A Parliamentary Standing Committee on Agriculture, Animal Husbandry and Food Processing, chaired by Charanjit Singh Channi, has recommended promoting food processing units through cooperatives to strengthen value addition and enhance the participation of small and marginal farmers in the sector.
In its report presented in Parliament, the Committee observed that the food processing sector plays a key role in ensuring food and nutrition security, generating employment and integrating Indian agriculture with global value chains.
It suggested that food processing units should be promoted through cooperative societies, Farmer Producer Organisations (FPOs) and Self-Help Groups (SHGs) so that small farmers can collectively participate in processing and marketing activities.
The Committee also recommended strengthening the Pradhan Mantri Formalisation of Micro Food Processing Enterprises Scheme (PMFME) by increasing financial support, simplifying procedures, improving market linkages and making credit more accessible to small units.
Among other measures, the panel stressed the need to expand cold chain infrastructure, simplify certification requirements for small processors and improve monitoring of sanctioned projects.
It noted that cooperative-led food processing units could help reduce post-harvest losses, promote value addition and improve farmers’ incomes while supporting the broader goal of a self-reliant agricultural economy.
