Union Budget 2025: Strengthens agriculture and advancing a sustainable food system
The sector has attracted foreign direct investment (FDI) equity inflows totalling $6.793 billion from April 2014 to March 2024
The share of processed food exports within agri-food exports has significantly increased, rising from 13.7 per cent in 2014-15 to 23.4 per cent in 2023-24.
The food processing sector stands as one of the largest employers in the organized manufacturing sector, accounting for 12.41 per cent of total employment within the registered/organized sector, as reported by the Annual Survey of Industries (ASI) for 2022-23.
Since January 2024, a total of 46,643 loans have been sanctioned under the credit-linked subsidy component of the PMFME scheme.
For the year 2024-25, the Government of India has allocated a budget estimate of Rs 3,290 crore to the Ministry for the development of the food processing sector. This represents an increase of approximately 30.19 per cent from the revised estimate of Rs 2,527.06 crore for 2023-24.
The Gross Value Added (GVA) in the food processing sector has grown from Rs 1.34 lakh crore in 2014-15 to Rs 1.92 lakh crore in 2022-23, according to the first revised estimates.
Furthermore, the sector has attracted foreign direct investment (FDI) equity inflows totalling $6.793 billion from April 2014 to March 2024.
The food processing sector is vital for enhancing farm income and generating off-farm employment opportunities. Additionally, it contributes to reducing post-harvest losses in agriculture and related sectors through investments in preservation and processing infrastructure, both on and off the farm. In line with these objectives, the Ministry of Food Processing Industries has implemented several initiatives aimed at advancing the food processing sector and has achieved significant milestones in its schemes during the year 2024.