Question 14GS3GS3
To what extent has the Production Linked Incentive Scheme for the food processing industry facilitated value addition, employment generation, and global competitiveness in India's food processing industry? (Answer in 250 words)
Main Body
India is the 2nd largest agricultural producer in world. Yet it exports only 2.41% of agricultural produce (ranking 8th). A main reason for this has been the lack of Adequate Food Processing Capabilities.In this light, GoI launched PLI scheme for food processing sector. ROLE PLAYED BY PLI SCHEME: Value Addition: i) Improved Value addition in dairy sector eg packaged milk, dahi fisheries eg shrimp exports to U.K. ii) Increased shelf life Employment and livelihood:
iii) Alternative IncomeFood processing industry provides supplementary income to farmers. iii) Utilizes the rich demographic dividend especially in rural areas. (Certain Shortcomings: a) Not a labour intensive industry. b) Limited employment generation potential eg unemployment rate @ 6%. ii) Enhanced export potential: eg Desi Cow A2 milk high in demand in Europe. ii) Promotes indigenous products eg Ragi millet Pudding
Certain Shortcomings: a) Global standards unmet — eg 'Sanitary and Phytosanitary measures' pose a challenge. b) Intense competition from China, Thailand, ASEAN etc. # Therefore PLI Scheme through overall effective had some challenges: 1) For employment generation eg Union Cabinet recently launched 'Employment linked Incentive' ELI scheme. 2) Maintain Global StandardsRegular, Quality Inspections, checks, Research and Innovation.Food Processing Industry can provide the handhold support for India's Agriculture.
210 words1 paragraphs
Conclusion
The PLI Scheme has been effective in facilitating value addition and export potential but faces challenges in employment generation and maintaining global standards. Additional measures like the ELI scheme are needed to address these gaps.
35 words
Topper
Rasneet Kaur
AIR 51
Subject & Paper
GS3GS3
Topic
Agriculture and Food Security
Food processing
Production Linked Incentive Scheme
Writing Stats
245
Total words
1
Paragraphs
analytical
Tone