CM Naidu pitches food processing as fix for farmers, targets 70 pc scale-up in Andhra

Visakhapatnam, Aug 29 (PTI) Andhra Pradesh Chief Minister N Chandrababu Naidu on Friday said food processing — currently at just 12 per cent—is the solution to farmers’ woes and should be scaled up to 70 per cent.

Addressing the India Food Manufacturing Summit in Vizag, Naidu said food processing would help farmers derive greater benefits at a time when large quantities of food are being wasted.

“Food processing is the solution for farmers. We have to focus more. Farmers will get better benefits because of food processing. Today it stands at 12 per cent. There is a lot of scope, and we must raise it to 50, 60, or even 70 per cent—that is the potential available,” Naidu said.

He claimed that the "global food processing industry is valued at USD 8 trillion, but India is lagging." Andhra Pradesh, he said, wants to push demand-driven agro-processing to cater to rising domestic and international demand.

The TDP chief noted that the state already has 6,000 food processing units and derives 35 per cent of its GSDP from agriculture. Andhra Pradesh, he added, is well-placed to grow in this sector given its strengths in horticulture, livestock, aquaculture, and other allied activities.

The state contributes 15.6 per cent of India’s fruit production, which Naidu said would rise to 25 per cent in the coming years, and 32 per cent of the country’s aquaculture, spread over 2.26 lakh hectares.

Highlighting regional strengths, Naidu cited chilli cultivation in Guntur, aquaculture in coastal Andhra, cashews in East Godavari, coffee in Araku, and horticulture in Rayalaseema. With 8.45 million hectares of cultivable land, Andhra produces not just rice but also palm oil, coffee, pepper, cocoa, and other crops.

The chief minister appealed to investors, saying Andhra Pradesh offers a “world-class food processing ecosystem” with “plug-and-play opportunities.” He emphasised the availability of land, water from four major and 17 minor rivers, five climatic zones, and year-round crops as unique advantages.

Naidu, however, stressed that India must address its weakness in “product perfection.” Referring to global brands like Starbucks and Nestle, he said they grew from agriculture into global giants, and India too must aim for such global brands.

“Next-generation reforms will promote global brands from India and by Indians. That is the motive, and that is going to happen,” he asserted, adding that the state is working with Microsoft founder Bill Gates to bring cutting-edge agri-tech solutions.

With subsidies, fiscal benefits, and “the best policies” in place, Andhra aims to attract Rs 30,000 crore in investments in the next four years, Naidu said, urging investors to ink agreements with the state.

On high US tariffs on Indian exports, Naidu said both the Centre and the state would work to mitigate farmers’ problems. “We are having a problem now because of Trump’s policy. We must look for alternative markets and also protect our farmers,” he added. PTI STH SSK