A Memorandum of Understanding between Dutch Manufacturers of Machinery of Food Processing Packaging (GMV) and Indian firm Karnataka State Agricultural Produce Process and Export Corporation (KAPPEC) was signed this week – signalling India’s increasing prominence in the sector.
GMV took similar steps in the Chinese market just three years ago.
The memorandum will focus on the development of food processing and packaging technologies in India – with particular emphasis on food safety and security.
The pact, which was signed by GMV president Jan Hak and KAPPEC managing director Dr. Vishakanta, “indicates that India is quickly becoming one of the most important figures in the food processing sector.”
Chinese potential
GMV spokesperson Herbert van Sluys told FoodProductionDaily.com: “One of our main, most exciting sectors at the moment is our metropolitan food security, which aims to provide good, safe food at acceptable, affordable prices.”
“We are opening a sector support office in India to promote this sector in the country,” he added. “We opened the same type of office in China 3 years ago – which says a lot about the Indian market.”
GMV is involved in processing of dairy products, meat, fish, potatoes and vegetables, as well as packaging - experience it intends to bring to the Indian market.
KAPPEC, which was established by the Indian government in 1996, works in the interest of farmers in the Karnataka region to “develop and promote production, processing and export of agriculture, horticulture and floriculture products,” said the organisation’s website.
“The field of metropolitan food security is what we will develop with parties in India – it will make up the bulk of our work there, and is an important issue in the agreement,” added van Sluys.
Indian growth
The Indian food processing and packaging market has seen significant growth and investment in recent years as it works to slowly become one of the world’s largest markets.
“A combination of growing consumer demand and an ever increasing number of middle class people with a need for processed food.”
“Our office in India will start very soon to build up contacts elsewhere in the food processing sector, and in time we hope to make more contacts and make more agreements of this kind.”
“The India food processing market is going to be very important in the sector in the next few years.”