NEW DELHI: India has received foreign direct investment (FDI) of USD 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 USD 628.24 million FDI in the food processing sector during the full fiscal year 2018-19 and USD 904.90 million during 2017-18, it added.
The government has permitted 100 per cent FDI through automatic route in manufacturing of food products subject to sectoral rules and regulations. Also, 100 per cent 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 USD 463.44 million FDI in the food processing sector during April-September period of 2019-20.
“…In April-June 2019 quarter, the FDI equity inflow was USD 329.04 million which is higher than the quarter ending September 2019 at USD 134.40 million,” he added.
During the first quarter of the fiscal, maximum FDI of USD 244.95 million was made in Tamil Nadu and Puducherry, followed by USD 25.08 million in Maharasthra, Dadra and Nagar Haveli and Daman and Diu, while USD 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 (CEFPPC) under the Pradhan Mantri Kisan Sampada Yojana (PMKSY) and notified on January 8 this year.
The Ministry of Food Processing Industries (MoFPI) 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. (AGENCIES)
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