The promise of food processing


The Budget makes a pitch for food processing to improve farm output. However, two problem areas, namely, market linkages and a pricing mechanism that reconciles the interests of producers and processors, need to be addressed, says SHASHANKA BHIDE.

Steep food price inflation can be expected to keep the issue of improving the agricultural supply chain high on the government agenda. Higher prices of food items should mean better income for the producers, except that all of this high price may not have reached them. If that is the case, the producers may not be spurred to produce more. Other measures will be needed to induce higher production.

The Union Budget for this year made a pitch for food processing as a part of its multi-pronged approach to the problem. A push for food processing is not new. It has always been an unfulfilled promise........Click for more

 

 

Source Web Page: Business Line


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