NEWS: Ministry of Food Processing Industries and World Bank Group concluded SAPLING Dialogue 2026 in Ahmedabad for advancing food processing in South Asia.

ABOUT

• Revealed a regional imbalance, with agriculture employing 43% of South Asia’s workforce yet accounting for only 16% of GDP due to weak downstream processing.
• SAPLING (South Asian Policy Leadership for Improved Nutrition and Growth)àA high-level regional platform coordinating food system reforms in India, Bangladesh, Bhutan, Nepal, & Sri Lanka.
• Aligns with the World Bank Group’s Agri-Connect to scale private capital and nutrition-focused food ecosystems.

Key Highlights of India’s Food Processing Report

• Food processing increased from 10% in 2016 to nearly 17% in 2023, but still lags behind developed-country benchmarks.
• Processed food’s share in agri-food exports rose from 13.7% in 2014-15 to 23.4% in 2023-24.
• Weak food safety compliance, phytosanitary protocols, and certification standards are key barriers.
• Dairy processes ~21% of its total output, meat 34-35%, while fruits and vegetables remain low at 2.7% and 4.5%.
• Post-harvest losses reach up to 30-32% for perishables in India due to weak cold-chain logistics and storage facilities.

Recommendations of the Report

• Supply Chain Strengtheningà Expand PPP-based cold chains, automated climate-controlled warehouses funded by NABARD’s RIDF, and climate-resilient rural connectivity under PMGSY to reduce post-harvest losses and improve market access.
• Food Park Useà Co-locating food processing machinery manufacturers and agro-based industries in underused Mega Food Parks to improve utilisation and employment.
• Farm Supportà Partnering with agricultural institutions to deploy agri-grads with local-language skills to help FPOs improve practices and supply.
• Regulatory Easeà A unified single-window clearance system and enhanced technological compliance of Small and Medium Enterprises (SMEs) to improve food safety and trust.