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Defining Food Processing Unit

Feb 25th 2020 at 4:29 AM

In several countries of the world, India obtains its income through agriculture and has an agricultural economy. All this is due to the rich heritage of agriculture and the manufacture of organic products that most Indians consider family heritage.

This legacy has made India the sixth largest country in terms of food and groceries. The food processing industry is emerging and may become one of the best and most important industries in the future.

Defining a food processing plant

Food processing refers to the activities and methods taken to convert a raw material or a combination of various raw materials into a consumable product. It covers various practices such as fishing, gardening, horticulture, agriculture, livestock. In addition, it includes other industries that use agricultural inputs to produce edible products.

Start of a food processing plant.

As a food consultant, you should know the various policies and schemes established by the Government of India. These policies not only help food consultants to establish a food processing plant, but also provide monetary support to modernize the industry.

Food safety advisors must obtain an FSSAI license, and there are different types of FSSAI licenses that vary by business. However, there are basic procedures you must follow to legally protect your company. Some of them are -

• Market research and analysis.

For consultants in the food industry, it is important to understand the market and choose the product to be produced. Now, a food consultant must consider the viability of the product in the market when selecting a product.

In addition, food consultants should investigate the industrial and financial results of the current food processing industry. It may be useful to find out competitors, market size, trends, etc.

• Location

Like finding the market size, it is important to find the right location for the factory. Food safety consultants are advised to find easily accessible and viable resources, such as energy sources, raw materials and transport facilities.

• Commercial strategies

If you are a food industry consultant, you should have done extensive analysis and research from the beginning. These should be simplified according to the needs and requirements of the processing plants. Most importantly, the company must create strategies and policies so that the plan is created based on the company's performance. In addition, you should give a clear vision of the future plan.

• Scholarships

Most food consultants know that running a business requires money. Capital is only needed for materials and to maintain value opportunities as the industry develops. In addition, money varies according to the nature and size of the industry.


There are plans available to adapt to the food industry.

1) NABARD loan for the food processing industry

The Minister of Finance of India had announced in the 2015 Budget that Nabard would establish a fund of Rs 2000 crore. It is used to provide loans to entrepreneurs to establish a food processing business in designated food parks.

2) SFAC (Federation of Agribusiness of Small Farmers)

It also finances the establishment of cold storage units. This applies to those who do not represent more than 75% of the total financing.


If you are a food industry consultant, the details provided above will help you establish a food industry business. Then, go ahead and try it.

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