FICCI-KPMG Report: Enhancing competitiveness of Indian food chain

November 2013 | Andhra Pradesh
FICCI-KPMG Report: Enhancing competitiveness of Indian food chain: The report highlighted the shortcomings in supply chain, dearth of skilled and unskilled labour and investments in the food processing Industry.

The Report indicated that the organised retail penetration in the food sector has remained low in the country and organised sales account for just about 1 percent of the total food and grocery spend.Added to this, nearly 30 per cent of food produce is wasted primarily due to the lack of adequate post-harvest infrastructure and poor supply chain management. "It has been estimated that loss of primary produce before reaching the market due to lack of proper handling, cleaning, sorting, grading and packaging facilities at the village level is 30-40 per cent for grains, fruits and vegetables," the report said. Due to such inefficiencies in the supply chain, the farmer receives only a 25%-60% of what consumer paying. The report has given a eagle-eye view on the complete value chain of Food Processing sector!

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