Global Demand for India’s Processed Food Rises, Share in Agri-Food Exports Crosses 20%
Processed food exports grow sharply, sector emerges as major employment and investment driver
New Delhi: Global demand for processed food manufactured in India has increased significantly over the past few years, pushing its share in the country’s total agri-food exports to 20.4 percent, up from 13.7 percent in 2014–15, the government said on Friday.
The government noted that the processed food sector is among the largest employment providers in the organised manufacturing sector, accounting for 12.83 percent of total organised sector employment. The sector’s gross value added (GVA) rose to ₹2.24 lakh crore in FY 2023–24, compared to ₹1.34 lakh crore in FY 2014–15.
According to the Ministry of Food Processing Industries, the sector attracted $7.33 billion in foreign direct investment (FDI) between April 2014 and March 2025. The ministry stated that the food processing industry plays a crucial role in enhancing farm incomes and generating non-farm employment, while also reducing post-harvest losses through improved preservation and processing infrastructure in agriculture and allied sectors.
The Pradhan Mantri Kisan SAMPADA Yojana (PMKSY) was approved with an allocation of ₹6,000 crore for the 14th Finance Commission cycle (2016–20, extended to 2020–21). After restructuring, the scheme has been approved to continue during the 15th Finance Commission cycle with an allocation of ₹6,520 crore.
The ministry further said that since January 2025, 36 projects have been approved under various PMKSY components, while 94 projects have been completed or have become operational. This has resulted in a processing and preservation capacity of 28.48 lakh metric tonnes.
Once all approved projects become operational, they are expected to attract ₹365.21 crore in investment, benefit nearly 1.4 lakh farmers, and generate over 9,000 direct and indirect jobs, the government added.
