Processing of Horticultural Crops

SWOT Analysis of food–processing industries in India

I. Strengths

• Abundant availability of raw material
• Priority sector status for agro-processing given by the central Government
• Vast network of manufacturing facilities all over the country
• Vast domestic market

II. Weaknesses

• Low availability of adequate infrastructural facilities
• Lack of adequate quality control and testing methods as per international standards
• Inefficient supply chain due to a large number of intermediaries
• Higher requirement of working capital.
• Inadequately developed linkages between Research organizations and industry.
• Seasonality of raw material

III. Opportunities

• Large crop and material base offering a vast potential for agro processing activities
• Setting of Agri-export zone (AEZ) and food parks for providing added incentive to develop green field projects
• Rising income levels and changing consumption patterns
• Favourable demographic profile and changing lifestyles
• Integration of development in contemporary technologies such as electronics, material science, bio-technology etc. offer vast scope for rapid improvement and progress
• Opening of global markets

IV. Threats

• Affordability and cultural preferences of fresh food
• High inventory carrying cost
• High taxation
• High packaging cost

Thus, keeping in view the availability of diverse raw material (fruit and vegetable), change in life style, rising income, increased urbanization and positive government support, their exists a good potential for expansion of fruit and vegetable processing industry in the country. Establishment of fruit processing units in rural sector shall help in reducing the post harvest losses, develop wide variety of value added products, and utilize by-products of food industry to improve the economic lot of growers, processors and nutritional status of Indian population.