SCOPE & CHALLENGES IN VALUE ADDITION & AGRO PROCESSING IN INDIAN AGRICULTURE

Based on the classification of the Ministry of Food Processing Industries, the value addition & agro processingsector includes dairy, fruit and vegetable processing, grain processing, meat and poultry processing, fisheries, and consumer foods and packaging, including canned food. India's agricultural production base is quite strong but at the same time, wastage of agricultural produce is also on a large scale. Processing in fruits and vegetables is about 2.20 percent which is very little compared whereas 35 percent in milk, 21 percent in meat and 6 percent in poultry. Value addition is only up to 20 percent. The contribution of the food processing sector to manufacturing in GDP was about 14 percent. R&D needs to be scaled up especially in core areas like product development, packaging and food technology. It is an area that has vast potential for business investment. There are vast opportunities available across India's entire food value chain, including post-harvest facilities, logistics, cold storage chain and manufacturing. If the food processing industry is expanded, there are immense possibilities for employment in it. There is immense scope for women in this sector as well, especially in the rural areas of the country; there is vast potential for women to emerge as micro-entrepreneurs by setting up small food processing units. The food processing industry can help farmers through various necessary information and can also suggest better methods of farming, so that high quality raw materials are accessible to the industries and farmers can get a fair price for their produce. The country's agricultural output has been lagging behind in terms of productivity and quality, as compared to developed countries. In order to bridge this gap, it is essential to add value to our agricultural products.This paper is an attempt to focus attention on various issues related to value addition and agro-processing, which will be helpful in increasing employment opportunities, enhancing farmers' income, and exploring areas for the expansion of the country's GDP.