Madhya Pradesh Food Processors Eye Union Budget for Strategic Support
Food processing industries in Madhya Pradesh are looking to the upcoming Union Budget for stronger policy support in key areas such as technology upgradation, climate-resilient infrastructure, and improved credit flow. These measures are seen as crucial for strengthening value-added production and enhancing supply-chain efficiency across the state.
Industry Potential and Investment Needs
Industry stakeholders highlight that Madhya Pradesh's position as a leading producer of soyabean, pulses, wheat, and horticultural crops offers significant potential for growth. However, scaling up processing capacity requires sustained investment in modern machinery, cold chains, and storage infrastructure. Processors emphasize that without these upgrades, the sector may struggle to capitalize on its agricultural strengths.
Climate Variability and Policy Alignment
Climate variability has emerged as a key concern for food processors in the region. They stress the importance of aligning Budget allocations with district irrigation plans and the state action plan on climate change. This alignment is deemed essential for ensuring consistent raw material availability and mitigating the impacts of unpredictable weather patterns on crop yields.
Focus on Natural and Herbal Products
Ramnath Suryawanshi, a certified food trainer and expert on food processing business, points out the growing domestic and global demand for natural and herbal food products. He advocates for a dedicated policy to promote such products and provide easy access to markets for processors, particularly small units. This, he believes, could open new revenue streams and enhance the sector's competitiveness.
Research and Development for Innovation
The industry is also calling for enhanced allocation for research and development to support product innovation, shelf-life enhancement, and food safety compliance. Processors argue that increased funding for R&D would help Indian products meet global standards and improve export competitiveness, positioning Madhya Pradesh as a key player in the international market.
Market Linkages and Skill Development
Mahesh Agrawal, a food processor, emphasizes the need for the Budget to focus on improving market linkages and skill development. He suggests support for common processing facilities, modern packaging units, and export-oriented infrastructure. Additionally, industry-linked skilling programmes are required to address the shortage of trained manpower in food processing units, ensuring a skilled workforce to drive growth.
Incentives for Value-Added Products
Agrawal further notes that incentives for value-added products such as ready-to-eat foods, nutraceuticals, and fortified products would help processors move beyond primary processing and improve margins. This shift towards higher-value products could significantly boost the sector's profitability and sustainability.
Strengthening Agricultural Systems
Industry representatives also highlight the need to strengthen agricultural research and extension systems, expand soil-testing facilities, and develop digital market platforms and traceability systems. These measures are seen as vital for improving raw material quality and ensuring efficient market operations.
Coordinated Budget Push for Growth
Industry bodies conclude that a coordinated Budget push across technology, climate resilience, R&D, skilling, and market access could significantly strengthen Madhya Pradesh's food processing ecosystem. Such an integrated approach is expected to position the state as a major agri-value hub, driving economic growth and creating employment opportunities in the region.
