RURAL ECONOMY: A STUDY ON FOOD PROCESSING ENTERPRISES

ABSTRACT

Food processing is a way of life in India. It has been practiced for ages. Simple, home-based techniques, such as fermentation, have resulted in the creation of our famous pickles, papada, chutneys and murabbas that excite both the elite and the masses across the world. The sector constituted as much as 9.17per cent and 11.08 per cent of Gross Value Added (GVA) in manufacturing and agriculture sector respectively in 2017-18. Despite its low capital intensity, food processing sector has the largest number of factories and engages largest number of persons as compared to other industrial sectors in the country, rural sector is the pulse of our country, being agriculture and farmer based economy, and is linked with the continued progression of the nation. The government has initiated several steps on the path of success of becoming a five trillion dollars economy by refocusing its efforts to uplift the rural sector. With the emerging crisis of COVID-19 and projected economic depression across the globe, rural economy is sure to emerge as the lifeline for the country. In India, agriculture is the prime sector of boosting the rural economy and rural employment. Rural economy constitutes nearly 47 per cent of the national income. The “Aatmanibhar Abhiyan” announced by the Central Government and the concrete steps being taken up towards the returnee migrants, shall be instrumental to enhancing the agriculture sector. Thus, development of agro-based industries plays a significant role in the process of economic development in the country as a whole made an attempt to review the relevant literature pertaining to the study of food processing industry in India as well as in other country