Sunday, September 23, 2012

Pink Revolution in India

Food Processing in India

We have already discussed on this topic- food processing sector in India. India having huge agricultural resources and man power, can serve as a food basket for the whole world. For the local market we found already that there is a change in the food habits in India but still most families prefer traditional cooked foods which is a threat for food processing business. Some big food companies like MTR are trying to introduce processed foods in the market but its still in initial level in the local supermarkets. Indian packed foods are available in cold chain in different European and American countries while they are not welcomed in India.

Meat Production 

There is a gradual increase in the production of meat and related products in India from 1950's until today. Since slaughter houses in India are not properly registered or follow the proper hygiene conditions most of meat production and marketing is through unorganised sector in India. The quality of the meat in the local market is not upto the mark without proper sanitation and cold storage facilities. Table below shows the general growth in meat production in India from 1998 only from the recognised sector. According to FAO-Food and Agricultural Organisation in 1998 India produced meat contributing to US $ 115, 300 Millions accounting to 27% of overall agricultural production in India. In this year according the forecast of USDA India will be the top exporter of beef to other countries. Though the beef from India is not the real beef USDA included the local indian beef and buffalo meat which are cheaper than beef in their report and so India exports around 1.5 million tonnes.

The present production of meat is estimated at 6.27 million tons in 2010 (FAO, 2012), which is 2.21% of the world's meat production. The contribution of meat from buffalo is about 23.33%, while cattle contributes about 17.34%, sheep 4.61%, goat 9.36%, pig 5.31%, poultry 36.68% and other species 3.37%. The meat production has increased from 764,000 tonnes in 1970-71 to 6.27 million tons in 2010. The compounded average growth rate (CAGR) during the last two decades works out to be 4.5%. It is noticed that about 10.6% cattle, 10.6% buffaloes, 24.1% sheep, 58.7% goats, 95.0% pigs and 190.0% chicken are slaughtered each year. The value of meat and by-products is Rs 79,889 crore including skin and hides, while the export value of meat and meat products work outs to be more than Rs 6,000 crore in the year 2009-10. The contribution of buffalo meat accounts for more than 75% of total exports/foreign earnings. The present status of livestock population/production is given in Table below.

The poultry has gaining the widely acceptance by consumers and growing 10-15% annually. The chicken meat contributes about 37% meat to total production and number one contributors. The growth is expected more in near future. This might be due to popularity, price, easy availability, no religious taboos and much more characteristics in poultry.

Source: FNB News

Pink Revolution

There are a number of terms available in the name of Pink revolution. But especially when it comes to the agricultural terms, pink revolution refers to the increase and reform in the production of beef and meat products. Ministry of Food Processing Industries in India is taking several steps to improve the meat production and export in India. They provide tax free and subsidies to the meat processing industries. 

Some of the helping schemes for meat processing industries from MOFPI-Ministry Of Food Processing Industries are,

  1. No restrictions on exports of poultry and poultry products. 
  2. Transport subsidies (Rs. 3-15 per Kg) for the export of poultry products
  3. Inclusion of buffalo meat under APEDA's Transport Assistance Scheme for new markets in Africa/CIS
  4. Restoration of DEPB rates for frozen buffalo meat
  5. Exemption of Service Tax on transportation of meat products processed for exports
  6. 25% grant in aid on food processing industries for machinery and building
Please contact MOFPI for further details and how to get the subsicidies. Also approaching MOFPI office in the nearby area with the business plan or project is also a good option to know more about the government schemes on meat processing industries.

Reform on pink revolution and meat production is essential for an healthy nation. Increasing the meat protein intake from 6 grams per day to 50 grams per day is an goal should be achieved in India by this Pink revolution.  The buying power of Indian middle class people is increasing which is a major opportunity for meat processing industries to market their products in India. Also unhygienic meat products without proper sanitation is not allowed to sell to the local consumers for the health reasons. So focus will be hygienic practices of meat production. says the MOFPI showing their focus on meat production and pink revolution in India.

  1. FNB News on Meat production in India
  2. FAO on Indian Meat production
  3. DNA India News- India the top exporter of Beef
  4. Ministry of Food Processing Industries- India

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