Snapshots of Food Industry News
Government eyes US $10 billion investment in food processing sector
Union Minister for Food Processing Industries Harsimrat Kaur Badal has stated that the government is looking to procure investments worth US $10 billion in food processing sector in the next five years. There has already been a growth of 40 percent in FDI in multi-branded food retail after the government had announced 100 percent FDI in the sector last year. Badal stated that once the infrastructure is ready and the seamless ‘farm to fork’ value chain is in place then there will be huge investments in the sector as there is a growing interest in the sector. There have been a lot of overseas enquiries for joint ventures especially from the European countries, Japan and the Middle East. ‘World Food India 2017’ to be held in New Delhi from November 3-5 is being organized to showcase the food processing sector, policies and connect global and domestic industry.
The government is working to transform the food processing industry so that it will generate employment, better realization for farmers and more foreign exchange for the country. Badal said that exports have also increased and stood at US $1 billion in the April-July period. Government has also launched Rs. 6,000 crore ‘Kisan SAMPADA Yojana’ scheme for food processing which will integrate current and new schemes.
The scheme will benefit 20 lakh farmers and generate 5, 30,500 direct and indirect employment in the country by the year 2019-20. The government is also expecting to operationalize all 42 food parks and 100 cold chains in the next two years.
Cocoatrait launches two bean-to-bar chocolate-making kits
Cocoatrait has recently launched two do-it-yourself (DIY) micro-batch bean-to-bar chocolate-making kits called the Advanced Kit and the Starter Kit. The idea is the brainchild of L Nitin Chordia, certified chocolate taster and founder of Cocoatrait and the concept is based on the micro-batch coffee movement. These kits will delight chocolate lovers and also make a good gifting item. Making chocolates on these Kits can be an educational activity and a good way to spend time with your children.
The Advanced Kit has equipment that provides the basics to making chocolate bars from scratch. The package also includes 3kg roasted Indian cacao beans, a 65 per cent dark chocolate bar, a table-top 1kg modified chocolate grinder, a plastic chocolate mould and a step-by-step instruction manual to turn the beans into chocolate using the chocolate grinder and some equipment commonly used at home like mixer grinder and idli maker. The cost inclusive of GST and transportation is Rs. 23,900. The Starter Kit includes 1kg roasted Indian cacao beans, a 65 per cent dark chocolate bar, a plastic chocolate mould and a step-by-step instruction manual to turn the beans into chocolate using equipment available at home and is priced at Rs 7,500, inclusive of GST and transportation.
Herbalife Nutrition launches Active Fiber Complex for Better Digestion
Herbalife Nutrition, a global nutrition company, has launched Active Fiber Complex in India. This is a combination of fibres from various fruits and vegetables which help support gastrointestinal health. It includes citrus fibre, cellulose powder, inulin, soy fibre and maltodextrin to provide a good blend of soluble and insoluble fibres. The company already has Activated Fiber in tablet form, while Active Fiber Complex is in powder form which offers a choice to consumers so they can choose what best suits their requirement.
Changes in lifestyle, food processing and preparation and eating habits can cause digestive disorders and this product will help to keep the digestive system strong. Dietary fibre provides several digestive health benefits, including support for regular bowel function, maintenance of gastrointestinal health and even potential benefits for weight management. Including fibre in the diet prolongs satiety and is a healthy choice and also aids compliance especially with low energy diets.
Paytm to partner with Alibaba to invest US $200 million in BigBasket
Paytm, the digital payment platform could join up with its own investor Alibaba to pick up a minority stake in online grocery retailer BigBasket for about US $200 million. As people are getting accustomed to buying even milk and bread online, the online grocery segment is projected to witness a strong growth over the next few years. The two investing companies are already in preliminary talks and could make an announcement in the next few weeks. However, both Paytm and BigBasket have made no comments to date while Alibaba refrains from commenting on any type of market speculation.
Industry watchers believe that online purchase of grocery is slated to become even bigger than electronics and fashion, which dominate the space. However, there are others that believe that grocery is a cash-intensive business and since players operate on very thin margins, they often end up losing money on delivery like the Snapdeal-backed PepperTap which has closed shop. However, Amazon is all set to step into the online grocery space once its US $500 million FDI proposal gets approval. For Paytm, to invest in BigBasket would be a way to strengthen its e-commerce space and Alibaba would add muscle to take on rival Amazon.