India Gets $463.44 Million Foreign Direct Investment In Food Processing In April-September
India has received foreign direct investment of $463.44 million in the food processing sector in the first half of the current fiscal, the government informed parliament on Tuesday.
The country had received $628.24 million FDI in the food processing sector during the full fiscal year 2018-19 and $904.90 million during 2017-18, it added.
The government has permitted 100 percent FDI through automatic route in the manufacturing of food products subject to sectoral rules and regulations. Also, 100 percent FDI is allowed through government route in retail trade in respect of food products produced/manufactured in India.
Placing the data before the Lok Sabha, Minister of State for Food Processing Industries Rameswar Teli said the country has received $463.44 million FDI in the food processing sector during the April-September period of 2019-20. "...in April-June 2019 quarter, the FDI equity inflow was $329.04 million which is higher than the quarter ending September 2019 at $134.40 million," he added.
During the first quarter of the fiscal, maximum FDI of $244.95 million was made in Tamil Nadu and Puducherry, followed by $25.08 million in Maharasthra, Dadra and Nagar Haveli and Daman and Diu, while $22.99 million in Delhi and part of Uttar Pradesh and Haryana, the data showed.
As per the latest Annual Survey of Industries, the minister said the invested capital in the registered food processing sector was Rs 3,86,350 crore in 2015-16, Rs 4,17,695 crore in 2016-17 and Rs 4,48,938 crore in 2017-18.
In a separate reply, he also said the government has revised the operational guidelines of Scheme for Creation/Expansion of Food Processing & Preservation Capacities under the Pradhan Mantri Kisan Sampada Yojana and notified on Jan. 8 this year.
The Ministry of Food Processing Industries does not set up any food processing industries/projects/units on its own. It provides credit-linked capital subsidy in the form of grants-in-aid for setting up of various food processing industries/projects/units under its central sector scheme PMKSY.