Framework needed to handhold food MSMEs beside Food Park centric approach: Ex Prez AIFPA

New Delhi, Jan 2 (KNN) The Micro, Small and Medium Enterprises (MSMEs) in the food processing sector is looking at government to come up with framework factoring in the requirements of the sector beside the Food Park centric approach, Ex-President of the All India Food Processors' Association (AIFPA), Sagar Kurade said.

Talking to KNN, Kurade reviewed the main highlights in the year 2017 for the food processing industry comprising of a fair share of Micro, Small and Medium Enterprises.

Kurade said that the economy took off from a year that observed the demonetization drive of the government, and stepped into the new tax era mid-2017.

“There was an overall impact on the food processing sector due to the big changes that took place in the country’s economy, however things have started to settle”, Kurade said.

The tweaking that is required in the One Nation One tax is already being done by a continuous dialogue between the sectors and the GST council.

“Things are streamlined and industry is getting familiar with the Goods and Services Tax”, he added.

Commenting over the complications that continue to exist, Kurade said that there is a gap that needs to be addressed with regard to the taxation on packaged and non-packaged food.

While the government has hinted towards initiatives in the upcoming year with more food parks, the ministry should also focus on factors that are beyond the food park approach, he said.

“An entrepreneur that enters a food processing business faces different layers of complications, while infra related concern is one, there is more to it”, he added.

The sector is eyeing at the new year with signs of relief and is expecting a better grip over the economy in 2018, Kurade opined. (KNN/ DA)