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GS Paper: GS3-10.Food processing and related industries in India-scope’ and significance, location, upstream and downstream requirements, supply chain management

  • PM announces Rice Fortification Plan

    PM in his I-day speech has announced the fortification of rice distributed under various government schemes, including the Public Distribution System (PDS) and mid-day meals in schools, by 2024.

    What is Fortification?

    • FSSAI defines fortification as “deliberately increasing the content of essential micronutrients in a food so as to improve the nutritional quality of food and to provide public health benefit with minimal risk to health”.

    What is Fortified Rice?

    • Rice can be fortified by adding a micronutrient powder to the rice that adheres to the grains or spraying the surface of ordinary rice grains with a vitamin and mineral mix to form a protective coating.
    • Rice can also be extruded and shaped into partially precooked grain-like structures resembling rice grains, which can then be blended with natural polished rice.
    • Rice kernels can be fortified with several micronutrients, such as iron, folic acid, and other B-complex vitamins, vitamin A and zinc.
    • These fortified kernels are then mixed with normal rice in a 1:100 ratio, and distributed for consumption.

    Note: Biofortification is the process by which the nutritional quality of food crops is improved through agronomic practices, conventional plant breeding, or modern biotechnology. It differs from conventional fortification in that Biofortification aims to increase nutrient levels in crops during plant growth rather than through manual means during the processing of the crops.

    What is the plan announced by the PM?

    • Malnutrition and lack of essential nutrients in poor women and poor children pose major obstacles in their development.
    • In view of this, it has been decided that the government will fortify the rice given to the poor under its various schemes.
    • Be it the rice available at ration shops or the rice provided to children in their mid-day meals, the rice available through every scheme will be fortified by the year 2024.

    Why such a move?

    • The announcement is significant as the country has high levels of malnutrition among women and children.
    • According to the Food Ministry, every second woman in the country is anemic and every third child is stunted.
    • India ranks 94 out of 107 countries and is in the ‘serious hunger’ category on the Global Hunger Index (GHI).
    • Fortification of rice is a cost-effective and complementary strategy to increase vitamin and mineral content in diets.
    • According to the Food Ministry, seven countries have mandated rice fortification – the USA, Panama, Costa Rica, Nicaragua, Papua New Guinea, Philippines, and the Solomon Islands.

    Advantages offered

    • Health: Fortified staple foods will contain natural or near-natural levels of micro-nutrients, which may not necessarily be the case with supplements.
    • Taste: It provides nutrition without any change in the characteristics of food or the course of our meals.
    • Nutrition: If consumed on a regular and frequent basis, fortified foods will maintain body stores of nutrients more efficiently and more effectively than will intermittently supplement.
    • Economy: The overall costs of fortification are extremely low; the price increase is approximately 1 to 2 percent of the total food value.
    • Society: It upholds everyone’s right to have access to safe and nutritious food, consistent with the right to adequate food and the fundamental right of everyone to be free from hunger

    Issues with fortified food

    • Against nature: Fortification and enrichment upset nature’s packaging. Our body does not absorb individual nutrients added to processed foods as efficiently compared to nutrients naturally occurring.
    • Bioavailability: Supplements added to foods are less bioavailable. Bioavailability refers to the proportion of a nutrient your body is able to absorb and use.
    • Immunity issues: They lack immune-boosting substances.
    • Over-nutrition: Fortified foods and supplements can pose specific risks for people who are taking prescription medications, including decreased absorption of other micro-nutrients, treatment failure, and increased mortality risk.

    Adhering to FSSAI standard

    The Food Safety and Standards Authority of India (FSSAI) sets standards for food items in the country.

    • According to FSSAI norms, 1 kg fortified rice will contain iron (28 mg-42.5 mg), folic acid (75-125 microgram), and Vitamin B-12 (0.75-1.25 microgram).
    • In addition, rice may also be fortified with micronutrients, singly or in combination, with zinc(10 mg-15 mg), Vitamin A (500-750 microgram RE), Vitamin B1 (1 mg-1.5 mg), Vitamin B2 (1.25 mg-1.75 mg), Vitamin B3 (12.5 mg-20 mg) and Vitamin B6 (1.5 mg-2.5 mg) per kg.

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    Back2Basics: Public Distribution System (PDS)

    • The PDS is an Indian food Security System established under the Ministry of Consumer Affairs, Food, and Public Distribution.
    • PDS evolved as a system of management of scarcity through the distribution of food grains at affordable prices.
    • PDS is operated under the joint responsibility of the Central and State Governments.
    • The Central Government, through the Food Corporation of India (FCI), has assumed the responsibility for procurement, storage, transportation, and bulk allocation of food grains to the State Governments.
    • The operational responsibilities including allocation within the State, identification of eligible families, issue of Ration Cards and supervision of the functioning of FPSs etc., rest with the State Governments.
    • Under the PDS, presently the commodities namely wheat, rice, sugar, and kerosene are being allocated to the States/UTs for distribution.
    •  Some states/UTs also distribute additional items of mass consumption through PDS outlets such as pulses, edible oils, iodized salt, spices, etc.

    Mid-Day Meal Scheme

    • The Midday Meal Scheme is a school meal program in India designed to better the nutritional standing of school-age children nationwide.
    • It is a wholesome freshly-cooked lunch served to children in government and government-aided schools in India.
    • It supplies free lunches on working days for children in primary and upper primary classes in government, government-aided, local body, and alternate innovative education centers, Madarsa and Maqtabs.
    • The programme has undergone many changes since its launch in 1995.
    • The Midday Meal Scheme is covered by the National Food Security Act, 2013.

    The scheme aims to:

    1. avoid classroom hunger
    2. increase school enrolment
    3. increase school attendance
    4. improve socialization among castes
    5. address malnutrition
    6. empower women through employment
  • National Mission on Edible Oil-Oil Palm (NMEO-OP)

    The Centre has increased the financial outlay for the National Mission on Edible Oil-Oil Palm (NMEO-OP).

    About NMEO-OP

    • National Mission on Oilseeds and Oil Palm (NMOOP) was implemented during the 12th Five Year Plan, to expand the oil palm areas and increase the production of edible oils.
    • It was later merged with the National Food Security Mission.
    • NMEO-OP aims to resolve to allow India to be independent or self-reliant in edible oil production.
    • Through this mission, more than ₹11,000 crores will be invested in the edible oil ecosystem.
    • The government will ensure that farmers get all the needed facilities, from quality seeds to technology.
    • Along with promoting the cultivation of oil palm, this mission will also expand the cultivation of our other traditional oilseed crops.

    Why such a mission?

    • India is one of the major oilseeds growers and importers of edible oils.
    • India’s vegetable oil economy is the world’s fourth-largest after the USA, China & Brazil.
    • The oilseed accounts for 13% of the Gross Cropped Area, 3% of the Gross National Product, and 10% value of all agricultural commodities.
    • During the last few years, the domestic consumption of edible oils has increased substantially and has touched the level of 18.90 million tonnes in 2011-12 and is likely to increase further.
    • A substantial portion of our requirement of edible oil is met through the import of palm oil from Indonesia and Malaysia.
    • It is, therefore, necessary to exploit domestic resources to maximize production to ensure edible oil security for the country.

    Alternative sources

    • Oil Palm is comparatively a new crop in India and is the highest vegetable oil yielding perennial crop.
    • With quality planting materials, irrigation, and proper management, there is a potential of achieving 20-30 MT Fresh Fruit Bunches (FFBs) per ha after attaining the age of 5 years.
    • Therefore, there is an urgent need to intensify efforts for area expansion under oil palm to enhance palm oil production in the country.
    • Tree Borne Oilseeds (TBOs), like Sal, Mahua, Simarouba, kokum, Olive, Karanja, Jatropha, Neem, Jojoba, Wild Apricot, Walnut, tung etc. are cultivated/grown in the country under different agro-climatic conditions.
    • These TBOs are also good sources of vegetable oil and therefore need to be supported for cultivation.

    Try answering this PYQ:

    Q.An objective of the National Food Security Mission is to increase the production of certain crops through area expansion and productivity enhancement in a sustainable manner in the identified districts of the country. What are those crops?

    (a) Rice and wheat only

    (b) Rice, wheat, and pulses only

    (c) Rice, wheat, pulses, and oilseeds only

    (d) Rice, wheat, pulses, oilseeds, and vegetables

     

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  • [pib] Operation Greens Scheme

    The Union Minister of Food Processing Industries has provided useful information regarding the Op Greens Scheme.

    Operation Greens Scheme

    • Ministry of Food Processing Industries launched the Operation Greens scheme in November, 2018.
    • The scheme aims for integrated development of the Tomato, Onion, and Potato (TOP) value chain.
    • It aims to promote Farmer Producers Organizations (FPOs), agri-logistics, processing facilities and value addition etc. in identified production clusters.
    • Under the scheme, state-wise funds are not allocated as the scheme is demand-driven and projects are approved as per scheme guidelines on the basis of applications received for setting up of projects in eligible production clusters.

    Objectives:

    • To enhance value realization of TOP farmers
    • Reduction in post-harvest losses
    • Price stabilization for producers and consumers and
    • Increase in food processing capacities and value addition etc.

    Key provisions

    • Short term intervention by way of providing transportation and storage subsidy @ 50% and
    • long term intervention through value addition projects in identified production clusters with Grant-in-aid @ 35% to 70% of eligible project cost subject to maximum of Rs. 50 crore per project
  • [pib] One District One Focus Product Scheme

    ODOFP programme

    • The ODOFP programme cover products of agriculture and allied sectors for 728 districts of the country.
    • The products have been identified from agricultural, horticultural, animal, poultry, milk, fisheries, aquaculture, marine sectors across the country.
    • These identified products will be supported under the PM-FME scheme of the Ministry of Food Processing Industries, which provides incentives to promoters and micro-enterprises
    • This scheme is being implemented for a period of five years from 2020-21 to 2024-25.
    • The scheme adopts One District One Product (ODOP) approach to reap the benefits of scale in terms of procurement of inputs, availing common services and marketing of products.

    About ODOP

    • The ODOP scheme aims to identify one product per district based on the potential and strength of a district and national priorities.
    • A cluster for that product will be developed in the district and market linkage will be provided for that.
    • It is operationally merged with the ‘Districts as Export Hub’ initiative implemented by the Director-General of Foreign Trade (DGFT), Department of Commerce.
    • Under the initial phase of the ODOP programme, 106 Products have been identified from 103 districts across 27 States.

    Back2Basics: PMFME Scheme

    • A centrally sponsored scheme that aims to enhance the competitiveness of existing individual micro-enterprises in the unorganized segment of the food processing industry.
    • It aims to enhance the competitiveness of existing individual micro-enterprises in the unorganized segment of the food processing industry and promote formalization of the sector,
    • It further aims to promote formalization of the sector and provide support to Farmer Producer Organizations, Self Help Groups, and Producers Cooperatives along their entire value chain.
    • The scheme envisions directly assist the 2,00,000 micro food processing units in providing financial, technical, and business support for the up-gradation of existing micro food processing enterprises.
  • [pib] PMFME Scheme

    The centrally sponsored Pradhan Mantri Formalization of Micro food processing Enterprises (PMFME) Scheme, launched under the Aatmanirbhar Bharat Abhiyan marks the completion of its one year.

    PMFME Scheme

    • The PMFME Scheme is a centrally sponsored scheme that aims to enhance the competitiveness of existing individual micro-enterprises in the unorganized segment of the food processing industry.
    • It aims to enhance the competitiveness of existing individual micro-enterprises in the unorganized segment of the food processing industry and promote formalization of the sector,
    • It further aims to promote formalization of the sector and provide support to Farmer Producer Organizations, Self Help Groups, and Producers Cooperatives along their entire value chain.
    • The scheme envisions to directly assist the 2,00,000 micro food processing units for providing financial, technical, and business support for upgradation of existing micro food processing enterprises.

    Major component of the scheme

    One District One Product

    • Under the One District One Product (ODOP) component of the PMFME Scheme, the Ministry of Food Processing Industries approved ODOP for 137 unique products.
    • The GIS ODOP digital map of India has been launched to provide details of ODOP products of all the States and UTs.
    • The digital map also has indicators for Tribal, SC, ST, and aspirational districts.
    • It will enable stakeholders to make concerted efforts for its value chain development.
  • FSSAI recognizes new precision Iodine Value Analyser

    The Council of Scientific and Industrial Research-Central Scientific Instruments Organization (CSIR-CSIO) has developed and transferred the technology of Precision Iodine Value Analyzer (PIVA).

    What is Precision Iodine Value Analyzer?

    • It is an instrument for the measurement of the degree of unsaturation (iodine value) in vegetable oils.
    • This indigenous food testing equipment was recognized by the Food Safety and Standards Authority of India (FSSAI) on World Food Safety Day on June 7, 2021.
    • It has applications in oil extraction units, quality control and assurance labs, food regulatory authorities, soaps and cosmetics, bakeries, meat industry, paint industry, biodiesel analysis, and charcoal industry.
    • It is also useful in determining adulteration in edible oils and fats.

    Measuring iodine value

    • Iodine value is conventionally determined using manual titration and a few analytical instruments based on automated titration.
    • However, these methods take a longer time to analyze, are costly, and use toxic chemicals.
    • Researchers at CSIR-CSIO developed a rapid analysis technique that takes just three minutes to carry out the same analysis.
    • Currently, PIVA has been calibrated and tested for coconut, sunflower, mustard, palm, rice bran, soybean, groundnut, olive oil, and ghee.
    • This new development is a part of the ongoing effort to strengthen the food testing capabilities by introducing quick and advanced food testing kits.
  • Mustard oil blending is now banned

    The Food Safety and Standards Authority of India had decided this on March 31. This would end the practice to add other edible oil (like palms, rice bran, etc) to mustard oil.

    Why such move?

    • This is good news for mustard farmers whose fortunes were adversely hit as up to a fifth of mustard oil volume could earlier be blends of other oils.
    • But why did India start the practice in the first place? And how has it affected consumer health?

    Answer this question from CSP 2018:

    Q.Consider the following statements:

    1. The quantity of imported edible oils is more than the domestic production of edible oils in the last five years.
    2. The Government does not impose any customs duty on all the imported edible oils as a special case.

    Which of the statements given above is/are correct?

    (a) 1 only

    (b) 2 only

    (c) Both 1 and 2

    (d) Neither 1 nor 2

    Why did the blending begin?

    • The Union health ministry had allowed blending in edible vegetable oil in a notification in 1990.
    • In 1998, Delhi and other north Indian states witnessed the dropsy epidemic — a disease that caused swelling in the body due to the build-up of fluid in tissues.
    • At least 60 people died and 3,000 were hospitalized in the national capital.
    • Researchers believed the consumption of mustard oil caused the disease.

    Adulteration is hazardous

    • Upon investigation, it was found to be adulterated with Argemone Mexicana, a kind of weed that grows with yellow flowers.
    • The adulteration, however, was highly suspicious: While mustard is a rabi crop that is cultivated in the winters, Argemone Mexicana grows in April-May.
    • This meant that the possibility of mixing mustard seeds with that Argemone mexicana was rare.
    • The suspicious adulteration stoked fear among the masses.  It started a campaign against the consumption of oil.
    • Several studies have found mustard oil unsafe for consumption.

    The 1990 decision

    • Experts have claimed that the blending of mustard oil was not only dangerous to health but also adversely impacted mustard farming.
    • Some groups have also flagged the blending of refined oil.
    • Following the Union health ministry’s 1990 notification allowing for the blending of edible vegetable oil, the FSSAI rolled out regulations in the regard in 2006.
    • Producers and other companies involved in blending were regularised through the Agriculture Produce (Grading and Marking) Act (AGMARK).
    • It also made it mandatory to write the kind of oil used for blending over the packet.
    • The companies involved in blending strongly advocated for the cause, despite reports about its excess and unregulated use. The governments over the years have been tight-lipped about it.

    Has blending led to dependence over the import of oil?

    • In 1990-91, India was self-reliant in mustard oil production and produced 98 percent of the oil needed.
    • Blending mustard oil with other edible oils considered to bolster nutritional profile, taste, and quality.
    • Despite the harmful effects, the processing industry took advantage of blending.
    • Cheap palm oil would be blended up to 80 percent in mustard oil sometimes.
    • As a result, profits of mustard farmers dried up, which discouraged them from cultivating the crop.
    • This could be one of the reasons behind India’s increasing dependency on oil imports over the last two decades.
  • [pib] ‘Red Rice’ exports from Assam to the US

    In a major boost to India’s rice exports potential, the first consignment of ‘red rice’ was flagged off today to the USA.

    Try this PYQ from CSP 2019

    Q.Among the following, which one is the largest exporter of rice in the world in the last five years?

    (a) China

    (b) India

    (c) Myanmar

    (d) Vietnam

    Red Rice

    • Iron rich ‘red rice’ is grown in the Brahmaputra valley of Assam, without the use of any chemical fertilizer.
    • The rice variety is referred to as ‘Bao-dhaan’, which is an integral part of Assamese food.
    • Much like brown rice and white rice, red rice also comes with many incredible health benefits.
    • Due to the presence of a component called anthocyanin, this rice is usually consumed either partially hulled or unhulled.
    • Red rice derives this eye-grabbing colour from this component and has much more nutrient value as compared to other varieties of rice.
  • In farmers’ protests, the core is procurement

     

    Context

    • Farmers’ protests have erupted once again in north India, their main worry is about a possible withdrawal of the Minimum Support Price (MSP) and a dismantling of the public procurement of grains.

    Why farmers in Punjab and Haryana are protesting

    • Farmers in Punjab and Haryana are heavily dependent on public procurement and assured price through MSP.
    • Nearly 88% of the paddy production and 70% of the wheat production in Punjab and Haryana (in 2017-18 and 2018-19) has been absorbed through public procurement [Food Grains Bulletin and Agricultural Statistics at a Glance, Government of India].
    • In contrast, in the other major paddy States such as Andhra Pradesh, Telangana, Odisha and Uttar Pradesh, only 44% of the rice production is procured by public agencies.
    •  In the major wheat States of Madhya Pradesh and Uttar Pradesh, only 23% of the production is procured by public agencies.

    Government needs to continue procurement

    • If farmers of Punjab and Haryana need the procurement system, the government needs it even more.
    • This is because of its obligations under the PDS and the National Food Security Act (NFSA).
    • Support under the NFSA is a legal and rights-based entitlement.
    • There are nearly 80 crore NFSA beneficiaries and an additional eight crore migrants who need to be supported under the PDS.
    • In the last three years, nearly 40% of the total paddy production in the country and 32% of wheat production has been procured by public agencies to supply the PDS.
    • Thus, the government has little option but to continue its procurement from these States in the foreseeable future.

    Way forward

    • Therefore, it is imperative that the government reaches out to the farmer groups and assures them of the indispensability of MSP-procurement system.
    • The government needs to start this initiative immediately to allay their legitimate concerns.
    • Two of the major limitations in the laws that need to be addressed immediately:
    • 1) The absence of a regulatory mechanism to ensure fair play by private players vis-à-vis farmers.
    • 2) The lack of transparency in trade area transactions.

    Conclusion

    The severe trust deficit that resulted from the way the Farm Bills have been rushed through needs to be addressed by adopting a conciliatory approach towards farmers and the States.

  • [pib] PM Formalization of Micro Food Processing Enterprises Scheme

    Union Minister for Food Processing Industries has inaugurated the capacity building component of the Pradhan Mantri Formalization of Micro food processing Enterprises scheme (PM-FME Scheme).

    The event also sought the launch of the GIS One District One Product (ODOP) Digital Map of India.

    Practice question for mains:

    Q.What is the PM FME Scheme? Discuss its potential to neutralize various challenges faced by India’s unorganized food industries

    PM-FME Scheme

    • Launched under the Aatmanirbhar Bharat Abhiyan, the PM-FME Scheme is a centrally sponsored scheme.
    • It aims to enhance the competitiveness of existing individual micro-enterprises in the unorganized segment of the food processing industry and promote formalization of the sector.
    • It seeks to provide support to Farmer Producer Organizations, Self Help Groups, and Producers Cooperatives along their entire value chain.
    • Under the PM-FME scheme, capacity building is an important component.
    • The scheme envisages imparting training to food processing entrepreneurs, various groups, viz., SHGs / FPOs / Co-operatives, workers, and other stakeholders associated with the implementation of the scheme.

    Features of the scheme

    • The Scheme adopts One District One Product (ODODP) approach to reap the benefit of scale in terms of procurement of inputs, availing common services and marketing of products.
    • The States would identify food product for a district keeping in view the existing clusters and availability of raw material.
    • The ODOP product could be a perishable produce based product or cereal-based products or a food product widely produced in a district and their allied sectors.
    • An illustrative list of such products includes mango, potato, litchi, tomato, tapioca, kinnu, bhujia, petha, papad, pickle, millet-based products, fisheries, poultry, meat as well as animal feed among others.
    • The Scheme also place focus on waste to wealth products, minor forest products and Aspirational Districts.

     About ODOP Digital Map

    • The GIS ODOP digital map of India provides details of ODOP products of all the states to facilitate the stakeholders.
    • The digital map also has indicators for tribal, SC, ST, and aspirational districts.
    • It will enable stakeholders to make concerted efforts for its value chain development.