27 November 2014

Development of Agro-Food Market ,Research in Food Technology ,Radiation Processing Technology


The Food Safety and Standards Authority of India (FSSAI) has been established under Food Safety & Standards Act, 2006 and is responsible for implementing the Rules & Regulations made thereunder. The quality standards of various agro-food products are prescribed in the Food Safety and Standards Regulations. The vertical standards for food products are prescribed in Food Safety and Standards (Food Products Standards and Food Additives) Regulation, 2011 & horizontal standards in Food Safety and Standards (Contaminants, Toxins and Residues) Regulation, 2011.

FSSAI is in the process of harmonizing the existing Indian standards with Codex and other international best practices.

The Ministry of Food Processing Industries provides financial assistance for promoting Research & Development in the food processing sector under the plan scheme for Quality Assurance, Codex Standards and Research & Development and Other Promotional Activities. All Universities, IITs, Central/State Government Institutions, Public Funded organisations, R&D laboratories and CSIR recognised R&D units in private sector are eligible for assistance as per the guidelines of the scheme.

Ministry also has two academic –cum- research institutions viz. National Institute of Food Technology Entrepreneurship and Management (NIFTEM), Kundli, Sonepat, Haryana and Indian Institute of Crop Processing Technology (IICPT), Thanjavur, Tamilnadu. Both these institutions are mandated to undertake research in various aspects of food processing. Research in food processing is also being undertaken by Indian Council of Agricultural Research (ICAR) under Department of Agricultural Research and Education (DARE) and institutions like Central Food Technological Research Institute (CFTRI) under Council of Scientific and Industrial Research (CSIR), Department of Science and Technology, Defence Food Research Laboratory under Ministry of Defence and various State Universities

Research in Food Technology
Ministry of Food Processing Industries has two Institutes engaged in research and development activities in the food processing sector:

i) National Institute of Food Technology, Entrepreneurship and Management (NIFTEM), at Kundli, Sonepat, Haryana. NIFTEM has been recognized as a Deemed to be University under De Novo Category by the Ministry of Human Resource Development. NIFTEM has modern teaching and research laboratories. The Institute has commenced its academic program in 2012-13.

ii) Indian Institute of Crop Processing Technology (IICPT) at Thanjavur, Tamil Nadu. This is also an academic-cum-research Institute under the Ministry. The Institute formerly known as Paddy Processing Research Centre (PPRC) has been upgraded into a national- level institute in 2008. The Institute has modern teaching laboratories and a food processing incubation and training centre.

Both the Institutes are mandated to undertake research in various aspects of food processing.

In addition, various Institutes under the Indian Council of Agricultural Research (ICAR) under Department of Agricultural Research and Education (DARE), Ministry of Agriculture are undertaking research in food technology. Institutions like Central Food Technological Research Institute (CFTRI), Mysore, Karnataka under Council of Scientific and Industrial Research (CSIR), under Ministry of Science & Technology; Defence Food Research Laboratory (DFRL), Mysore, Karnataka under Defence Research and Development Organization (DRDO), Ministry of Defence, and various State Universities and their affiliated colleges are also carrying out research in different sectors of food processing/ technology.

Radiation Processing Technology
The Ministry of Food Processing Industries is implementing a scheme for Cold Chain, Value Addition and Preservation Infrastructure with the objective of preventing post-harvest losses of horticultural & non-horticultural produce. One of the components of the Cold Chain scheme is the setting up of Irradiation facilities for preservation of the food products like onion, potato etc.

Irradiated food is regulated in the country in accordance with the Atomic Energy (Control of Irradiation of Food) Rules, 1996. Food can be irradiated only in a food irradiation plant, which is authorized by the Atomic Energy Regulatory Board and licensed by the competent Government Authority. The license to carry out food irradiation operation is given only after ascertaining the safety of the installation, its suitability to ensure proper process control, and availability of licensed operators and qualified staff. Board of Radiation & Isotope Technology (BRIT) is providing consultancy services for establishment of food irradiation plant. Food Safety and Standards Authority of India (FSSAI) is also regulating the food safety aspects of irradiated food products.

Under the scheme of Cold Chain, Value Addition and Preservation Infrastructure, the Ministry provides financial assistance in the form of grant-in-aid @ 50% of the total cost of plant & machinery and technical civil works in general areas and 75% for NE region and difficult areas (North-Eastern States, Sikkim, J&K, Himachal Pradesh and Uttarakhand) subject to a maximum grant-in-aid of Rs. 10 Crore for setting up integrated cold chain projects including irradiation facility. The entrepreneurs/ promoters are free to set up Irradiation facility as per their business model and financial capability throughout the country including Maharashtra. The Ministry has approved 04 irradiation projects under the Scheme. A total grant of Rs. 24.04 crore has been approved for these four projects.

The Ministry is also assisting setting up of Irradiation facility as one of the components under scheme of Cold Chain, Value Addition and Preservation Infrastructure for non-horticultural products under National Mission on Food Processing (NMFP) through State/UT Governments. The financial assistance is provided as Grant-in-aid @ 35% of the bank appraised project cost for general areas, and @ 50% of the project cost for difficult areas including North-Eastern Region, subject to maximum of Rs. 5 crore. Interest Subsidy @ 6% per annum subject to a maximum of Rs. 2.00 crore per project or actual interest accrued on term loan, whichever is lower, for a period of 5 years from completion of the project for general areas, and @ 7% per annum subject to a maximum of Rs. 3.00 crore per project or actual interest accrued on term loan, whichever is lower, for a period of 7 years from completion of the project for difficult areas including North-Eastern Region and hilly States.

The scheme guidelines for Cold Chain, Value Addition and Preservation Infrastructure prescribe implementation schedule for setting up the cold chain projects including Irradiation projects as 24 months in general areas and 30 months in difficult areas from the date of issue of the sanction to the project.

Processing of Agricultural Produces
The Ministry has assigned a repeat study to CIPHET, Ludhiana for assessing the present position of post-harvest losses, which is expected to be completed in January, 2015.
            In order to enhance the existing/installed capacities of food processing industries (FPIs) in the country, Ministry of Food Processing Industries (MoFPI) had launched a Centrally Sponsored Scheme - National Mission on Food Processing (NMFP) implemented through State/UT Governments during 12thFive Year Plan. Under the following Schemes of Mission, financial assistance is provided to the entrepreneurs in the form of grants-in-aid for overall development of food processing sector including capacity enhancement:

(i)           Technology Up-gradation/Establishment/Modernisation of Food Processing Industries,

(ii)          Cold Chain, Value Addition and Preservation Infrastructure for Non- Horticultural Products,

(iii)         Setting up of Primary Processing Centres / Collection Centres in Rural Areas,

(vi)         Modernisation of Meat Shops,

(vii)        Reefer Vehicles,

(ix)         Setting up / modernization of abattoirs (w.e.f. 2014-15).  



To introduce state of art technology of international standards in the food processing industries and also to minimise the wastage of perishable agricultural produces in the country, the Government has announced following incentives for food processing sector:-

(i)           A special fund of Rs. 2000 crore has been created in National Bank for Agriculture and Rural Development (NABARD) for providing affordable credit to entrepreneurs for setting up of food processing units in designated Food Parks.  New units as well as modernization of existing units are eligible for loan from the Special Fund, to the extent of 75% of the project cost.  The rate of interest will be linked to Prime Lending rate of NABARD and the risk rating of the borrowing entity.  The loan shall be repayable within a maximum period of 7 years, including the initial gestation of a maximum of 2 years. 

(ii)          All Refrigeration Machineries and parts used for installation of Cold storage, Cold room or Refrigerated Vehicle for preservation, storage, transport or processing of agricultural, apiary, horticultural, dairy, poultry, aquatic and marine produce and meat are exempted from Excise Duty. 

(iii)         Pasteurizing, drying, evaporating, etc. machinery used in Dairy Sector is exempted from Excise Duty.

(iv)         Excise duty on food processing and packaging machinery reduced from 10% to 6%. 



In addition, the Ministry is implementing various other Central Sector schemes namely – (i) Mega Food Park Scheme for creation of modern infrastructure to food processing industries; (ii)  Scheme for Cold Chain, Value Addition and Preservation Infrastructure for creation of preservation infrastructure including pre-cooling facilities at production sites, reefer vans and mobile cooling units for the purpose of linking groups of producers to processors and market through well-equipped supply chain; and (iii) Setting up/Modernization of Abattoirs  for promoting scientific and hygienic slaughtering of animals, use of modern technology for slaughter waste management.  These initiatives are aimed at filling the gaps in the supply chain and expanding the processing capacities by introducing latest technology to minimize wastages of agricultural produces in the country. 

Other agencies of the Government like National Horticulture Board (NHB), Agricultural and Processed Food Products Export Development Authority (APEDA), National Cooperative Development Corporation (NCDC) and State Government are also providing financial assistance for cold storages under their respective schemes to reduce the wastage of agricultural produce.

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