Domestic Food Processing Industry Set for 47% Growth by 2027: Report

New Delhi, Aug 12 (KNN) In a report released by the Confederation of Indian Industry (CII) and supported by Danfoss India, the domestic food market in India is projected to experience substantial growth, expanding by over 47 per cent to reach USD 1,274 billion by 2027.

This forecast highlights the immense potential of India's food processing industry, which is witnessing the emergence of innovative startups equipped with cutting-edge technology.

The report, titled "Food Processing Sector in India - Potential for Southern States," sheds light on the significant opportunities present in the southern region of the country.

Tamil Nadu, in particular, stands out as a leader in the export of processed fruits, juices, and nuts, commanding a 33 per cent share by quantity and 27 per cent by value.

In the 2023-24 fiscal year, the state exported an impressive 208,370 metric tonnes of these products, valued at USD 220.81 million.

Ravichandran Purushothaman, CII National Council for Cold Chain and Agri Logistics Chairman, emphasised the revolutionary potential of South India's food processing sector.

He noted that innovative segments such as millets, ready-to-eat products, and plant-based dairy alternatives are unlocking new economic opportunities for farmers.

Purushothaman stressed the critical role of technology in driving this growth, ensuring high safety and quality standards, and boosting India's export potential on the global stage.

The report also highlights emerging trends, technologies, and export opportunities that can enable businesses to make informed decisions and capitalise on the sector's potential.

Of particular interest are the innovative segments that are gaining traction, such as millets and plant-based dairy alternatives, which are expected to create new avenues for economic growth and farmer prosperity.

In conjunction with the report's release, Danfoss India launched its Optyma Pack Condensing Unit, an energy-efficient solution for Bulk Milk Cooling and Cold Room applications.

Madhur Sehgal, Danfoss India Region Head of Climate Solutions - Sales, described the unit as a "game changer" for India's dairy industry and cold room applications.

The technology promises to optimise milk temperatures while minimising energy consumption, thereby reducing the carbon footprint of dairy processing operations and supporting India's sustainable food production goals.

(KNN Bureau)