sectors has led to a paucity of number of professionals Food Technologists 20%
available for the food processing sector. For the smooth
operation of the food processing industry, there is an Post-Graduates 0.5-1%
urgent requirement of efficient technicians, manpower Graduates 10%
skilled in marketing as well as supply chain and logistics
Diploma Holders 2-5%
managers. This will ensure efficacy in operations
across the entire value chain in the food processing Certificate Holders 2-5%
industry. There is a need to introduce for more
10th standard or below 80%
courses specializing in food processing which train the
employees keeping into account the industry demand, Source: Journal of Rural Development, Vol. 32, No. 4, Oct - Dec. 2013
63
Insufficient Innovation that are already in place. Modern technology is a

necessary requirement for ensuring the safety of
India holds the 45th position in terms of gross expenditure
nutritional quality of food and the value addition in
on Research and Development globally. In Israel, which
the processing of food products. The utilization of
holds the first position in terms of gross expenditure
technology in sectors such as processing, warehousing,
on research and development as a percentage of GDP,
logistics and other segments of the supply chain in India
science and technology is considered to be the core
remains low as compared to other economies of the
element for achieving national goals.
world. When food chain is unorganised, the application
Given the significance of research and development of poor technology leads to a decline in the nutritive
in the food processing industry, there is a need for value of food, thus making it unsuitable for exports.
enhanced focus in the area. This would require This, therefore calls for increased investments in R&D
capitalizing on the science and technology investments and technology in the food processing industry.
Table 6.15: Ranking of Countries in terms of Gross Expenditure on R&D as a % of GDP
Rank Country GERD as % of GDP % financed by business enterprises

1 Israel 3.47 36.54
2 Korea, Rep. 3.36 75.33
3 Japan 2.79 77.26
4 Finland 2.15 53.53
5 Sweden 2.12 60.96
6 Austria 2.11 47.16
7 Switzerland 2.05 60.78
8 Denmark 1.98 57.88
9 Germany 1.93 65.44
10 The USA 1.92 60.85
45 India 0.29 n/a
Source: Global Innovation Report 2016-17
64
7. Strategies
For successful development of the food processing objective information about the status of soil, water,
industry, it is important to ensure consistency in supply crops, and animals. The sophistication of today’s sensors,
and reduce wastage of agri products. Production and internet-enabled devices, software applications,
marketing strategies are crucial for export development and cloud data storage facilities allow vast amounts
of the food processing sector. and types of data to be captured, stored, managed,
Augmenting Productivity through Greater Technology and fed into decision-support tools to guide
Intervention business decisions.
Although India is among the leading producers of food, Mobile phones are being used in countries like Ghana,
productivity and yield of major crops remains low Kenya, Nigeria and Thailand for the proliferation of
when compared to other countries. High productivity information on the appropriate fertiliser variety, prices of
of raw materials in this sector is a sine qua non of a crops and inputs and forecast weather conditions. These
thriving food processing sector. The yield of crops in have proved very beneficial to increase productivity
India is negatively affected by the sluggish growth in of crops and farmers income. Drones could also be
technological advancement coupled with the slow rate put to use by the State Agricultural Universities to
of knowledge dissemination. disseminate important information on pest control,
Technology today is a huge leveller – appropriate usage apt methods of irrigation and integrated nutrient
would give farmers the ability to automatically collect management.
Box 1 : Integrating Technology in Dairy Farming through Internet of Things

Dairy farming is a source of income for millions of rural milk producers contributing towards strengthening the
livelihoods of small holder milk producers who form majority of India’s milk production system. With more than
3,00,000 collection centres meant for milk procurement across different milk societies, it becomes important for
the collection units to be modernized. The need of the hour is to incorporate Internet of Things (IoT) hand held
computing device which are embedded with GPRS/GSM enabled system and provided connectivity through cloud
based analytics solution. The IoT is a system of interrelated computing devices, mechanical and digital machines,
objects, that are provided with unique identifiers and the ability to transfer data over a network without requiring
human-to-human or human-to-computer interaction. The IoT is now finding application in the food processing
industry.
A young end-to-end dairy technology solutions company – Stellapps Technologies (incubated by IIT Chennai’s Rural
Technology Business Incubator) based in Bengaluru has leveraged IoT to produce and procure comprehensive farm
optimization and monitoring support, which helps dairy farmers and cooperatives maximize profits while minimizing
effort. Stellapps is India’s first Dairy Technology Solutions Company, building automation tools integrated with cloud,
mobility, and data analytics for Dairy farms, Cooperatives, and private dairies. As an end-to-end solution initiative,
the company provides dairy farm optimization and monitoring services with special focus on small and medium herd
size farms (5 to 25 cows). Stellapps has developed an automatic milk production management system, ‘SmartMoo’,
which consists of an automatic milk production management program, small production and storage equipment,
including mechanical pumps, and a low temperature storage tank. The system enables small-scale cattle farmers to
automatically manage milk production, storage, and data control, thus making it possible to increase their profits.
The focus of the company is on clean milk production protocols, productivity improvement, cost optimization and
real-time data access. In a short period of its journey, the company has managed to execute contracts from overseas
as well. Exim Bank has provided financial support to this high-technology oriented company in its effort of scaling up
beyond the domestic boundaries.
*Source: IoT Hand-held Computing Device over Personal Computer at Milk Procurement Centre White Paper.
65
While rural and regional access to fast, reliable IT is a need for imparting training on pre-harvest and
infrastructure is considered a vital precursor to building post-harvest management practices in a crop-specific
a strong agro-tech sector, the Government would need and location-specific manner to facilitate higher farm
to set up such information base which could then yields and better storage/transportation/quality of
be disseminated in a timely manner, and in a lucid the produce. The institutions engaged in this field
language to the farmers. This would not only help in need to work more proactively with the Ministry of
augmenting productivity but will also reduce wastage Food Processing Industries towards introducing food
and streamline the production process. processing curriculum in the State educational system.
Training should be focussed on modern techniques
Strengthening Research Institutes
of farming and product marketing. Curriculum could
Given such disparity in productivities, significant also include a compulsory field work in spreading the
reforms in agricultural research and extension services learnings to village panchayats and farmers. More
are crucial for the development of agro and agro number of ITIs should be encouraged to introduce food
processed industry in India. The most critical issues in processing courses.
this regard include irrigation and water management,
the need for increase in quality seed usage, improved Managing Non-tariff Measures
disease and pest management and the need to focus
Non-Tariff Barriers (NTBs) refer to restrictions that
on technology which is suited particularly for small and
result from prohibitions, conditions, or specific market
marginal holdings.
requirements that make importation or exportation
These could be made possible by dedicated investment of products difficult and/or costly. Many agricultural
for the development of infrastructure for agricultural produce, either raw or processed, face a number of
research and education. The research outcomes such NTBs across the world. This is largely because of
amongst the scientist may be enhanced by incorporating the lack of harmonization of standards of products,
performance indicators. Incentives should be given stringent quarantine procedures, mandatory labelling
to the private sector to participate in the innovation and packaging, different minimum residual limits
process, which could lead to research in high yielding prescribed by countries for pesticides, drugs and
variety of seeds. Agricultural research should be other contaminants, including dispute with regard to
undertaken in collaboration with other stakeholders of definitions (for example, in the case of whisky). In fact,
the value chain. The researchers engaged in fertiliser according to ITC, the sectors with the highest numbers
manufacturing companies and the seed producing of technical regulations per imported product and the
companies, should work in cooperation with the farmers highest share of imports subject to such regulations are
to develop agricultural inputs which are resilient and fresh and processed food21. Another common problem
adaptable to the changing weather conditions. faced is disregard of an international accredited
certification of a produce in some countries.
Moreover, India should import planting material for
the production of new varieties of potential identified To reduce compliance costs and minimize disputes,
products including grapes, oranges and bananas to an institution like APEDA can play a crucial role in
ensure the extension of the seasonality window of advocating a globally uniform set of accepted rules and
these products and ensure yearlong supply. regulations for various products at international forums.
Human Resource Development Countries should be encouraged to base their domestic
technical regulations or standards on those developed
Another key bottleneck to the growth of this industry
by international organizations, including the Joint FAO/
is limited awareness and technical knowledge. There
WHO Codex Alimentarius Commission (Codex) for food
Meeting the Standard For Trade, ITC

21
66
safety; the Office International des Epizooties (OIE) for processing and exporting units in India are particularly
animal health; and the International Plant Protection affected because of high cost of compliance per kg
Convention (IPPC) for plant health. This will not only during pre-export processing. This has also impacted
reduce NTBs but will also allow smooth movement of the export competitiveness of products adversely. The
goods, and more importantly reduce the inconvenience Study estimated that for any exporter of horticulture
and costs involved in getting multiple certifications. products, the average additional pre-export processing
Adopting Good Agricultural Practices (GAP) with cost of compliance increases by about Rs 4.50 per
kg for fresh fruit and vegetables and Rs 3 per kg for
Sanitary and Phytosanitary Measures (SPS) are another
processed fruits and vegetable products, respectively.
major deterrent towards free movement of agricultural
Although these estimates may be slightly dated, they
and agro processed products. SPS barriers comprise
do provide an indication of the amount that needs to
specific concerns that affect the health and safety of
be set aside for complying with such standards. The
consumers, and include issues such as presence of
additional pre-export processing costs for compliance
excessive chemicals, pesticides, synthetic colour and
with standards of fresh fruits and vegetables and their
microbes. SPS issues often lead to a situation where a
processed products was more in Bangalore, about Rs
particular item facing technical issues in one member
5 and Rs 3 per kg because of poor infrastructure and
country gets blocked in other countries also even if the
less number of export processing units as compared to
glitch is a minor one. Indiscriminate use of pesticides
Mumbai where it was about Rs 4 for fresh fruits and
has far-reaching consequences on exports as shipments
vegetables and Rs 2.50 per kg for processed fruits and
get detained due to detection of pesticide residues.
vegetable products.
Indian food processing industry needs to enhance its
quality and safety standards to match the global levels. The cost compliance for SPS measures have resulted in
However, compliance with such standards requires greater gains to the exporters in India allowing them
significant investment. Many developing countries, market access. Therefore, the government needs to
including India face difficulties in the form of research encourage compliance to international standards
and development facilities as well as food quality lab and help the exporters with the needed facilities. The
network services to improve and upgrade product government needs to create means and mechanisms
qualities as per requirements of Good Agriculture to upgrade the national system for testing, certification
Practices22 (GAP), Hazard Analysis and Critical Control and laboratory accreditations in order to meet the
Point (HACCP), etc. The investment requirements for global trade demands. At the same time exporters
HACCP plants are large as most of the capital goods must learn to supply safe products and to defend their
related to the plant need to be imported from the interests in transparent, equivalence standards.
developed countries. The installation cost of HACCP
Enhanced Emphasis on Packaging
plants varies from Rs 10 million to Rs 25 million. Further,
on an average, an export processing firm is estimated In the food and beverage industry, packaging of
to spend about Rs 2 million per year to maintain a products is crucial since it plays an important role in
HACCP plant23. maintaining the freshness and quality of food products.
In case of perishable food products, packaging is
According to a Study24, the compliance to food of prime consideration as it provides protection
safety measures is a costly proposition and the small from undesirable physiological changes and quality
22
Good Agricultural Practices are “practices that address environmental, economic and social sustainability for on-farm processes, and result in safe
and quality food and non-food agricultural products”. GAP pertains to soil, water, crop protection, animal production, animal health, energy and waste
management, etc.
23
Export of Horticultural Products from India: Economic Impact of Cost of Compliance for Food Safety Measures; Association of Asia Scholars.
24
ibid
67
deterioration. Moreover, packaging is an influential fragmented leading to inefficiency in operations.

marketing tool and increases the attractiveness of the Besides, India has more often faced with the rejection
product, facilitating purchase decision by consumers. of processed food products in the international
The retailers can utilize the advantages being offered by market due to various reasons. This essentially could
innovative forms of packaging such as active packaging be mitigated through greater education and usage of
and smart tagging. In this regard, APEDA and other technology to ensure prompt and extensive flow of
relevant agencies could make provisions of financial information regarding the contamination of food, and
assistance, for small and medium sized exporters compliance to the food standards.
to undertake short term courses on food packaging Additionally, the food safety labs in India are not able to
provided by reputed institutes like Indian Institute of keep pace with the increasing changes and demands of
Packaging (IIP). While APEDA has been working with the food processing industry. The equipment in the food
Indian Institute of Packaging, the collaboration could be testing laboratories are not upgraded and it is highly
further augmented to train exporters about packaging understaffed. This dearth of appropriately updated
and labelling trends prevalent in international markets. infrastructure is one of the leading causes for low level
of efficiency. There are also shortage of qualified and
Cold Chain Infrastructure
trained staff which amplifies the existing hurdles. There
The provision of required physical and marketing should be an increase in investment for upgradation of
infrastructure is crucial for the enhancement of Indian the equipment in the food processing laboratories.
exports of processed agro-products. It is essential that at
It is essential for all the participants of the food supply
the producer stage, the farmers should be aware of the
chain including the farmers, manufacturers as well as
importance of cold chain infrastructure and how that the retailers to put in coordinated efforts to enforce
would link the farmers to the value chain. There should food safety. There is a need to setup a robust compliance
be an increase in the extension services imparting system for the purpose of ensuring compliance with the
knowledge in this regard. Not only among farmers, but regulatory regime in regions where the food product is
also among all value chain actors including consumers being consumed. An effective track and trace system is
and policy makers, the importance of cold chain in indispensable in maintenance of food quality, which is
maintaining food safety and quality, and preserving possible only when there is transparent communication
its economic value should be inculcated. Enhancing facilitation among members of the supply chain, who
the bandwidth of cold chain facilities, improvement should also be aware of the hazards accompanying the
of storage conditions, cargo facilities at airports/ports, quality failure in food.
aquaculture infrastructure, become pre-requisites for
Moreover, increasing the number of standards and
the enhancement of Indian processed food exports. In
aligning them with the international standards like
this regard, the Ministry of Food Processing Industry Hazard Analysis and Critical Control Points (HACCP),
under the Scheme for Cold Chain, Value Addition would help the food processing industry flourish. The
and Preservation Infrastructure provides financial Government through its various agencies could consider
assistance at the rate of 50% of the total cost of plant conducting more training programs with the aim of a
and machinery and technical civil work in general areas, betterment in food standards, which will guarantee
and 75% for the North Eastern Region. Such programs food safety.
should be widely advertised by APEDA for greater usage
Promoting Synergy among Different Export Promotion
as a part of their knowledge dissemination exercise.
Organisations
Focus on Food Safety
There is a need for synergising the activities of various
Adhering to food safety norms is a challenge in India. export promotion organisations such as Agricultural
The supply chain of processed food in India is highly and Processed Food Products Export Development
68
Authority (APEDA), the Marine Products Export burdens. In some cases the necessary knowledge has
Development Authority (MPEDA), the Coffee Board, been provided by extension services, helping farmers
the Tea Board, the Spices Board, the Cashew Export to adapt and implement viable solutions, thus gaining
Promotion Council, and the Export Inspection Council, more benefits from irrigation technology. In India,
in such a manner that the collaborative efforts can be sustainable development and efficient management
undertaken with the objective of augmenting exports. of water is increasingly becoming a major challenge.
A synchronised approach will help in India garnering Increasing population, growing urbanization, and rapid
greater share in agricultural and processed food exports. industrialization combined with the need for raising
agricultural production generates competing claims for
Strategizing Geographical Location for Food Processing water.
The location of food processing industries can be Conjunctive management could be a very successful
selected taking into account the vicinity of logistics tool in water management for irrigation. It refers to the
centre and port. In this regard, initiatives are already integrated and joint management of rainwater, surface
being taken – for instance, as a part of the Sagarmala water, wastewater, and groundwater resources for
Programme of the Ministry of Shipping, two mega optimal socio-economic and environmental outcomes
food park projects are being implemented in Kakinada, at the level of aquifer and irrigation system or a river
Andhra Pradesh and Satara, Southern Maharashtra by basin. Conjunctive use refers to integrated use of
the Ministry of Food Processing Industry. These projects surface and groundwater at the farm level. Conjunctive
are tactically placed in the Coastal Economic Zone in management works through structures and processes
close proximity to the port with the aim of augmenting that guide individual water users to undertake
export of processed food from India. APEDA, being conjunctive use.
a nodal agency can play a significant role in providing
suitable inputs to the industry disseminating the Conjunctive management is at work, for example,
advantages of these locations. when canal irrigation system managers purposely
direct surface water deliveries away from water-
Moreover, there should be provision of green channel logged areas to groundwater depleted areas; or when
at airports and seaports for horticultural items. India they suspend canal supplies during the rainy period to
should engage in negotiating for stationing local provide irrigation during dry season; or when they use
quarantine inspectors appointed by the importing treated urban wastewater to supplement fresh canal
country or third party inspectors of nearby countries or groundwater supplies. In Gujarat, the Government
or those living in India as it would enable reduction of has constructed a 600 km long spreading canal to use
costs. The introduction of international flights to and surplus flood waters from Kadana and Sardar Sarovar
from Amritsar and Chandigarh would allow the smooth reservoirs in the south to recharge parched aquifers of
flow of horticultural produce in Punjab to the Gulf North Gujarat to counter groundwater depletion and
countries25. reduce power subsidies to irrigation. This is a good
example of conjunctive management of surface and
Conjunctive Management of Water
groundwater. Conjunctive management is an important
Irrigation systems have been under pressure to produce opportunity for increasing irrigation efficiency in India
more with lower supplies of water. Innovative irrigation and prevent groundwater depletion, avoid farm-power
practices can enhance water efficiency, gaining an subsidies, alleviate drought and dry spells, and reduce
economic advantage while also reducing environmental water quality deterioration.
Reviving Accelerating India Export Issues

25
69
Need for Improved Extension Services agricultural productivity, management of supply chain
is also improved to prevent any sharp escalation in
Extension services to the farmers is slowly becoming
prices. Sound storage facilities will help in adequate
prevalent in developing countries like India, but there
availability of raw produce which could be used for food
remains severe dearth in dissemination. Extension
processing.
consists of any person or organization in the private
sector, which delivers advisory services in agriculture There is a need to adopt best warehousing practices
and is seen as an alternative to public extension. With the for a robust supply chain management for agriculture
decreasing farm size, concentration and specialization products. According to NITI Aayog, the estimated gap
of production, location-specific and timely information between agri-warehousing supply and demand is 35
now have become much more valuable for farmers million tonnes. At the same time, there is substantial
in India. Information is now an integral part of each inter-regional imbalance as North India has access to
farmer’s organized planning to reap highest productivity 60% of the total storage. Existing marketing channels
with competitive advantage. are dominated by multiple intermediaries, thereby
adding to the woes of the producers of perishable
As the value and volume of information increases, there agri goods. There is also an urgent need to spruce up
are greater incentives for the private sector to cover both road and rail connectivity. This will ensure that
more value by improving the quality of information and farm produce can be transported across the length and
its applications, including location-specific, time and breadth of the country in a more secure environment
formats, and helping farmers apply this information to and in quick time, thereby ensuring minimal impact on
their operations. There is also need of more specialized the quality of the produce. There is also a need for a
services like marketing intelligence, price forecasting, sustained campaign to improve existing storage spaces
soil testing, customized fertilizer, foliar nutrition and introduce technology to make the entire supply
services, mobile based extension, etc. Guided by private chain smooth, transparent and mobile to ensure quality,
extension, farmers can become more export oriented timely delivery, right price and minimal losses.
and focused. Advanced extension services will also help
Clear-cut Agri Trade Policy
in price discovery for undertaking food processing and
thereby determine what could be the best produce to Emphasis should be laid towards formulating a focussed
be engaged in. agri export policy, as even in the case of free trade
agreements and regional trade agreements, agricultural
Improved Storage can Prevent Wastage of Agri-
trade is largely overlooked. While a focussed agri-
Products
export policy is needed, even a stable agri-export policy
While it is laudable that India has achieved self- has not been formulated . Measures should be taken
sufficiency in food grains production, it is equally in this regard, to ensure hassle free provision of credit,
distressing that every year an enormous amount of adherence to sanitary and photo sanitary conditions
food stocks get wasted due to archaic procurement, of export markets and the availability of appropriate
storage and warehousing methods. Given the possible infrastructure and marketing facilities. The mind-set of
escalation in food prices due to demand-supply the farmers should be changed from subsistence and
mismatch, it is important that apart from raising domestic oriented farming to export oriented farming.
70
Annexure I:
Categorization of HS Codes
HS Code HS Description Category
071120 Olives, provisionally preserved but not suitable for immediate consumption Processed Fruits and Vegetables
071140 Cucumbers gherkins provisionally preserved, but not for immediate consumption Processed Fruits and Vegetables
071151 Preserved mushrooms - genus Agaricus Processed Fruits and Vegetables
071159 Preserved mushrooms nes, truffles Processed Fruits and Vegetables
071190 Vegetables nes &mixtures provisionally preserved, but not for immediate consumption Processed Fruits and Vegetables
071220 Onions dried but not further prepared Processed Fruits and Vegetables
071231 Dried mushrooms - genus Agaricus Processed Fruits and Vegetables
071232 Dried wood ear mushrooms Processed Fruits and Vegetables
071233 Dried jelly fungi Processed Fruits and Vegetables
071239 Dried mushrooms nes, truffles Processed Fruits and Vegetables
071290 Vegetables and mixtures dried, but not further prepared nes Processed Fruits and Vegetables
080450 Guavas, mangoes and mangosteens, fresh or dried Processed Fruits and Vegetables
081110 Strawberries, uncooked or steamed or boiled in water, sweetened or not, frozen Processed Fruits and Vegetables
081120 Raspberries, mulberries, etc. uncooked, steamed/boiled in water sweetened/not, frozen Processed Fruits and Vegetables
081190 Fruits &edible nuts uncooked ,steamed/boiled (water) sweetened/not, frozen, nes Processed Fruits and Vegetables
081210 Cherries provisionally preserved but unsuitable for immediate consumption Processed Fruits and Vegetables
081290 Fruits &nuts provisionally preserved but unfit for immediate consumption nes Processed Fruits and Vegetables
081310 Apricots, dried Processed Fruits and Vegetables
081320 Prunes, dried Processed Fruits and Vegetables
081330 Apples, dried Processed Fruits and Vegetables
081340 Fruits, dried nes Processed Fruits and Vegetables
081350 Mixtures of edible nuts or dried fruits of this chapter Processed Fruits and Vegetables
081400 Peel of citrus fruit/melons (watermelons) fresh ,frozen, dried/ provisionally preserved Processed Fruits and Vegetables
200110 Cucumbers and gherkins, prepared or preserved by vinegar or acetic acid Processed Fruits and Vegetables
200190 Veg ,fruit ,nut& edible parts of plants nes ,prep/preserved by vin/acetic acid Processed Fruits and Vegetables
200210 Tomatoes, whole/in pieces prepared/preserved by vinegar/acetic acid Processed Fruits and Vegetables
200290 Tomatoes nes, prepared or preserved other than by vinegar or acetic acid Processed Fruits and Vegetables
200310 Mushrooms prepared or preserved other than by vinegar or acetic acid Processed Fruits and Vegetables
200390 Mushrooms nes preserved, not pickled Processed Fruits and Vegetables
200410 Potatoes prepared or preserved other than by vinegar or acetic acid, frozen Processed Fruits and Vegetables
200490 Veg nes &mx of veg prep or preserved ,o/t by vinegar or acetic acid, frozen Processed Fruits and Vegetables
200510 Homogenised vegetables prep/preserved ,o/t by vinegar/acetic acid, not frozen Processed Fruits and Vegetables
200520 Potatoes prepared or preserved/t by vinegar or acetic acid, not frozen Processed Fruits and Vegetables
200540 Peas prepared or preserved, other than by vinegar or acetic acid, not frozen Processed Fruits and Vegetables
200551 Beans, shell prepared/preserved by vinegar/acetic acid, not frozen Processed Fruits and Vegetables
200559 Beans nes prepared or preserved by vinegar or acetic acid, not frozen Processed Fruits and Vegetables
200560 Asparagus prepared or preserved by vinegar or acetic acid, not frozen Processed Fruits and Vegetables
200570 Olives prepared or preserved by vinegar or acetic acid, not frozen Processed Fruits and Vegetables
200580 Sweet Corn prepared or preserved by vinegar or acetic acid, not frozen Processed Fruits and Vegetables
200590 Vegetable nes and mix of Vegetable prepared or preserved by vinegar or acetic acid, not frozen Processed Fruits and Vegetables
200600 Fruit, nut, fruit-peel & parts of plant preserved by sugar (draind,glace/cryst) Processed Fruits and Vegetables
200710 Homogenised prep (jams, fruit jellies etc.) cooked prep whether/not sugared/sweetened Processed Fruits and Vegetables
71
200791 Citrus fruit (marmalades,puree,etc) cooked prep whether/not sugared/sweetened Processed Fruits and Vegetables
200799 Jams, fruit jellies, fruit/nut puree & paste, cooked whether/not sugared/sweetened Processed Fruits and Vegetables
200811 Ground-nuts nes o/w prep or preserved, sugared, sweetened, spirited or not Processed Fruits and Vegetables
200819 Nuts &seeds nes including mix ,o/w prep or preserved, sugared, sweetened, spirited or not Processed Fruits and Vegetables
200820 Pineapples nes/w prep or preserved, sugared, sweetened, spirited or not Processed Fruits and Vegetables
200830 Citrus fruits nes/w prep or preserved, sugared, sweetened, spirited or not Processed Fruits and Vegetables
200840 Pears nes ,o/w prep or preserved whether or not sugared, sweetened, spirited Processed Fruits and Vegetables
200850 Apricots nes/w prep or preserved whether or not sugared, sweetened or spirited Processed Fruits and Vegetables
200860 Cherries nes, o/w prep or preserved whether or not sugared, sweetened or spirited Processed Fruits and Vegetables
200870 Peaches nes, o/w prep or preserved whether or not sugared, sweetened or spirited Processed Fruits and Vegetables
200880 Strawberries nes, o/w prep or preserved whether or not sugared, sweetened, spirited Processed Fruits and Vegetables
200891 Palm Hearts nes ,o/w prep or preserved whether or not sugared, sweetened, spirited Processed Fruits and Vegetables
Fruits &other edible parts of plants nes, prep/preserved, whether or not sugared, sweetened,
200899 Processed Fruits and Vegetables
spirited
200911 Orange juice, unfermented &not spirited, whether/not sugared/ sweet, frozen Processed Fruits and Vegetables
200912 Orange juice, unfermented, Brix value < 20 Processed Fruits and Vegetables
200919 Orange juice nes, unfermented &not spirited, whether or not sugared or sweet Processed Fruits and Vegetables
200921 Grapefruit juice, unfermented, Brix value < 20 Processed Fruits and Vegetables
200929 Grapefruit juice, unfermented, Brix value >= 20 Processed Fruits and Vegetables
200931 Citrus nes juice, unfermented, Brix value < 20 Processed Fruits and Vegetables
200939 Citrus nes juice, unfermented, Brix value >= 20 Processed Fruits and Vegetables
200941 Pineapple juice, unfermented, Brix value < 20 Processed Fruits and Vegetables
200949 Pineapple juice, unfermented, Brix value >= 20 Processed Fruits and Vegetables
200950 Tomato juice unfermented &not spirited, whether or not sugared or sweet Processed Fruits and Vegetables
200961 Grape juice, unfermented, Brix value < 20 Processed Fruits and Vegetables
200969 Grape juice, unfermented, Brix value >= 20 Processed Fruits and Vegetables
200971 Apple juice, unfermented, Brix value < 20 Processed Fruits and Vegetables
200979 Apple juice, unfermented, Brix value >= 20 Processed Fruits and Vegetables
200990 Mixtures of juices unfermented &not spirited whether or not sugared or sweet Processed Fruits and Vegetables
030211 Trout, fresh or chilled excluding heading No 03.04, livers and roes Processed Fishery Products
030212 Salmon Pacific, Atlantic& Danube, fresh or chilled excluding heading No 03.04,livers&roes Processed Fishery Products
030219 Salmonidae nes, fresh or chilled, excluding heading No 03.04,livers and roes Processed Fishery Products
030221 Halibut, fresh or chilled, excluding heading No 03.04, livers and roes Processed Fishery Products
030222 Plaice, fresh or chilled, excluding heading No 03.04, livers and roes Processed Fishery Products
030223 Sole, fresh or chilled, excluding heading No 03.04, livers and roes Processed Fishery Products
030229 Flatfish nes, fresh or chilled excluding heading No 03.04,livers & roes Processed Fishery Products
030231 Tunas, albacore or long finned, fresh or chilled excluding heading No 03.04,livers&roes Processed Fishery Products
030232 Tunas, yellow fin, fresh or chilled, excl heading No 03.04,livers and roes Processed Fishery Products
030233 Skipjack or stripe-bellid bonito, fresh or chilled, excluding heading No 03.04,livers&roes Processed Fishery Products
030234 Fresh/chilled bigeye tunas Processed Fishery Products
030235 Fresh/chilled bluefin tunas Processed Fishery Products
030236 Fresh/chilled Southern bluefin tunas Processed Fishery Products
030239 Tunas nes, fresh or chilled, excluding heading No 03.04,livers and roes Processed Fishery Products
030240 Herrings, fresh or chilled, excluding heading No 03.04,livers and roes Processed Fishery Products
030250 Cod, fresh or chilled, excluding heading No 03.04, livers and roes Processed Fishery Products
030261 Sardines ,sardinella,brislg/sprats, fresh /chilled, excluding heading No 03.04,livers&roes Processed Fishery Products
030262 Haddock, fresh or chilled, excluding heading No 03.04, livers and roes Processed Fishery Products
72
030263 Coalfish, fresh or chilled, excluding heading No 03.04,livers and roes Processed Fishery Products
030264 Mackerel, fresh or chilled, excluding heading No 03.04,livers and roes Processed Fishery Products
030265 Dogfish & other sharks, fresh or chilled, excl headg No 03.04,livers & roes Processed Fishery Products
030266 Eels, fresh or chilled, excluding heading No 03.04, livers and roes Processed Fishery Products
030269 Fish nes, fresh or chilled excl heading No 03.04, livers and roes Processed Fishery Products
030270 Livers and roes, fresh or chilled Processed Fishery Products
030311 Frozen sockeye salmon red salmon Processed Fishery Products
030319 Frozen Pacific salmon Processed Fishery Products
030321 Trout, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030322 Salmon Atlantic, frozen ,excluding heading No 03.04, livers and roes Processed Fishery Products
030329 Salmonidae, nes, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030331 Halibut, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030332 Plaice, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030333 Sole, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030339 Flatfish nes, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030341 Tunas, albacore or long finned, frozen, excl headg No 03.04,livers & roes Processed Fishery Products
030342 Tunas, yellowfin, frozen excluding heading No 03.04, livers and roes Processed Fishery Products
030343 Skipjack or stripe-bellid bonito ,frozen ex headg No 03.04,livers&roes Processed Fishery Products
030344 Frozen bigeye tunas Processed Fishery Products
030345 Frozen bluefin tunas Processed Fishery Products
030346 Frozen Southern bluefin tunas Processed Fishery Products
030349 Tunas nes, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030350 Herrings, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030360 Cod, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030371 Sardines, sardinella,brislg or sprats ,frozen excluding heading No 03.04,livers&roes Processed Fishery Products
030372 Haddock, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030373 Coalfish, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030374 Mackerel, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030375 Dogfish and other sharks, frozen, excluding heading No 03.04,livers and roes Processed Fishery Products
030376 Eels, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030377 Sea bass, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030378 Hake, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030379 Fish nes, frozen, excluding heading No 03.04, livers and roes Processed Fishery Products
030380 Livers and roes, frozen Processed Fishery Products
030410 Fish fillets and other fish meat, minced or not, fresh or chilled Processed Fishery Products
030420 Fish fillets frozen Processed Fishery Products
030490 Fish meat nes, minced or not, frozen Processed Fishery Products
030510 Fish meal fit for human consumption Processed Fishery Products
030520 Livers and roes, dried, smoked, salted or in brine Processed Fishery Products
030530 Fish fillets, dried, salted or in brine but not smoked Processed Fishery Products
030541 Salmon, Pacific, Atlantic and Danube, smoked including fillets Processed Fishery Products
030542 Herrings smoked, including fillets Processed Fishery Products
030549 Fish nes, smoked including fillets Processed Fishery Products
030551 Cod dried, whether or not salted but not smoked Processed Fishery Products
030559 Fish nes, dried, whether or not salted but not smoked Processed Fishery Products
030561 Herrings, salted and in brine, but not dried or smoked Processed Fishery Products
73
030562 Cod, salted and in brine, but not dried or smoked Processed Fishery Products
030563 Anchovies, salted and in brine, but not dried or smoked Processed Fishery Products
030569 Fish nes, salted and in brine, but not dried or smoked Processed Fishery Products
030611 Rock lobster & other sea crawfish, frozen in shell/not, including boiled in shell Processed Fishery Products
030612 Lobsters nes, frozen, in shell or not, including boiled in shell Processed Fishery Products
030613 Shrimps and prawns, frozen, in shell or not, including boiled in shell Processed Fishery Products
030614 Crabs frozen, in shell or not, including boiled in shell Processed Fishery Products
030619 Crustaceans nes, frozen, in shell or not including boiled in shell Processed Fishery Products
030621 Rock lobster & other sea crawfish not frozen ,in shell/not, incl boiled in shell Processed Fishery Products
030622 Lobsters nes, not frozen, in shell or not, including boiled in shell Processed Fishery Products
030623 Shrimps & prawns, not frozen, in shell or not, including boiled in shell Processed Fishery Products
030624 Crabs, not frozen, in shell or not, including boiled in shell Processed Fishery Products
030629 Crustaceans nes, not frozen, in shell or not, including boiled in shell Processed Fishery Products
030710 Oysters, shelled or not, live, fresh, chilled, frozen, dried ,salted or in brine Processed Fishery Products
030721 Scallops, including queen scallops, shelled or not, live, fresh or chilled Processed Fishery Products
030729 Scallops ,including queen scallops, shelled or not, frozen, dried, salted or in brine Processed Fishery Products
030731 Mussels, shelled or not, live, fresh or chilled Processed Fishery Products
030739 Mussels, shelled or not, frozen, dried, salted or in brine Processed Fishery Products
030741 Cuttle fish and squid, shelled or not, live, fresh or chilled Processed Fishery Products
030749 Cuttle fish and squid, shelled or not, frozen, dried, salted or in brine Processed Fishery Products
030751 Octopus, live, fresh or chilled Processed Fishery Products
030759 Octopus, frozen, dried, salted or in brine Processed Fishery Products
030760 Snails, shelled or not, live, fresh, chilled, frozen, dried, salted or in brine Processed Fishery Products
030791 Molluscs nes, shelled/not, and aquatic invertebrates nes, live, fresh/chilled Processed Fishery Products
030799 Molluscs nes, shelled or not &aquatic invert nes, frozen , dried, salted or in brine Processed Fishery Products
160300 Extracts &juices of meat , fish, or crust, molluscs/other aquatic invertebrates Processed Fishery Products
160411 Salmon prepared or preserved, whole or in pieces, but not minced Processed Fishery Products
160412 Herrings, prepared or preserved, whole or in pieces but not minced Processed Fishery Products
160413 Sardines, sardinella &brislg or sprats prep or preserved, whole or excluding minced Processed Fishery Products
160414 Tunas, skipjack &Atl bonito,prepard/preserved, whole/in pieces, excluding minced Processed Fishery Products
160415 Mackerel, prepared or preserved, whole or in pieces, but not minced Processed Fishery Products
160416 Anchovies, prepared or preserved, whole or in pieces, but not minced Processed Fishery Products
160419 Fish nes, prepared or preserved, whole or in pieces, but not minced Processed Fishery Products
160420 Fish prepared or preserved, except whole or in pieces Processed Fishery Products
160430 Caviar and caviar substitutes prepared from fish eggs Processed Fishery Products
160510 Crab, prepared or preserved Processed Fishery Products
160520 Shrimps and prawns, prepared or preserved Processed Fishery Products
160530 Lobster, prepared or preserved Processed Fishery Products
160540 Crustaceans nes, prepared or preserved Processed Fishery Products
020110 Bovine carcasses and half carcasses, fresh or chilled Processed Meat Products
020120 Bovine cuts bone in, fresh or chilled Processed Meat Products
020130 Bovine cuts boneless, fresh or chilled Processed Meat Products
020210 Bovine carcasses and half carcasses, frozen Processed Meat Products
020220 Bovine cuts bone in, frozen Processed Meat Products
020230 Bovine cuts boneless, frozen Processed Meat Products
020311 Swine carcasses and half carcasses, fresh or chilled Processed Meat Products
020312 Hams, shoulders and cuts thereof, of swine bone in, fresh or chilled Processed Meat Products
74
020319 Swine cuts, fresh or chilled, nes Processed Meat Products

020321 Swine carcasses and half carcasses, frozen Processed Meat Products
020322 Hams, shoulders and cuts thereof, of swine, bone in, frozen Processed Meat Products
020329 Swine cuts, frozen nes Processed Meat Products
020410 Lamb carcasses and half carcasses, fresh or chilled Processed Meat Products
020421 Sheep carcasses and half carcasses, fresh or chilled Processed Meat Products
020422 Sheep cuts, bone in, fresh or chilled Processed Meat Products
020423 Sheep cuts, boneless, fresh or chilled Processed Meat Products
020430 Lamb carcasses and half carcasses, frozen Processed Meat Products
020441 Sheep carcasses and half carcasses, frozen Processed Meat Products
020442 Sheep cuts, bone in, frozen Processed Meat Products
020443 Sheep cuts, boneless, frozen Processed Meat Products
020450 Goat meat, fresh, chilled or frozen Processed Meat Products
020500 Horse, ass, mule or hinny meat, fresh, chilled or frozen Processed Meat Products
020610 Bovine edible offal, fresh or chilled Processed Meat Products
020621 Bovine tongues, edible offal, frozen Processed Meat Products
020622 Bovine livers, edible offal, frozen Processed Meat Products
020629 Bovine edible offal, frozen nes Processed Meat Products
020630 Swine edible offal, fresh or chilled Processed Meat Products
020641 Swine livers, edible offal, frozen Processed Meat Products
020649 Swine edible offal, frozen nes Processed Meat Products
020680 Sheep, goats, asses, mules or hinnies edible offal, fresh or chilled Processed Meat Products
020690 Sheep, goats, asses, mules or hinnies edible offal, frozen Processed Meat Products
020810 Rabbit or hare meat and edible meat offal, fresh, chilled or frozen Processed Meat Products
020830 Meat of primates (fresh/chilled/frozen) Processed Meat Products
020890 Meat and edible meat offal, nes fresh, chilled or frozen Processed Meat Products
020900 Pig fat lean meat free& poultry fat unrenderd, fresh, chilled, frozen or curd Processed Meat Products
021011 Hams, shoulders and cuts thereof, of swine bone in, cured Processed Meat Products
021012 Bellies, streaky and cuts thereof, swine cured Processed Meat Products
021019 Swine meat cured, nes Processed Meat Products
021020 Bovine meat cured Processed Meat Products
021091 Meat salted/dried/smoked of primates Processed Meat Products
050400 Guts, bladders and stomachs of animals except fish whole or in pieces Processed Meat Products
160100 Sausage& sim product of meat, meat offal/blood& food prep based on these product Processed Meat Products
160210 Homogenized preparations of meat and meat offal Processed Meat Products
160220 Livers of any animal prepared or preserved Processed Meat Products
160231 Turkey meat and meat offal prepared or preserved, excluding livers Processed Meat Products
160232 Fowl (gallus domesticus) meat, prepared/preserved Processed Meat Products
160239 Dom fowl, duck, goose& guinea fowl meat& meat offal prep/preserved excluding livers Processed Meat Products
160241 Hams and cuts thereof of swine prepared or preserved Processed Meat Products
160242 Shoulders and cut thereof of swine prepared or preserved Processed Meat Products
160249 Swine meat& meat offal nes/excluding livers/ incl mixtures, prepared or preserved Processed Meat Products
160250 Bovine meat and meat offal nes, excluding livers, prepared or preserved Processed Meat Products
160290 Meat, meat offal or blood, prepared or preserved, nes Processed Meat Products
75
040110 Milk not concentrated and unsweetened not exceeding 1% fat Processed Dairy Products
040120 Milk not concentrated & unsweetened exceeding 1% not exceeding 6% fat Processed Dairy Products
040210 Milk powder not exceeding 1.5% fat Processed Dairy Products
040221 Milk and cream powder unsweetened exceeding 1.5% fat Processed Dairy Products
040229 Milk and cream powder sweetened exceeding 1.5% fat Processed Dairy Products
040291 Milk and cream unsweetened, nes Processed Dairy Products
040299 Milk and cream nes sweetened Processed Dairy Products
040310 Yogurt concentrated or not, sweetened or not, flavoured or containing fruit or cocoa Processed Dairy Products
040390 Buttermilk, curdled milk & cream, & fermented or acid milk & cream nes Processed Dairy Products
040410 Whey whether or not concentrated or sweetened Processed Dairy Products
040490 Products consisting of natural milk constituents sweetened or not nes Processed Dairy Products
040510 Butter Processed Dairy Products
040520 Dairy spreads Processed Dairy Products
040590 Fats and oils derived from milk nes Processed Dairy Products
040610 Cheese, fresh (including whey cheese) unfermented, and curd Processed Dairy Products
040620 Cheese, grated or powdered, of all kinds Processed Dairy Products
040630 Cheese processed, not grated or powdered Processed Dairy Products
040640 Cheese, blue-veined Processed Dairy Products
040690 Cheese nes Processed Dairy Products
Processed Poultry and Egg
020711 Fowls (gallus domesticus), whole, fresh or chilled
Products
020712 Fowls (gallus domesticus), whole, frozen
Products
020713 Fowls (gallus domesticus), cuts & offal, fresh/chilled
Products
020714 Fowls (gallus domesticus), cuts & offal, frozen
Products
020724 Turkey, whole. fresh or chilled
Products
020725 Turkey, whole, frozen
Products
020726 Turkey, cuts & offal, fresh or chilled
Products
020727 Turkey, cuts & offal, frozen
Products
040700 Eggs, bird, in shell, fresh, preserved or cooked
Products
040811 Egg yolks dried
Products
040819 Egg yolks nes
Products
040891 Eggs, bird, not in shell, dried
Products
040899 Eggs, bird, not in shell nes
Products
Source: APEDA and MPEDA; Exim Bank Research
76
Annexure II:
India’s Share in Global Exports of Processed Fruits and Vegetables Sector

Share
Value of
of India
HS Code HS Description Importing Country Imports Top Exporters to the Market (% Share)
in the
(US$ Mn)
market
Canada (98.8%), Netherlands (0.5%), Belgium (0.3%), France
USA 765 0.00%
(0.3%), Germany (0.1%)
Belgium (55.9%), Netherlands (34.2%), Germany (4%), France
France 597 0.00%
(0.3%), United Kingdom 1.7%)
Netherlands (65.7%), Belgium (28.6%), Germany (2.1%), France
United Kingdom 574 0.00%
Potatoes prepared/ (1.6%), Ireland (1.2%)
200410
preserved, frozen USA (78.8%), Canada (9.5%), Belgium (5.1%), Netherlands (2.3%),
Japan 391 0.00%
China (1.3%)
Argentina (59.4%), Netherlands (18.6%), Belgium (15.8%),
Brazil 355 0.00%
Germany (2.5%), France (2.3%)
Netherlands (26.4%), Belgium (21%), USA (17.8%), Canada
World 6053 0.10%
(15.1%), France (4.8%)
Turkey (63.8%), Luxembourg (6.8%), Netherlands (5.6%), India
Germany 591 3.40%
(3.4%), Italy (3.2%)
Thailand (20.7%), Canada (13.9%), Israel (11.5%), Mexico (9.5%),
USA 338 3.30%
Vietnam (7.7%)
USA (79.3%), Vietnam (6.7%), Thailand (4.7%), Lebanon (2.7%),
Canada 299 1.00%
Nuts and Other China (1.7%)
200819
seeds Turkey (24.2%), Germany (19.2%), Spain (11.9%), USA (10.5%),
France 219 0.50%
Luxembourg (6.8%)
China (63.9%), USA (13.9%), Thailand (4.8%), France (3%),
Japan 166 0.00%
Australia (3%)
Turkey (27.7%), USA (16.1%), Germany (8.8%), China (6.2%), Italy
World 3633 1.40%
(3.5%)
Mexico (21.1%), China (17.6%), Canada (10.3%), Thailand (9.2%),
USA 981 1.10%
Korea (7.6%)
China (47.1%), Thailand (12.9%), USA (11.2%), Philippines (9.4%),
Japan 278 5.40%
India (5.4%)
USA (27.8%), India (10.7%), Germany (8.3%), Belgium (5.2%),
Netherlands 252 10.70%
Fruits Nuts & Other Poland (5.2%)
200899
Edible Parts of Plants Italy (12.4%), Austria (9.5%), USA (9.5%), Netherlands (9%), China
Germany 201 3.50%
(6%)
USA (54.6%), Mexico (7.6%), China (7%), Korea (6.5%), Philippines
Canada 185 2.70%
(5.9%)
China (14.8%), USA (12.4%), Thailand (8.8%), Mexico (7.5%),
World 3321 3.90%
Germany (4.7%)
China (81.4%), Korea (11.2%), Thailand (3.2%), USA (0.8%),
Japan 501 0.20%
Vietnam (0.6%)
Peru (28.4%), China (14.6%), Mexico (9.2%), Canada (7.3%), Spain
USA 479 5.00%
(5.2%)
Vegetables & its France (20%), Netherlands (18%), Greece (11.5%), Australia
Mixtures Prepared/ Germany 295 0.70%
200590 (10.2%), Turkey (7.5%)
Preserved; Not
Frozen nes Spain (30.6%), Netherlands (12.9%), Belgium (12.9%), Italy
France 209 0.00%
(7.7%), Peru (6.7%)
Korea 131 0.00% China (99.2%), Thailand (0.8%)
China (26.2%), Peru (8.4%), France (7.2%), Spain (6%),
World 2747 2.00%
Netherlands (5.4%)
77
Italy (55.5%), Spain (20.5%), China (7.4%), Portugal (4.2%), Turkey

Germany 283 0.00%
(2.5%)
Portugal (22.3%), China (19.4%), USA (17.1%), Spain (10.9%), Italy
Japan 175 0.00%
(10.3%)
Italy (35.1%), Portugal (29.2%), Spain (14%), Germany (6.4%),
Tomatoes Prepared/ Greece (5.3%)
200290
Preserved China (52.4%), Portugal (9%), Italy (9%), Ukraine (6.6%), Spain
Russia 166 0.00%
(6%)
USA (49.4%), Spain (26.6%), China (10.4%), Portugal (5.2%),
Italy 154 0.00%
Greece (3.2%)
China (22.5%), Italy (21.9%), USA (17.4%), Spain (10.5%), Portugal
World 2649 0.10%
(8.5%)
Brazil (89.6%), Netherlands (4%), Germany (2.1%), USA (2.1%),
Belgium 657 0.00%
France (1.8%)
Brazil (83.6%), Belgium (5.3%), South Africa (2.6%), Germany
(2.3%), Belize (1.3%)
Orange juice,
unfermented, Belgium (67.8%), Netherlands (17.5%), Brazil (6.9%), Spain
whether or not (4.5%), France (1.2%)
200919
containing added Brazil (79.9%), Netherlands (7.3%), Italy (3.9%), Switzerland
sugar or other Germany 259 0.00%
Liechestan (3.5%), Mexico (2.7%)
sweetening matter
Brazil (39.4%), Netherlands (19.7%), Belgium (12.1%), Spain
France 132 0.00%
(10.6%), Austria (9.1%)
Brazil (61%), Belgium (12.6%), Netherlands (9%), Mexico (2.1%),
World 2591 0.10%
USA (2%)
Canada (19.8%), Chile (6.5%), Mexico (3%), Costa Rica (2.5%),
USA 463 0.10%
Peru (1.8%)
Poland (19.3%), Serbia (10.5%), Canada (10.2%), Netherlands
Germany 285 1.10%
(5.6%), Greece (5.3%)
Fruits and Nuts, Portugal (13.8%), Belgium (10.9%), Italy (9.8%), Poland (8%),
France 174 0.60%
Uncooked or cooked Canada (6.3%)
81190
by steaming or Canada (25.3%), China (15.1%), USA (12%), Thailand (7.8%), Italy
boiling nes Japan 166 0.00%
(7.2%)
USA (58.1%), Chile (10.9%), Mexico (8.5%), Turkey (3.1%), Costa
Canada 129 0.00%
Rica (3.1%)
Canada (12.9%), Poland (7.7%), USA (7.1%), Chile (6.9%), China
World 2338 0.90%
(5.5%)
Mexico (50.5%), Peru (13%), Ecuador (9.2%), Brazil (9%),
USA 491 0.80%
Guatemala (5.5%)
Brazil (40.4%), Peru (20.8%), Cote D Ivore (6%), Spain (5.6%), USA
(4%)
Thailand (84.7%), Malaysia (7.9%), Philippines (2.8%), Taiwan
Guavas, Mangoes/ China 177 0.00%
(2.8%), Australia (1.7%)
80450 mangosteens fresh/
dried Brazil (40.8%), Peru (21.7%), Spain (9.6%), Cote D Ivore (5.1%),
Germany 157 0.60%
Israel (3.8%)
Brazil (19.5%), Peru (13.3%), Ghana (11.7%), Netherlands (7.8%),
Pakistan (5.5%)
Thailand (18.7%), Brazil (15.6%), Mexico (14.5%), Peru (10.9%),
World 2239 3.20%
Philippines (3.9%)
78
Canada (19.3%), France (15.5%), Mexico (12.2%), Chile (11.3%),

USA 238 4.20%
Argentina (4.2%)
Belgium (16.9%), Australia (16.4%), Italy (14.7%), France (11.1%),
Germany 225 0.40%
Turkey (8%)
Belgium (23.7%), Netherlands (20.8%), Italy (20.8%), Germany
Jams, jellies, France 207 0.00%
(15.5%), Spain (6.8%)
200799 marmalades, purees
or pastes of fruit nes Turkey (20.9%), Germany (18.7%), Belgium (18.7%), France
(9.7%), Ireland (4.5%)
France (29.8%), Belgium (17.6%), Germany (16%), Spain (15.3%),
Italy (7.6%)
France (14.1%), Germany (10%), Belgium (8.1%), Italy (6.8%),
World 2085 2.10%
Chile (5.5%)
Belgium (43.9%), Netherlands (31.2%), Germany (13.5%), United
France 237 0.00%
Kingdom (3.4%), Spain (3%)
Netherlands (66.9%), Belgium (14%), United Kingdom (3.9%),
Germany 178 0.00%
Sweden (2.8%), Denmark (2.8%)
Potatoes prepared/ Mexico (48.3%), Canada (39.9%), Honduras (2.8%), Germany

USA 143 0.00%
200520 preserved, not (2.8%), United Kingdom (2.1%)
frozen Belgium (65.2%), Germany (16.3%), United Kingdom (11.9%),
France (3.7%), Denmark (1.5%)
Canada 124 0.00% USA (92.7%), Mexico (5.6%), United Kingdom (1.6%)
Netherlands (16.6%), USA (13.5%), Belgium (13.2%), Germany
World 2063 0.00%
(10.8%), United Kingdom (6.5%)
Brazil (75.9%), USA (12.1%), Germany (6.5%), France (2.2%), Italy
Belgium 511 0.00%
(2%)
Belgium (28.7%), Spain (27.3%), Germany (14.8%), Brazil (14.2%),
France 352 0.00%
Austria (5.7%)
Orange Juice not Brazil (57.6%), Germany (25.4%), Belgium (7.6%), United
200912 frozen value not Kingdom (3.4%), Costa Rica (1.7%)
exceeding 20 Canada 230 0.00% USA (81.3%), Brazil (18.7%)
Brazil (37.6%), Netherlands (36.9%), Italy (14%). Austria (4.5%),
Germany 159 0.00%
Spain (3.8%)
Brazil (38.3%), USA (14.5%), Germany (11.5%), Spain (8%),
World 2058 0.00%
Belgium (7.4%)
China (63.2%), Chile (14.1%), Argentina (4.45), Italy (3.9%), Turkey
USA 589 0.00%
(3.7%)
Poland (49.8%), Austria (17.6%), Italy (7.3%), Turkey (5.6%),
Germany 301 0.00%
Moldova Rep (5.3%)
China (60.1%), Ukraine (15.2%), Poland (13%), Iran (5.1%),
Russia 138 0.00%
Apple Juice Value Uzbekistan (3.6%)
200979
greater than 20 nes China (69.3%), Austria (10.9%), Brazil (6.6%), Chile (5.1%), South
Japan 137 0.00%
Africa (3.6%)
Poland (22.3%), Turkey (21.4%), Germany (17.55), Austria
(14.6%), China (7.8%)
China (35.3%), Poland (14.1%), Austria (7.4%), Chile (6.1%),
World 2011 0.00%
Turkey (5.4%)
79
Spain (52%), Greece (27.1%), Morocco (8.8%), Italy (4.8%), Turkey

USA 454 0.00%
(2.2%)
Morocco (45.7%), Spain (41.3%), Belgium (5.8%), Greece (2.2%),
France 138 0.00%
Turkey (1.4%)
Spain (38.2%), Greece (30.9%), Turkey (22.1%), Italy (4.4%),
Olives prepared/ Germany 136 0.00%
Morocco (2.2%)
200570 preserved , not
frozen Argentina (48.9%), Spain (27.8%), Peru (20.3%), Portugal (1.5%),
Brazil 133 0.00%
Egypt (0.8%)
Spain (59.3%), Greece (27.1%), Morocco (7.6%), Egypt (3.4%),
Italy 118 0.00%
Chile (0.8%)
Spain (46.6%), Greece (21.1%), Morocco (8.9%), Turkey (5.4%),
World 1760 0.00%
Argentina (4.3%)
Brazil (59.4%), Mexico (28.4%), Costa Rica (6.7%), Canada (3.1%),
USA 451 0.00%
Belize (2.2%)
Brazil (71.3%), Netherlands (`14.9%), Italy (4.6%), Mexico (3.6%),
Germany 195 0.00%
Austria (2.1%)
Brazil (55.6%), Netherlands (11.1%), Belgium (8.9%), Spain
France 135 0.00%
(6.7%), Austria (5.9%)
200911 Orange Juice Frozen
Brazil (69.2%), Israel (15.8%), Mexico (10.8%), Netherlands (1.75),
China 120 0.00%
USA (1.7%)
Brazil (47.3%), Israel (22.65), Mexico (19.45), Italy (6.55), Belize
Japan 93 0.00%
(2.2%)
Brazil (52.4%), Mexico (12.4%), Netherlands (8.15), USA (4%),
World 1689 0.00%
Israel (3.1%)
Germany (31.4%), Netherlands (24.5%), Spain (23.9%), Belgium
France 159 0.00%
(13.2%), Austria (1.9%)
Spain (25.2%), Belgium (22.55), Netherlands (14.6%), Germany
(11.3%), France (9.3%)
Mixtures of Juices Saudi Arabia (74%), Netherlands (7%), Korea (4%), United
200990 unfermented not UAE 100 0.00%
Kingdom (3%), Thailand (3%)
containing spirit
Canada 95 0.00% USA (96.8%), South Africa (2.1%), France (1.1%)
Oman 92 0.00% UAE (66.3%), Saudi Arabia (32.6%), Netherlands (1.1%)
Netherlands (13.6%), USA (12.55), Germany (11.9%), Saudi Arabia
World 1650 0.80%
(10.8%), Spain (6.4%)
China (56.5%), Turkey (7.7%), Germany (6.3%), Mexico (3.9%),
USA 207 0.50%
Egypt (3.9%)
China (87.4%), USA (6%), Vietnam (2.5%), Italy (0.5%), Taiwan
Japan 199 0.00%
(0.5%)
China (32.9%), Poland (16.5%), Netherlands (10%), France (7.6%),
Other vegetables/ Germany 170 2.40%
Italy (7.1%)
71290 Mixtures of
vegetables Germany (22.7%), Belgium (17.2%), Spain (17.25), Poland (7.8%),
Italy (7%)
China (43.9%), USA (37.9%), Germany (4.5%), Turkey (3%), India
Canada 66 3.00%
(3%)
China (45.7%), Germany (8.8%), USA (6.3%), Poland (4.6%),
World 1498 0.90%
France (4.3%)
80
Italy (74%), Germany (5.7%), Spain (4.7%), Portugal (4%), Greece

(4%)
Italy (86.6%), Turkey (6%), Greece (1.4%), Spain (1.4%), Portugal
Germany 216 0.00%
(0.9%)
Italy (66.4%), Spain (26.25), Morocco (3.35), Turkey (1.6%),
Tomatoes whole or France 122 0.00%
200210 Germany (0.8%)
in pieces
Italy (91%), Australia (2.7%), Turkey (1.8%), Thailand (1.8%), USA
Japan 111 0.00%
(1.8%)
Australia 62 0.00% Italy (90.3%), Turkey (4.8%), USA (3.2%), China (1.6%)
Italy (73.8%), Spain (5.9%), USA (4%), Germany (3.45), Turkey
World 1373 0.00%
(3.2%)
Mexico (49%), Peru (11.9%), Spain (9%), Turkey (8.7%), Honduras
USA 310 0.60%
(3.5%)
Turkey (24.2%), Greece (16.3%), Netherlands (10.6%), South
Germany 160 2.50%
Vegetables, fruit, Africa (8.1%), Hungary (7.5%)
nuts and other Netherlands (23.3%), India (13.5%), Spain (12%), Turkey (9%),
edible parts of United Kingdom 133 13.50%
200190 Italy (9%)
plants, prepared or
preserved by vinegar USA (54.7%), Greece (10.5%), Spain (5.8%), Mexico (4.7%), China
Canada 86 3.50%
or acetic acid (4.7%)
Japan 79 0.00% China (94.9%), Thailand (2.5%), Spain (1.3%), Mexico (1.3%)
Mexico (13.2%), China (11.6%), Turkey (10.6%), Spain (6.8%),
World 1336 3.40%
Germany (5.8%)
Netherlands (46.8%), Belgium (12.1%), USA (10.5%), Spain (9.7%),
France 124 0.00%
Argentina (8.1%)
Japan 118 0.00% China (89.8%), USA (10.2%)
Netherlands (31.8%), Germany (26.4%), Luxembourg (16.4%),
France (8.2%), USA (6.4%)
Groundnuts
200811 Canada (40.7%), Mexico (27.8%), Argentina (16.7%), China
Prepared/Preserved USA 108 3.70%
(8.3%), India (3.7%)
USA (88.5%), Argentina (4.6%), China (4.6%), Philippines (1.1%),
Canada 87 1.10%
India (1.1%)
China (21.7%), USA (16%), Netherlands (13.6%), Germany (9.6%),
World 1293 0.90%
Argentina (9.2%)
Thailand (49.7%), Philippines (29.8%), Indonesia (17.3%), China
USA 352 0.00%
(1.1%), Vietnam (0.6%)
Thailand (50.5%), Kenya (27.4%), Netherlands (10.5%), Indonesia
Germany 95 0.00%
(7.4%, Philippines (2.1%)
Indonesia (27.3%), Thailand (22.7%), Kenya (18.2%), Philippines
Spain 66 0.00%
Pineapples (15.2%), Germany (9.1%)
200820
Prepared/ Preserved Thailand (85.5%), Vietnam (10.9%), Kenya (1.8%), Indonesia
Russia 55 0.00%
(1.8%)
Indonesia (37.8%), Thailand (31.1%), Kenya (13.3%), Germany
(8.9%), Philippines (6.7%)
Thailand (50.5%), Philippines (16.1%), Indonesia (16.1%), Kenya
World 1108 0.00%
(6.9%), Germany (3.2%)
81
Serbia (41.5%), Poland (36.9%), Belgium (5.1%), Chile (3.2%),

Germany 217 0.00%
Netherlands (2.8%)
Chile (63.8%), Serbia (12.8%0, Mexico (11.3%), Canada (6.4%),
Raspberries, USA 141 0.00%
China (2.8%)
blackberries,
mulberries, Serbia (44.4%), Belgium (15.1%) Poland (13.5%), Chile (7.9%),
France 126 0.00%
loganberries, black, Cyprus (6.3%)
81120
white or red currants Serbia (32.9%), Poland (23.2%), Netherlands (13.4%), Chile
and gooseberries Belgium 82 0.00%
(8.5%), Germany (4.9%)
(other than kiwi
fruit) Poland (25%), Belgium (18.3%), Netherlands (13.3%), Serbia
(11.7%), Germany (11.7%)
Serbia (27.4%), Poland (21.8%), Chile (18.3%), Belgium (5.8%),
World 1042 0.00%
Netherlands (4.5%)
China (26.7%), Thailand (19.5%), Vietnam (3.4%), Italy (1.65), USA
Japan 271 0.00%
(1.2%)
Belgium (28.3%), Italy (22.6%), Spain (19.8%), Netherlands
France 106 0.00%
(9.4%), Portugal (6.6%)
Mexico (50.5%), China (9.1%), Honduras (8.1%), France (7.1%),
Vegetables and USA 99 1.00%
Canada (6.1%)
200490 Mixtures of
vegetables nes Belgium (44.7%), Netherlands (17.1%), Poland (7.9%), Spain
Germany 76 0.00%
(6.6%), Italy (5.3%)
Germany (23.8%), Spain (20.6%), Belgium (12.7%), Netherlands
(9.5%), Italy (6.3%),
China (21.5%), Belgium (13.4%), USA (8.3%), Germany (8.1%),
World 1015 0.60%
Netherlands (7.4%)
Hungary (45.3%), France (35.8%), Thailand (8.5%), Poland (2.8%),
Germany 106 0.00%
Netherlands (2.8%)
Spain (41.6%), Belgium (16.8%), Thailand (12.9%), France (8.9%),
Germany (6.9%)
USA (47.3%), Thailand (39.6%), New Zealand (6.6%), China
JAPAN 91 0.00%
Sweet Corn (4.4%), Vietnam (2.2%)
200580
Prepared/ Preserved France (90%), Germany (4.3%), Belgium (2.9%), Thailand (1.4%),
Spain 70 0.00%
China (1.4%)
Hungary (46.4%), France (35.7%), Belgium (12.5%), Spain (3.6%),
France 56 0.00%
Thailand (1.8%)
France (23.3%), Thailand (20.2%), Hungary (19.3%), USA (13.9%),
World 995 0.00%
Spain (5.5%)
China (68.6%), Greece (24.1%), Chile (4.4%), Spain (1.5%), Mexico
USA 137 0.00%
(0.7%)
Greece (68.2%), Spain (9.45), Italy (7.1%), South Africa (5.9%),
Germany 85 0.00%
Austria (4.7%)
Chile (56.4%), USA (16.7%), Greece (11.5%), China (11.550,
Peaches Prepared/ Mexico 78 0.00%
200870 Argentina (2.6%)
Preserved
Japan 71 0.00% China (77.5%), S Africa (15.5%), Greece (5.6%), France (1.4%)
Greece (42.9%), Spain (30.6%), S Africa (12.2%), China (4.1%),
Germany (4.1%)
Greece (31.35), China (24%), Chile (11.5%), Spain (9.4%), S Africa
World 890 0.00%
(8.5%)
82
Mexico (77.7%), Peru (7.2%), Chile (5.4%), Argentina (3.6%),

USA 166 0.00%
China (2.4%)
Poland (38.6%), China (9.8%), Morocco (8.3%), Egypt (8.3%),
Germany 132 0.00%
Spain (7.6%)
Strawberries Morocco (31.4%), Spain (23.3%), Poland (16.3%), Netherlands
Uncooked/ cooked France 86 0.00%
(9.3%), Belgium (4.7%)
81110 by steaming or
boiling in water, China (43.3%), USA (22.4%), Chile (17.9%), Egypt (7.5%), Poland
Japan 67 0.00%
Frozen (3%)
Morocco (30%), Poland (23.3%), Belgium (11.7%), China (11.7%),
Spain (8.3%)
Mexico (16.8%), Poland (16.6%), China (13.1%), Morocco (12.6%),
World 879 0.00%
Spain (6%)
China (78.4%), Mexico (17.4%), Swaziland (1.5%), Spain (0.6%),
USA 334 0.00%
Thailand (0.6%)
China (81.8%), Spain (4.5%), Mexico (4.5%), USA (3%), France
Japan 66 0.00%
(1.5%)
China (43.8%), Spain (26.6%), Netherlands (17.2%), Turkey (6.3%),
Germany 64 0.00%
Citrus Fruits Austria (3.1%)
200830
Prepared/ Preserved Spain (31.3%), Turkey (25%), Swaziland (12.5%), Germany
(10.4%), China (8.3%)
USA (43.2%), Korea (20.5%), Costa Rica (18.2%), Brazil (15.9%),
China 44 0.00%
Germany (2.3%)
China (54.3%), Mexico (9.6%), Spain (8.4%), USA (7.1%), Turkey
World 728 0.00%
(3.2%)
Netherlands (42.4%), Poland (28%), China (14.4%), France
Germany 125 0.00%
(12.8%), Austria (0.8%)
Netherlands (50%), China (11.8%), France (11.8%), Indonesia
USA 110 0.90%
(9.1%), Spain (9.1%)
Mushrooms Netherlands (38.8%), Spain (35.3%), Poland (8.2%), France

200310 France 85 0.00%
Prepared/ Preserved (8.2%), China (4.7%)
Russia 36 0.00% China (91.7%), Netherlands (8.3%)
Italy 24 0.00% Spain (37.5%), Netherlands (33.3%), Poland (25%), France (4.2%)
China (31.6%), Netherlands (30.9%), Poland (11.7%), Spain (11%),
World 693 0.10%
France (7.4%)
Argentina (76.8%), Australia (5.4%), Turkey (5.4%), Chile (4.5%),
USA 112 0.00%
Mexico (3.6%)
Argentina (35.5%), USA (24.3%), Chile (15%), Brazil (10.3%),
Japan 107 0.00%
Australia (2.8%)
USA (49.2%), Argentina (23%), Chile (13.1%), Italy (4.9%), Spain
200969 Apple Juice nes Canada 61 0.00%
(4.9%)
Korea 38 0.00% Chile (52.6%), USA (36.8%), Spain (7.9%), Italy (2.6%)
Italy 32 0.00% Spain (96.9%), Netherlands (3.1%)
Argentina (25.2%), Spain (24.5%), Italy (12.3%), USA (12.3%),
World 658 0.00%
Chile (9.7%)
83
Annexure III:
India’s Share in Global Exports of Processed Fishery Sector

Share
Value of
of India
in the
(US$ Mn)
market
India (24.2%), Indonesia (20.8%), Ecuador (16.6%), Vietnam
USA 5420 24.2%
(12.6%), Thailand (6.9%)
Vietnam (22%), India (17.6%), Indonesia (17.6%), Argentina
Japan 2034 17.6%
(7.5%), Thailand (7%)
Argentina (28.3%), Ecuador (19.2%), China (7%), Nicaragua
Frozen shrimps and Spain 1221 3.0%
(6.9%), Morocco (5.2%)
030613 prawns, whether in
shell or not, Ecuador (29.8%), India (16.4%), Madagascar (9.3%), Vietnam
France 849 16.4%
(8.1%), Bangladesh (5.1%)
Ecuador (35.6%), Argentina (21.8%), Spain (12.6%), India (8.9%),
Italy 570 8.9%
Denmark (4.4%)
India (19.5%), Vietnam (12.7%), Ecuador (12.3%), Indonesia
World 17217 19.5%
(9.8%), China (6.1%)
China (45.2%), Chile (11.5%), Vietnam (11.1%), Indonesia (6%),
USA 3627 0.2%
Norway (4.5%)
Chile (28.6%), Norway (16.5%), Korea (7.9%), China (5.7%), USA
Japan 1912 0.1%
(5%)
China (28.6%), USA (16.5%), Poland (7.9%), Netherlands (5.7%),
Germany 1473 0.1%
Denmark (5%)
030420 Fish fillets, Frozen
China (26.4%), Iceland (19.5%), Russia (8.1%), Germany (6.8%),
Norway (5.7%)
China (18.9%), Norway (9%), Chile (7.9%), USA (6.8%), Russia
France 834 0.1%
(5.8%)
China (25.5%), Vietnam (10.9%), Chile (9.8%), Norway (7.2%),
World 14919 0.1%
USA (4.5%)
Sweden 2802 0.0% Norway (99.9%), Denmark (0.1%)
Norway (77.7%), Sweden (14.3%), United Kingdom (6.2%),
Poland 826 0.0%
Denmark (0.6%), Belgium (0.5%)
Canada (52.45), Faeroe Island (16.6%), United Kingdom (15.4%),
Fresh or chilled USA 764 0.0%
Norway (7.6%), Chile (5.8%)
Pacific Salmon ,
030212 Norway (63.5%), United Kingdom (25.2%), Ireland (3.7%), Sweden
Atlantic Salmon, France 751 0.0%
Danube Salmon (3.5%), Denmark (1.6%)
Norway (76.6%), Faeroe Island (23%), United Kingdom (0.2%),
Russia 453 0.0%
Chile (0.2%)
Norway (63.8%), Sweden (8.8%), Faeroe Island (5.7%), Chile
World 10015 0.0%
Thailand (43.4%), China (10.9%), Ecuador (9.9%), Vietnam (7.7%),
USA 1097 0.0%
Philippines (6.7%)
Spain (32.2%), Ecuador (11.9%), Seychelles (7.8%), Cote D Ivore
Italy 804 0.0%
(7.3%), Colombia (6.6%)
Seychelles (20.9%), Spain (20.8%), Cote D Ivore (13.7%), Ecuador
Prepared/preserved France 635 0.0%
(11.5%), Ghana (8.8%)
160414 tunas, skipjack and
Atlantic bonito Seychelles (18.9%), Mauritius (18%), Ghana (12.5%), Thailand
(9.4%), Ecuador (7.5%)
Ecuador (38.2%), Mauritius (10.8%), El Salvador (10.4%), Thailand
Spain 502 0.0%
(7.8%), Papua N Guinea (7.6%)
Thailand (29.1%), Ecuador (13.5%), Spain (8.9%), Mauritius
World 6863 0.0%
(5.4%), Seychelles (4.6%)
84
Russia (49.5%), USA (9.7%), New Zealand (6.7%), Taiwan (3.8%),

China 1508 3.3%
Thailand (3.7%)
China (35.8%), Russia (30.9%), Taiwan (8.1%), Senegal (4.9%),
Korea 818 0.4%
USA (4.8%)
USA (31.8%), Russia (13.8%), China (8.3%), Korea (7.3%), Iceland
Japan 600 0.0%
Frozen fish excluding (6.3%)
030379
livers and roes nes China (29.5%), Taiwan (11.1%), Korea (6.1%), Vietnam (5.2%),
USA 424 2.1%
Brazil (4.5%)
Indonesia (31.4%), Papua N Guinea (18.2%), India (12.4%),
Thailand 274 12.4%
Pakistan (8.4%), China (6.9%)
Russia (16.8%), China (12.9%), USA (6.3%), Taiwan (4.7%), Spain
World 6828 2.1%
(3.4%)
Chile (58.7%), Norway (7.3%), Canada (5.5%), Iceland (4.4%),
USA 2030 0.0%
Honduras (4.3%)
Norway (30.6%), Iceland (15.8%), United Kingdom (10.8%),
France 556 0.4%
Denmark (10.6%) Netherlands (5.2%)
Norway (90.5%), Denmark (4.5%), Germany (3.5%), Netherlands
Fish fillets and other Sweden 463 0.0%
(1.1%), Estonia (0.4%)
030410 fish meat fresh or
chilled Denmark (20.5%), Netherlands (19.2%), Norway (17.9%), Poland
Germany 307 0.3%
(9.1%), Sri Lanka (6.2%)
France (27.9%), Iceland (21.7%), Netherlands (15.1%), United
Belgium 272 0.0%
Kingdom (7%), Denmark (7%)
Chile (24.6%), Norway (20.9%), Iceland (7.9%), Denmark (5.2%),
World 5584 0.1%
Netherlands (5.1%)
Thailand (32.3%), Vietnam (24%), Indonesia (15.4%), China
USA 1439 7.9%
(14.7%), India (7.9%)
Thailand (42.8%), Vietnam (34.4%), China (9.2%), Indonesia (9%),
Japan 719 1.4%
India (1.4%)
Canada (33.1%), Thailand (11.1%), Vietnam (10.4%), Denmark
Shrimps & Prawns (10.4%), Iceland (10.2%)
160520
Prepared/ Preserved Greenland (36.3%), Canada (30.5%), USA (8.7%), Vietnam (3.8%),
Denmark 344 0.6%
Sweden (3.8%)
Morocco (38.4%), Indonesia (21.9%), Vietnam (15.1%), Belgium
(5.8%), Canada (5.8%)
Vietnam (22.4%), Thailand (21%), China (10.5%), Indonesia
World 4937 4.9%
(8.5%), Canada (7.2%)
France (27.8%), Greece (13.1%), United Kingdom (9.7%), Morocco
Spain 587 0.0%
(8.7%), Portugal (7.7%)
Greece (44.4%), Spain (18.4%), Turkey (7.8%), France (7.6%),
Italy 565 0.0%
Croatia (5.5%)
Mexico (17.6%), Canada (12.55), Panama (9.8%), Ecuador (9.5%),
Other Fish Fresh/ USA 409 0.0%
Greece (6.6%)
030269 chilled excl liver &
roes Spain (21%), Greece (19%), United Kingdom (13.5%), Netherlands
France 252 0.4%
(7.9%), Italy (4%)
Spain (67.8%), Greece (15.8%), Netherlands (5.9%), Senegal
Portugal 202 0.0%
(2.5%), Italy (2.5%)
Greece (14.9%), Spain (9.5%), France (8.3%), Turkey (8.3%),
World 3526 0.7%
United Kingdom (3.9%)
85
Thailand (25.8%), Spain (24.3%), China (9.1%), Vietnam (6.2%),

Italy 453 5.5%
India (5.5%)
Morocco (29.4%), Falkland Islands (26.9%), India (12.7%), China
Spain 449 12.7%
(7.3%), Mauritania (5.1%)
Korea Dem P Republic (25.2%), USA (22.7%), Taiwan (10.4%),
Cuttle Fish and China 444 0.7%
Indonesia (8.8%), Korea Republic (7.4%)
030749 Squids excl live fresh/
chilled China (32.6%), Peru (17.9%), Vietnam (16.2%), India (7.9%), Japan
Thailand 291 7.9%
(5.8%)
China (60.7%), India (8.7%), Thailand (8.7%), Argentina (5.4%),
USA 242 8.7%
Taiwan (5%)
China (22.2%), Thailand (8.7%), Spain (7.8%), India (6.8%),
World 3043 6.8%
Morocco (6%)
USA (37.7%), Thailand (12.6%), Norway (10%), India (7.9%), China
Japan 889 7.9%
(6%)
Vietnam (41.2%), USA (24.6%), China (18%), Indonesia (4.8%),
Korea 228 3.1%
Pakistan (4.4%)
Iceland (34.6%), Thailand (12.6%), USA (12.6%), Norway (11.8%),
Other Fillets (excl Russia 127 5.5%
Vietnam (8.7%)
030490 frozen)& other fish
meat China (64.7%), USA (16%), Norway (9.2%), Vietnam (3.4%), Chile
Canada 119 0.0%
(1.7%)
Norway (24.6%), USA (24.6%), Poland (8.5%), Netherlands (5.9%),
Germany 118 0.0%
USA (24%), Vietnam (13.8%), China (9.4%), Norway (8.8%),
World 2518 5.1%
Thailand (6%)
Chile (16.9%), Netherlands (15.9%), Mauritania (9.4%), Norway
Nigeria 510 0.0%
(8.2%), UAE (7.8%)
Netherlands (40.8%), Japan (13.1%), Norway (7.3%), Spain (6.8%),
Egypt 206 1.0%
Taiwan (5.3%)
Norway (72.9%), Iceland (8%), United Kingdom (7.5%), Ireland
China 199 0.0%
Mackerel excl livers& (4%), Faeroe Island (2.5%)
030374
roes frozen Iceland (48.6%), United Kingdom (14.5%), Ireland (14.5%), Faeroe
Russia 179 0.0%
Island (9.5%), Norway (7.3%)
Norway (91.2%), United Kingdom (3.7%), Ireland (2.2%), Iceland
Japan 136 0.0%
(1.5%), Denmark (0.7%)
Norway (24.8%), Netherlands (9.9%), United Kingdom (7.6%),
World 2304 0.7%
Iceland (7.1%), China (6.9%)
China (83%), Thailand (6.4%), Vietnam (5.2%), Indonesia (3.7%),
Japan 707 0.0%
Philippines (0.7%)
Germany (52.7%), Denmark (17.6%), Poland (15.8%), Netherlands
(6.8%), Ireland (2.7%)
Poland (30.5%), Netherlands (28.7%), Denmark (12.8%), S Africa
Other fish whole/ Germany 164 0.0%
(7.9%), China (6.1%)
160419 pieces , not minced,
prepared/preserved Germany (55.4%), Netherlands (16.2%), United Kingdom (10.1%),
Italy 148 0.0%
Spain (4.7%), Poland (3.4%)
Germany (57.6%), Denmark (15.2%), Netherlands (6.4%), France
France 125 0.0%
(3.2%), Malaysia (3.2%)
China (38.4%), Germany (19.3%), Denmark (5.9%), Netherlands
World 2243 0.0%
(5.3%), Poland (5.3%)
86
China (35.4%), Chile (14.9%), Thailand (10.3%), Russia (9.8%),

Japan 542 0.4%
Canada (4.8%)
Japan (34.7%), China (18.9%), USA (7.2%), Australia (5.8%), S
Hong Kong 498 0.0%
Africa (4.6%)
Peru (26.7%), India (26.4%), Argentina (14.9%), China (9.8%),
Spain 356 26.4%
Other Molluscs excl Chile (4.8%)
030799
live fresh/chilled India (32.9%), Spain (20%), Vietnam (8.2%), Peru (8.2%), Thailand
Italy 170 32.9%
(7.6%)
Korea (23.1%), Russia (16.3%), Peru (13.5%), Canada (11.5%),
China 104 0.0%
China (6.7%)
China (22.5%), Japan (8.5%), India (8.4%), Peru (7.4%), Chile
World 2213 8.5%
(6.3%)
Canada (54.9%), Russia (30.1%), Myanmar (2.8%), Argentina
USA 869 0.0%
(2.8%), China (2.4%)
Russia (50.6%), Canada (22.3%), USA (19.3%), Spain (3%), Bahrain
Japan 498 0.0%
(1.2%)
Canada (58.1%), USA (23.1%), Chile (6.3%), Russia (3.1%),
China 160 0.0%
Namibia (1.3%)
030614 Crabs Frozen
China (71.6%), Indonesia (6%), Chile (4.3%), Canada (4.3%), Japan
Hong Kong 116 0.0%
(3.4%)
China (42.6%), Russia (25.7%), Bahrain (10.9%), Pakistan (5.9%),
Korea 101 1.0%
Namibia (3%)
Canada (34.7%), Russia (28%), USA (8.6%), China (8.4%),
World 2095 0.2%
Myanmar (2.1%)
China (25.5%), Thailand (24.2%), Japan (17.6%), India (6.7%),
USA 165 6.7%
Korea (6.1%)
China (59.2%), Korea (19.1%), Thailand (10.5%), Vietnam (3.9%),
Japan 152 3.3%
India (3.3%)
Spain (40.9%), Germany (18.8%), France (7.4%), Belgium (5.4%),
Italy 149 0.7%
Other Prepared/ Poland (4.7%)
160420
preserved fish Morocco (16.4%), Belgium (15%), Germany (13.6%), Lithuania
France 140 0.7%
(13.6%), Spain (5%)
China (52%), Japan (15.4%), Taiwan (14.6%), Thailand (10.6%),
Hong Kong 123 0.0%
Malaysia (4.9%)
China (14.4%), Thailand (14.1%), Germany (5.6%), Spain (5.2%),
World 1869 2.1%
Lithuania (4.3%)
Poland (71.4%), Lithuania (14%), Norway (6.5%), Denmark (3%),
Germany 643 0.0%
Poland (29.6%), Denmark (19.6%), Lithuania (15.4%), France
Italy 240 0.0%
(10.8%), Sweden (7.5%)
Poland (64.5%), United Kingdom (8.3%), Germany (6.6%),
Pacific Salmon, France 121 0.0%
Belgium (6.6%), Lithuania (5%)
030541 Atlantic Salmon,
Danube Salmon Netherlands (46.7%), Chile (25.2%), Poland (7.5%), United
USA 107 0.0%
Kingdom (6.5%), Denmark (6.5%)
Lithuania (47.6%), Germany (24.3%), France (11.7%), Poland
Belgium 103 0.0%
(8.7%), Netherlands (4.9%)
Poland (40.1%), Germany (12.4%), Lithuania (11.9%), Denmark
World 1679 0.0%
(7.7%), Norway (5.2%)
87
China (47.6%), Vietnam (34.6%), Thailand (8.6%), Mauritania

Korea 347 0.3%
(3.5%), Indonesia (3.2%)
Morocco (51.5%), Mauritania (16.7%), Portugal (13.9%), China
Spain 330 0.9%
(3.3%), Mexico (2.7%)
Mauritania (34.4%), Morocco (32.1%), China (22.6%), Vietnam
Japan 305 0.3%
Octopus other than (6.6%), Thailand (1.6%)
030759
live fresh/chilled Morocco (26.8%), Spain (20.6%), Mexico (9.8%), Mauritania
Italy 287 2.4%
(7.3%), Senegal (7.0%)
Spain (51.6%), Mauritania (15.1%), Morocco (10.8%), Mexico
Portugal 93 0.0%
(9.7%), Tanzania (4.3%)
Morocco (22.8%), China (17.6%), Mauritania (13.3%), Spain
World 1622 1.2%
(10.8%), Vietnam (10.5%)
Taiwan (21.1%), USA (19.8%), Vanuatu (6.9%), Indonesia (6.7%),
Thailand 749 0.0%
Japan (6.7%)
Marshall Island (43.5%), Taiwan (29.3%), USA (12%), Micronesia
China 92 0.0%
(4.3%) Indonesia (2.2%)
Skipjack or stripe- Spain (57.8%), Seychelles (16.9%), France (12%), New Zealand
Mauritius 83 0.0%
bellied bonito (8.4%), Indonesia (1.2%)
030343
excluding livers and Neth Antilles (23.1%), Panama (23.1%), Cape Verde (19.2%),
roes frozen Spain 78 0.0%
Guatemala (10.3%), Seychelles (6.4%)
Taiwan (32.3%), USA (14.5%), Korea (11.3%), Vanuatu (8.1%),
Vietnam 62 0.0%
Kiribati (4.8%)
Taiwan (16.4%), USA (13.9%), Spain (7.4%), Marshall Islands
World 1357 0.0%
(6.5%), Indonesia (5.7%)
Japan (45.8%), China (22.8%), Peru (10.9%), Canada (10.3%),
USA 312 0.0%
Argentina (7.4%)
Japan (53.1%), China (33.1%), Canada (5.9%), USA (2.9%),
Hong Kong 239 0.0%
Australia (2.1%)
Scalops Chlamys Peru (39.3%), Canada (19.4%), Argentina (11.7%), United

France 196 0.0%
030729 other than live fresh/ Kingdom (11.2%), USA (8.7%)
chilled China 91 0.0% Japan (98.9%), Peru (1.1%)
USA (33.3%), Peru (20%), China (20%), Japan (14.7%), Argentina
Canada 75 0.0%
(12%)
Japan (32.5%), China (18.9%), Peru (12.4%), USA (8.9%), Canada
World 1321 0.0%
(8.6%)
USA 360 0.0% Canada (100%)
Canada 307 0.0% USA (100%)
China 160 0.0% Canada (51.9%), USA (47.5%), United Kingdom (0.6%)
030622 Lobster(not frozen) United Kingdom (39.2%), USA (34.2%), Ireland (11.4%), Canada
France 79 0.0%
(11.4%), Belgium (1.3%)
Korea 68 0.0% USA (55.9%), Canada (44.1%)
USA (45.8%), Canada (44.9%), United Kingdom (4%), Netherlands
World 1313 0.0%
(1.1%), France (0.8%)
Russia (36.8%), Norway (27.2%), USA (27.2%), Greenland (2.8%),
China 500 0.0%
Netherlands (2.2%)
Netherlands (58%), Spain (13.3%), Russia (9.3%), Sweden (8.7%),
Portugal 150 0.0%
USA (6%)
Netherlands 78 0.0% Norway (44.9%), Russia (29.5%), USA (23.1%), Greenland (2.6%)
Cod excluding livers&
030360 Greenland (42.9%), USA (18.6%), Germany (15.7%), Norway
roes frozen Denmark 70 0.0%
(12.9%), Russia (8.6%)
Russia (47.6%), Norway (38.1%), Faeroe Islands (4.8%), Germany
Poland 63 0.0%
Russia (27.7%), Norway (23.2%), USA (22.9%), Netherlands
World 1259 0.0%
(8.4%), Portugal (4.8%)
88
Indonesia (35%), China (18.3%), Philippines (12.6%), Vietnam

USA 732 4.2%
(8.9%), Thailand (5.7%)
China (60.3%), Korea (19.7%), Indonesia (12.6%), Vietnam (4.6%),
Japan 239 0.0%
Thailand (1.7%)
China (78.9%), Canada (5.3%), Thailand (3.9%), Japan (3.9%),
Hong Kong 76 0.0%
Crab Prepared/ Indonesia (2.6%)
160510
Preserved Vietnam (33.3%), Belgium (25.6%), Indonesia (12.8%), Chile
France 39 0.0%
(7.7%), Canada (5.1%)
China (44.8%), Thailand (24.1%), Indonesia (6.9%), Philippines
Singapore 29 0.0%
(3.4%), Canada (3.4%)
China (30.1%), Indonesia (25.6%), Vietnam (8.5%), Philippines
World 1227 2.6%
(7.7%), Thailand (5%)
Chile (91.6%), Russia (4.5%), USA (2%), Canada (1.6%), New
Japan 512 0.0%
Zealand (0.4%)
USA (53.4%), Russia (21.1%), Japan (18%), Chile (5%), Canada
China 399 0.0%
(2%)
Other Pacific Salmon USA (59.7%), Chile (19.4%), Japan (15.3%), Canada (4.2%), Russia
030319 excluding Sockeye Thailand 72 0.0%
(1.4%)
Salmon Frozen
Russia 52 0.0% Chile (92.3%), USA (5.8%), Canada (1.9%)
Korea 16 0.0% USA (50%), Chile (37.55), Russia (12.5%)
Chile (48.4%), USA (29%), Russia (9.9%), Japan (7.5%), Canada
World 1207 0.0%
(2.7%)
89
Annexure IV:
India’s Share in Global Exports of Processed Meat Sector

Share
Value of
of India
in the
(US$ Mn)
market
Australia (51.8%), New Zealand (32.8%), Nicaragua (6.5%),
USA 3011 0.0%
Uruguay (4.5%), Canada (1.7%)
Brazil (60.4%), Paraguay (25.8%), Argentina (4.3%), Uruguay
Russia 2160 0.0%
(4.2%), Belarus (1.1%)
Brazil (51.9%), USA (36.4%), Australia (3.4%), Canada (2.8%), New
Boneless meat of Hong Kong 1687 0.0%
Zealand (1.2%)
020230 bovine animals,
frozen Australia (48.9%), USA (36.9%), New Zealand (7.2%), Canada
Japan 1283 0.0%
(3.9%), Mexico (3%)
Brazil (49.9%), India (44.8%), USA (3.6%), New Zealand (0.6%),
Egypt 1186 44.8%
Australia (0.6%)
Australia (24.2%), Brazil (19.5%), USA (10.8%), New Zealand
World 16933 8.8%
(10%), India (8.8%)
Canada (45.7%), Australia (24.8%), Mexico (24.5%), Nicaragua
USA 2045 0.0%
(1.9%), Uruguay (1.1%)
Australia (53.2%), USA (41.7%), New Zealand (2.8%), Mexico
Japan 1589 0.0%
(1.4%), Canada (0.8%)
Boneless meat of Netherlands (24.1%), Argentina (22.8%), Ireland (8.4%), Uruguay

Germany 1322 0.0%
020130 bovine animals, fresh (6.7%), Brazil (5.9%)
or chilled Ireland (66.3%), Netherlands (8.4%), Australia (7%), Namibia
(2.7%), Italy (2.7%)
Mexico 884 0.0% USA (86.8%), Canada (13%), Nicaragua (0.1%), Uruguay (0.1%)
USA (18.2%), Australia (14.6%), Ireland (10.4%), Netherlands
World 15033 0.8%
(9.5%), Canada (7.2%)
Denmark (25.2%), USA (16.8%), Spain (12.6%), Mexico (10.2%),
Japan 2680 0.0%
Canada (8.6%)
Brazil (58.4%), Canada (19.2%), Chile (5.8%), USA (5.3%), Belarus
Russia 1320 0.0%
(3.6%)
USA (29.1%), Germany (20.2%), Spain (10.4%), Chile (7.5%),
Korea 1074 0.0%
Frozen meat of Canada (6%)
020329
swine, nes USA (22.1%), Denmark (17.8%), Spain (16.9%), Germany (16.4%),
China 757 0.0%
France (7.1%)
Brazil (32.1%), China (30%), Netherlands (10.1%), USA (7%),
Hong Kong 574 0.0%
Germany (6.6%)
USA (16.3%), Denmark (12.5%), Brazil (11.3%), Spain (10.9%),
World 11332 0.0%
Germany (10.3%)
Japan 1623 0.0% USA (62.7%), Canada (33.5%), Mexico (3.8%), Spain (0.1%)
Spain (75.4%), Germany (14.8%), Belgium (3.3%), Denmark
France 782 0.0%
Denmark (47.9%), Belgium (18.4%), Netherlands (13%), Spain
Germany 768 0.0%
(11.3%), France (3%)
Meat of Swine, fresh
0020319 Denmark (51.1%), Belgium (19.6%), Netherlands (13.9%), Spain
/ chilled USA 720 0.0%
(12.1%), France (3.2%)
Germany (30.6%), Denmark (20.8%), France (9.9%), Netherlands
(9%), Spain (8.7%)
Germany (22.8%), USA (16.7%), Spain (13.9%), Canada (13.4%),
World 9658 0.0%
Denmark (8.9%)
90
Thailand (50.1%), China (49.4%), Korea (0.2%), USA (0.1%), Brazil

Japan 1943 0.0%
(0.1%)
Thailand (47.3%), Brazil (11.6%), Netherlands (11%), Ireland
(10.6%), Germany (4.6%)
Meat or offal of Brazil (19.2%), Thailand (19%), Belgium (18.3%), United Kingdom
fowls of the species Netherlands 574 0.0%
(14.1%), Germany (13.9%)
160232 “Gallus domesticus”,
prepared or Brazil (23.8%), Netherlands (21%), Thailand (13.8%), Austria
Germany 529 0.0%
preserved (10.6%), Denmark (8.1%)
China (31.7%), Thailand (10.3%), USA (7.4%), Turkey (7%),
Hong Kong 243 0.0%
Netherlands (6.2%)
Thailand (30.8%), China (16.6%), Brazil (7.2%), Netherlands (7%),
World 6775 0.0%
Germany (6.4%)
Germany (31.5%), Netherlands (18.8%), Denmark (16.4%), Spain
Italy 1456 0.0%
(10.1%), France (8.4%)
Mexico 1114 0.0% USA (88.8%), Canada (11.2%)
Denmark (3.2%), Netherlands (33%), Belgium (20.4%), Spain
Hams, shoulders and Germany 421 0.0%
(4.3%), France (1.2%)
020312 cuts thereof, with
bone Denmark (45.3%), Netherlands (24.1%), Germany (18.7%),
Poland 406 0.0%
Belgium (5.2%), France (4.4%)
USA 246 0.0% Canada (100%)
USA (20.6%), Denmark (16%), Germany (15.5%), Netherlands
World 4848 0.0%
(14.9%), Spain (9.8%)
France (29.6%), Poland (19.1%), Netherlands (15.3%), Germany
Italy 1209 0.0%
(14.3%), Austria (5.9%)
Germany (32.5%), Belgium (16.5%), Poland (10.3%), United
Kingdom (8.8%), Austria (8.2%)
Netherlands (29.8%), Denmark (22%), France (18.3%), Poland
Meat of bovine Germany 410 0.0%
020120 (11.2%), Austria (5.6%)
animals, fresh/chilled
Netherlands (34.1%), Germany (25.8%), Ireland (9.3%), Belgium
France 364 0.0%
(9.1%), Italy (6.3%)
USA 347 0.0% Mexico (74.6%), Canada (23.9%), Australia (1.4%)
France (14.7%), Germany (13.5%), Netherlands (13.4%), Poland
World 4497 0.02%
(10.5%), Mexico (5.8%)
Germany (31.1%), Spain (14.1%), Ireland (11.5%), Italy (10.5%),
Poland (10.1%)
Italy (29.9%), Austria (26.6%), France (12.6%), Netherlands
Germany 549 0.0%
(8.4%), Hungary (8.4%)
Germany (31.3%), Spain (30.2%), Italy (18.2%), Belgium (7.3%),
Sausages and similar France 275 0.0%
France (2.9%)
160100 products of meat,
offal or blood China (36.7%), USA (24.9%), Thailand (19.8%), Brazil (6.3%), Italy
Japan 237 0.0%
(3.8%)
France (28.9%), Germany (26.1%), Netherlands (23.2%), Italy
Belgium 211 0.0%
(10.9%), Spain (8.1%)
Germany (17.4%), USA (12.1%), Italy (11.9%), Spain (7.7%),
World 4448 0.02%
France (5.1%)
91
China (36.4%), Iran (8.9%), Netherlands (7.8%), Egypt (5.1%),

Germany 642 0.6%
Poland (4.8%)
China (58.3%), United Kingdom (13.9%), Germany (9.5%), Italy
(7.7%), Belgium (2.4%)
Guts-bladder and Germany (16.6%), Morocco (16.3%), China (9.6%), Netherlands

France 301 0.0%
stomach of animals, (9.3%), Australia (6.3%)
050400
whole and pieces China (38.3%), Australia (32.6%), USA (12.8%), New Zealand
thereof Japan 282 0.0%
(4.3%), Mexico (4.3%)
USA (24.7%), Netherlands (23%), Australia (12.3%), Denmark
China 235 0.0%
(12.3%), Spain (9.8%)
China (26.4%), USA (10.9%), Germany (10.1%), Netherlands
World 3894 0.2%
(6.1%), Australia (5.9%)
USA (37.5%), Denmark (16.5%), Germany (12%), Spain (8.8%),
China 1402 0.0%
Canada (7.4%)
USA (23.4%), Germany (20.6%), Netherlands (12.9%), Brazil
Hong Kong 1031 0.0%
(10.5%), Poland (6.1%)
Germany (22.4%), USA (17.2%), Spain (12.6%), Netherlands
Edible offal of swine, Philippines 174 0.0%
020649 (11.5%), Canada (9.8%)
frozen
Mexico 148 0.0% USA (74.3%), Canada (22.3%), Chile (2.7%), Denmark (0.7%)
USA (74.7%), Canada (15.2%), Spain (3.8%), Netherlands (3.8%),
Japan 79 0.0%
Hungary (1.3%)
USA (32%), Germany (15%), Denmark (8.5%), Spain (7.8%),
World 3317 0.0%
Netherlands (7.6%)
Belgium (58%), Denmark (15.4%), Poland (5.5%), United Kingdom
Germany 958 0.0%
Belgium (74.4%), Germany (14%), Denmark (5.3%), Spain (2.6%),
Poland 430 0.0%
Netherlands (1.6%)
Fresh or chilled Germany (45.6%), France (28.5%), Spain (7.8%), Netherlands

Italy 397 0.0%
020311 carcases and half (7.8%), Belgium (6.8%)
carcases of swine Netherlands (64%), France (19.2%), Germany (6.9%), Spain (3%),
Greece 203 0.0%
Belgium (3%)
Austria 134 0.0% Germany (97%), Hungary (1.5%), Slovakia (0.7%), Italy (0.7%)
Belgium (37.8%), Germany (20%), Netherlands (8.9%), France
World 2853 0.0%
(7.4%), Denmark (6.5%)
Denmark (43%), Netherlands (32.7%), Germany (12.1%), Italy
(7.1%), Ireland (3.9%)
Italy (42.1%), Spain (29%), Germany (20.9%), Belgium (5.4%),
France 297 0.0%
Portugal (0.7%)
Italy (47.7%), Spain (37.2%), Belgium (6.3%), Austria (6%), France
Meat of swine, Germany 285 0.0%
(1.8%)
021019 salted, in brine; dried
or smoked Italy (68.4%), Canada (20.2%), Spain (7%), Germany (3.5%),
USA 114 0.0%
Hungary (0.9%)
Italy (48%), Germany (18.4%), Spain (15.3%), France (12.2%),
Belgium 98 0.0%
Netherlands (5.1%)
Italy (26.1%), Denmark (16.3%), Germany (15.9%), Spain (14.4%),
World 2568 0.0%
Netherlands (12.9%)
92
Hong Kong 483 0.0% China (29%), Poland (9.1%), Spain (8.7%), Brazil (6.45), Italy (6%)
Canada 275 0.0% USA (100%)
USA (35.8%), China (35.5%), Thailand (17%), Denmark (4.95), Italy
Japan 265 0.0%
(3%)
Prepared/preserved Ireland (42%), Denmark (20.8%), Germany (10.85), Belgium
160249 United Kingdom 212 0.0%
preparations of Swine (5.7%), Poland (4.2%)
Austria (29.55), Denmark (27.9%), Italy (10.9%), Belgium (7.8%),
Germany 129 0.0%
Poland (6.2%)
USA (20.9%), Germany (12.6%), China (11.4%), Denmark (7%),
World 2393 0.0%
Ireland (4.6%)
Netherlands (27.9%), France (24.8%), Poland (14%), Belgium
Italy 484 0.0%
(11%), Spain (10.3%)
Germany (22.9%), Poland (18.65), Belgium (17.3%), United
Kingdom (9.6%), Ireland (7.7%)
Carcases or half- Netherlands (26.5%), Poland (22.4%), France (22.4%), Belgium
carcases of bovine Germany 219 0.0%
020110 (7.8%), Ireland (5%)
animals, fresh or
chilled Belgium (43.1%), Netherlands (22.3%), Italy (17.5%), Germany
France 211 0.0%
(7.1%), Spain (4.7%)
United Kingdom 169 0.0% Ireland (92.3%), Poland (7.1%), France (0.6%)
Netherlands (12.6%), France (11.5%), Poland (11.4%), Belgium
World 2381 0.3%
(10.8%), Spain (9.7%)
China 917 0.0% New Zealand (57.4%), Australia (40%), Uruguay (2.6%)
New Zealand (65.8%), Australia (27%), Ireland (2.7%),
Netherlands (0.9%), Falkland Islands (0.9%)
USA 213 0.0% Australia (52.65), New Zealand (46.9%), Chile (0.5%)
Meat of sheep,
020442 New Zealand (87.5%), Netherlands (7.5%), Chile (2.5%), Belgium
frozen, bone-in Germany 80 0.0%
(1.3%), Ireland (1.3%)
Malaysia 72 0.0% Australia (73.65), New Zealand (25%), India (1.4%)
New Zealand (54.5%), Australia (36.6%), Uruguay (2.8%),
World 2276 0.1%
Netherlands (1.2%), Chile (1.1%)
Ireland (44.1%), Brazil (41.5%), Denmark (3.5%), Belgium (2.1%),
Sweden (2.1%)
Brazil (67.6%), New Zealand (11.7%), Uruguay (9.6%), Canada
USA 324 0.0%
(6.55), Australia (2.2%)
Prepared/preserved. Paraguay (17%), USA (9.1%), Brazil (7.9%), Ireland (7.5%), China
Hong Kong 241 0.8%
160250 preps. of bovine (6.2%)
animals Canada 211 0.0% USA (90.5%), Brazil (8.1%), New Zealand (0.9%), Argentina (0.5%)
Brazil (15.4%), Netherlands (14.4%), Poland (13.5%), Belgium
Germany 104 0.0%
(11.5%), Denmark (11.5%)
Brazil (26.3%), USA (11.5%), Ireland (10.4%), Germany (6.7%),
World 2164 0.1%
Belgium (4%)
Brazil (64.5%), Argentina (10.5%), Australia (7.4%), USA (4.3%),
Hong Kong 987 0.0%
Uruguay (3.3%)
Mexico 173 0.0% USA (87.9%), Canada (9.2%), Australia (2.9%)
Australia (56.1%), USA (31.85), New Zealand (11.5%), Canada
Korea 148 0.0%
(0.7%)
Edible offal of bovine
020629 Australia (41.5%), Canada (29.2%), Uruguay (12.3%), Mexico
animals, frozen USA 130 0.0%
(8.5%), New Zealand (5.4%)
USA (73.1%), Brazil (18.3%), Netherlands (3.2%), Australia (2.2%),
Egypt 93 2.2%
India (2.2%)
Brazil (32.1%), USA (17.8%), Australia (16.1%), Argentina (7.9%),
World 2105 1.5%
New Zealand (4.6%)
93
Ireland (38.5%), Poland (25.5%), Germany (13.1%), Italy (7.3%),

Denmark (6%)
Germany (59.6%), Italy (21.85), Spain (9.6%), Belgium (5.1%),
France 156 0.0%
Ireland (1.3%)
Prepared/preserved USA 123 0.0% Poland (33.3%), Canada (33.3%), Italy (27.6%), Denmark (5.7%)
160241 hams and cuts of Austria (28.3%), Italy (25.3%), Spain (11.1%), Belgium (9.1%),
swine Germany 99 0.0%
Netherlands (7.1%)
France (41%), Germany (24.4%), Italy (17.9%), Netherlands
Belgium 78 0.0%
(7.7%), Spain (7.7%)
Germany (20.5%), Poland (14.8%), Ireland (13.9%), Italy (12.9%),
World 1625 0.0%
USA (6.2%)
USA (63.6%), Australia (23.9%), New Zealand (10.8%), Canada
Korea 519 0.0%
(1.5%), Chile (0.2%)
USA (68%), Canada (18.5%), Brazil (9.1%), Mexico (1.3%), New
Hong Kong 372 0.0%
Zealand (0.8%)
Australia (50.6%), Uruguay (37.5%), New Zealand (11.6%), Costa
Meat of Bovine China 259 0.0%
020220 Rica (0.4%)
animals, Frozen
Indonesia 40 0.0% Australia (65%), New Zealand (27.5%), USA (7.5%)
Australia (48.3%), New Zealand (34.5%), Vietnam (13.8%), India
Malaysia 29 3.4%
(3.4%)
USA (42%), Australia (21.3%), New Zealand (8.2%), Uruguay
World 1563 0.4%
(6.7%), Canada (5.5%)
USA 281 0.0% Australia (76.9%), New Zealand (22.4%), Iceland (0.7%)
New Zealand (84.4%), Australia (12.5%), Ireland (2.3%), France
(0.4%), Spain (0.4%)
New Zealand (40.65), United Kingdom (20.3%), Ireland (18.8%),
France 138 0.0%
Australia (9.4%), Belgium (7.2%)
Meat of sheep ,
020422 Netherlands (30.3%), Ireland (22.4%), France (17.1%), New
fresh/chilled, bone-in Belgium 76 0.0%
Zealand (14.5%), United Kingdom (14.5%)
New Zealand (61.8%), Ireland (18.2%), United Kingdom (10.9%),
Germany 55 0.0%
Netherlands (5.5%), Belgium (1.8%)
New Zealand (43.2%), Australia (36%), Ireland (6.65), United
World 1148 0.0%
Kingdom (6.3%), Netherlands (2.6%)
94
Annexure V:
India’s Share in Global Exports of Dairy Products

Share
Value of
HS of India
HS Description Importing Country Imports Top Exporters to the Market (% Share)
Code in the
(US$ Mn)
market
Netherlands (37.2%), France (22.1%), Italy (7.7%), Switzerland
Germany 3724 0.0%
(7.4%), Austria (6.6%)
Ireland (34.8%), France (13.4%), Italy (11.5%), Netherlands
(11.2%), Germany (7%)
Germany (46.3%), France (12.85), Netherlands (11.8%),
Italy 1301 0.0%
Switzerland Liechestan (5.9%), Czech Republic (5.1%)
040690 Cheese nes
Belarus (40.2%), Netherlands (10.2%), Lithuania (7.2%), Ukraine
Russia 1231 0.0%
(6.3%), Poland (6.1%)
Italy (25.7%), France (16.6%), Netherlands (7.2%), Switzerland
USA 1173
Liechestan (7.1%), Spain (6.1%)
Netherlands (18.6%), Germany (14.2%), France (13.7%), Italy
World 19887 0.02%
(8.2%), Denmark (4.6%)
New Zealand (91.2%), Australia (2.4%), Uruguay (1.9%), Argentina
China 3307 0.0%
(1.5%), Chile (1.1%)
Netherlands (67.4%), Ireland (7%), New Zealand (6%), Singapore
Hong Kong 1456 0.0%
(5%), Australia (3.1%)
New Zealand (27.9%), Argentina (26.8%), France (10.1%), Ireland
Algeria 1042 0.1%
Milk and cream in (7.2%), Belgium (6%)
040221
powder New Zealand (74.3%), Oman (8.7%), Netherlands (4.3%), Australia
UAE 645 0.9%
(2.9%), Denmark (1.9%)
New Zealand (33.5%), Netherlands (30.7%), Ireland (12.6%),
Nigeria 475 1.1%
Denmark (4.6%), Sweden (4%)
New Zealand (49.1%), Netherlands (14.3%), Argentina (4.7%),
World 11317 0.2%
France (3.1%), Australia (3.1%)
New Zealand (46.4%), USA (18.9%), Australia (7.1%), Germany
China 1124 0.0%
(6.8%), France (6%)
USA (95.2%), Poland (1.9%), Canada (1.1%), New Zealand (0.8%),
Mexico 829 0.0%
Germany (0.4%)
Milk and Cream in France (25.3%), Poland (24.4%), USA (13.5%), Belgium (12%),
powder, general or Algeria 742 1.8%
Germany (8.1%)
040210 solid form containing
fat not exceeding 1.5% USA (30.2%), Australia (23.9%), New Zealand (17.7%), France
Indonesia 648 0.0%
by weight (10.3%), Belgium (6.8%)
New Zealand (47%), USA (21%), Australia (10%), Germany (4.8%),
Malaysia 581 3.8%
Netherlands (4%)
USA (21.5%), New Zealand (17.6%), Germany (9.4%), France
World 9944 1.4%
(9.4%), Australia (6.3%)
Germany (59.2%), Lithuania (10.4%), Spain (9.7%), France (7.1%),
Italy 903 0.0%
Poland (5.2%)
France (27.1%), Germany (24.1%), Denmark (17.1%), Italy
(10.9%), Ireland (8.6%)
Denmark (32.1%), France (16.4%), Italy (15.8%), Austria (12%),
Germany 476 0.0%
Fresh Cheese not Switzerland Liechestan (5.3%)
040610
fermented and curd Italy (53.2%), Germany (16.8%), Spain (10.4%), Belgium (4.8%),
France 393 0.0%
Denmark (4.3%)
Australia (49.6%), USA (15.1%), New Zealand (15.1%), Italy
Japan 383 0.0%
(10.7%), Denmark (2.6%)
Germany (24.9%), Italy (12.4%), France (11.7%), Denmark (8.6%),
World 5920 0.0%
USA (7.2%)
95
Germany (28.9%), France (24.5%), Austria (19.9%), Slovenia

Italy 947 0.0%
(12%), Hungary (6%)
Czech Republic (25.6%), Austria (19.3%), Belgium (17.8%),
Germany 932 0.0%
Denmark (10.7%), Poland (8.8%)
Germany (46.8%), Netherlands (37.7%), France (13.7%),
Milk and Cream Belgium 570 0.0%
Luxembourg (1.2%), United Kingdom (0.5%)
040120 containing fat > 1%
but ≤6% by weight Germany (60.1%), Belgium (27.6%), France (6%), United Kingdom
(4.2%), Denmark (1.2%)
Germany (38.7%), Australia (14.7%), New Zealand (12.9%), France
China 279 0.0%
(8.6%), Korea (5.7%)
Germany (19.2%), France (10.65), Austria (6.8%), Belgium (6.7%),
World 5771 0.2%
Czech Republic (5.9%)
Netherlands (27.2%), Belgium (21.1%), Germany (18.3%), Ireland
France 816 0.0%
Belarus (46.7%), Uruguay (14%), Australia (10.3%), New Zealand
Russia 614 0.0%
(8.1%), Finland (5.9%)
Ireland (46.7%), Netherlands (22.1%), Belgium (10.8%), France
Germany 538 0.0%
(4.1%), Poland (3.9%)
040510 Butter
Germany (24%), New Zealand (20.9%), Ireland (18.4%), Belgium
(13.4%), France (9.5%)
Netherlands (46.4%), Germany (12.2%), France (12.2%), Ireland
Belgium 433 0.0%
New Zealand (19.1%), Netherlands (13.1%), Ireland (11.9%),
World 5716 0.2%
Germany (11%), France (7.6%)
USA (37.9%), France (20.5%), Netherlands (8.6%), Germany
China 775 0.0%
(7.2%), Argentina (5.9%)
Germany (48.7%), France (14.9%), Italy (6.9%), Poland (6.7%),
Italy (19%), Austria (19%), Netherlands (16.1%), Poland (11.3%),
Germany 310 0.0%
France (10.3%)
040410 Whey
Italy (31.4%), Germany (23.9%), Spain (9.9%), Netherlands (8.9%),
France 293 0.0%
Switzerland Liechestan (6.1%)
France (25.4%), USA (17.4%), Argentina (12.2%), Netherlands
Indonesia 213 0.0%
(12.2%), Poland (10.8%)
USA (17.4%), Germany (16.7%), France (14.6%), Netherlands
World 4532 0.0%
(9%), Poland (4.9%)
France (60.5%), Germany (15.7%), Slovakia (9.7%), Portugal
Spain 299 0.0%
(5.7%), Austria (5%)
Germany (47.2%), Austria (21.3%), Greece (17.4%), France (7.1%),
Italy 282 0.0%
Czech Republic (2.5%)
France (45.8%), Germany (19.4%), Greece (16.6%), Ireland
(10.3%), New Zealand (4.3%)
040310 Yogurt
Belgium (32.4%), Austria (31.3%), Luxembourg (9.1%), France
Germany 176 0.0%
Spain (71.1%), France (16.2%), Germany (9.2%), Poland (1.2%),
Portugal 173 0.0%
Austria (1.2%)
Germany (24.5%), France (18%), Saudi Arabia (6.7%), Austria
World 2755 0.0%
(6.4%), Spain (5.7%)
96
Ireland (47.1%), Belgium (25.1%), France (12.2%), Germany

(7.3%), Austria (5.2%)
Belgium (65.6%), Germany (13.5%), France (7.3%), Switzerland
Italy 192 0.0%
Liechestan (4.2%), Austria (4.2%)
Germany (54.7%), United Kingdom (27.3%), Austria (5%),
France 161 0.0%
Processed cheese not Netherlands (4.3%), Ireland (2.5%)
040630
grated/powdered Austria (37.4%), France (17.7%), Netherlands (14.3%), Ireland
Germany 147 0.0%
(9.5%), Poland (8.3%)
France (44%), Germany (25%), Slovakia (11.2%), Netherlands
Belgium 116 0.0%
(10.3%), Italy (6.9%)
France (14.1%), Germany (12.7%), Belgium (10.1%), Ireland
World 2609 0.0%
(6.7%), Australia (5.9%)
Ireland (29%), Germany (20.1%), Netherlands (15.4%), United
Belgium 214 0.0%
Kingdom (14.5%), New Zealand (11.7%)
Netherlands (27.7%), France (22.55), Spain (19.1%), Belgium
Italy 173 0.0%
(15%), United Kingdom (8.7%)
Fats and oils derived Belgium (33.3%), Netherlands (32.7%), New Zealand (13.2%),
from milk, and France 159 0.0%
040590 Germany (9.4%), Spain (3.1%)
dehydrated butter and
ghee China 148 0.0% New Zealand (93.2%), USA (4.7%), Belgium (2%)
New Zealand (80.9%), USA (11.8%), Chile (4.4%), Australia (2.2%),
Mexico 136 0.0%
Belgium (0.7%)
New Zealand (44.8%), Netherlands (13.8%), Belgium (7.8%),
World 2018 1.4%
Germany (6.4%), France (6%)
Germany (51.4%), Belgium (16.5%), Denmark (9.5%), Austria
(8.6%), Italy (7%)
Italy (44%), Belgium (15.7%), Netherlands (11.6%), United
France 216 0.0%
Kingdom (10.2%), Germany (10.2%)
Italy (42.3%), Netherlands (26.8%), Switzerland Liechestan (8.8%),
Grated or powdered Germany 194 0.0%
040620 France (5.2%), Austria (4.1%)
cheese of all kinds
Mexico 146 0.0% USA (100%)
France (46.5%), Netherlands (29.8%), Germany (10.5%), Italy
Belgium 114 0.0%
USA (18.2%), Italy (16.4%), Germany (12.1%), Netherlands (9.9%),
World 1830 0.1%
France (9%)
France (50.5%), Germany (22.3%), Belgium (17.2%), Ireland
Buttermilk, curdled
milk and cream, and Germany (51.2%), Belgium (21.1%), France (20.3%), Italy (3.3%),
other fermented or Portugal (1.6%)
acidified milk and Belgium (27.1%), France (26%), Poland (18.8%), Germany
cream, whether or Italy 96 0.0%
(15.6%), Austria (4.2%)
040390 not concentrated
or flavoured or New Zealand (39.5%), Australia (14.8%), USA (13.6%),
Philippines 81 0.0%
containing added Netherlands (8.6%), Ireland (8.6%)
sugar or other Belarus (82.5%), Finland (11.3%), Kazakhstan (2.5%), Ireland
sweetening matter, Russia 80 0.0%
(1.3%), Lithuania (1.3%)
fruits, nuts or cocoa
Germany (20.7%), France (20.4%), Belgium (9.9%), New Zealand
World 1721 0.0%
(7%), Netherlands (5.9%)
97
New Zealand (95.5%), Canada (2.4%), Australia (1.4%), Ireland

USA 292 0.0%
(0.3%), Germany (0.3%)
Netherlands (83.3%), Canada (6.7%), Germany (3.3%), France
Korea 120 0.0%
(2.5%), USA (1.7%)
Milk products
of natural milk Italy 110 0.0% France (83.6%), Germany (15.5%), Spain (0.9%)
040490
constituents, whether/ USA (42.7%), Netherlands (31.7%), New Zealand (11%), France
not sweetened , nes Morocco 82 0.0%
(9.8%), Belgium (1.2%)
Mexico 68 0.0% USA (100%)
New Zealand (26.8%), USA (16.8%), Netherlands (13%), France
World 1457 0.1%
(12.3%), Germany (6.3%)
Germany (46.4%), Netherlands (38.1%), Romania (8.3%), Belgium
Greece 168 0.0%
(4.8%), Cyprus (1.8%)
Germany (75.4%), Belgium (11%), France (5.9%), Spain (2.5%),
Luxembourg (2.5%)
Netherlands (65.1%), Kuwait (7.3%), Germany (6.4%), Saudi
Other milk or cream UAE 109 0.0%
Arabia (4.6%), Brazil (4.6%)
040291 not containing
sweeting matter Belgium (28.4%), Luxembourg (22.7%), Spain (22.7%), Germany
France 88 0.0%
Netherlands (58.8%), Singapore (14.1%), Malaysia (12.9%),
Hong Kong 85 0.0%
Thailand (11.8%), China (2.4%)
Netherlands (28.6%), Germany (25.1%), France (5.4%), Belgium
World 1439 0.0%
(5%), Saudi Arabia (3.5%)
Poland 112 0.0% Ireland (77.7%), Netherlands (17%), Germany (5.4%)
Netherlands (43.9%), Saudi Arabia (41.1%), Denmark (4.7%),
UAE 107 0.0%
Brazil (3.7%), Kuwait (2.8%)
Russia 73 0.0% Belarus (100%)
Other milk or cream
040299 containing sweetening Belgium (45%), Germany (25%), Spain (20%), Luxembourg (5%),
France 60 0.0%
matter Netherlands (5%)
Belgium (44.4%), Spain (22.2%), Netherlands (13%), Germany
(13%), Ireland (7.4%)
Netherlands (16.8%), Belgium (10.5%), Germany (10.3%), Ireland
World 975 0.0%
(9.3%), Belarus (8.5%)
98
Annexure VI:
India’s Share in Global Exports of Poultry and Egg Products

Share
Value of
HS of India
HS Description Importing Country Imports Top Exporters to the Market (% Share)
Code in the
(US$ Mn)
market
Brazil (38.6%), USA (33.75), China (8.2%), Turkey (2.7%), Poland
Hong Kong 1408 0%
(2.5%)
Brazil (83.1%), Thailand (11.3%), USA (4.2%), Philippines (1.3%),
Japan 1318 0%
Denmark (0.1%)
Frozen cuts and Brazil (66.9%), USA (20.4%), Argentina (7.2%), Chile (3.2%),
China 818 0%
edible offal of fowls Poland (1.7%)
020714
of the species Gallus Brazil (46.1%), USA (28.65), Argentina (5.9%), Belarus (4.7%),
domesticus Russia 573 0%
Turkey (3.3%)
Netherlands (48.6%), Poland (12.5%), Germany (6.1%), Chile
United Kingdom 527 0%
(5.7%), Denmark (5.7%)
Brazil (36.8%), USA (20.8%), Netherlands (9.4%), Poland (3.7%),
World 10809 0%
Germany (3.2%)
Netherlands (59.2%), Poland (14.5%), Ireland (8.2%), Germany
(6.6%), Belgium (5.5%)
Belgium (36.2%), Netherlands (24.1%), Germany (16.8%), Poland
France 552 0%
(8%), Spain (4.5%)
Fresh or chilled cuts Mexico 542 0% USA (100%)
and edible offal of
020713 Netherlands (49.1%), Poland (16%), Austria (11.3%), Belgium
fowls of the species Germany 532 0%
Gallus domesticus (7.9%), Italy (7.7%)
Germany (43.5%), Belgium (30.3%), United Kingdom (9.3%),
Netherlands 386 0%
Lithuania (6.7%), Poland (3.4%)
Netherlands (26.4%), USA (20.3%), Germany (11%), Belgium
World 4409 0%
(9.6%), Poland (9.5%)
Netherlands (73.9%), Poland (13.1%), Belgium (4%), France
Germany 720 0%
Germany (43.1%), Belgium (21.1%), Poland (17.1%), France
Netherlands 427 0%
(5.4%), Spain (3.5%)
Netherlands (27.6%), Belarus (17.2%), Germany (13.3%), Czech
Bird’s eggs, in shell, Russia 308 0%
Republic (8.4%), France (6.5%)
040700 fresh, preserved or
cooked China (49.3%), USA (23.2%), Thailand (12.1%), Malaysia (7.2%),
Hong Kong 207 0%
Japan (1.9%)
USA (94.3%), Brazil (1.7%), Spain (1.7%), Netherlands (1.1%),
Mexico 176 0%
Canada (1.1%)
Netherlands (22.7%), USA (12.9%), Germany (9.9%), Poland (8%),
World 3688 0.9%
France (5.1%)
Brazil (85.7%), France (6.7%), Oman (3%), Turkey (1.5%),
UAE 328 0%
Argentina (1.5%)
Brazil (69.9%), France (24.5%), Argentina (3.1%), Ukraine (1.7%),
Yemen 229 0.9%
India (0.9%)
Frozen fowls of Kuwait 156 0.9% Brazil (97.4%), France (2.6%)
the species Gallus
020712 Brazil (91.9%), France (4.1%), India (1.4%), Paraguay (0.7%),
domesticus, not cut in Egypt 148 1.4%
pieces Ukraine (0.7%)
Brazil (64.1%), France (13%), UAE (13%), Argentina (4.6%), India
Oman 131 1.5%
(1.5%)
Brazil (59.5%), France (9%), Argentina (4.5%), Netherlands (3.5%),
World 1898 0.5%
Ukraine (2.6%)
99
Mexico 322 0% USA (100%)

Poland (51.6%), Italy (16.9%), Austria (16.6%), United Kingdom
Germany 308 0%
Austria 188 0% Germany (65.4%), Hungary (20.2%), Italy (8%), Poland (6.4%)
Cuts and edible offal of Poland (37.3%), Italy (21.6%), Ireland (17.6%), Germany (10.8%),
020726 United Kingdom 102 0%
turkey, fresh/chilled Netherlands (7.8%)
France (66%), Poland (14.9%), Germany (9.6%), Netherlands
Belgium 94 0%
(5.3%), Italy (2.1%)
USA (21.5%), Poland (21%), Germany (18.5%), Italy (10.5%),
World 1527 0%
Hungary (8.1%)
Netherlands (43.7%), Poland (21.1%), Brazil (7%), Austria (6.3%),
Germany 142 0%
France (4.9%)
Mexico 116 0% USA (84.5%), Chile (15.5%)
France (24%), Brazil (21.3%), Netherlands (10.7%), USA (6.7%),
Frozen cuts and edible Benin 75 0%
Spain (5.3%)
020727 offal of turkeys of the
species domesticus China 59 0% USA (93.2%), Chile (6.8%)
Germany (33.3%), Spain (19.3%), Poland (17.5%), United Kingdom
France 57 0%
(7%), Netherlands (5.3%)
USA (23.9%), Brazil (13.4%), Netherlands (12.3%), Poland (10%),
World 1008 0%
Germany (6.8%)
Netherlands (27.7%), Belgium (20.4%), Ireland (13.9%), Poland
(10.2%), France (10.2%)
Russia 134 0% Belarus (99.3%), Kazakhstan (0.7%)
Meat of fowls of Netherlands (43.3%), France (20.2%), Austria (15.4%), Belgium
species Gallus Germany 104 0%
020711 (6.7%), Italy (6.7%)
domesticus, not cut in
pieces, fresh/chilled Hong Kong 86 0% China (97.7%), Australia (1.2%), New Zealand (1.2%)
Belgium 41 0% France (61%), Netherlands (36.6%), Germany (2.4%)
Belarus (14.1%), Netherlands (12.9%), China (9.9%), Poland
World 945 0%
(9.5%), France (9.4%)
Netherlands (79.5%), Poland (6.8%), Denmark (5.5%), Belgium
Germany 73 0%
(2.7%), Latvia (2.7%)
Netherlands (77.1%), France (10%), Belgium (8.6%), Germany
Bird’s eggs not in United Kingdom 70 0%
(2.9%), Italy (1.4%)
shell, fresh, cooked
by steaming or boiling Spain (36.6%), Belgium (24.4%), Netherlands (24.4%), Germany
France 41 0%
040899 in water, moulded, (7.3%), Denmark (2.4%)
frozen or otherwise France (45.5%), Belgium (21.2%), Italy (15.2%), Spain (9.1%),
preserved, whether or Netherlands 33 0%
Germany (9.1%)
not sweetened
Belgium 19 0% Netherlands (68.4%), France (21.1%), Germany (10.5%)
Netherlands (38%), France (8.5%), Germany (8.3%), Belgium
World 411 1.0%
(6.8%), Spain (6.35)
100
About Exim Bank’s Working Paper Series
As part of its endeavour in enriching the knowledge of Indian exporters and thereby to enhance their competitive-
ness, Exim Bank periodically conducts research studies. These research studies are broadly categorized into three
segments, viz. sector studies, country studies and macro-economic related analysis. These studies are published in
the form of Occasional Papers, Working Papers and Books. The research papers that are brought out in the form of
Working Papers are done with swift analysis and data collation from various sources. The research papers under the
series provide an analytical overview on various trade and investment related issues.
Previous Working Papers brought out by Exim Bank
Paper No. 29 Enhancing India’s Trade Relations with Southern African Development Community
(SADC): A Brief Analysis, March 2014
Paper No. 30 Potential for Enhancing India’s Trade with Australia: A Brief Analysis, April 2014
Paper No. 31 Potential for Enhancing Intra-SAARC Trade: A Brief Analysis, June 2014
Paper No. 32 Strategic Development of Ship Building Sector: Institutional Support System and Policy Frame-
work in India and Select Countries, July 2014
Paper No. 33 Potential for Enhancing India’s Trade with Korea Republic: A Brief Analysis, August 2014
Paper No. 34 Enhancing India’s Bilateral Ties with Cambodia, Lao PDR, Myanmar, Vietnam:
A Brief Analysis, November 2014
Paper No. 35 Indian Handloom Industry: A Sector Study, March 2015
Paper No. 36 Turkey: A Study of India’s Trade and Investment Potential, March 2015
Paper No. 37 Study on Indian Pharmaceutical Industry, March 2015
Paper No. 38 Enhancing India’s Trade Relations with ECOWAS: A Brief Analysis, May 2015
Paper No. 39 Potential for Enhancing India’s Trade with Iran: A Brief Analysis, June 2015
Paper No. 40 Potential for Enhancing India’s Trade with Pakistan: A Brief Analysis, June 2015
Paper No. 41 Potential for Enhancing India’s Trade with China: An Update, August 2015
Paper No. 42 Potential for Enhancing India’s Trade with Russia: A Brief Analysis, August 2015
Paper No. 43 Enhancing India’s Trade Relations with LAC: Focus on Select Countries, October 2015
Paper No. 44 Turkey: A Study of India’s Trade and Investment Potential, October 2015
Paper No. 45 Enhancing India’s Trade Relations with Africa: A Brief Analysis, October 2015
Paper No. 46 Indian Leather Industry: Perspective and Strategies, November 2015
Paper No. 47 Make in India for the World: Realizing Export Potential of Railways, December 2015
Paper No. 48 Export from West Bengal: Potential and Strategy, January 2016
Paper No. 49 Act East: Enhancing India’s Engagements with Cambodia, LAO PDR,
Myanmar, Vietnam (CLMV), January 2016
Paper No. 50 Focus Africa: Enhancing India’s Engagements with
Southern African Development Community (SADC), March 2016
Paper No. 51 India’s Service Sector - An Analysis, March 2016
Paper No. 52 Defence Equipment Industry: Achieving Self-Reliance and
Promoting Exports, March 2016
Paper No. 53 International Solar Alliance: Nurturing Possibilities, March 2016
Paper No. 54 India-Africa Healthcare Cooperation: Way Forward, May 2016
Paper No. 55 Sustainable Investment Opportunities in Africa: Prospects for BRICS, October 2016
Paper No. 56 Intra-BRICS Trade: An Indian Perspective, October 2016
Paper No. 57 Enhancing India’s Ties with Middle East and North Africa (MENA), October 2016
Paper No. 58 Enhancing India’s Trade Relations with Latin America and the Caribbean (LAC) Region:
Focus on Select Countries, November 2016
Paper No. 59 The Indian Automotive Industry: An International Trade Perspective, February 2017
Paper No. 60 India’s Investments in Select East African Countries: Prospects and Opportunities, March 2017
101

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International Trade in Processed Foods: An Indian Perspective

EXPORT-IMPORT BANK OF INDIA

WORKING PAPER NO. 61

INTERNATIONAL TRADE IN PROCESSED FOODS:

© Export-Import Bank of India

1.1 Key Processes in Value Chain of Food Processing Industry 21

Exhibit No. Title Page No.

2.1 Major Exporters of Processed Food 22

1. Integrating Technology in Dairy Farming through Internet of Things 65

OVERVIEW Segment-Wise Export Analysis

State of Indian Agriculture (2011-12)

Raising Agricultural Productivity and Making Farming Remunerative for Farmers

Reviving Accelerating India Export Issues

State of Indian Agriculture (2011-12)

Exhibit 1.1: Key Processes in Value Chain of Food Processing Industry

Source: Ministry of Food Processing Industries, Govt. of India

Exhibit 2.3: Global Production of Exhibit 2.5: Major Producers of Vegetables in

Exhibit 2.11: Major Exporters of Exhibit 2.12: Major Importers of

1 New Zealand 7248 11928 13.3 14.3

2 Germany 8198 11110 7.9 13.3

3 The Netherlands 6090 8620 9.1 10.3

4 France 6445 8125 6.0 9.7

5 The USA 2777 5471 18.5 6.5

6 Belgium 3144 3841 5.1 4.6

Trade 35 India 101 301 31.4 0.4

Exhibit 2.14: Major Exporters of Exhibit 2.15: Major Importers of

Exhibit 2.19: Major Poultry Meat Producing Countries

Source: ITC Geneva; Exim Bank Research

Table 2.11: Major Exporters of Poultry and Egg

Table 3.1: Contribution of Food Processing Industries to GDP at 2011-12 Prices

Economic Activity 2011-12 2012-13 2013-14 2014-15

CII-RABO Equity Report on Driving Make in India in Food Processing

 Income tax deductions on capital expenditure

Exhibit 3.2: FDI Inflows in Food Processing Industry

4. Trade Scenario of Indian Processed Food Industry

major fruits produced in India are mango (20.5%), citrus

Exhibit 4.4: Major Fruits and Vegetables Produced

Exhibit 4.6: India’s Export and Import of Processed

PROCESSED FISHERIES AND SEAFOOD

Fisheries and aquaculture has emerged as an important

Exhibit 4.9: Fish Production in India (lakh tonnes)

Exhibit 4.10: Top 5 Fish Producing States in India

Source: DGCIS; Exim Bank Research

The USA was the leading importer of processed fishery

Exhibit 4.12: India’s Major Export Destinations of ExhibitExhibit

Processed Fishery and Seafood Products (2015-16)

Source: Ministry of Agriculture and Farmers Welfare; Govt. of India

With respect to this, demonstrating the traceability

Meat and Poultry

India is the leading producer of livestock in the world. The

Table 4.1: Major Meat Producing States in India

State 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16

Source: National Dairy Development Board

Table 4.2: Milk Production and Per Capita Availability

Source : DGCIS, Exim Bank Research

(2.6%) and Kuwait (2.3%) (Exhibit 4.19).

this period. On the other hand, imports of poultry and

Exhibit 4.21: India’s Export and Import of Poultry and Egg