The government announced that the share of processed food exports in agri-food exports has increased notably from 13.7% in 2014-15 to 20.4% in 2024-25. The food processing sector is a major employment provider in organized manufacturing, contributing to 12.83% of total registered/organized sector employment.
The Gross Value Added (GVA) in the food processing sector has seen growth, rising from Rs 1.34 lakh crore in 2014-15 to Rs 2.24 lakh crore in 2023-24 as per revised estimates. Additionally, the sector has attracted $7.33 billion FDI equity inflow during April 2014-March 2025.
The Ministry of Food Processing Industries highlighted the sector’s role in enhancing farm income, creating off-farm jobs, and reducing post-harvest losses through investments in preservation and processing infrastructure. The Pradhan Mantri Kisan Sampada Yojana (PMKSY) has been instrumental in this regard, with projects benefiting farmers and generating employment opportunities.
Since its inception, the PMKSY has approved numerous projects, with 36 projects approved in January 2025 alone. These projects have enhanced processing and preservation capacity, benefiting farmers and creating direct/indirect employment opportunities. The scheme has been extended to promote ‘Vocal for Local’ in the food processing sector.
The Production Linked Incentive Scheme for Food Processing Industry (PLISFPI) with an outlay of Rs 10,900 crore has been approved by the Union Cabinet. Under this scheme, various proposals have been approved, leading to significant investments and employment generation. The scheme aims to boost the food processing industry over a six-year period.
