Confederation of Indian Industry. Opportunities in. Cold Chain Sector in India. Ministry of Food Processing Industries. Government of India
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1 Cnfederatin f Indian Industry Opprtunities in Cld Chain Sectr in India Ministry f Fd Prcessing Industries Gvernment f India
2 Advantage India One f the fastest grwing ecnmies in the wrld Largest prducer f several agri cmmdities Secnd largest cnsumer market Significant investments in wrld-class prts, lgistics & supply chain infrastructure Practive Gvernment plicies Investr friendly incentives Highly skilled manpwer pl Why India fr Cld Chain? India prduces mre than 400 millin MT f perishables every year (hrticultural prduce+ dairy+ meat+ pultry + fish). The wastage levels in perishables in India are significantly high % in fruits & vegetables, 5.2% in inland fish, 10.5% in marine fish, 2.7% in meat and 6.7% in pultry. Estimated annual value f lsses f agri prduce currently stands at ` 92,651 crres. Annual value f lsses in fruits and vegetables, meat, fish and milk is estimated at ` 58,478 crres. Adequate and efficient cld chain infrastructure frm farm gate t cnsumers is required t arrest the high lsses in supply chain f perishables. Baseline survey cnducted by Natinal Hrticulture Bard (in Dec 2014) estimates the ttal cld strage capacity in India at 31.8 millin MT. Overall average capacity utilizatin in cld strage is 75%- shwing sustainability f the cld chain business in India.
3 92% f cld strages in India are wned and perated by private sectr. Large unfulfilled gap exists in the sectr fr investments in cld strage, CA strage, reefers, ripening chambers, IQF, milk chilling and prcessing etc. Requirement fr cld chain acrss all states. > 400 Mn MT % ` 92,651 crres 31.8 Mn MT Prductin f perishables Wastage levels in perishables Annual value f lsses in agri prduce Ttal capacity 75% 92% Ptat U.P, Punjab, West Bengal, Gujarat Average capacity utilizatin Private sectr participatin Single largest cmmdity stred Industry cncentratin
4 Reginal and Cmmdity Distributin Currently, abut 60% f the ttal cld strage capacity is cncentrated in the states f Uttar Pradesh and West Bengal, wherein majrity f the cld strages are fr a single cmmdity - Ptat. Tp 5 states in terms f ttal installed capacity are: Uttar Pradesh (13.6 millin MT) West Bengal (5.9 millin MT) Gujarat (2.0 millin MT) Punjab (2.0 millin MT) Andhra Pradesh (1.6 millin MT) Hwever, further capacity is required t be built in these states as well as ther parts f the cuntry. 75% f the ttal cld strages in India are single cmmdity (mainly ptates). 25% are multi-cmmdity cld strages. Jammu and Kashmir Himachal Pradesh Punjab Chandigarh Uttarakhand Haryana Delhi Arunachal Pradesh Sikkim Uttar Pradesh Rajasthan Bihar Assam Meghalaya Nagaland Manipur Tripura Jharkhand Madhya Pradesh West Bengal Gujarat Mizram Chhattisgarh Odisha Dadra and Nagar Haveli Diu Daman Maharashtra Telangana Ga Karnataka Andhra Pradesh Andaman & Nicbar Islands Lakshadweep Islands TamilNadu Kerala Puducherry
5 Emerging Trends Fcus shifting t end-t-end cld chain and nt just strage Mdernizatin f existing stres Better and mre sphisticated machinery and equipments Setting up f multipurpse cld strages rather than cnventinal single cmmdity strage Mdern packhuses Ripening Facilities Farm-gate r surce pint cld strage Energy efficient technlgy and new strage technlgy Integrated carg cmplexes are being planned at majr airprts in India which will be equipped t handle all kinds f gds, including perishables Indicative Opprtunities in the Cld Chain Sectr New and high tech technlgy in cld strage, CA strage, Reefers, IQF, Ripening Chambers etc. Lgistics t supplement cld chain Energy efficient technlgies Farm-level strage slutins New packaging technlgy
6 Sme Areas fr Cld Chain Interventins Cmmdity Ptential States Indicative Interventins Apples Himachal Pradesh, Delhi NCR, J&K, Uttarakhand, Mizram, Arunachal Pradesh, Sikkim CA stre, reefers, pre cling slutins at farm level Manges Andhra Pradesh, Gujarat, Maharashtra Ripening chambers, cld strage/cntrlled atmsphere strage fr mang, cld chain fr mang pulp Kiwi Arunachal Pradesh Cld Chain, mdern pack huse Onin Gujarat, Maharashtra Technlgy fr lng term strage f nin Banana Gujara, A.P, Tamil Nadu Maharashtra Mdern pack huses and ripening chambers Ptat Uttar Pradesh, West Bengal, Punjab New technlgies fr strage f prcessing grade ptat, upgradatin f existing cld chain Fish Meat Andhra Pradesh, Kerala, Gujarat, Tamil Nadu, West Bengal, Odisha, Manipur, Mizram Maharashtra, Andhra Pradesh, Kerala, Uttar Pradesh, Nagaland, Assam and ther Nrth Eastern states Cld strage and transprtatin (reefer vans), pre cling infrastructure, freezing units- IQF, plate freezers, blast freezer and freezer cld strages Mdern abattirs and cld chain fr meat and meat prducts Dairy Pan India Prcessing plants fr high value dairy prducts, lw cst technlgy fr chilling milk at farm level and insulated vehicles
7 Plicy Supprt and Key Fiscal Incentives 100% FDI in trading, including thrugh e-cmmerce, fr fd prducts prduced and manufactured in India. 100% FDI permitted thrugh autmatic rute in fd prcessing sectr. Fd prcessing units can avail preferential rates under Pririty Sectr Lending. Special fund f INR 2,000 crre (USD 300 millin) with NABARD fr designated fd parks and prcessing units. Fd Safety Standards harmnized with internatinal standards. GST implementatin t harmnize the tax regime-seamless peratins acrss states. 100% Incme Tax Deductins n: Capital expenditure fr cld chain / warehuse Prfit fr new fd prcessing, preservatin and packaging units Basic Custm Duty reduced n Refrigerated Cntainers frm 10% t 5% Cncessinal Custms Duty n imprted equipment Schemes f Ministry f Fd Prcessing Industries Scheme fr Mega Fd Park (MFP): Gvernment f India has apprved setting up f 42 MFPs in the cuntry, ut f which 41 have been sanctined by MFPI. Of the 41 MFPs, 9 have already cmmenced peratins. The parks have mre than 1,200 develped plts (f apprximately 1 acre each) with basic infrastructure enabled, that entrepreneurs can lease fr the setting up f fd prcessing and ancillary units. Scheme fr Integrated Cld Chain and Value Additin Infrastructure Scheme fr Fd Safety and Quality Assurance Infrastructure Scheme fr Infrastructure fr Agr-prcessing Clusters Scheme fr Creatin f Backward and Frward Linkages Scheme fr Creatin/Expansin f Fd Prcessing and Preservatin Capacities Scheme fr Human Resurces and Institutins
8 Cntact Ministry f Fd Prcessing Industries, Gvt. f India Tel: / / / Web: YES BANK Ltd. Tel: fasar@yesbank.in Web: Cnfederatin f Indian Industry Cnfederatin f Indian Industry (CII) Tel: manish.whrra@cii.in Web: Surce: Ministry f Fd Prcessing Industries (MFPI), Natinal Hrticulture Bard, Agricultural and Prcessed Fd Prducts Exprt Develpment Authrity (APEDA), Central Institute f Pst-Harvest Engineering and Technlgy (CIPHET), Annual Survey f Industries and ther relevant websites
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