Indore-headquartered Patanjali Foods — part of yoga guru Ramdev-backed Patanjali Ayurved — on Friday announced it has signed a memorandum of understanding (MoU) the Union Ministry of Food Processing Industries (MoFPI), reflecting its long-term commitment to strengthening the country’s food processing ecosystem.
The pact involvs planned investments worth Rs 1,000 crore across states including Uttarakhand, Uttar Pradesh, Madhya Pradesh, Maharashtra, Karnataka and Odisha, said the FMCG company.
Patanjali Foods says pact with MoFPI to lead to creation of 7,000 jobs
It also noted that the initiative is “poised to create a significant socio-economic impact, with the potential to generate over 2,000 direct and 5,000 indirect jobs”.
This, it said, reinforces its commitment to inclusive growth in the country’s food processing sector.
Earlier on Friday, Patanjali Foods shares ended 1.7 per cent lower at Rs 590.1 apiece on BSE in a Mumbai market where benchmarks continued to fall for the fifth session in a row.
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Key things to know about India’s food processing industry
The domestic food processing industry is estimated to be worth Rs 3 lakh crore, contributing about 2.5 per cent to the country’s gross domestic product (GDP), as per estimates.
It is among the largest food processing industries globally, driven by the country’s strong agricultural base.
India is the largest producer of milk and spices, and among the largest growers of fruits, vegetables and pulses.
The domestic industry has been expanding radually at a compound annual growth rate (CAGR) to the tune of 12.5 per cent, already estimated to support around 70 lakh direct and indirect jobs.
Processed food constitutes about one-fifth of the country’s agricultural exports amidst rising global demand.
A slew of government schemes — including Pradhan Mantri Krishi Sinchayee Yojana (PMKSY) and PM Formalisation of Micro Food Processing Enterprises (PMFME) — are supporting areas ranging from infrastructure development and cold chains to mega food parks and better food safety.
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