FOOD
PROCESSING REGULATORY BODY PROPOSED
The Union Cabinet may agree to the setting up of a 
Processed
Food Authority of India to establish standards for food in the country.
The Department of Food Processing Industries in the Ministry of Agriculture
has apparently recommended the setting up of this new authority based
on its inclusion in the outline draft of the Processed Food Development
Bill, 2001, which is scheduled for introduction in Parliament, in this
year's winter session. The Bill proposes to provide for a systematic
and scientific development of the food processing industry in the country,
the simplification and rationalization of rules and regulations and
the harmonization of existing standards. Quality standards are to be
made mandatory and enforceable. State-of-the-art technologies are to
be encouraged and economies of scale are to be facilitated. The proposed
Food Authority will have a Secretary as its head, appointed by the Government
and 10 to 12 members representing the Centre, the States, CFTRI, other
R&D organizations and representatives from the industry. A separate
Development Fund is to be created for this Authority.
Mounting
protests
Amid mounting protests that this will only create more red tape, the
department has defended its proposal by citing World Trade Organization
(WTO) regulations, which call for a single authority and a single law.
Food safety presently comes under the domain of the Health Ministry,
which apparently will continue even if the new Authority is set up.
The Department of Economic Affairs has also protested, saying that the
existing agencies should, instead, be restructured. Industry representatives
doubt the proposed Authority's claim that all redundant and superfluous
agencies and laws will be terminated and replaced with one regulatory
entity and one set of laws. They feel that, instead, there will be more
contradictory and overlapping rules and regulations and more delays
and obstructions.
Also ignored
are the recommendations of the task force set up specifically by the
Prime Minister, in 1998, to formulate the Food and Agro Industries Management
Policy, under three industry members-Nusli Wadia (convener), A C Muthiah
and Ratan Tata. This task force had criticized the multiplicity of laws
and agencies involved and recommended the consolidation of all the departments
under a single ministry for agriculture, fisheries and food, along with
a single body of legislation too be administered by a "Food Regulatory
Authority" (FRA), for both the domestic and export markets. This is
the method followed in the United States, for example, with the FDA
as the single-window authority. An example of the inefficiencies currently
experienced is the construction cold-storage chains throughout the country.
This concept, which is critical for preventing the annual loss of over
Rs 50,000 crore of fresh vegetables and fruits and for boosting exports
and domestic sales-has been unnecessarily delayed because four different
departments are simultaneously managing the project. Although a single
authority is definitely advisable it should be based on the amalgamation
of existing authorities and agencies and not on the creation of yet
another overseeing authority.
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ASIAN
AMERICANS: UNTAPPED OPPORTUNITY FOR FOOD AND BEVERAGE FIRMS
With
food and beverage companies in India struggling to generate export-revenue
growth. It is surprising to uncover a large, promising segment that
has been largely overlooked by marketers in the United States. But Asian
Americans, now numbering over 10 million, are just such a group. "Because
this market is complex, comprising six major nationalities, many companies
haven't figured out how or whether they need to target Asian Americans,"
said Tracy Carlson, Director of the Strategic Marketing Group at Promar
International. "But few companies can dispute the value of reaching
new customers, particularly when they have the highest levels of education
and average household income of any group in the United States." Promar's
new study, Orienting the US food and beverage market: Strategies for
targeting Asian Americans to 2010, will provide insight into the similarities
and differences among key Asian audiences, including a model of assimilation
that can help companies determine whom to target, where and why. In
addition to providing extensive demographic information, the study will
explore tastes and purchasing habits and how different kinds of companies
can approach the Asian American opportunity. Promar International, located
in Alexandria, Virginia, USA is a consulting firm specializing in strategy
development for agri-business and branded food companies. Promar is
a subsidiary of the Produce Studies Group, a global consulting and research
company serving the entire food chain.
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NEW
ZEALAND MILK TO ENTER INDIAN MARKET
Britannia
Industries Ltd. the Rs 1200 crore, Bangalore based
food giant has decided to establish a joint-venture in India with New
Zealand Milk, the consumer products division of Fonterra Co-operative
Group Ltd. to expand its dairy business rapidly. Craig Norgate, CEO,
Fonterra, said the tie-up would provide Fonterra with a strategic point
of entry into the world's fourth largest economy where the total dairy
market is estimated at Rs 430 billion-one of the world's biggest. Of
this, the 'formal' milk market, which is not supplied by 'informal',
neighbourhood dairy farmers, is estimated at Rs 80 billion and is growing
at 9 per cent annually. In terms of volume, India is clearly the single-largest
producer of milk in the world, with its annual production totaling more
than half the milk produced by the entire European community. It also
has one of the highest per-capita consumption levels of milk and milk
products in the world, albeit in the informal sector. Brittania, which
presently markets butter, processed cheese, ghee and dairy-whiteners
has also moved into the liquid milk market, which it is presently marketing
in New Delhi and Calcutta. With this joint venture Brittania hopes to
further expand this product range and venture into the foodservice category
also.
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FOODPRO
2001
India is
a big and ever growing market for food and processed 
food
products. The booming supermarket culture as well as the rapidly changing
food habits of our 250 million middle -class consumers has further opened
up the market for processed and packaged foods. With the consumption
of value added foods expected to treble from the current levels, the
opportunities this industry is going to throw-up for food processing
companies is enormous.
FoodPro
2001 - India's Premier Food Business Event at Chennai, organised by
Confederation of Indian Industry (CII) is a comprehensive Business fair
featuring a 4 Day International Exhibition & Conference on Food Industry.
Spanning the entire food chain from Farmers to Agro Producers to Processors
to Technology Solution Providers to Retailers to Consumers, FoodPro
2001 will cover the entire spectrum of Products, Equipment, Technologies,
Solutions, and Services, in the Agro, Food and Dairy businesses.
FoodPro
2001 - The Highlights:
This will
be an excellent opportunity to: network with the entire range of food
industry- solutions providers, processors, retailers, policy makers
and further expand business.
Exhibition
Details:
Date:
December 8 - 11, 2001
Timings:
1030hrs - 1830hrs
Venue:
ITPO Chennai Trade Centre, Chennai 4500 + Sq.Mts of Air Conditioned
Indoor Space (Shell Scheme & Raw Indoor) plus 5000 + Sq. Mts of Raw
Outdoor Space (Equipment Displays & Demonstrations)
Further
Information: "http://www.foodpro2001.com"
FoodPro
2001 Conferences:
CII will
be organising a host of International Seminars and Conferences in areas
such as bio-technology, water management, food processing, livestock,
cold chain technologies, IT & agriculture, agri-infrastructure, agro-packaging,
WTO & agriculture and food laws.
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