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's world food processing sector is just 10% . volumes china is 29%. and usa 30% showing India's backwardness in harnessing food plastic producing industry (GLOBAL/GLOBAL STRATEGY). Product Linked Incentive PLI scheme was envisaged to incentivise investments in the sector and awssed by the production liveness. Effectiveness : (1) Increased the private investment in the sector. (2) led to streamlining the value chain & supply chain (3) Infrastructure development - old storage, etc .
5Increased in employment to people ( as it is a labour intensive sector) (5) Reducing the post harvest losses ( India's loss ~ 60,000crore yearly) (6) Formation of one DISTRICT ONE PRODUCT - giving impetus to local agri produce. Vax: Nakhana in Bihar Saffron in Kashmir. (7) Impetus to better agriculture practices -inclusion of technology, high quality seeds, forsizing etc . (5) Rise in exports of products like cashew, Nathana etc Limitation / challenges :- (1) PLI scheme was not able to attract the investors as envisaged.
2Prevalence of bureaucratic hurdles and delays , de-incentivising the investors. (3) High cost of supply chain ( 16% of cbor, global avg just 8%), reducing the supply competitiveness (4) Sanitary and phyto sanitary measures imposing country , etc european union , usa . (5) lack of diversity in agricultural produce, farmers not willing to indulge in contract farming Way Forward: Food Processing Industry regulation :- (1) Inclusion of public private partnership (Kellan Committ et al recommendation) (2) Improving the cold chain and supply chain (3) Per trade agreements .
252 words1 paragraphs
Conclusion
PLI is a good scheme however we need to ensure it to later fine as challenge.
16 words
Topper
Vaibhavi Agrawal
AIR 35
Subject & Paper
GS3GS3
Topic
Agriculture and Food Security
Food processing
PLI Scheme for Food Processing
Writing Stats
268
Total words
1
Paragraphs
analytical
Tone