Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Detailed Final Report

Table of Contents

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Copyright © 2022

Ministry of Food Processing Industries, Government of India

All rights reserved. This report or any portion thereof may not be reproduced or used in any
manner whatsoever without the express written permission from the Ministry of Food Processing
Industries, Government of India.

The Ministry of Food Processing Industries, Government of India is not responsible for any factual
and estimation error.

The report including data compilation and analysis has been prepared by Feedback Business
Consulting Services Pvt. Ltd.

All information, ideas, views, opinions, estimates, advice, suggestions, recommendations

(hereinafter 'content') in this publication should not be understood as professional advice in any
manner. Readers are advised to use their discretion and seek professional advice before taking
any action or decision, based on the contents of this publication. The content in this publication
has been obtained or derived from sources believed to be reliable. Feedback Business Consulting
Services Pvt. Ltd. does not assume any responsibility and disclaim any liability for any loss,
damages, caused due to any reason whatsoever, towards any person (natural or legal) who uses
this publication.

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Acknowledgments

Feedback study team is indebted for the support and guidance provided by the members of the
Ministry of Food Processing Industries and Food Industry Capacity & Skill Initiative (FICSI) on
‘Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021 –
2030’.
We are grateful for the support of Sh. Kuntal Sensarma, Economic Adviser – MOFPI; Smt. Reema
Prakash, Past Joint Secretary MoFPI; Sh. Sanjay Kumar Singh, Deputy Secretary, Mega Food Parks,
Cold Chain, Operation Greens, Backward and Forward Linkages and Sh. Sunil Kumar Marwah
CEO, FICSI.
We are extremely grateful to Smt. Anita Praveen, Secretary MOFPI and Smt. Pushpa
Subrahmanyam, Past Secretary, MoFPI who played a crucial role, and we are thankful for their
guidance and inputs on the report. The team further benefitted immensely from valuable
interactions with other senior officials from MoFPI.
In accordance with the scope and scale of the exercise, this report owes its successful completion
to the dedicated efforts of a wide variety of stakeholders from the FPI Industry, our SME experts,
and the inputs offered by FPI Industry associations.

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Table of Contents

EXECUTIVE SUMMARY ................................................................................................................................................... 23

CHAPTER 1: BACKGROUND, OBJECTIVES AND DELIVERABLES ...................................................................... 31
CHAPTER 2: SCOPE, DATA SOURCES AND LIMITATIONS OF THE STUDY .................................................... 33
CHAPTER 3: APPROACH & METHODOLOGY .......................................................................................................... 37
CHAPTER 4: OVERVIEW OF THE INDIAN ECONOMY ........................................................................................... 54
CHAPTER 5: OVERVIEW OF INDIAN FOOD PROCESSING INDUSTRY ............................................................. 56
CHAPTER 6: SUB-SECTORAL ANALYSIS – BREAD & BAKERY PRODUCTS.................................................... 65
CHAPTER 7: SUB-SECTORAL ANALYSIS – DAIRY PRODUCTS ........................................................................... 93
CHAPTER 8: SUB-SECTORAL ANALYSIS – FISH & SEAFOOD PROCESSING ................................................ 125
CHAPTER 9: SUB-SECTORAL ANALYSIS – FRUITS & VEGETABLE PROCESSING ..................................... 154
CHAPTER 10: SUB-SECTORAL ANALYSIS – MEAT & POULTRY PROCESSING .......................................... 181
CHAPTER 11: SUB-SECTORAL ANALYSIS – MILLING ........................................................................................ 212
CHAPTER 12: SUB-SECTORAL ANALYSIS – BEVERAGES (TEA AND COFFEE) .......................................... 243
CHAPTER 13: SUB-SECTORAL ANALYSIS – RTE & RTC PRODUCTS ............................................................ 271
CHAPTER 14: SUB-SECTORAL ANALYSIS – SOYA PROCESSING .................................................................... 296
CHAPTER 15: SUB-SECTORAL ANALYSIS – SPICES ............................................................................................ 320
CHAPTER 16: SUB-SECTORAL ANALYSIS - COLD CHAIN ................................................................................. 350
CHAPTER 17: SKILL NEEDS FOR THE UNREGISTERED UNITS THAT CAN BE CONSIDERED FOR THE
PMFME SCHEME ............................................................................................................................................................ 381
CHAPTER 18: EMPLOYMENT GENERATION POTENTIAL SUMMARY ......................................................... 400
CHAPTER 19: IMPACT OF INDUSTRY 4.0 ON THE FOOD PROCESSING SECTOR AND SKILLS ............ 408
CHAPTER 20: PACKAGING TRENDS IN FOOD PROCESSING SECTOR AND IMPACT ON SKILLS ......... 415
CHAPTER 21: AN OUTLOOK ON FOOD FORTIFICATION ................................................................................. 420
CHAPTER 22: EXPECTATIONS OF TRAINING INSTITUTES ON TRAINING INFRASTRUCTURE .......... 422
CHAPTER 23: RECOMMENDATIONS ON THE RATIONALIZATION OF THE CURRENT QPS ................. 427
CHAPTER 24: RECOMMENDATIONS TO MOFPI ................................................................................................. 438
ANNEXURE ...................................................................................................................................................................... 460

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

List of Figures
Figure 1: High Level Framework............................................................................................................................. 37
Figure 2: Study Execution Framework ................................................................................................................. 38
Figure 3: Methodology for Sample Design .......................................................................................................... 39
Figure 4: Methodology for Establishing Current Employment in 11 sub-sectors of FPI in India 52
Figure 5: Methodology for establishing future of 11 sub – sectors of FPI in India............................. 52
Figure 6: Analysis framework for the Final Recommendations to MOFPI ............................................ 53
Figure 7: India GVA growth (INR Bn).................................................................................................................... 54
Figure 8: Total FDI Inflow (USD MN) ................................................................................................................... 54
Figure 9: India Exports Trends (USD MN) .......................................................................................................... 55
Figure 10: Size of Indian Food Processing Sector (GVA) and % Share in total Manufacturing..... 56
Figure 11: Persons Engaged in the Registered FPI Sector (in Lakhs)...................................................... 61
Figure 12: Value chain of Bread and Bakery market in India ..................................................................... 66
Figure 13: Manufacturing Clusters......................................................................................................................... 67
Figure 14: Bread & Bakery Market Trend in India (Volume in ‘000 MT)............................................... 67
Figure 15: Exports Trends of Bread & Bakery Products ............................................................................... 68
Figure 16: Past Trend of employment in the organized Bread & Bakery Industry............................ 69
Figure 17: Share of Employees (FY’20) : By Different Category ................................................................ 70
Figure 18: Share of Employees (FY’20) : By NSQF levels .............................................................................. 70
Figure 19: State wise Employees in the Industry (FY’20) ............................................................................ 71
Figure 20: Past Growth of Employees (FY’17 – FY’20) .................................................................................. 73
Figure 21: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans 74
Figure 22: % of Companies offering training ..................................................................................................... 75
Figure 23: Effectiveness of Training ...................................................................................................................... 76
Figure 24: Future Market & Growth Rate of Bread & Bakery Segment .................................................. 79
Figure 25: Share of FY'20 - FY'30 Employment Generation potential : By Different Category..... 83
Figure 26: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels ................... 83
Figure 27: State wise Employment Generation Potential ............................................................................. 84
Figure 28: Skill Sets required across multiple levels in the sector ........................................................... 91
Figure 29: Value chain of Dairy market in India ............................................................................................... 94
Figure 30: Manufacturing Clusters ......................................................................................................................... 95
Figure 31: Dairy Market Trend in India (Value INR Bn) ............................................................................... 95
Figure 32: Production trend of select Dairy products.................................................................................... 96
Figure 33: Milk Production Trend in India (‘000 MT).................................................................................... 97
Figure 34: Export Trends of Dairy Products in Volume (Tons) & Value (Rs. Cr.) ............................... 97
Figure 35: Past Trend of employment in the Dairy Industry ...................................................................... 99
Figure 36: Share of Employees (FY’20): By Different Category ................................................................. 99
Figure 37: Share of Employees (FY’20): By NSQF levels ............................................................................. 100
Figure 38: State wise Employees in the Industry (FY’20) .......................................................................... 100
Figure 39: Past Growth of Employees (FY’17 – FY’20) ................................................................................ 102
Figure 40: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
............................................................................................................................................................................................. 103
Figure 41: % of Companies offering training ................................................................................................... 104
Figure 42: Effectiveness of Training .................................................................................................................... 105
Figure 43: Projected growth in Milk production in India (‘000 MT) ..................................................... 109
Figure 44: Share of FY'20 - FY'30 Employment Generation potential: By Different Category .... 113
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Figure 45: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels ................ 114
Figure 46: State wise Employment Generation Potential ........................................................................... 114
Figure 47: Skill Sets required across multiple levels in the sector ......................................................... 123
Figure 48: Key Stakeholders and Their Roles.................................................................................................. 126
Figure 49: Manufacturing Clusters ....................................................................................................................... 127
Figure 50: No. of Processing Units & Processing Capacity by States...................................................... 128
Figure 51: Market share by Products .................................................................................................................. 131
Figure 52: Past Trend of employment in the Fish & Seafood Industry ................................................. 132
Figure 53: Share of Employees (FY’ 20): By Different Category .............................................................. 133
Figure 54: Share of Employees (FY’20): By NSQF levels ............................................................................ 134
Figure 55: State wise Employees in the Industry (FY’20) .......................................................................... 134
Figure 56: Past Growth of Employees (FY’17 – FY’20) ................................................................................ 135
Figure 57: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
............................................................................................................................................................................................. 136
Figure 58: % of Companies offering training ................................................................................................... 137
Figure 59: Effectiveness of Training .................................................................................................................... 138
Figure 60: Share of FY'20 - FY'30 Employment Generation potential: By Different Category .... 145
Figure 61: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels ................. 145
Figure 62: State wise Employment Generation Potential ........................................................................... 146
Figure 63: Skill Sets required across multiple levels in the sector ......................................................... 152
Figure 64: Manufacturing Clusters ....................................................................................................................... 155
Figure 65: Fruits and Vegetable Processing Market Trend in India (INR Cr) .................................... 156
Figure 66: Past Trend of employment in the Fruit & Vegetable Processing Industry .................... 158
Figure 67: Share of Employees (FY’ 20): By Different Category .............................................................. 159
Figure 68: Share of Employees (FY’20) : By NSQF levels ............................................................................ 159
Figure 69: State wise Employees in the Industry (FY’20) .......................................................................... 160
Figure 70: Past Growth of Employees (FY’17 – FY’20) ................................................................................ 161
Figure 71: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
............................................................................................................................................................................................. 162
Figure 72: % of Companies offering training ................................................................................................... 163
Figure 73: Effectiveness of Training .................................................................................................................... 164
Figure 74: Future Trend of Exports of Processed Fruits & Vegetables from India (‘000 MT) .... 167
Figure 75: Share of FY'20 - FY'30 Employment Generation potential: By Different Category .... 170
Figure 76: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels ................ 171
Figure 77: State wise Employment Generation Potential ........................................................................... 171
Figure 78: Skill Sets required across multiple levels in the sector ......................................................... 179
Figure 79: Manufacturing Clusters....................................................................................................................... 184
Figure 80: Meat Production Trend in India (‘000 Tons) ............................................................................. 186
Figure 81: FY’20 Meat Production Share: by Species ................................................................................... 186
Figure 82: Meat Production Trend by Species (‘000 MT) ........................................................................... 187
Figure 83: FY’20 Meat Production Share: by State ........................................................................................ 187
Figure 84: Past Trend of employment in the Meat & Poultry Sector ..................................................... 188
Figure 85: Share of Employees (FY’ 20): By Different Category .............................................................. 189
Figure 86: Share of Employees (FY’20) : By NSQF levels ........................................................................... 190
Figure 87: State wise Employees in the Industry (FY’20) .......................................................................... 190
Figure 88: Past Growth of Employees (FY’17 – FY’20) ................................................................................ 191
Figure 89: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
............................................................................................................................................................................................. 192
Figure 90: % of Companies offering training ................................................................................................... 193
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Figure 91: Effectiveness of Training .................................................................................................................... 195

Figure 92: Share of FY'20 - FY'30 Employment Generation potential : By Different Category... 202
Figure 93: Share of FY'20 - FY'30 Employment Generation potential :By NSQF levels ................. 203
Figure 94: State wise Employment Generation Potential ........................................................................... 203
Figure 95: Skill Sets required across multiple levels in the sector ......................................................... 210
Figure 96: Manufacturing Clusters: Milling Industry ................................................................................... 214
Figure 97: Overall Milling Market Trend in India .......................................................................................... 215
Figure 98: Past Trend of employment in the Milling Sector ...................................................................... 215
Figure 99: Share of Employees (FY’ 20): By Different Category .............................................................. 216
Figure 100: Share of Employees (FY’20) : By NSQF levels ........................................................................ 217
Figure 101: State wise Employees in the Industry (FY’20)........................................................................ 217
Figure 102: Past Growth of Employees (FY’17 – FY’20) ............................................................................. 220
Figure 103: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
............................................................................................................................................................................................. 220
Figure 104: % of Companies offering training ................................................................................................ 221
Figure 105: Effectiveness of Training ................................................................................................................. 222
Figure 106: Share of FY'20 - FY'30 Employment Generation potential: By Different Category . 229
Figure 107: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels ............... 230
Figure 108: State wise Employment Generation Potential ........................................................................ 230
Figure 109: Skill Sets required across multiple levels in the sector....................................................... 241
Figure 110: Value chain of Tea market in India .............................................................................................. 244
Figure 111: Manufacturing Clusters .................................................................................................................... 245
Figure 112: Value chain of Coffee Market in India......................................................................................... 246
Figure 113: Tea Market Trends in India (Volume in ‘000 MT) – Total Tea Leaves Processed ... 246
Figure 114: No. of Big Growers: By State.......................................................................................................... 247
Figure 115: Area of Big Growers: By State ....................................................................................................... 247
Figure 116: No. of Small Growers: By State ..................................................................................................... 247
Figure 117: Area of Small Growers: By State .................................................................................................. 247
Figure 118: Coffee Market Trends in India (Volume in ‘000 MT) ........................................................... 247
Figure 119: State wise Coffee production for FY 21: By type.................................................................... 248
Figure 120: Past Trend of employment in the Tea & Coffee Industry ................................................... 249
Figure 121: Share of Employees (FY’ 20): By Different Category ........................................................... 250
Figure 122: Share of Employees (FY’20) : By NSQF levels ......................................................................... 250
Figure 123: State wise Employees in the Industry (FY’20)........................................................................ 251
Figure 124: Past Growth of Employees (FY’17 – FY’20) ............................................................................. 252
Figure 125: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
............................................................................................................................................................................................. 253
Figure 126: % of Companies offering training ................................................................................................ 254
Figure 127: Effectiveness of Training ................................................................................................................. 255
Figure 128: Future Market & Growth Rate of Tea & Coffee Production ............................................... 258
Figure 129: Share of FY'20 - FY'30 Employment Generation potential: By Different Category . 261
Figure 130: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels ............... 262
Figure 131: State wise Employment Generation Potential ........................................................................ 262
Figure 132: Skill Sets required across multiple levels in the sector....................................................... 269
Figure 133: Manufacturing Clusters .................................................................................................................... 273
Figure 134: RTE/RTC Market Trends in India (Rs. Cr.) ............................................................................... 273
Figure 135: RTE/RTC Market in India: Share by Frozen & Non-Frozen – FY 20 .............................. 274
Figure 136: Major brands by key product segment ...................................................................................... 274
Figure 137: Past Trend of employment in the RTE & RTC Industry ...................................................... 275
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Figure 138: Share of Employees (FY’20): By Different Category ............................................................ 276

Figure 139: Share of Employees (FY’20): By NSQF levels .......................................................................... 277
Figure 140: State wise Employees in the Industry (FY’20)........................................................................ 277
Figure 141: Past Growth of Employees (FY’17 – FY’20) ............................................................................. 278
Figure 142: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
............................................................................................................................................................................................. 279
Figure 143: % of Companies offering training ................................................................................................ 280
Figure 144: Effectiveness of Training ................................................................................................................. 281
Figure 145: Share of FY'20 - FY'30 Employment Generation potential: By Different Category . 287
Figure 146: Share of FY'20 - FY'30 Employment Generation potential :By NSQF levels ............... 288
Figure 147: State wise Employment Generation Potential ....................................................................... 288
Figure 148: Skill Sets required across multiple levels in the sector....................................................... 294
Figure 149: Value Chain of Soya processing in India .................................................................................... 297
Figure 150: Soybean processing: Soybeans to Soy Products .................................................................... 298
Figure 151: Manufacturing Clusters .................................................................................................................... 299
Figure 152: Soybean Processing Trend in India (million tonnes)........................................................... 300
Figure 153: Soybean processing: By Type ....................................................................................................... 300
Figure 154: Past Trend of employment in the Soya Processing Industry ............................................ 301
Figure 155: Share of Employees (FY’20): By Different Category ............................................................ 302
Figure 156: Share of Employees (FY’20): By NSQF levels .......................................................................... 302
Figure 157: State wise Employees in the Industry (FY’20)........................................................................ 303
Figure 158: Past Growth of Employees (FY’17 – FY’20) ............................................................................. 304
Figure 159: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
............................................................................................................................................................................................. 305
Figure 160: % of Companies offering training ................................................................................................ 306
Figure 161: Effectiveness of Training ................................................................................................................. 307
Figure 162: Future Market & Growth Rate of Soya Processing ('000 MT) .......................................... 309
Figure 163: Share of FY'20 - FY'30 Employment Generation potential: By Different Category . 312
Figure 164: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels ............... 313
Figure 165: State wise Employment Generation Potential ........................................................................ 313
Figure 166: Skill Sets required across multiple levels in the sector....................................................... 319
Figure 167: Value chain of Spice Market in India........................................................................................... 322
Figure 168: Manufacturing Clusters .................................................................................................................... 322
Figure 169: Grounded & Blended Spices Sales Trend in India (INR Cr.) .............................................. 323
Figure 170: Past Trend of employment in the Spices Industry ................................................................ 324
Figure 171: Share of Employees (FY’20): By Different Category ............................................................ 325
Figure 172: Share of Employees (FY’20) : By NSQF levels ......................................................................... 326
Figure 173: State wise Employees in the Industry (FY’20)........................................................................ 326
Figure 174: Past Growth of Employees (FY’17 – FY’20) ............................................................................. 327
Figure 175: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
............................................................................................................................................................................................. 328
Figure 176: % of Companies offering training ................................................................................................ 329
Figure 177: Effectiveness of Training ................................................................................................................. 331
Figure 178: Share of FY'20 - FY'30 Employment Generation potential: By Different Category . 339
Figure 179: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels ............... 340
Figure 180: State wise Employment Generation Potential ........................................................................ 340
Figure 181: Skill Sets required across multiple levels in the sector....................................................... 348
Figure 182: Key Cold Chain Service Providers ................................................................................................ 351
Figure 183: Cold storage capacity : By State .................................................................................................... 353
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Figure 184: Number of cold storages: By State ............................................................................................... 353

Figure 185: Number of cold storages: By Ownership .................................................................................. 353
Figure 186: Number of cold storages: By Potato Vs. Other products .................................................... 353
Figure 187: Geographies for Cold Chain Interventions in India .............................................................. 354
Figure 188: Cold Chain Clusters in India ........................................................................................................... 355
Figure 189: Past Trend of employment in the Cold Chain Industry ....................................................... 356
Figure 190: Share of Employees (FY’20): By Different Category ............................................................ 357
Figure 191: Share of Employees (FY’20): By NSQF levels .......................................................................... 358
Figure 192: State wise Employees in the Industry (FY’20)........................................................................ 358
Figure 193: Past Growth of Employees (FY’17 – FY’20) ............................................................................. 360
Figure 194: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
............................................................................................................................................................................................. 361
Figure 195: % of Companies offering training ................................................................................................ 362
Figure 196: Effectiveness of Training ................................................................................................................. 364
Figure 197: Share of FY'20 - FY'30 Employment Generation potential: By Different Category . 371
Figure 198: Share of FY'20 - FY'30 Employment Generation potential : By NSQF levels.............. 372
Figure 199: State wise Employment Generation Potential ........................................................................ 372
Figure 200: Skill Sets required across multiple levels in the sector....................................................... 379
Figure 201: Sub-sector wise Employment Generation Potential between FY’20 and FY’30 ....... 406
Figure 202: Employment Generation Potential: By States ........................................................................ 407
Figure 203: Automation: Levels and their classification............................................................................. 408
Figure 204: Factors considered by firms for adapting Industry 4.0 Solutions .................................. 413
Figure 205: Food Fortification ............................................................................................................................... 420
Figure 206: Bread & Bakery Sector: Skill Sets required across multiple levels in the sector ...... 444
Figure 207: Career Progress Chart ....................................................................................................................... 444
Figure 208: Summary of the 10-year action plan........................................................................................... 451
Figure 209: Sub Sector wise GVA (Rs. Cr) & No. of Registered Factories............................................. 462
Figure 210: Region wise share of Registered Food Processing Units .................................................... 463
Figure 211: Growth in Indian Agriculture exports (Million MT) ............................................................. 464
Figure 212: Overall Food Exports (INR Cr) and % share on total exports Value ............................. 464
Figure 213: Total number of Persons Employed in Registered & Un - incorporated units in the
FP Units............................................................................................................................................................................ 465
Figure 214: Illustrative Mega Food Park : Key Stakeholders .................................................................... 466
Figure 215: FDI Equity Inflow to Food Processing Industries (INR Cr) ............................................... 469

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

List of Tables
Table 1: List of Secondary sources used in the study ..................................................................................... 35
Table 2: Overall Universe Estimates..................................................................................................................... 39
Table 3: Overall Coverage: By Respondent category ..................................................................................... 40
Table 4: Overall Coverage: By Sub Sector............................................................................................................ 41
Table 5: Focus Group Discussions (FGD): By Sub Sector .............................................................................. 42
Table 6: FGDs: By categorization & list of companies who participated ................................................ 48
Table 7: List of Subject Matter Experts (SMEs) : By Sub Sector ................................................................. 51
Table 8: Key Government Initiatives for the sector ........................................................................................ 58
Table 9: Bread & Bakery : Key Industry Indicators ......................................................................................... 65
Table 10: Category of the Companies: By Revenue ......................................................................................... 68
Table 11: Sample Coverage by Categories of Companies & Region .......................................................... 69
Table 12: Current Key Job Roles & Responsibilities (at Operator-level employees’ category) .... 72
Table 13: Future plans of companies covered................................................................................................... 73
Table 14: Recruitment Practice ............................................................................................................................... 74
Table 15: Major Training Topics Covered ........................................................................................................... 76
Table 16: Key job roles and their required skills and skill gaps ................................................................ 78
Table 17: Processing capacity and investment required in the sector ................................................... 80
Table 18: Select ongoing and upcoming projects in the Bread & Bakery sector ................................. 81
Table 19: FY'20 employment estimation in Bread and Bakery products industry in India ........... 81
Table 20: Future employment projection in Bread & Bakery products industry in India .............. 82
Table 21: Existing and emerging prominent job roles which will require skilling ............................ 90
Table 22: Dairy: Key Industry Indicators ............................................................................................................ 93
Table 23: Category of the Companies: By Revenue ......................................................................................... 98
Table 24: Sample Coverage by Categories of Companies & Region .......................................................... 98
Table 25: Current Key Job Roles & Responsibilities (at Operator-level employees’ category) .. 102
Table 26: Future plans of the companies covered ......................................................................................... 102
Table 27: Recruitment Practice ............................................................................................................................. 103
Table 28: Major Training Topics Covered ......................................................................................................... 105
Table 29: Key job roles and their required skills and skill gaps .............................................................. 108
Table 30: Dairy Processing Capacity Requirement ....................................................................................... 109
Table 31: Future Estimates of Dairy Production & Processing ................................................................ 110
Table 32: Processing capacity and investment required in the sector ................................................. 110
Table 33: Select ongoing and upcoming projects in Dairy processing industry in India............... 111
Table 34: FY'20 employment estimation in Dairy processing industry in India............................... 112
Table 35: Future employment projection in Dairy processing industry in India ............................. 112
Table 36: Existing and emerging prominent job roles which will require skilling .......................... 122
Table 37: Fish & Seafood Processing: Key Industry Indicators ................................................................ 125
Table 38: List of Offices & Processing Units ..................................................................................................... 128
Table 39: Market Trend in Fish and Seafood Production in India (Rs. Cr.) ......................................... 129
Table 40: Estimated No. of Fish & Seafood Processing Units by States ................................................ 130
Table 41: Market Trend in Processed Fish and Seafood production in India .................................... 130
Table 42: Sample Coverage by Categories of Companies & Region ........................................................ 131
Table 43: Current Key Job Roles & Responsibilities (at Operator-level employees’ category) .. 135
Table 44: Future Plans of the Companies covered ........................................................................................ 136
Table 45: Recruitment Practice ............................................................................................................................. 137
Table 46: Major Training Topics Covered ......................................................................................................... 138
Table 47: Key job roles and their required skills and skill gaps .............................................................. 141
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Table 48: Projected growth of Processed Fish and Seafood market in India ..................................... 141
Table 49: Processing capacity and investment required to in the industry ....................................... 142
Table 50: Select ongoing and upcoming projects of Fish & Seafood Processing sector in India143
Table 51: FY'20 employment estimation in Processed Fish & Seafood sector in India ................. 143
Table 52: Future employment projection in Processed Fish & Seafood sector in India ................ 144
Table 53: Existing and emerging prominent job roles which will require skilling .......................... 151
Table 54: Fruits & Vegetable Processing: Key Industry Indicators ........................................................ 154
Table 55: Category of the Companies by Revenue......................................................................................... 157
Table 56: Sample Coverage by Categories of Companies & Region ........................................................ 158
Table 57: Current Key Job Roles & Responsibilities (at Operator-level employees’ category) .. 161
Table 58: Future Plans of the Companies covered ........................................................................................ 162
Table 59: Recruitment Practice ............................................................................................................................. 162
Table 60: Major Training Topics Covered ......................................................................................................... 163
Table 61: Key job roles and their required skills and skill gaps .............................................................. 165
Table 62: Future Market & Growth Rate of Processed Fruit & Vegetable market in India ........... 167
Table 63: Processing Capacity Requirement and investment required in the sector ..................... 167
Table 64: Select ongoing and upcoming projects in F&V Processing sector....................................... 169
Table 65: FY'20 employment estimation in F&V Processing Sector in India ..................................... 169
Table 66: Future employment projection in F&V processing industry in India ................................ 169
Table 67: Existing and emerging prominent job roles which will require skilling .......................... 178
Table 68: Meat & Poultry Processing: Key Industry Indicators ............................................................... 181
Table 69: APEDA Registered Meat Abattoirs & Processing Plants ......................................................... 184
Table 70: No. of Animals slaughtered for Meat (‘000 Nos. - Per Annum) ............................................ 186
Table 71: Category of the Companies by Revenue......................................................................................... 188
Table 72: Sample Coverage by Categories of Companies & Region ........................................................ 188
Table 73: Current Key Job Roles & Responsibilities (at Operator-level employees’ category) .. 191
Table 74: Future Plans of the Companies covered ........................................................................................ 192
Table 75: Recruitment Practice ............................................................................................................................. 192
Table 76: Major Training Topics Covered ......................................................................................................... 194
Table 77: Key job roles and their required skills and skill gaps .............................................................. 197
Table 78: Future Trend in Meat & Poultry production in India ............................................................... 198
Table 79: Future trends and likely share of the Organized sector .......................................................... 199
Table 80: Processing Capacity Requirement and investment required in the sector ..................... 199
Table 81: Select ongoing and upcoming projects in Meat & Poultry Processing industry in India
............................................................................................................................................................................................. 200
Table 82: FY'20 employment estimation in Meat & Poultry Processing Industry in India .......... 201
Table 83: Future employment projection in Bread & Bakery products industry in India ............ 201
Table 84: Existing and emerging prominent job roles which will require skilling .......................... 210
Table 85: Milling: Key Industry Indicators ....................................................................................................... 212
Table 86: Sample Coverage by Categories of Companies & Region ........................................................ 215
Table 87: Current Key Job Roles & Responsibilities (at Operator-level employees’ category) .. 219
Table 88: Future Plans of the Companies covered ........................................................................................ 220
Table 89: Recruitment Practice ............................................................................................................................. 221
Table 90: Major Training Topics Covered ......................................................................................................... 222
Table 91: Key job roles and their required skills and skill gaps .............................................................. 223
Table 92: Future Market & Growth Rate of the Milling industry in India ............................................ 225
Table 93: Select ongoing and upcoming projects of Milling industry in India ................................... 226
Table 94: FY'20 employment estimation in Indian Grain Milling industry ......................................... 226
Table 95: Future employment projection Grain Milling Industry in India .......................................... 227
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Table 96: FY'20 employment estimation Oilseed Milling industry in India........................................ 227
Table 97: Future employment projection Oilseed Milling industry in India ...................................... 228
Table 98: Future combined employment projection in the Grains and Oilseed Milling industry
............................................................................................................................................................................................. 228
Table 99: Existing and emerging prominent job roles which will require skilling .......................... 240
Table 100: Beverages (Tea and Coffee): Key Industry Indicators........................................................... 243
Table 101: Category of the Companies by Revenue ...................................................................................... 248
Table 102: Sample Coverage by Categories of Companies & Region ..................................................... 249
Table 103: Current Key Job Roles & Responsibilities (at Operator-level employees’ category) 252
Table 104: Future Plans of the Companies covered ...................................................................................... 253
Table 105: Recruitment Practice .......................................................................................................................... 253
Table 106: Major Training Topics Covered ...................................................................................................... 255
Table 107: Key job roles and their required skills and skill gaps ............................................................ 257
Table 108: Processing capacity and investment required in the sector ............................................... 258
Table 109: Select ongoing and upcoming projects in Tea & Coffee sector in India ......................... 259
Table 110: FY'20 employment estimation in Tea & Coffee sector in India ......................................... 260
Table 111: Future employment projection in Tea & Coffee sector in India ........................................ 260
Table 112: Existing and emerging prominent job roles which will require skilling ....................... 269
Table 113: RTE & RTC Products: Key Industry Indicators ......................................................................... 271
Table 114: RTE/RTC foods: Classification ........................................................................................................ 272
Table 115: Sample Coverage by Categories of Companies & Region ..................................................... 275
Table 116: Current Key Job Roles & Responsibilities (at Operator-level employees’ category) 278
Table 117: Future Plans of the Companies ....................................................................................................... 279
Table 118: Recruitment Practice .......................................................................................................................... 280
Table 119: Major Training Topics Covered ...................................................................................................... 281
Table 120: Key job roles and their required skills and skill gaps ............................................................ 283
Table 121: Future Market & Growth Rate of RTE / RTC products.......................................................... 284
Table 122: Processing capacity and investment required in the sector ............................................... 285
Table 123: Select ongoing and upcoming projects in RTE / RTC industry.......................................... 286
Table 124: FY'20 employment estimation in RTE/RTC industry in India ........................................... 286
Table 125: Future employment projection in RTE / RTC industry in India ....................................... 286
Table 126: Existing and emerging prominent job roles which will require skilling ....................... 293
Table 127: Soya Processing: Key Industry Indicators .................................................................................. 296
Table 128: Sample Coverage by Categories of Companies & Region ..................................................... 301
Table 129: Current Key Job Roles & Responsibilities (at Operator-level employees’ category) 304
Table 130: Future Plans of the Companies ....................................................................................................... 304
Table 131: Recruitment Practice .......................................................................................................................... 305
Table 132: Major Training Topics Covered ...................................................................................................... 306
Table 133: Key job roles and their required skills and skill gaps ............................................................ 308
Table 134: Processing capacity and investment required in the sector ............................................... 310
Table 135: Select ongoing and upcoming projects of Soya Processing Sector in India .................. 310
Table 136: FY'20 employment estimation in Soya Processing industry in India ............................. 311
Table 137: Future employment projection Soya Processing industry in India ................................. 311
Table 138: Existing and emerging prominent job roles which will require skilling ....................... 318
Table 139: Spices: Key Industry Indicators ...................................................................................................... 320
Table 140: Spices under the purview of the Spices Board of India ........................................................ 321
Table 141: Category of the Companies : By Revenue ................................................................................... 324
Table 142: Sample Coverage by Categories of Companies & Region ..................................................... 324
Table 143: Current Key Job Roles & Responsibilities (at Operator-level employees’ category) 327
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Table 144: Future Plans of the Companies ....................................................................................................... 328

Table 145: Recruitment Practice .......................................................................................................................... 329
Table 146: Major Training Topics Covered ...................................................................................................... 330
Table 147: Key job roles and their required skills and skill gaps ............................................................ 333
Table 148: Future Market & Growth Rate of the Organized sector of Grounded & Blended Spices
............................................................................................................................................................................................. 334
Table 149: Future trends and share of the Organized sector (Grounded & Blended Spices) ...... 335
Table 150: Processing capacity and investment required in the Organized sector......................... 336
Table 151: Select ongoing and upcoming projects in Indian Grounded & Blended Spices sector
............................................................................................................................................................................................. 337
Table 152: FY'20 employment estimation in Grounded & Blended Spices industry in India
(Organized Sector) ...................................................................................................................................................... 338
Table 153: Future employment projection in Grounded & Blended Spices industry in India .... 338
Table 154: Existing and emerging prominent job roles which will require skilling ....................... 347
Table 155: Cold Chain : Key Industry Indicators ............................................................................................ 350
Table 156: First-Mile Equipment used across sub-sectors ........................................................................ 352
Table 157: Historical growth in Cold Storage installed base in India .................................................... 355
Table 158: Mode of Refrigerated Transportation .......................................................................................... 355
Table 159: Current installed base for Pack Houses and Reefer Trucks in India ............................... 356
Table 160: Sample Coverage by Categories of Companies & Region ..................................................... 356
Table 161: Current Key Job Roles & Responsibilities (at Operator-level employees’ category) 359
Table 162: Future Plans of the Companies covered ...................................................................................... 360
Table 163: Recruitment Practice .......................................................................................................................... 361
Table 164: Major Training Topics Covered ...................................................................................................... 363
Table 165: Key job roles and their required skills and skill gaps ............................................................ 367
Table 166: Requirement of Cold Storage in the country between FY'20 and FY'30 (Excluding
Potato Cold Storage)................................................................................................................................................... 368
Table 167: Requirement of Reefer Trucks in the country between FY'20 and FY'30..................... 368
Table 168: Requirement of Pack Houses in the country between FY'20 and FY'30........................ 368
Table 169: Investment required for creating additional Cold Chain infrastructure in the country
............................................................................................................................................................................................. 369
Table 170: Select ongoing and upcoming projects in Cold Chain sector in India ............................. 369
Table 171: FY'20 employment estimation in Indian Cold Chain industry (Including Potato
Storage) ........................................................................................................................................................................... 370
Table 172: Future employment projection in Cold Chain industry (Excluding Potato Storage) in
India .................................................................................................................................................................................. 370
Table 173: Existing and emerging prominent job roles that will create employment
opportunities ................................................................................................................................................................. 378
Table 174: Bread & Bakery Products: Job roles that could be potentially considered for the
PMFME scheme ............................................................................................................................................................ 382
Table 175: Dairy Products: Job roles that could be potentially considered for the PMFME scheme
............................................................................................................................................................................................. 384
Table 176: Fish & Seafood Processing: Job roles that could be potentially considered for the
PMFME scheme ............................................................................................................................................................ 386
Table 177: Fruits & Vegetable Processing: Job roles that could be potentially considered for the
PMFME scheme ............................................................................................................................................................ 388
Table 178: Meat & Poultry Processing: Job roles that could be potentially considered for the
PMFME scheme ............................................................................................................................................................ 390
Table 179: Milling : Job roles that could be potentially considered for the PMFME scheme ....... 391
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Table 180: Beverages (Tea and Coffee): Job roles that could be potentially considered for the
PMFME scheme ............................................................................................................................................................ 393
Table 181: RTE & RTC Products: Job roles that could be potentially considered for the PMFME
scheme ............................................................................................................................................................................. 395
Table 182: Soya Processing: Job roles that could be potentially considered for the PMFME
scheme ............................................................................................................................................................................. 396
Table 183: Spices: Job roles that could be potentially considered for the PMFME scheme ......... 398
Table 184: ASI estimates of the Registered FPI Units in India till 2017-18 and based on the data
Feedback estimates for FY 19 and 20 ................................................................................................................. 401
Table 185: Shortlisting sub sectors which are of relevance to the study ............................................. 402
Table 186: Universe estimation of sub sectors not listed in ASI data.................................................... 403
Table 187: Final Universe estimates of all sub sectors of relevance to the Feedback Study ....... 404
Table 188: Overall Processing Volumes (FY '20 & FY'30 ) & Approximate Investment Required
............................................................................................................................................................................................. 405
Table 189: Overall Universe of companies and Number of employees’ estimates for each sub-
sector (FY’20) ................................................................................................................................................................ 406
Table 190: Automation products spend norms .............................................................................................. 409
Table 191: Spend levels on various elements of Automation in the Food Processing Sector ..... 409
Table 192: Automation in Food Processing - Current Adoption Level.................................................. 411
Table 193: Plant automation - Current Adoption Level .............................................................................. 412
Table 194: Specific Packaging Requirements: By segment ........................................................................ 417
Table 195: Typical topics covered under formal education ...................................................................... 424
Table 196: Details on the QPs which can be merged / rationalised ....................................................... 427
Table 197: Final list of QPs that can be rationalised ..................................................................................... 436
Table 198: Total number of active QPS post the recommend rationalisation by segment........... 437
Table 199: MACT : Implementation Plan ........................................................................................................... 439
Table 200: MACT : Job roles which will create significant Employment across sectors between
FY'20 & FY'30 ................................................................................................................................................................ 441
Table 201: New Job roles created by Impact of other key factors .......................................................... 443
Table 202: Roadmap for formalizing Food Processing Education in India ......................................... 450
Table 203: Processing level by Sub sector ........................................................................................................ 462
Table 204: Past trends on the overall employment in the Food Processing sector ......................... 465
Table 205: Key Outcomes - Estimated Outgo, Sales, Investment, Employment & Exports .......... 468
Table 206: Drivers of technology in FPI and extend of impact and ease of implementation ...... 470

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Abbreviations
Acronym
AcSIR Academy of Scientific and Innovative Research
AFD Accelerated Freeze-Drying
AI Artificial intelligence
AIBTM Assocom Institute of Bakery Technology & Management
AIFPA All India Food Processors' Association
AOM Association of Operative Millers, Kansas, US
APEDA Agricultural and Processed Food Products Export Development Authority
APMC Agricultural Produce Market Committee
ASI Annual Survey of Industries
B2B Business to Business
B2C Business to Consumer
BCC Broiler Coordination Committee
BMC Bulk Milk Coolers
Bn Billion
BOP Balance of Payments
CAD Current Account Deficit
CAGR Compound Annual Growth Rate
CAM Computer Aided Manufacturing
CAPEX Capital expenditures
CC Collection Centers
CFTRI Central Food Technological Research Institute
CIAE Central Institute of Agricultural Engineering
CIFT Central Institute of Fisheries Technology
CII Confederation of Indian Industry
CLFMA Compound Livestock Feed Manufacturers Association
CMIE Centre for Monitoring Indian Economy
COVID 19 Coronavirus disease of 2019
CPC Central Processing Centre
CPI Consumer Price Index
Cr Crore
CRM Customer Relationship Management
CSMT Choyal School of Milling Technology
CSO Central Statistics Organisation
DAHD Department of Animal Husbandry & Dairying
DC – MSME Development Commissioner Ministry of Micro, Small & Medium Enterprises
DEDS Dairy Entrepreneurship Development Scheme
DGM Deputy General Manager
DIDF Dairy Processing and Infrastructure Development Fund

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Acronym
EDP Electronic Data Processing
ERP Enterprise Resource Planning
EU European Union
EXIM Export-Import
Expn. Expansion
F&B Food & Beverage
F&V Fruit and Vegetable
FACE Food & Agriculture Centre of Excellence
FBO Food Business Operators
FCI Food Corporation of India
FDI Foreign Direct Investment
Fedn Federation
FEFO First Expiry, First Out
FGD Focus Group Discussion
FICSI Food Industry Capacity & Skill Initiative
FMCG Fast-moving consumer goods
FOB Free on Board
FoSTac FSSAI-Food Safety Training & Certification
FP Food Processing
FPC Farmer Producer Company
FPO Farmer producer organizations
FPSA Food Processing Suppliers Association
FSSA Food Safety and Standards Act
FSSAI Food Safety and Standards Authority of India
FSSR Food Safety and Standards Regulations
FY Financial Year
GCI Global Competitiveness Index
GDP Gross Domestic Product
GMP Good Manufacturing Practice
Gms Grams
GST Goods and Service Tax
GVA Gross Value Added
HACCP Hazard Analysis and Critical Control Point
HMI Human-Machine Interface
HORECA Hotel, Restaurant and Cafe
ICAR Indian Council of Agricultural Research
ICMR Indian Council of Medical Research
IDMC Indian Dairy Machinery Company Ltd
IIOT Industrial internet of things
IMF India and International Monetary Fund

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Acronym
INAPH Information Network for Animal Productivity and Health
INFAH Indian National Federation of Animal Health
INR Indian Rupee
IoT Internet of Things
IQF Individually Quick Frozen
ISO International Organization for Standardization
IT Information Technology
ITI Industrial Training Institute
Kg Kilogram
L / Lac Lakh
LLPD Lakh Litres Per Day
LMS Large Medium Small
MATS Microwave Assisted Thermal Sterilization
MEIS Merchandise Exports from India Scheme
MES Manufacturing Execution System
MFP Mega Food Park
MIDC Maharashtra Industrial Development Corporation
MMT Million Metric Tonnes
Mn Million
MoFPI Ministry of Food Processing Industries
MoU Memorandum of Understanding
MPEDA Marine Products Export Development Authority
MSME Ministry of Micro, Small and Medium Enterprises
MSPI Ministry of Statistics and Programme Implementation
MT Metric Tonne
MTPD Metric Tonnes Per Day
NABARD National Bank For Agriculture And Rural Development
NCR National Capital Region
NCT National Capital Territory
NDDB National Dairy Development Board
NDP National Dairy Plan
NDRI National Dairy Research Institute
NECC National Egg Coordination Committee
NG Natural Gas
NIC National Informatics Centre
NLRP National Level Resource Person
NOS National Occupational Standards
NPA Non-Performing Asset
NPDD National Programme for Dairy Development
NRDC National Research and Development Center

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Acronym
NSDC National Skill Development Corporation
NSQF National Skills Qualifications Framework
NSSO National Sample Survey Office
PCM Phase Change Material
PFI Poultry Federation of India
PG Postgraduate
PLC Programmable Logic Controller
PLI Production Linked Incentive
PLISFPI Production Linked Incentive Scheme for Food Processing Industry
PLM Product lifecycle management
PM-FME Prime Minister Formalization of Micro Food Processing Enterprises
PMGEP Prime Minister Employment Generation Program
PMI Purchasing Managers Index
PMKSY Pradhan Mantri Kisan Sampada Yojana
PMKVY Pradhan Mantri Kaushal Vikas Yojana
PUFA Polyunsaturated Fatty Acids
QC Quality Control
QP/NOS Qualification Pack and National Occupational Standards
QSRs Quick Service Restaurants
R&D Research and Development
RBI Reserve Bank of India
RC Regional Centre
RFID Radio Frequency Identification
RO Regional Office
RTC Ready to Cook
RTD Ready to Drink
RTE Ready to Eat
SAARC South Asian Association for Regional Cooperation
SAMPADA Scheme for Agro-Marine Processing and Development of Agro-Processing
Clusters
SC Scheduled Caste
SCADA Supervisory Control and Data Acquisition
SEA Solvent Extractors' Association of India
SEAI Seafood Exporters Association of India
SEZ Special Economic Zone
SIA State Implementing Agencies
SME Small and Medium Enterprises
SMEs Subject Matter Experts
SMP Skimmed Milk Powder
SOPA Soybean Processors Association of India
SRO Sub Regional Office
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Acronym
t/ha Tonne per Hectare
TBO Tree Borne Oilseeds
TCI Transport Corporation of India
TLPD Thousand Litres Per Day
TOP Tomato, Onion and Potato
TOTAL All fruits and vegetables
UG Undergraduate
UHT Ultra-heat treatment
UK United Kingdom
UP Uttar Pradesh
USAID United States Agency for International Development
USD United States Dollars
USFDA The United States Food and Drug Administration
UT Union Territory
YoY Year-on- Year

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

About the Document

Ministry of Food Processing Industries engaged Feedback Business Consulting Services Pvt. Ltd.
(Feedback Consulting) for conducting a Study to assess Human Resource and Skill Requirement
in the Food Processing Sector from 2021- 2030. The Final Report is being submitted to the
Ministry which presents the detailed findings and provides estimates of overall food processing
and employment across 11 sub sectors from various categories/ commodities in India.

This Report contains an Executive summary and 24 Chapters apart from the Annexures.

 Executive Summary
A summary of the key findings starting with the Study Background, Objectives and Scope,
Approach and Methodology, Limitations and Assumptions, the overall summary of
findings, and the final recommendations
 Chapter 1: Background, Objectives and Deliverables
Brief introduction to the assignment consisting of the Background of the project and
highlighting the Objectives and high-level deliverables of the assignment
 Chapter 2: Scope, Data Sources and Limitations of the study
Detailed scope of the study along with the deliverables, data sources used, and the
limitations and assumptions used in the study
 Chapter 3: Approach and Methodology
Details out the approach and methodology for the assignment, covering the High-level framework
and the study execution framework. The section also sets out methodology used to arrive the
sample design and the actual overall sample of primary interviews and FGDs conducted for the
study. We have also provided a list of the Subject Matter Experts (SMEs) who were appointed as
in- house experts for every sector. Details of the overall methodology used to arrive at the current
employment, the framework used to derive the future employment across all the 11 sub sectors
and the recommendation framework is included in this section

 Chapter 4: Overview of the India Economy

Details out the overview of the Economy with details on the trends of the overall GVA growth, FDI
inflow and export trends

 Chapter 5: Overview of the India Food Processing Industry

Details out the past trends and current market size of the Indian Food processing industry, key
government initiatives for the sector and the future growth drivers. We have also provided details
on the past trends on the labor employed in the Food Processing sector and the impact of Covid on
the sector.

 Chapter 6 – 16: Sub Sector Analysis (for 11 individual sectors of interest)

Details are set out in 3 sub sections – First section sets out the overall business overview, value
chain and stakeholders, key manufacturing clusters, past and current market trends, and the past
and current export trends.
Next section is on the overall employment scenario – past trends, current employment estimates
and the relevant break up category of personnel, NSQF levels and by key clusters / states within
India. We have also set out the details on the key job roles, the responsibilities and the skill

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

required to perform the job role. The section also covers details on the recruitment and training
practices in the industry and the current skill gaps and challenges faced by the industry
The last sub section details out the future employment and skills sets. This section has details on
the current and upcoming projects in the sector, the level of automation and based on the analysis
an estimate on the employment additions from FY’20 to FY’30 and the relevant break up by
category, by NSQF level and expected additions across various clusters in India. We have also set
out the Emerging Prominent Job Roles in each sector along with the key activities and knowledge
required.

 Chapter 17: Skills Needs for unregistered units that can be considered for the
PMFME scheme
The focus of the study was not specific to the unregistered segment, however based on the inputs
from the industry and the experts, the section lists the key job roles for the unregistered units that
can be considered for the PMFME scheme

 Chapter 18: Employment Generation Potential Summary

The section sets out the data sources and the estimates we have used for the overall universe
estimation for each sub sector, the overall processing volumes, the overall investments, and
employment generation potential between FY’20 – FY’30

 Chapter 19: Impact of Industry 4.0 Food Processing sector and the skills
The section sets out the details on the current levels of automation by sub sector, factors
considered for automation and the skill enhancements required for Industry 4.0 in the Food
Processing Industry

 Chapter 20: Packaging trends in the Food Processing sector and impact on skills
The section sets out the details on current packaging trends, factors driving these trends and the
skill gaps that need to be addressed to meet the standards of packaging in the food processing
industry

 Chapter 21: Outlook on the Food Fortification

The section sets out the details on the overview Food Fortification, the impact on skills and
additional skill set required in the industry

 Chapter 22: Expectations of Training institutes on Training Infrastructure

The section sets out the details on current Formal and In-formal training infrastructure and the
industry expectations
 Chapter 23: Recommendations on the Rationalization of the Current QPs
The section sets out the details on our recommendations on the rationalization of the 49
NSQF aligned QPs offered by FICSI, which over 9 sub sectors of Food Processing Industries
 Chapter 24: Recommendations to MoFPI
The section sets out the 10-year action plan outlining the approach to mitigate the skill
gap and development of relevant skillsets for the future including effective ways of
undertaking skilling activities with public and private sector involvement

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Executive Summary
I. Background
1. India is the second-largest producer of food in the world1. Food Processing is considered as
the sunrise sector in India. It is playing a pivotal role in India’s economic growth due to its
vital linkages and synergies that it promotes between the twin pillars of the economy, i.e.,
Agriculture and the Manufacturing Industry, and also in terms of its contribution to the Gross
Domestic Product (GDP), employment and investment.

2. While agriculture provides the farm produce as inputs to the Food Processing Industry (FPI)
in the sector, it is then value added by the FPI by applying the relevant technology in the
manufacturing sector.

3. The FPI contributes 32% of the USD 380 billion valued food and grocery market in India and
with a healthy growth rate of 8% since 2014, this industry remains as the fifth-largest
industry in terms of production, consumption, exports, and potential growth.

4. During the last 5 years ending 2018-19, the FP sector has been growing at an Average Annual
Growth Rate (AAGR) of around 10.00%, as compared to around 3.11% in Agriculture at 2011-
12 prices. The sector constituted as much as 8.98% Gross Value Addition (GVA) in
Manufacturing and 11.11% GVA in Agriculture 2018-19 at 2011-12 prices3. The sector has
witnessed a FDI equity inflow of US$ 4.182 billion between April 2014 and March 20204.

5. In 2010-11, the total number of registered FPI units in India was 35,8385. As per the latest
Annual Survey of Industries (ASI) for 2017-18, the total number of Registered FPI units was
40,160, which engaged/employed 19.33 Lakh workers as against the total 156.14 Lakh
persons engaged in the overall Registered industry segment. This constitutes 12.38% (at 3-
digit of NIC classification) of the employment generated from the overall Registered industry.

6. However, the number of unregistered/unincorporated enterprises manufacturing food and

beverages accounted for was 24.59 Lakh6, which supports employment to 51.11 Lakh
workers6 as against the total 360.41 Lakh workers from the overall unregistered industry.
This constitutes 14.18% of the employment generated in the unregistered industry segment.
Therefore, the Indian FPI is one of the major employment-intensive segments.

7. In addition, India’s FPI has several potential growth drivers, which include –(i) abundant
supply of raw materials to the food industry on account of India (ii) a huge consumer base in
India with around 1.3 billion consumers, their changing lifestyle, tastes and preferences due
to urbanization, and also the increased rate of out-of-home consumption offering a huge

1 http://www.fao.org/india/fao-in-india/india-at-a-glance/en/
2 MoFPI Annual Report 2020-21.
3 National Accounts Division, Central Statistics Office & MoFPI’s Annual Report 2020-21.
4 http://www.fao.org/india/fao-in-india/india-at-a-glance/en/
5 Annual Survey of Industries 2016-17.
6 NSSO Report No. 582 (73/2.34/2) on Economic Characteristics of Unincorporated Non-Agricultural

Enterprises (Excluding Construction) in India; NSSO 73rd Round (July 2015-June 2016).

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

demand for processed and branded food (iii) rise in disposable incomes (iv) changes in the
gender composition of workforce (v) huge export and investment opportunities by virtue of
India’s proximity to key export destinations and India’s greater integration with the global
economy (vi) increasing penetration of organized food retail outlets offering a wide range of
options to consumers, and (vi) proactive government policy and support.
8. Due to these growth drivers, India’s FPI has seen significant growth and changes over the past
few years and is likely to gain further momentum in its growth in the future as well, given the
demographics and macro-economic situation in India. A strong and vibrant skilled work force
would be a critical factor for ensuring a sustained growth of India’s FPI.
9. Considering the on-ground reality relating to the shortage of skilled, semi-skilled and
unskilled work force in India’s FPI and its impact on competitiveness of the industry and the
criticality of this issue, the Ministry commissioned a study in October 2020 to assess the
Human Resource and Skill Requirement in the Indian Food Processing Sector from 2021-30.
Based on the outcome of the RFP process, M/s Feedback Business Consulting Services Private
Limited, Bangalore was assigned to conduct this study.

II. Objective & Scope of Study

10. Commissioning of the study by the Ministry was done with the core objective to understand
the current manpower, the skill gaps and the estimated future demand of the workforce from
2021-30, and the policy initiatives required for the purpose of exploring the possible options
in rendering a suitable intervention, wherever required, in further augmenting the growth
and development of India’s food processing sector as has been done by the Ministry over
several years through several positive and proactive policies. In addition, the study was also
needed in the context of the Scheme for Human Resources and Institution- Skill Development
(SHRISD) that was operationalized by the Ministry under PMKSY w.e.f. 2017-2018 onwards.
11. The study was mandated to cover only 11 sub-sectors of Food Processing as they are
considered as major sub-sectors in terms of their available production, huge scope for
increasing their further processing level by virtue of the existing several growth drivers,
shortage of skilled labour force in these sub-sectors, etc. The 11 sub-sectors identified are – i.
Bread and Bakery products ii. Cold Chain (incl. logistics) iii. Dairy Products iv. Fish and
Seafood processing v. Fruits & Vegetables processing vi. Meat & Poultry processing vii. Milling
(Grains & Oilseeds) viii. Beverages (Tea & Coffee) ix. Ready-to-eat & Ready-to-cook products
x. Soya processing and xi. Spices.
12. The major areas of the scope of work identified for the study are – (i) Sub-sector and state-
wise industry and labour market growth trends in food processing, including impact of the
COVID-19 pandemic on employment in the food industry (ii) State-wise, sub-sector-wise and
segment-wise forecasting of the human resource and skill requirement during 2021-30, and
(iii) the development of a strategic road map and a 10-year Action Plan outlining the approach
to mitigate the skill gap and the development of relevant skill sets for the future.

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

III. Approach & Methodology Adopted

13. The methodology outlined through the process of RFP for this study comprised of Primary
Survey and Secondary Research. The duration of completion of the study was for 6 months.
However, due to the impact of the COVID-19 pandemic in India, it reached its completion in 8
months.
14. The approach and methodology agreed and adopted in the study involved a high-level
framework containing efforts to understand the current state of the FPI, the potential
elements of impact, future employment potential and the possible road. This framework was
divided into 5 phases comprising – (i) desk research to collate all available data (ii) sample
design and coverage to arrive at a universe data, sample plan, etc., (iii) primary research and
interviews with experts, including views of industry visionaries, training institutes,
government authorities (iv) analysis and insights from the collected samples, and (v) giving
a strategic action plan and recommendations as an outcome of the study.
15. In order to get an accurate data on the overall universe (i.e., number of FP units) present in
India, at first, all the available secondary information was gathered from multiple
Government sources like ASI, NSSO, RBI, etc. The list of data sources used in this study are
given in the report in Chapter 2, Section 2.2.
16. As the ASI data was available for only 7 sub-sectors of interest, it was used primarily to
understand the overall universe data for these sub-sectors. However, as no ASI was available
for the rest 4 sub-sectors, namely Beverages (Tea & Coffee), Spices, Soya and Cold chain, the
universe data/estimate for these sub-sectors was arrived at on the basis of the available
published data, including those published by the government, industry bodies/boards and
associations.
17. As a result of the above exercise, the overall universe data taken into account for the 11 sub-
sectors of interest of this study was 41,008, which is very close to the ASI data of registered
FPI units in India (i.e. 40,160 Nos.) as per their report of 2017-18. The sub-sector-wise break-
up of the universe data is delineated in Chapter 3, Section 2, of this report. It is pertinent to
mention that the above universe data is of registered FPI units. The unregistered FPIs was not
taken into consideration as it is not in the ambit of the study, and the estimation of
unregistered FPIs in India requires another explicit and independent study on account of the
non-availability of reliable data sources on such unregistered FPIs, involvement of multiple
strategies in their estimation, etc.
18. From the above universe data of registered FP units, the different segments of each sub-sector
as Large, Medium, Small and Micro was identified on the basis of the classification of industry
as laid down in the MSME guidelines. The segment- and sector-wise key clusters in a district
were identified after gathering information from government officials in the key district in a
state, other stakeholders like companies operating in the clusters, visionaries, and subject
matter experts.
19. Consequently, the overall sample size arrived at and finalized for the study was 4005,
encompassing 3928 samples from Micro, Small and Medium and Large FP companies (i.e.
Micro - 1896 + Medium & Small – 1933 + Large - 99), 65 responses from state /district
industrial corporations, local food processing company associations and 12 responses from
relevant government authorities, industry bodies such as FICCI, CII, AIFPA, FPSA and industry
experts etc.

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

20. Of these, 3928 primary interviews were held with FPIs across key clusters and states in India.
The sub-sector wise break-up of these primary interviews has been described in Chapter-3
section 3.3, of the report. In addition, 50 Focused Group Discussions (FDGs) with key
representatives of 192 FP companies were also held to get more insights on the overall
growth of the identified sub-sectors, future technologies, trends, and other key details for
each sub-sector. Discussions with 15 Subject Matter Experts (SMEs) and more than 50
visionaries/leaders from the food industry are other important aspects of the approach & the
methodology adopted in the study.

IV. Limitations and Assumptions

21. The study involved some limitations that it did not cover all the sub-sectors of FPIs, only
registered FPI units as per the ASI data were taken into consideration, categorization of
type/segments of FPIs as Large, Medium, Small and Micro was done based on the MSME
guidelines, etc. for want of such categorization in the ASI data, and no indication was found in
the ASI about the overall processing volume and employment by the above type/segments of
FP units in the 11 sub-sectors of interest of the study.
22. Given these limitations, certain assumptions were made in the study, which included
extrapolation of the universe (i.e., for the number of units) for the study from the ASI data of
2017-18, classification of these units based on the MSME guidelines, deriving ratio of the
processing volume and the number of employees required through primary interviews, etc.,
The details in this regard are described in Chapter 2, section 2.3, of this report.

V. Findings - Summary
23. The sub-sector Bread and Bakery Products, with a current overall market of 3.675 MMT,
1,996 Registered FP units, 8% past growth rate (i.e., from FY 2015-2020), 1.35 Lakh
employees (in FY 2020) and Rs. 2,433 Crores as the overall export value, is expected to
witness its growth during 2021-30 with 8.75 MMT as the overall market, 9.1% growth and
3.21 Lakh employees in FP units in FY 2030. Thus, the net expected skilled human resource
requirement in this sub-sector during 2021-30 would be around 1.86 Lakh.
24. The sub-sector Dairy Products, with a current overall market of 40.8 MMT, 2,374 Registered
FP units, 9.8% past growth rate (i.e., from FY 2015-2020), 2.02 Lakh employees (in FY 2020)
and Rs. 1,982 Crores as the overall export value, is expected to witness its growth during
2021-30 with 102 MMT as overall market, 9.6% growth and 4.75 Lakh of employees FP units
in FY 2030. Thus, the net expected skilled human resource requirement in this sub-sector
during 2021-30 would be around 2.73 Lakh.
25. The sub-sector Fish & Seafood Products, with a current overall market of 26,000 MT, 591
Registered FP units, 16.3% past growth rate (i.e., from FY 2015-2020), 0.94 Lakh employees
(in FY 2020) and Rs. 46,663 Crores as the overall export value, is expected to witness its
growth during 2021-30 with 101,000 MT as the overall market, 14.4% growth and 3.54 Lakh
employees in FP units in FY 2030. Thus, the net expected skilled human resource requirement
in this sub-sector during 2021-30 would be around 2.59 Lakh.
26. The sub-sector Fruits & Vegetable Processed Products, with a current overall market of 8.54
MMT, 1,426 Registered FP units, 7.6% past growth rate (i.e., from FY 2015-2020), 0.88 Lakh
employees (in FY 2020) and USD 623.64 MN as the overall export value, is expected to witness
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

its growth during 2021-30 with 17.5 MMT as the overall market, 7.4% growth and 1.8 Lakh
employees in FP units in FY 2030. Thus, the net expected skilled human resource requirement
in this sub-sector during 2021-30 would be around 0.92 Lakh.
27. The sub-sector Meat & Poultry Processed Products, with a current overall market of 1.75
MMT, 210 Registered FP units, 7.8% past growth rate (i.e., from FY 2015-2020), 0.3 Lakh
employees (in FY 2020) and Rs. 23,375 Crores as the overall export value, is expected to
witness its growth during 2021-30 with 5.02 MMT as the overall market, 11.1% growth and
0.92 Lakh employees in FP units in FY 2030. Thus, the net expected skilled human resource
requirement in this sub-sector during 2021-30 would be around 0.61 Lakh.
28. The sub-sector Milling Products, with a current overall market of 21.79 MMT, ~23,792
Registered FP units, 2.1% past growth rate (i.e., from FY 2015-2020), 4.82 Lakh employees
(in FY 2020) and Rs. 2,369 Crores as the overall export value, is expected to witness its growth
during 2021-30 with 28 MMT as the overall market, 2.6% growth and 6.05 Lakh employees
in FP units in FY 2030. Thus, the net expected skilled human resource requirement in this
sub-sector during 2021-30 would be around 1.23 Lakh.
29. The sub-sector Beverages (Tea & Coffee) Products, with a current overall market of 1.51
MMT, ~1,075 Registered FP units, 4% past growth rate (i.e., from FY 2015-2020), 1.05 Lakh
employees (in FY 2020) and Rs. 8,736 Crores as the overall export value, is expected to
witness its growth during 2021-30 with 2.45 MMT as the overall market, 4.9% growth and
1.69 Lakh employees in FP units in FY 2030. Thus, the net expected skilled human resource
requirement in this sub-sector during 2021-30 would be around 0.64 Lakh.
30. The sub-sector RTE & RTC Products, with a current overall market of 135,000 MT, 716
Registered FP units, 15.1% past growth rate (i.e., from FY 2015-2020), 0.51 Lakh number of
employees (in FY 2020) and Rs. 5,775 Crores as the overall export value, is expected to
witness its growth during 2021-30 with 459,000 MT as the overall market, 13% growth and
1.59 Lakh employees in FP units in FY 2030. Thus, the net expected skilled human resource
requirement in this sub-sector during 2021-30 would be around 1.08 Lakh.
31. The sub-sector Soya Processed Products, with a current overall market of 18.35 MMT, 165
Registered FP units, 4.8% past growth rate (i.e., from FY 2015-2020), 0.06 Lakh employees
(in FY 2020) and Rs. 3,681 Crores as the overall export value, is expected to witness its growth
during 2021-30 with 34 MMT as the overall market, 6.4% growth and 0.11 Lakh employees
in FP units in FY 2030. Thus, the net expected skilled human resource requirement in this
sub-sector during 2021-30 would be around 0.05 Lakh.
32. The sub-sector Spices Products, with a current overall market of 185,000 MT, 1,063
Registered FP units, 8.4% past growth rate (i.e., from FY 2015-2020), 0.40 Lakh employees
(in FY 2020) and Rs. 14,638 Crores as the overall export value, is expected to witness its
growth during 2021-30 with 620,000 MT as the overall market, 12.9% growth and 1.34 Lakh
employees in FP units in FY 2030. Thus, the net expected skilled human resource requirement
in this sub-sector during 2021-30 would be around 0.94 Lakh.
33. The sub-sector Cold Chain, with 7,600 Registered units, 3% past growth rate (i.e., from FY
2015-2020), 2.24 Lakh of employees (in FY 2020), is expected to witness its growth during
2021-30 of 9% growth and 2.96 Lakh employees in FP units in FY 2030. Thus, the net expected
skilled human resource requirement in this sub-sector during 2021-30 would be around 0.71
Lakh.

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

34. These selected 11 sub-sectors put together have a net current overall market at approx. 96
MMT in FY’20. The overall processing volume is likely to increase at a CAGR of 7.5% to reach
approximately 198 MMT by FY’30, and employment from 14.6 Lakh will grow to 28 Lakh
employees by 2030. Thus, the net expected skilled human resource requirement in these 11
sub-sectors during 2021-30 would be around 13.4 Lakh.
35. As per date, FICSI has identified 49 approved job roles, but as per our discussion with the
industry stakeholders and our survey, Feedback identified 78 job roles available for skilling
in the FP industry. The growth of FPIs estimated for the 11 sub-sectors of the FP sector during
2021-30 would require an additional 14 new job roles for skilling in the areas of Industry 4.0,
New product development, Food Fortification, Packaging & Food Testing labs, which are
currently non-existing or at a very nascent stage.
36. Some of the key challenges identified in acquiring skilling in the 11 sub-sectors of FP include
lack of knowledge of the basic Food and Hygiene practices, limited awareness and availability
of finishing school/informal training institutes offering relevant programs, inadequate
infrastructure facilities vis-à-vis the demand for a skilled labour force, lack of continuous
learning programs among existing employees, higher hiring cost, employee attrition across
all levels, etc.
37. It was felt during analysis that the impact of Industry 4.0/IOT/Automation, Packaging Trends
and Food Fortification in the Food Processing sector and its impact on skilling will be the
additional key factors that will impact the overall skill levels in the industry.

VI. Recommendations - Summary

38. Feedback recommends a 11-point action plan in the formal and informal training methods to
mitigate the skill gap and development of relevant skillsets for the future. These also include
effective ways of undertaking skilling activities with public and private sector involvement.
These 11 action points have been divided into two parts – (i) Applicable to the overall FP
Industry and (ii) Specific to Micro enterprises in the FP industry

i. Recommendations Applicable to Overall FP Industry

1. MOFPI needs to support creation of ‘MOFPI Authorised Center from Training (MACT)’
in FP Hubs/clusters. Unlike large firms, MSME firms do not have any major training
infrastructure or capabilities to train their employees and face the load of higher attrition
levels. Our research has estimated a need for 120+ such centres in the FP Clusters/
Districts in India, which could be implemented in a phased manner over the next 10 years.
MOFPI should design a 3-month Certified Training Programme (CTP) that should be made
mandatory for all employees getting into the FP sector. MACT can be the perfect place to
impart this course. The syllabus of these should include basic Food Safety & Hygienic
practices, sub-sector-wise specific syllabus such as the manufacturing process of key
equipment used, operations of these key equipment and cleaning and handling of raw
materials etc. Development of the syllabus should be undertaken by FICSI by taking inputs
from the industry veterans. Post completion of the Training Programme, the individual
could be called as “MOFPI-Certified FP Skilled Worker”.
2. Skill-gap focus for Large, & MSME firms - As per date, FICSI has identified 49 approved
job roles, but based on our discussion with the industry, Feedback has identified 78
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

existing job roles in the industry and 14 additional emerging job roles (overall 92 job roles)
- MOFPI through FICSI needs to create relevant vocational training programmes for these
identified job roles for the additional 43 job roles.
3. Development of Qualification Packs – FICSI currently has 49 QPs. However, FICSI has
affirmed to rationalize the QPs to 38. With the additionally identified 43 new job roles,
FICSI needs to identify & develop QPs for each sub-sector once in 2–3 years to meet the
emerging requirements.
4. Industry Labour Portal – Develop a trained workers portal (e.g., FPNaukri.com) at the
earliest. All trained workers’ database needs to be maintained at a district/cluster level.
Need to work towards making this as a ‘One-stop-shop’ for FP labour/employees’
recruitment for the industry.
5. The Private Sector Industry (specifically from the Equipment Suppliers) wishes to
participate and aid MOFPI in enhancing the training needs to the FP industry. MOFPI
should encourage this and needs to work with the Industry in PPP mode - MOFPI could
collaborate with Food Processing Equipment companies and have a pool of resources and
training programmes to address the Maintenance Training requirements in each sub-
sector. Select large companies in each sub-sector could be evaluated for their existing
resources – training methods/systems to be used for helping MSME firms in the given sub-
sectors.
6. The Government of India (GoI) should fund prospective companies to implement Industry
4.0 solutions and provide for the upskilling of employees. Certain incentives should be
offered for small and medium enterprises who would like to implement IOT, automation
and other Industry 4.0 solutions.
7. Awareness Creation - MOFPI/FICSI needs to invest in making the right awareness
creation tools such as advertising in vernacular/local newspapers/sponsoring &
participating in certain sector-specific events/seminars and exhibitions and especially, in
states like Tamil Nadu, where regional television channels have an extremely high recall
rate, even considering multimedia advertisements. Digital and social media tools could
also be explored.
8. Food Processing in Formal Education – (i) In our formal education system, the Food
Processing Sector should be recognized as a key contributor to the nation’s economy and
needs to be formally included in our education system. (ii) There is a need to introduce
10+3Y Diploma or 10+4Y graduation course specifically for the Food processing sector;
with a 3-month mandatory “Certified Training Programme”, such B.F.Pr. Graduates will be
definitely “Employable” and can be productive on the job within 1 week of induction &
orientation in the factory on the job.

ii. Recommendations Specific to Micro enterprises in the FP Industry

9. Skill-gap Focus for Micro-enterprises, Start-ups, and Entrepreneurship Firms - (i)

From the 92 job roles identified earlier, not all the job roles will be applicable for micro
enterprises as they are very small in size and may not have so many roles. There is a need
to club certain roles as outlined in each Sector Chapters of this report to address the needs
of the micro-enterprises. (ii) Apart from this, a specific training programme should be
developed for the micro-enterprises in the areas of entrepreneurship development, and

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

essential functions of operations, marketing, bookkeeping, registration, FSSAI standards,

Udyog Aadhar, GST Registration, general hygiene, etc.
10. Development of Online/Smartphone-based Specific Training and Certification
programmes for the MSME & entrepreneurs in start-up units – the Indian Food Processing
industry is widespread and has units across the country, and even in smaller towns.
Formalized training, either by FICSI or any other agency, is limited to certain towns and
cities only. An Online Training and Certification Programme can help in a widespread reach
in a much shorter time.
11. There is a tremendous scope for upgradation in skilled manpower due to Industry 4.0. To
make the small- and micro-enterprises ‘IOT Ready’ for the future, it is important that the
employees of these firms are trained in basic computer skills and the proprietor/decision-
makers are trained in the importance and advantages of Industry 4.0.

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Chapter 1: Background, Objectives

and Deliverables
1.1 Study Background
Indian food processing industry has seen significant growth and changes over the past few years,
driven by changing trends in markets, consumer segments, technology and regulations.
These trends, such as changing demographics, growing population and rapid urbanization are
expected to continue in the future and, therefore, will shape the demand for value-added products
and thus for food processing industry in India.
These positive developments however have also resulted in apprehension about the emerging
skill shortages due to mismatch between the demand for specific skills and available supply. In
fact, of late, shortage of skilled, semi-skilled and unskilled worker has emerged as a critical factor
impacting the competitiveness of the Indian food processing industry.
During the last 5 years ending 2018-19, Food Processing sector has been growing at a Compound
Annual Growth Rate (CAGR) of around 11.62%. Government of India has accorded high priority
status to food industry with an objective to reduce inefficiencies resulting in wastages/ losses.
The industry growth along with demand for quality standards and technology adoption in
manufacturing are driving the need for fresh skilling and up-skilling in the sector.
As the industry advances, the demand for skilled manpower will increase phenomenally.
Moreover, if the Indian food processing industry has to achieve the projected growth targets set
and become globally competitive, the need to develop and train the human resource efficiently
would be essential. India can harness all the opportunities present in the food processing sector
only when its labour force is educated and skilled.
Considering the criticality of this issue, Ministry of Food Processing Industries, Government of
India commissioned a study to analyse the current skill challenges and anticipate the current and
future demand of workforce in the food industry for the period 2021 to 2030.

1.2 Objectives of the Study

This study was commissioned to ascertain the present and future availability of human resources,
the present gaps in skill sets, the skills required and the policy initiatives required in this regard
in the future for the 11 sub sectors of interest in the food processing industry. The study was for
the period 2021-30. Article 2 of the RFP clearly stated the 11 sub sectors to be covered in the
scope of this study, and the same is listed below -:
i. Bread and Bakery products
ii. Cold Chain (incl. logistics)
iii. Dairy Products
iv. Fish and Seafood processing
v. Fruits & Vegetables processing
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

vi. Meat & Poultry processing

vii. Milling (Grains & Oilseeds)
viii. Beverages (Tea & Coffee)
ix. Ready-to-eat & Ready-to-cook products
x. Soya processing
xi. Spices

1.3 Deliverables of the Study

Inception Report: Within seven days of the allocation of the project, Feedback submitted an
inception report, detailing the plan of action which included overall approach, methodology,
information areas to be collected, overall universe estimation and proposed sample, detailed
analysis plan and timeline for conducting the project.
Monthly Progress Report: Subsequent to the inception report, four, monthly progress reports
were submitted in the overall project timeline.
The first moth document had details on the overall universe and relevant break up for each of the
11 sub sectors of interest. The report also included the final sample plan by sub segment and
state, final questionnaires, and discussion guides to be used for the study.
The next month’s reports had detailed chapters on overall sample covered along with the plan for
the forth coming months as well as updates from the focused group discussions with specific
panels, which was conducted under the guidance of the subject matter experts. These reports also
consisted of specific details of all the 11 sub sectors of interest like market overview,
stakeholders, historic trends, exports, current market, future outlook, employment status etc.
The month 4 document also set out the activities to be carried out for final analysis and future
employment estimations to be presented in the Draft Final report.
Draft Final Report: The draft final report covering all aspects of the study including the power
point presentation along with the summary report was presented and submitted to MoFPI.
This report covers the entire journey of the study, starting from the objective, what methodology
was adopted in estimating the universe, finalization of the sample, understanding current state
of each of the 11 sub sectors, factors impacting the employment of each of the sub sectors, future
employment potential and actionable recommendations for MoFPI to ensure adequate and multi-
dimensional skilling of the relevant sub sectors.

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Chapter 2: Scope, Data Sources and

Limitations of the study
2.1 Scope of the study
There are 3 key scope areas as outlined below:
i. Industry & Labor Market Trends in Food Processing
ii. State-wise, Sub sector wise and NSQF level wise forecasting of the Human Resource
and Skill Requirement over a period of 2021-30
iii. Strategic Roadmap and Action Plan
The final report constitutes of various chapters, covering the following details, in order:
A. Overview of the 11 sub sectors
i. Industry overview Market size, stakeholders, export details, key clusters, past trends,
and future outlook of the sub sector
ii. Current processing levels, employment details and relevant break ups, recruitment &
training practices, and sector analysis
iii. Challenges related to Skill Availability Vs Skill Gaps
iv. Future projection – Overall Sector and Employment and relevant break ups
v. Existing & Emerging Prominent Job Roles
vi. Skill Needs for the unregistered units that can be considered for the PMFME scheme
vii. Expectations from the Industry Stakeholders
B. Employment Generation Potential Summary
i. Establishing total no. of units, comprising of these 11 sub sectors
ii. Current processing volumes and investments required for the projected employment
iii. Employment generation potential between FY 2020 to FY 2030 by each sub sector
and across states
C. Impact of Industry 4.0 on the Food Processing Sector and Skills
i. Current level of automation, spends and investment norms, by each of the sub sectors
ii. Adaptation of Industry 4.0 and its impact on each of the sub sectors
iii. Skill enhancement need of the overall industry
D. Packaging Trends in Food Processing Sector and impact on Skills
i. Current size of the packaging industry, for the Food processing industry and
upcoming trends
ii. Key drivers for the upcoming trends, for specific sectors
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

iii. Current level of skill gaps in the industry, and recommendations to sustain the
changing trends in packaging for all the sub sectors
E. An Outlook on Food Fortification
i. Definition and overview of food fortification across the 11 sub sectors
ii. Impact of food fortification in future employment generation
F. Expectations of Training Institutes on Training Infrastructure
i. Formal and In-formal training and the current infrastructure across both types
ii. Key expectations of the Food processing sector, from both these types of training
formats
iii. Brief overview of the MSDE report on skill assessment & anticipation study
(manufacturing sector)
G. Recommendations on the Rationalization of the Current QPs
i. Current levels, approach, and methodology for rationalizations across sub sector
ii. Final set of QPs that can be rationalized
H. Recommendations to MOFPI
i. Support system that needs to be created to enable the projected employment growth
ii. Skill gap focus for Large and MSMEs, Startups and Entrepreneurship firms across job
roles, in all the 11 sub sectors
iii. Recommendation on QPs, need for manpower planning and working with Industry in
the PPE Mode
iv. Creating formal training and road map towards doing this for each of the 11 sub
sectors

2.2 Data Sources used for the Study

The list of Secondary sources used in the Study is given below:

Source Data sets / information used

Annual Survey of Industries No of Units in FPI, employment in FPI
MOFPI – Annual reports Various inputs in many subjects
FSSAI Employment, state wise units
RBI Economic Overview Macro-Economic Information
Ministry of Statistics and Program Various inputs on Economy, NSSO, etc.
Implementation, PLFS & NSSO
Nabard – Napcons Report Cold Chain information
National Center for Cold Chain Cold Chain information
Development (NCCD)
National Dairy Development Board Statistics related to Dairy Sector
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Source Data sets / information used

Ministry of Commerce & Industry Exports Statistics
(Tradestat)
FICCI Paper on Development of Dairy Dairy Industry information
Sector in India
CMIE – CAPEX New project investments
Projects Today New project investments
Marine Products Exports Development Fisheries and Marine products industry information
Authority
Agricultural and Processed Food Various inputs across sub-sectors
Products Export Development Authority
(APEDA)
Basic Animal Husbandry Statistics-2019 Statistics on Meat & Poultry industry
Indian Chamber of Food & Agriculture Milling industry statistics
Tea Board of India & Coffee Board of Annual report for statistics on Tea and Coffee
India industry
Soya bean Processing Association Information on Soyabean and Processing industry
Spices Board of India Information on Spices industry in India
RBI KLEMS Employment data reference for various industries
Table 1: List of Secondary sources used in the study

2.3 Limitations of the Study

Limitations of the study

 The study did not cover all the sub sectors of the Food processing industry, it categorically
covered only 11 sub sectors as defined by MoFPI

 This study covered only the registered FPI units in these 11 sub-sectors and the base for
these units was essentially the ASI data. No un-registered FPI units in these 11 sub-sectors
were considered in this study

 ASI data gives the total number of the registered units and does not categorize these units
by the type i.e., Large, Medium, Small or Micro enterprises

 ASI data does not give any indication on the overall processing volumes and the
employment by type of units for the 11 sub-sectors covered for the study
Given these limitations, there were some assumptions that were considered and the same is listed
below -:
Assumptions used in the study

 The universe (for number of units) arrived for FY 2019 – 20 for the study has been
extrapolated from ASI data of the year 2017-2018 (based on the 10-year CAGR of these
sub-sectors)

 The further classification of these units was done, based on the MSME guidelines
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

 The ratio of total processing volumes and number of employees required by type of units
was derived from the analysis of the primary interviews and cross checked by SMEs

 Impact of automation is expected to be higher in Large firms, followed by Medium and

Small and then Micro, in the next 10 years

 Break-up of the employment potential by NSQF levels, will be a function of impact of level
of automation, new product development, changes in packaging, product sustainability,
growing export markets, food fortification, regulatory environment, etc.

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Chapter 3: Approach & Methodology

The study approach and methodology started by tapping into all the available secondary
information from multiple government sources like ASI, NSSO, RBI, etc. to get accurate data on
the overall universe numbers and the number of units present in the Food Processing Industry.
Post this, the study involved a large sample driven primary research exercise covering a variety
of stakeholders. Along with this, Focus Group discussions and in-depth interviews & discussions
were conducted with industry representatives, as well as visionaries. Feedback Consulting had
also onboarded Subject Matter Experts (SMEs) who were involved through all the phases of the
study. Feedback Consulting also utilized its frameworks for analysis and to get the key insights
on the market, based on which Feedback proposed a future road map for the Ministry.

3.1 High Level Framework

The framework to assess the skill gap in the 11 sub-sectors of interest in food processing industry
over the next 10 years is shown below in the chart:

Figure 1: High Level Framework

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

3.2 Study Execution Framework

The study was divided into five phases. This is explained in the chart below

Figure 2: Study Execution Framework

The detailed activities in each phase have been listed below:
Phase 1: Desk Research
List of all the secondary data sources used for the desk research, is covered in Chapter 2, section
2.2.

 Details on the overall industry dynamics for all the sub sectors such as, industry size,
historic growth rates, trends and current technologies used

 Details on the number of units present across the key food processing sectors, overall
employment, and growth rates etc.

 Evaluated historic Food Processing sectors employment related information and

reports published by the ministry as well as other sources available in the public
domain.

 Conducted desk and primary discussion with State / District Industrial Corporations
to prepare a state wise long list of FP clusters.

 Study of various macro-economic factors / Govt. initiatives and schemes / new

technologies that would drive the growth of Food Processing sector in India over next
10 years.
Phase 2: Sample Design and Coverage

 ASI data was used to understand the overall universe data across the sub-sectors of
interest; however, the data was available only for 7 of the 11 sub sectors of interest. For
the rest of the 4 sectors, Feedback collected the universe estimates from relevant
published Government sources, industry boards, and associations.

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Overall Universe Estimates

Sub-sector Overall Universe (Total No. of units in India)

Bread and Bakery products 1,996
Dairy products 2,374
Fish & seafood processing 591
Fruits & Vegetables processing 1,426
Meat & Poultry processing 210
Milling (Grains & Oilseeds) 23,792
Ready-to-eat & Ready-to-cook products 716
Cold Chain (incl. Cold Storages, Refer
7,600
Trucks and Pack Houses)
Beverages (Tea & Coffee) 1,075
Spices 1,063
Soya processing 165
TOTAL 41,008
Table 2: Overall Universe Estimates
Source: ASI data and Feedback Analysis

 The chart below set outs the methodology on classifying the universe data and how the
inputs were used to design the relevant sample to be covered for the study

Figure 3: Methodology for Sample Design

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

 Feedback identified the key clusters for each segment and approached the government
officials in key district to get a detailed understanding and further classification of the
overall universe for each sector within the district.

 Feedback also used the views of the other stakeholders like companies operating in
cluster, visionaries, and subject matter experts to validate the estimates

 All the data sources were put together and Feedback used the Probability Proportional to
Size (PPS) sampling approach, a statistically significant and relevant methodology to
arrive at sample numbers to be covered. This sample represented the universe and was
used for all current and future employment estimations.

 The overall sample and the relevant break ups by state and type of companies arrived by
using the above technique was discussed and approved by the MOFPI.

The split of this coverage is given in the Table below:

Respondent Category Sample Size

Micro, Small & Medium and Large Food Processing Companies 3,928
Micro 1,896
Medium & Small 1,933
Large 99

State / District Industrial Corporations, Local Food Processing Company

65
Associations

Discussions with relevant Govt. authorities, Industry bodies such as FICCI,

12
CII, AIFPA, FPSA and industry experts etc.

TOTAL 4,005

Table 3: Overall Coverage: By Respondent category

Phase 3: Primary Research & Expert Interviews

 Primary interviews conducted across key clusters to collect information related to

employment in food processing sector

 Data collation, validation, processing, and analysis to arrive at meaningful insights

 Feedback followed a strict internal audit process, and the interviews were randomly
backchecked (across sub-sectors and clusters) to validate the details collected. The
interview was cancelled and replaced in case there were any deviations.

Phase 4: Analysis & Insights

 State wise, sub-sector wise, NSQF level wise employment estimation in FP sector in
India and manpower availability.

40
Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

 Review of existing qualification packs with FICSI and identification of rationalization

required.

 Estimation of future employment potential between 2021 – 2030 by sub-sector,

enterprise, NSQF level – including identification of emerging job roles across sub
sectors
Phase 5: Recommendations

 Derivation of skill gaps, skilling required, NSQF level wise job roles with the required
skills etc.

 Develop 10-year action plan and propose job roles, skill levels and skilling
methodology for the sector.

3.3 Overall Coverage by sub sector

Feedback conducted 3,928 primary interviews with various manufacturing units across key
clusters and states in India
Sub sector wise coverage is shown the table below:

Sub-sector Coverage
Bread and Bakery products 412
Cold Chain (incl. logistics) 171
Dairy Products 415
Fish and seafood processing 404
Fruits & Vegetables processing 488
Meat & Poultry processing 104
Milling (Grains & Oilseeds) 621
Beverages (Tea & Coffee) 102
Ready-to-eat & Ready-to-cook products 740
Soya processing 91
Spices 380
TOTAL 3,928
Table 4: Overall Coverage: By Sub Sector

3.4 Focus Group Discussion

In addition to the primary interviews, Feedback also conducted 50 Focus Group Discussions
(FGDs) in the study. The primary objective of these FGDs was to get more insights on the overall
sub sectors, future technologies, trends, and other key details for each sub sector. Break up of
which is represented is the table below:

41
 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

FGD Type No. of FGDs

FGDs with representative companies from the sub-sectors of interest 35
 Bread and Bakery Products 4
 Cold Chain (incl. logistics) 2
 Dairy Products 4
 Fish and Seafood processing 3
 Fruits & Vegetable processing 5
 Meat & Poultry processing 2
 Milling (Grain & Oilseeds) 4
 Beverages (Tea & Coffee) 2
 Ready-to-eat & Ready-to-cook products 5
 Soya processing 2

 Spices 2

FGDs with Food processing equipment manufacturers and technology (Industry 4.0,
10
IOT, Factory Automation etc.) providers
FGDs with Colleges & Institutes, ITIs, Vocational Training Centres 5

TOTAL 50

Table 5: Focus Group Discussions (FGD): By Sub Sector

Overall, 192 companies have participated in the 50 FGDs conducted across sub-sectors. The
distinguished panellists for these FGD panels were either of the following designated executives:

 Food Processing Companies - C-Level Executives / HR Head / Operations Head (Large

companies), General Managers / Owner / Director / Operations Head (Medium), Owner
/ Director (Small & Micro)
 Equipment Manufacturer - C-Level Executives / Technology Head / Sales & Marketing
Head
 Training Institutes - Curriculum Head / Head of the Department for Food Technology or
Food Science Programs / Training Centre Head etc.

Following table indicates the list of FGDs by categorization of the FGD panels along with
the list of companies participated.
# Sub-Sector Categorization of FGDs Companies Participated
 Modern Food Enterprises Private Limited
Industrial Bread (Modern Breads)
1 Bread & Bakery
Manufacturers  Moreish Foods Limited
 Bonn Nutrients Pvt. Ltd.
Industrial Bakery
2 Bread & Bakery  Parle Products
Manufacturers
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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

# Sub-Sector Categorization of FGDs Companies Participated

 Anmol Biscuits
 Sarjena Foods (Baker Street)
 Ravi foods Pvt. Ltd. (Dukes)
 United Biscuits Pvt. Ltd (McVitie's)
 Vell Biscuits
 Nalanda Biscuits
MSME Bread & Bakery
3 Bread & Bakery  Ajit Bakery
Manufacturers
 Kwality Confectioners and Bakers (India) Pvt.
Ltd.
 Veeramani Biscuit Inds. Ltd.
MSME Bread & Bakery
4 Bread & Bakery  Biking Food Products Pvt. Ltd (Sumo)
Manufacturers
 Jahagirdar Foods
 Carrier Transicold
Cold Chain Solution  Anvira Solutions
5 Cold Chain
Providers  Emerson Climate Technologies
 Snowman Logistics

Cold Chain - Storage  Frick India

and Logistics /  Sheetal Parivahan
6 Cold Chain
Transportation  Coldman Logistics
Companies
 JWL
 Jharkhand Dairy Coop Federation
 The Bihar State Milk Co-Operative Federation
Co-Op Federations and Ltd. (COMFED) – Samstipur
7
Dairy Products Large Dairy Processing
 Chanakya Dairy Products Limited
Units
 Tirumala Dairy
 Umang Dairy
 Amul (Banas Dairy)
Mega Plants & Large
8 Dairy Products  Nestle (Dairy Products)
Dairy Processing Units
 Namaste India
 Aasma Food and Beverages
MSME Dairy Processing
9 Dairy Products  Adya Dairy
Units
 Dindigul Farm products Pvt Limited
 C.P. Milk & Food Products Pvt. Ltd.
MSME Dairy Processing  Adarsh Dairy Udyog
10 Dairy Products
Units  Perfect Dairy Foods Private Ltd
 Leela Krishna Dairy Private Ltd

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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

# Sub-Sector Categorization of FGDs Companies Participated

 Abad Fisheries Pvt. Ltd.
Very Large & Large  DSF Group of Companies (Diamond Seafood)
Fish & Seafood
11 Fish & Seafood  Cambay Tiger
Processing
Processing Units  Devi Fisheries
 Triveni Fisheries
 Baby Marine Ventures
 Nekkanti Sea Foods Ltd.
Large & Medium Fish
Fish & Seafood  Everest Sea Foods
12 and Seafood Processing
Processing  Devi Seafoods
Units
 National Head – Seafood Exporters Association
of India
 Goan Fresh
Small & Micro Fish &  Sterling seafoods
Fish & Seafood
13 Seafood Processing  PO Foods
Processing
Units
 Abbakaba Overseas / Orissa Seafood Exporters
Association of India
 Cremica Agro Foods
Fruits &
Large & Medium F&V  ADF Foods Ltd
14 Vegetable
Processing Units  Kraft Heinz India Private Limited
Processing
 Tai Industries Limited
 Mother Dairy
Fruits &
Large & Medium F&V  Saraf Foods
15 Vegetable
Processing Units  FieldFresh Foods
Processing
 Freshtrop Fruits Ltd
Fruits &  Capricorn Food Products
Medium & Small F&V
16 Vegetable  Shimla Hills Offerings
Processing Units
Processing  Capital Foods (Ching's Secret, Smith & Jones)
 Delicia Foods
Fruits &
Small & Micro F&V  Sahaj Foods & Agro Tech
17 Vegetable
Processing Units  Sil Food India Pvt Ltd
Processing
 Mevive International Food Ingredients
 Anand Food & Dairy Products (Haveat)
Fruits &
Small & Micro F&V  Vivan Foods Pvt. Ltd. (FRIC BERGEN)
18 Vegetable
Processing Units  Shamsons Foods
Processing
 Little Bee Impex
Meat & Poultry  Al-Sami Agro Products Pvt. Ltd.
19 Meat Processing Units
Processing  Al-Hamd Agro Food

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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

# Sub-Sector Categorization of FGDs Companies Participated

 Rustam Foods Pvt. Ltd.
 Meat Product of India (Public Sector - Kerala)
 Suguna Foods Pvt. Ltd.
Meat & Poultry Poultry Processing  CPF (India) Pvt Ltd
20
Processing Units  Skylark Foods Pvt. Ltd.
 Srinivasa Hatcheries Group
 ITC (Aashirvaad)
Staples & Cereals  Poonam Roller Mills
Milling (Grains
21 Milling - Large
& Oilseeds)  Manickchand Roller Flour Mills
Organized Players
 Sahoowala Grains
 Mehrotra Consumer Products Pvt. Ltd.
Staples & Cereals (Organic Tattva)
Milling (Grains
22 Milling - Owner driven,  Shree Balaji Daal Mill
& Oilseeds)
MSME Milling Units  Khandesh Roller Flour Mills Private Limited
 Shakti Flour Mill
 Adani Wilmar (Fortune)
 Marico India (Saffola)
Milling (Grains Oilseeds Milling -
23  Agro Tech Foods Ltd (Sundrop)
& Oilseeds) Large Organized Players
 Kaleesuwari Refinery Private Ltd (Gold
Winner, Cardia Life, Orysa)
 GEF India (Freedom Oil)
Oilseeds Milling -  Gokul Refoils
Milling (Grains
24 Owner driven, MSME
& Oilseeds)  Raj Oil Mills
Milling Units
 Shree Uday Oil & Foods Industries & Others
 Gujarat Tea Processors & Packers Ltd (Wagh
Bakri brand)
Beverages (Tea Large & Medium Tea &
25  AVT Natural Products Limited
& Coffee) Coffee Processing Units
 Madhu Jayanti International
 CCL Products (India) Ltd
 Indus Coffee
Medium, Small &
Beverages (Tea  Asia Tea Enterprises
26 Micro Tea & Coffee
& Coffee)  Goodricke Tea
Processing Units
 Starlon Naturals
Large RTE / RTC  ITC (Kitchens of India, Master Chef, Sunfeast)
RTE / RTC
27 Manufacturers Focusing  MTR
Products
Vegetarian Foods  Nestle

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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

# Sub-Sector Categorization of FGDs Companies Participated

Other Large & Medium  Mother's Recipe (Desai Brothers)
RTE / RTC RTE / RTC
28  Weikfield
Products Manufacturers Focusing
Vegetarian Foods  Tasty Bites

Medium, Small &  Fazlani Exports Pvt. Ltd.

RTE / RTC Micro RTE / RTC  Himalaya foods
29
Products Manufacturers Focusing  Vadilal Group
Vegetarian Foods
 Om Oil & Flour Mills Ltd (Frozit)

Medium, Small &  Hiya Foods

RTE / RTC Micro RTE / RTC  Freshway Foods
30
Products Manufacturers Focusing  Regal Kitchen Foods Limited
Vegetarian Foods
 Nutririte Foods Private Limited
 Innovative Foods Limited (Sumeru)
RTE / RTC Non-Vegetarian RTE /
31  Nilon's
Products RTC Manufacturers
 Gadre Marine Exports
 Patanjali Soya (Ruchi Soya)
Large & Medium Soya
32 Soya Processing  Gujarat Ambuja Exports Ltd.
Processing Units
 Adani Wilmar Ltd.
 Indian Soya Industries Pvt. Ltd.
Small & Micro Soya
33 Soya Processing  Savour India Private Limited (Nutri)
Processing Units
 Khaitan Agro (Khaitan Vegetable Oil)
 Swani Spice Mills
 Akay Spices
34 Spices Large Processing Units  Paras Spices
 MTR Foods
 Desai Brothers Ltd.
 Krishna Dutta Spice
35 Spices MSME Processing Units  Goldiee Masala
 Pravin Masalawale
Large MNC Equipment
Manufacturers Catering  Alfa Laval
Equipment
36 across various Food  Buhler India
Manufacturers
Processing Sub-  Axtel
Sectors
MNC and Indian  Jwala Techno Engineering Private Limited
Companies
Equipment  Neologic Engineers
37 Manufacturing Fruits &
Manufacturers  Rana Machines Pvt Ltd
Vegetable Processing
Equipment  Kala Biotech

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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

# Sub-Sector Categorization of FGDs Companies Participated

MNC and Indian  Arun Rega

Equipment Companies  CS Aerotherm
38
Manufacturers Manufacturing Bread  Apple Bakery Machinery
and Bakery Equipment
 Delight Engineering
MNC and Indian  IDMC Ltd
Equipment Companies
39  Bimal Industries
Manufacturers Manufacturing Dairy
Processing Equipment  Goma Industries
MNC and Indian  Kanchan Metals Pvt Ltd
Companies  RND AUTOMATION PVT. LTD.
Equipment Manufacturing Meat,
40  Foodtech Equipment Company
Manufacturers Poultry, Fish and
Seafood Processing  Aarul Industries
Equipment  Marel India
 Mainland Engineering Pvt. Ltd.
Indian Companies  Lakshmi Industrial Equipment
Manufacturing
Equipment  Shrinath Fabricators
41 Beverages Equipment
Manufacturers  Food And Biotech Engineers India Pvt. Ltd.
(Tea & Coffee
Processing)  SSP Pvt. Ltd.
 Marshall-Fowler Group
MNC and Indian  Suri Engineers
Equipment Companies
42  Pilot Smith India Pvt. Ltd.
Manufacturers Manufacturing Milling
Equipment  Lark Engineering Co. (India) Pvt. Ltd
 Paul Mueller India Packing Solutions (Paul
MNC and Indian Mueller Mekins JV)
Equipment Companies offering
43  Nichrome
Manufacturers Packaging Solutions &
Packaging Equipment  Khosla Machines Pvt. Ltd
 Krones India Pvt Ltd (Krones AG)
MNC and Indian  Economode Food Equipment
Equipment Companies
44  Harshad Food Equipment
Manufacturers Manufacturing RTE &
RTC Equipment  Shrijeta Pack Tech

Large MNC and Indian  Schneider Electric

Equipment Companies offering  Rockwell Automation
45
Manufacturers process automation &  FANUC India Pvt Ltd
IoT solutions
 Yokogawa India Limited

Training Training Institutes

46 Offering skill  Nalanda Educational Society, Guntur
Institutes
development

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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

# Sub-Sector Categorization of FGDs Companies Participated

programs on Food  Darjeeling Tea Research & Management
Processing Association (POST GRADUATE DIPLOMA IN
TEA)
 JM Bakers Academy
 Indian Institute of Food Processing Technology
Formal Education (IIFPT)
Institutes offering B.  Karunya University
Training
47 Tech in Food  College of Fish Nutrition and Food Technology,
Institutes
Technology or Food Chennai
Processing
 University of Agricultural Science (Department
of Food Science), Bangalore
 Aaruthal Foundation
Training Institutes  Ekta Shakti Foundation
Offering skill
Training  Empower Pragati Vocational & Staffing Pvt.
48 development
Institutes Ltd.
programs on Food
Processing  Foresight Edutech Private Limited
 Yashaswi Academy for Skills
 Mahatma Gandhi University (Kottayam) - BCM
College
 Govind Ballabh Pant University of Agriculture
Formal Education and Technology, Pantnagar (College of
Training Institutes offering B. Sc
49 Agriculture)
Institutes in Food Technology or
Food Processing  Calicut University, Calicut (DGM MES Mampad
College)
 M. S. Ramaiah University of Applied Sciences
(MSRUAS)
Formal Education
Institutes offering B.  Jadavpur University
Training
50 Tech in Food  Tamil Nadu Agricultural University
Institutes
Technology or Food  MIT College of Food Technology, Pune
Processing

Table 6: FGDs: By categorization & list of companies who participated

3.5 Discussion with the Subject Matter Experts

Feedback Consulting also onboarded 15 Subject Matter Experts (SMEs) and these SMEs have been
appointed as in-house Expert for the respective sub-sector.

Following points have been discussed with SMEs:

 Current state of the industry and Outlook

 Influence of Technology in the sub-sector
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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

 Current Processing Levels and past trend

 Current challenges faced by the industry players
 Validating Employment details gathered from the primary interviews
 Validating the prominent job roles and associated Skill gaps for the prominent job roles
 Expected growth in processing levels, export etc. over next 10 years
 Infrastructure requirement for the future demand
 Impact of the technology – levels of automation, IOT, etc. on each sub sector
 Employment generation potential and views on new job roles likely to emerge over next
10 years.

SMEs also shared their inputs on the sub-sector, participated in the FGDs to ensure quality of
discussions and shared their inputs during the recommendations stage of the study.

Name of Total Company /

Sub-Sectors Subject Matter Years of Freelance Remarks
Experts Experience Consultants
Mr. Raj Kapoor is founder and
Managing Director of Assocom
Assocom India
India Pvt. Ltd and AIBTM in NCR
Pvt. Ltd.
Delhi. He has been consultant to
Assocom
Bread and USAID, United Nations World
Institute of
Bakery Mr. Rajkapoor 35+ Food Programme. He is also
Bakery
products national resource person of Food
Technology &
Safety Authority of India. He is
Management
editor monthly news magazines
(AIBTM)
Wheat Update, Bakery Update,
Food Update and Soya Update

Innovation In-
Cold Chain Subject Matter Specialist &
Sight & Cold
(incl. Mr. Manjunath 35+ Advisor on Cold Chain, Business
Chain
logistics) Creation & Innovation
Consulting

Mr. Das has experience in

consulting MoFPI, National
Freelance Productivity Council,
Dairy Consultant Department of Animal
Mr. G C Das 40+
Products (Dairy & Food Husbandry & Dairying, etc. He
Processing) also has working experience with
Amul Dairy, Haryana Milk Foods,
etc.
National President of Seafood
Exporters Association of India
Seafood
Fish and (SEAI). Also manage Deepmala
Mr. Jagdish Exporters
seafood 25+ Marine Exports which primarily
Fofandi Association of
processing focuses on exporting marine
India (SEAI)
products located in Veraval,
Gujarat.

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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Name of Total Company /

Sub-Sectors Subject Matter Years of Freelance Remarks
Experts Experience Consultants
Mr. Sumeet has experience in
Freelance
Fruits & companies like Mother Dairy; DS
Mr. Sumeet Consultant
Vegetables 35+ Group; Britannia; Kissan
Kumar Pandey (Food
processing Products and PRIMLAKS Group
Processing)
(Nigeria)
Executive
40+ Years of experience,
Director - All
currently designated as
India Poultry
Meat & Executive Director for All India
Breeders
Poultry Dr. A K Rajput 40+ Poultry Breeders Association and
Association &
Processing looking after all corporate affairs
DGM - Corporate
for Suguna Poultry Limited with
Affairs - Suguna
various Ministries
Poultry

Nearly 40 years of experience in

Milling
Mr. Pankaj Freelance the Cereals & Staples, milling
(Grains & 40+
Moona Advisor sector and, he was the Head of
Oilseeds)
Staples in Adani Wilmar

Darjeeling Tea Operating training institute that

Beverages
Mr. Kaushik Research & offers post graduate diploma
(Tea & 35+
Bhattacharjee Management program on tea management in
Coffee)
Association Darjeeling

Mr. Suryawanshi is the founder

and CEO of his venture Global
Foodtech Consultants working
Ready-to-eat
with various companies /
& Ready-to- Mr. Ramnath Global Foodtech
36+ projects in India, Middle East,
cook Suryawanshi Consultants
and global market. He is also a
products
FoSTac Training Partner and
NLRP FoSTaC. (FSSAI-Food
Safety Training & Certification)
Mr. K.J. Sreeraj has around 30
years of experience and he is
currently associated with Sakthi
Group for their Soya Division as
Soya Mr. K J Sreeraj / Sakthi Soya Vice President for Marketing. He
30+
processing Mr. Siva Kumar (Sakthi Group) has prior experience in
companies like Heinz India, etc.
Mr. Siva Kumar is General
Manager – Operations for Soya
division in Sakthi Group.
Director in Eten Craft focusing on
design and implementation of
Eten Craft sustainability management
Spices Mr. Jainendran 27+
Holdings Pvt Ltd framework, BPR and
development of new business for
Spices, Fruits & Vegetables
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Name of Total Company /

Sub-Sectors Subject Matter Years of Freelance Remarks
Experts Experience Consultants
INDIANFOODS
Innovations ℗
Ltd (IFIPL)
Founder and Managing Director
PIPIP - Pioneers
for Indian Foods Innovations Pvt.
Equipment / Mr. M. Dhinagar in Proven
40+ Ltd and representing WP-Haton
Technology Vel Innovative
in India through sales and
Projects & WP-
service centre
Haton India
Sales & Service
Centre
Mr. Lawrence is a consultant
across various food processing
sub-sectors. He also works with
Mr. Joseph
JM Bakers the Government for skill
Lawrence 40+
Academy development in NE States. Also,
Savarimuthu
Lecturer in CFTRI, Certified
German Baker and runs an
Training
academy in Coimbatore
Institutes
Dr. Prabashanker is a Sr.
International Principal Scientist for Flour
School of Milling Milling Baking and Confectionery
Dr.
32+ & Baking Technology Department. Also, an
Prabashanker
Technology, Associate Professor in Academy
CFTRI, Mysore of Scientific and Innovative
Research (AcSIR)
Table 7: List of Subject Matter Experts (SMEs) : By Sub Sector

3.6 Discussion with Visionaries

Apart from the subject matter experts, Feedback Consulting had also conducted discussion with
various Visionaries / Industry leaders - more than 50 Visionaries / Industry Leaders were
identified to get their long-term vision for their respective sub-sectors.

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

3.7 Current and Future Employment Methodology for the 11 sub-

sectors of interest
a. Methodology for establishing current employment in 11 sub-sectors of FPI in India

Figure 4: Methodology for Establishing Current Employment in 11 sub-sectors of FPI in India

b. Methodology for establishing future of 11 sub – sectors of FPI in India

Figure 5: Methodology for establishing future of 11 sub – sectors of FPI in India

After setting out these key dynamics, the same was used to estimate the employment generation
in the sub-sector over next 10 years. While there would be requirement of additional manpower
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

due to increase in processing capacity, infusion of technology may have a negative impact on the
manpower requirement. Impact of these two contradicting forces were analysed during
estimation of employment potential in the sub-sector.
Along with these steps, Feedback had conducted Focus Group Discussions with Industry Owners,
Directors, Institutes, and Opinion makers etc. to understand the existing skill gaps in each sub-
sector and need for skill development. Based on these findings, necessary recommendations will
be made to MOFPI / FICSI.
c. Methodology for estimating future employment potential by state
The future estimates for potential employment creation by state has been derived by considering
multiple variables that impacts the state and the employability potential across segments within
the state. The approach adopted was a two-step process:

 The first step was to establish the overall rate of growth for each state over the next 10
years. The overall growth rate was arrived by considering factors such as rate of growth
of GSDP for each state, trend in the number of factories, growth in the number of employee
addition and expected investments. The historic data trend was considered for a period
of 10 – 12 years which would balance the cyclic trend if any.

 Each of the variables considered were assigned a weightage to relate their dependency
on the overall projected growth for the state. The final growth rate for the state was
derived using the weighted average formula.

 The second step was then to include the specific segment and its factor of growth on each
of the states. In this case the two important variables which were considered were the
derived growth rate for the state from step 1 and expected growth rate for the segment
over the next 10 years.

 Both these variables were assigned weightage with a higher dependency on segment’s
expected growth rate, which is a function of the growth in output and planned
investments as compared to the growth rate for the state derived from step 1. The overall
growth rate for each of the segments by each state is then established by using the
weighted average formula.
Factors Considered for Recommendations
The recommendations were based on the analysis conducted. The analysis framework for the
Recommendations is shown below in the chart:

Figure 6: Analysis framework for the Final Recommendations to MOFPI

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Chapter 4: Overview of the Indian

Economy
With strong economic fundamentals, continued reform momentum, robust economic growth,
strong fiscal consolidation, low current account deficit, higher agricultural output, growing FDI,
low inflation and higher wages in rural areas, India has emerged as the fastest-growing major
economy in the world according to the Central Statistics Organisation (CSO), India and
International Monetary Fund (IMF). The Gross Domestic Product (GDP) at constant prices in the
year FY 2019-20 grew by 4.2%, while the Gross Value Added (GVA) grew by 3.9% over the
previous year3 for the same period. The share of key sectors in total GVA is Services with 54%,
Agri & Allied Sectors with 14% and Industry with 32%.

India GVA growth (Constant price, base year 2011-12)

150,000 8.0% 8.0% 10%

7.2% 6.6% 3.9%
6.1% 6.0% 8%
100,000 5.4%

133,011
128,031
6%

120,744
113,283
104,919
97,121
85,463

90,636

4%
81,069

50,000
2%
- 0%
2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20

GVA (INR Bn) Growth

Figure 7: India GVA growth (INR Bn)

Source: GoI, Ministry of Statistics and Programme Implementation
India ranked 41 during FY 2019-20 in terms of the Global Competitiveness Index (GCI)
prepared by World Economic Forum, and ranked 63 in Ease of Doing Business Index in the year
2020. This is also reflected in the increased FDI inflows in the country which has gone up by a
CAGR of 16% over the last two decades as shown below:
Total FDI Inflow (USD MN)
74,390

81,722
62,001

90,000
60,974
60,220
55,559

80,000
46,556

45,148
41,873

70,000
37,745

36,046
34,843

34,847

34,298

60,000
22,826

50,000
40,000
8,961

30,000
6,130

6,051
5,035

4,322
4,029

20,000
10,000
0
2000-01 2002-03 2004-05 2006-07 2008-09 2010-11 2012-13 2014-15 2016-17 2018-19 2020-21
(P) (P)

Figure 8: Total FDI Inflow (USD MN)

3 RBI Economic Overview, MOFPI Annual Report

54
Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

India has seen a rise of 10.5% CAGR in the overall Exports in the last two decades. The share of
India's food export in the world was 2.27% in 2019 and the share of India's food imports in the
world was 1.27% in 2019. India's food trade.

India Exports Trends (USD MN)

305,964

300,401

314,416

310,352

303,526

330,078

313,361

291,164
275,852
262,291
350,000

251,136
300,000

185,295

178,751
162,904
250,000

200,000 126,414
103,091
83,536

150,000
63,843
52,719
43,827

100,000

50,000

Figure 9: India Exports Trends (USD MN)

While the future of the economy is robust, structural reforms to increase domestic demand will
accelerate growth over the next 3 years due to strong base effect. According to Moody’s, the
Indian GDP is expected to rebound with a growth of 9.3% in FY 2021-22
Some positive indicators for the Indian economy now:

 PMI manufacturing has gone up to 56. Highest since 2012. Indicates economic expansion
has started.

 Pickup in Agri procurement, fertilizer sales, energy consumption, freight movement,

digital transactions and forex earnings points to green shoots

 FDI in India recorded an inflow of $73.45 billion in FY 2019-20, an increase of 18.5% over
the previous fiscal

 GST Collections in April highest at Rs 1,41,384 Crores - an indication of buoyancy in trade

 Strong resources to manage external debt. Forex reserves at $589 Bn. Amongst top 5 in
the world

 Emphasis on Self sustenance (Atmanirbhar). Selective import substitution has started in

a big way.

 Financial sector clean-up in progress. Bank NPA resolution has been assigned highest
priority

 Start-up ecosystem booming in India with more than 100 unicorns and a combined
valuation of US$ 240 bn

 Increased focus on Digital reach, skill enhancement & inclusive economics

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Chapter 5: Overview of Indian Food

Processing Industry
5.1 Food processing Ecosystem
Food is an inherent factor and a strong backbone of economic growth for any country. India is the
2nd largest producer of food in the world4. The task of ensuring that the food produced reaches
1.35+ Bn Indians is complex and involves many stakeholders. There are 2,450+ APMCs and
4,800+ submarket yards regulated by the respective states in India5. Multiple levels of value
addition activities are undertaken on the agri-produce in a food processing plant, which in turn
produces the packaged and processed food products.
There are 40,162 Registered Food Processing Units (as per Annual Survey of Industries 2017-18)
in India providing employment to 19.33 lakh workforce. Distribution in India involves serving a
large, fragmented base of Kirana shops, there are 14,000+ organized retail outlets concentrated
largely in urban areas and 12 Mn – 14 Mn unorganized retail stores spread over 5,000 towns and
600,000 villages across the country6. Food Processing Industry also has a wide variety of
unregistered units / individuals and Home Enterprises who produce a wide variety of Food
products and operate locally in a region. Unregistered food processing sector supports
employment to 51.11 lakh worker as per the NSSO 73rd Round, 2015-16 and constitutes 14.18%
of employment in the unregistered manufacturing sector.

5.2 Gross Value Addition by Food Processing Industries

During the last 5 years ending 2018-19, Food Processing sector has been growing at a Compound
Annual Growth Rate (CAGR) of around 11.62% as compared to around 3.91% in Agriculture and
8.30% in manufacturing sector at 2011-12 Prices7. The Food Processing sector has also emerged
as an important segment of the Indian economy in terms of its contribution to GDP, employment
and investment. The sector and constitutes as much as 8.98% and 11.11% of GVA8 in the
Manufacturing and Agriculture sector respectively in 2018-19 at 2011-12 prices.

Size of Indian Food Processing Sector (GVA) and % Share in total Manufacturing

3.00 10
8.98
8.71 8.72
2.00 8.34 8.46 9
7.96
2.08
1.91
1.79

1.00
1.61

8
1.30

1.34

0.00 7
2013-14 2014-15 2015-16 2016-17 2017-18 2018-19
GVA (In Rs. Lakh Crore) % Share in Manufacturing
Figure 10: Size of Indian Food Processing Sector (GVA) and % Share in total Manufacturing

4 http://www.fao.org/india/fao-in-india/india-at-a-glance/en/
5 NABARD Annual Report 2014-15
6 https://industrialoutlook.in/process-industry/food-industry-one-of-the-emerging-market-in-india/
7 MoFPI Annual Report 2019-20
8 MoFPI Annual Report 2019-20

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

5.3 Government Initiatives

Food processing sector is seen to have a potential to provide alternate employment opportunities
to rural youth, who are currently dependent on agriculture or moving to urban areas for
employment. Sine a large section of the population is dependent on agriculture and allied sectors,
the income enhancement of such a large section of population is possible only through adding
value in the food chain. Government of India has accorded high priority status to food industry
with an objective to reduce inefficiencies resulting in wastages/ losses by setting up
infrastructure (expect cold storage facilities) and generate huge employment in this sector. Some
key government initiatives and support and discussed in detail below -:

Name of the
Key Details
Scheme
 In February 2020, under the Pradhan Mantri Kisan Sampada Yojana,
the Indian Ministry of Food Processing Industries (MoFPI)
Pradhan Mantri sanctioned 39 mega food parks (MFPs) and 298 integrated cold
Kisan Sampada chain projects across the country
Yojana9  The initiative was introduced to fill the gaps across the value chain
in the country, to facilitate seamless transfer of perishables from
production to consumption areas
 In May 2020, a scheme of INR 100 Bn was announced under the
Atmanirbhar Bharat Abhiyan, for the formalization of micro food
PM Formalisation enterprises.
of Micro food
 In June 2020, the Prime Minister Formalization of Micro Food
processing
Processing Enterprises (PM-FME) scheme was launched as a part of
Enterprises
the Atmanirbhar Bharat Abhiyan11
Scheme (PM FME
Scheme)10  The scheme is expected to create ~900,000 employment
opportunities (skilled and semi-skilled jobs) and generate
investments of around INR 350 Bn
 As a part of Prime Minister’s announcement of Aatmanirbhar Bharat
Production Linked Abhiyan, Government of India approved a new Central Sector
Incentive Scheme Scheme ‘Production Linked Incentive Scheme for Food Processing
for Food Industry’ for implementation during 2021-22 to 2026-27 with an
Processing outlay of Rs. 10,900 crores
Industry
(PLISFPI) 12  Key aim is to increase the export sales in 6 years by INR 27,816 crs.
And employment at the end of year 5 by 2,47,730
 Ministry of Food Processing Industries (MoFPI) has recently
Operation Greens extended the Operation Greens Scheme from Tomato, Onion, and
(TOP to TOTAL)13 Potato (TOP) to all fruits & vegetables (TOTAL) for a period of six
months on pilot basis as part of Aatmanirbhar Bharat Abhiyan

9 https://mofpi.nic.in/Schemes/pradhan-mantri-kisan-sampada-yojana
10 https://www.mofpi.gov.in/pmfme/
11 https://mofpi.nic.in/pmfme/
12 https://pib.gov.in/PressReleasePage.aspx?PRID=1708691
13 MOFPI website

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Name of the
Key Details
Scheme
 The objective of intervention is to protect the growers of fruits and
vegetables from making distress sale due to lockdown and reduce
the post - harvest losses.
 Ministry will provide subsidy @ 50 % of the cost of the following
two components, subject to the cost norms:
o Transportation of eligible crops from surplus production
cluster to consumption centre; and/or
o Hiring of appropriate storage facilities for eligible crops (for
maximum period of 3 months)
 Eligible Entities: Food Processors, FPO/FPC, Co-operative Societies,
Individual farmers, Licensed Commission Agent, Exporters, State
Marketing/Co- operative Federation, Retailers etc. engaged in
processing/ marketing of fruits and vegetables
The objectives of the scheme are as follows:

 To provide sector specific skilled workforce from floor level

workers, operators, packaging, and assembly line workers to quality
control supervisor etc. in the various segments of food processing
Scheme of Human
industries.
Resources and
Institution Skill  To contribute towards achieving the projected skilled human
Development resources requirement as envisaged by National Skill Development
(SHRISD) – Part of Corporation (NSDC) in food processing sector i.e., 17.8 million
Pradhan Mantri persons by the year 2022.
Kisan Sampada
 The Ministry is collaborating with the Food Industry Capacity and
Yojana14
Skill Initiative (FICSI), the sector Skill Council (SSC) in food
processing, for the validation of the Qualification Packs (QPs) for
identified job roles and developing course curriculum for food
processing sector through the National Institute of Food Technology
Entrepreneurship and Management (NIFTEM).

Table 8: Key Government Initiatives for the sector

5.4 Market Drivers and Future Growth

The Government of India has come out with some very strategic initiatives for the development
of the food processing sector, a few a listed below15 -:

 Exempting all the processed food items from the purview of licensing under the industries
(Development and Regulation) Act, 1951.

 100% Foreign Direct Investment (FDI) permitted through automatic route for food
processing sector subject to sectoral regulations

14 https://mofpi.nic.in/Schemes/human-resources-and-institutions/skill-developement
15 MOFPI Annual Report (2019- 20)
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

 100% Foreign Direct Investment, under Government approval route, for trading,
including through e-commerce, in respect of food products manufactured or produced in
India.

 Lower GST for raw and processed product; nearby 80% food products are covered in
lower tax slab of 0%, 5% and 12%.

 Provision of profit linked tax holiday under Section 80 IB, and investment linked
deduction under Section 35 AD of Income Tax Act, 1961.

 Classifying loan to food & agro-based processing units and Cold Chain under agriculture
activities for Priority Sector Lending.

 Cold Chain and Food Parks covered under Harmonised Master List of Infrastructure Sub-
sector

 Incentivizing creation of infrastructure, expansion of Processing Capacity and developing

technology to convert raw produce into value added products

 Setting up of a Special Fund of ₹ 2000 crore in National Bank for Agriculture and Rural

 Development (NABARD) to provide affordable credit for designated Food Parks and agro-
processing units

 Simplifying Application Forms of all the schemes and minimizing requirement of

documents.

 Assisting creation of skill infrastructure in Food Processing Sector and skill development
initiatives through the Sector Skill Council [i.e., Food Industry Capacity and Skill Initiatives
(FICSI)

 A stable and sustainable ecosystem for start-ups in food processing is critical to driving
food innovation and expedite the growth. Innovative products focused on wellness, health
and nutrition are likely to see a huge opportunity in the domestic market.

 MOFPI, through Food Safety and Standards Authority of India has strengthened the food
testing eco-system in India, issuing licenses, creating awareness on food safety and
training for Food Safety supervisors across the country. FSSAI is also responsible for
setting up of Food Safety and Standards across sub sectors
The Indian food processing industry is also well supported by a large number of research
institutions like National Institute of Food Technology, Entrepreneurship and Management
(NIFTEM), Indian Institute of Food Processing Technology (IIFPT), National Dairy Research
Institute (NDRI), Central Food Technological Research Institute (CFTRI), National Research and
Development Center (NRDC) and Central Institute of Fisheries Technology (CIFT), among others,
which in a way is driving the growth of the market.
Demographic changes have played a crucial role, India’s current population is nearly 1.3 billion,
up from 670 million in 1980. The pace of growth is slowing, but the country’s age structure
promises continued gains for some time.
Rising Disposable Incomes that have generated income growth, increased consumer appetites
and discretionary spending. This recreational spending appears promising for manufacturers and

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

service providers, especially in healthcare, hotel, leisure and household goods and service
categories.
Changing lifestyles and the crunch of time is one of the major driving factors of growth that may
continue to shoot facets like urbanization.
According to the National Investment Promotion & Facilitation Agency:

 By 2024, the food processing industry will potentially attract INR 250,000 Cr (USD 33 Bn)
investments

 By 2030, Indian annual household consumption to treble, making India fifth-largest

consumer

 100% FDI is permitted under the automatic route in food processing industries and
through government approval route for trading, including through e-commerce in respect
of food products manufactured or produced in India attracts more investment going
forward.
Food processing industry is developing at a decent pace with the promise of a brighter future
that is propelled by the ever-increasing scope in the market. The huge amount of produce
(Raw Materials) and scope of increasing it by making technology invade the far reaches of the
country, this would mean tremendous opportunity for the industry

5.5 Factors impacting Food Processing Sector and Skill Development

The key factors impacting the rise in the Food Processing Sector are as given below:

 Changing demographics and rise of disposable income among Indians

 Increasing urbanisation and changing lifestyles

 Increased spending on Food Products

 Demand for Functional Foods / Nutraceuticals Food

 Increasing awareness and spending on Health

 Growth of Organised retail and Private Labels Penetration

 Quality Standards and Monitoring

 Internet has opened up borders and the global food cuisines are now available in India

 Introduction of new Manufacturing Technologies and Automation in the FP sector

These factors are all interlinked with each other and ultimately leads to the following outcomes

 Need for and increased availability of ‘Quality’ food products now more than ever in the
country

 Branding of Food products has been taken to a next level and FP account for a major chunk
of branding business in India

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

 Investments in modern food manufacturing has increased and most new projects are with
new age manufacturing process

 New varieties of Food products are introduced on a daily basis - increased need for Food
Products Development Technologists and Scientists

 Increased need for Food Products testing and certifications have increased and thus need
for Labs and associated personnel

 Need for healthier food options and desire to eat healthy foods has led to a major need for
Packed Foods and Branded Packed Foods, even in some unheard sectors like Meat
Products and Marine Products in India.

 Increased spend on Packaging and new Packaging techniques and solutions by

manufacturers to differentiate in the market, increase food safety and life of products.
All these outcomes point to the fact, that the Food Processing Sector is indeed changing fast and
there is a constant need to upskill existing Food sector employees and also bring in new skill
development initiatives in the sector.

5.6 Structural changes in labor employed in the Food Processing

sector
Food Processing Industry is one of the major employment intensive segments constituting
12.38%16 (at 3-digit of NIC classification) of employment generated in all Registered Factory
sector in 2017-18. According to the latest Annual Survey of Industries (ASI) for 2017-18, the total
number of persons engaged in registered food processing sector was 19.33 lakhs17. In terms of
the number of units manufacturing food processing products, the Annual Survey of Industries
publishes the Registered FPI Units data, and as per the 2017-18 survey, it was estimated to be
around 40,162 Units in Food Processing Industry. Food Processing Industry also has a wide
variety of unregistered units / individuals and Home Enterprises who produce a wide variety of
Food products and operate locally in a region. Unregistered food processing sector supports
employment to 51.11 lakh worker as per the NSSO 73rd Round, 2015-16 and constitutes 14.18%
of employment in the unregistered manufacturing sector.
The employees in the Registered Food Processing Sector grew from 16.62 Lakh in 2010-11 to
19.33 Lakhs in 2017-18 as shown below:

Persons Engaged in the Registered FPI Sector (in Lakhs)

20 19.33
18.54
19
17.72 17.41 17.73 17.65
18 16.89
16.62
17
16
15
2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18

Figure 11: Persons Engaged in the Registered FPI Sector (in Lakhs)

16 ASI 2017-18 data

17 ASI 2017-18 data
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Source: MOFPI Annual Report

Distribution of workers/ labour force in Food Processing Sector
The Food Processing Sector has a vast spread of Unregistered Units in the unorganised segments
primarily as Household enterprises, single / few persons enterprises who operate in the local
markets in various Food processing sectors such as Bakery, Processed Foods / Packed Foods /
Dairy / Meat Processing / Beverages etc.
Informality/ Formality of labour force in Food Processing Sector and reasons thereof
Industry growth along with demand for quality standards and technology adoption in
manufacturing are driving the need for fresh skilling and up-skilling in the sector
1. Predominantly concentrated by unorganised players, contractual or informal employees
are recruited in high number as compared to other sub-sectors. For sub sector like fruits
and vegetables, seasonality plays a big role in peak-time employment. However, these
roles are contractual for jobs, such as packers and loaders. The employers in this
subsector almost double their contract labourers during the peak season.
2. There is no homogeneity on the levels of education of the workforce; however, one can
say that process operators are higher secondary or below and this forms the bulk of
hiring. Workers and operators are hired locally from nearby areas where the plant is
situated. Word of mouth and employee referrals or region-specific employment
newsletters play a big role in hiring at this level.
3. The unskilled and low-skilled workers are at the margins. The government must focus
on creating employment opportunities, perhaps through increasing the pace of skills
and training to the workforce. Incentives should also be given to firms engaged in
subcontracting with the unorganised micro and small establishments for raw material
or intermediate products.
Existence of in formalisation of labour force in organised Food Processing sector
On account of the above reasons, there is an increased trend towards formalisation of the sector
albeit at a slow pace. The Government of India through Ministry of Food Processing has
introduced a new scheme called as PM Formalisation of Micro food processing Enterprises
Scheme (PM FME Scheme) towards formalising this important part of the Food Sector.
A higher employability in the unorganised enterprises may be explained by the fact that food
processing is a traditional sector that has strong backward linkages with agriculture. Most of
the establishments are engaged in primary processing of wheat, paddy, oilseeds and spices
and significantly contribute towards self-employment and labour absorption.
While, the schemes is a step in the right direction. However, the major concern remains with
respect to the perceived impact of the scheme on generating large scale employment. A
sluggish growth in employment is explained by a steady fall in labour intensity.
The real challenge, therefore is to accelerate employment, which is possible only if structural
issues responsible for declining labour intensity are addressed. Increasing automation and
mechanisation of production and rising wage to rental price of capital have badly hit demand
for labour.

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

5.7 Impact of Covid-19 on the Food Processing sector

During the recent pandemic, the overall impact on the food processing industry was low
compared to other Industries mainly due to its classification as essentials during covid times.
The food processing industry has been impacted in a selective manner, affecting select sectors
like meat & marine segments negatively, as against packaged food (RTE/RTC) packaged atta,
processed fruits and vegetables, frozen foods etc. that witnessed a positive impact. While
consumers spent more time at home, the acceptability of processed food products increased and
products which were positioned as hygienic and long shelf life gained significant prominence. At
the same time the closure of HORECA segment impacted the institutional procurement of
processed food. Experts believe this to be around 15 – 18% of the industry.
The pandemic has given rise to a new normal with sustainable food chains, growing preference
for healthy food, localized food supply and changing food habits.

● Food Safety & Sanitation - In the post Covid-19 era, there is expected to be higher
demand for measures on Sanitation by major economies to ensure food safety against
transmitted chemicals and diseases.
● Shift towards organic and healthy food - Demand for healthy/ organic food and related
products has gained momentum during the pandemic and is likely to increase
significantly. Further, adoption of traceability in food products is likely to witness a steep
rise.
● Food security - Adoption of technologies such as Artificial Intelligence (AI) and Big Data
to find place towards food security issues – from farm handling, post-harvest, storage, and
transportation processes is likely to gain traction in future.
The Indian food processing industry holds tremendous growth potential and has gained further
traction due to the pandemic. Going forward, the industry is expected to adopt methods and
processes, considering the opportunities created in both domestic and export markets.
Domestic demand has increased, not only from Urban cities, but Tier II & III cities and Rural areas
as well.
● Health foods, snacks and RTE segments are likely to drive demand. Hotels & Restaurants
will play a critical role as it recovers from the Pandemic. E-commerce is another element,
enabling this reach to consumers at their doorstep.
● The industry is expected to move towards consolidation with the share of organized
players to increase over the next 10 years. PM FME Scheme has been launched with the
aim of this goal.

● Greater acceptance of regional players with better sustainability and moving towards
increasing footsteps at national level.
Increased Exports opportunities:
● In the post Covid-19 era, India has an opportunity to become the food hub of the world
and increase its share in exports. There is significant potential for enhancing exports from
India to the top 10 global food markets, especially where it has limited presence. Major
segments of export potential include meat & marine and dairy.
● An urgent need to develop scale, quality & cost-effective export capabilities meeting
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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

global certification requirements so that the industry is competitive.

● Government of India can support the exporters by negotiating Free Trade Agreements,
lowering Non-Tariff Barriers, and expediting implementation of Remission of Duties and
Taxes on Exported Products schemes.

Need felt to improve infrastructure and existing Processing capacity:

● Opportunities in domestic and international markets in the post Covid-19 era require that
the processing capacities in the food processing industry be enhanced significantly at all
levels of the value chain.
● Production Linked Scheme (PLI) Scheme is likely to encourage players in food processing
industry to enhance their processing capacities and meet the demand for rising
challenges. There is a huge potential for complimentary industries such as food
ingredients, food processing equipment, food logistics and food packaging.
● To enhance competitiveness and meet the hygiene needs at a scale, the players, especially
MSMEs, will require high quality testing and certification infrastructure.

Online Learning has got a huge boost with Covid and could effectively be used to address a
large and wide spread industry as Food Processing:
● The Pandemic has bought in a new set of rules of social distancing and effective
sanitization. The Government of India has been very active in promoting these measures.
There is a need to bring in these measures more effectively in a “Factory / Shop Floor”
environment and most MSME firms in FP sector needs to be trained and educated on these
measures.
● One of the great innovations the world has seen during the pandemic year was the
effectiveness of online modes of interaction and teaching, starting from a Junior School
High School, Colleges to large Corporates. Most segment of the Society has learnt the
power using Social Media and Online mediums for learning.

● FP sector being such a wide and spread out sector with clusters in every part of the
country could benefit from this Pandemic and use the Online / Mobile Learning Apps as
medium for skill enhancements and could effectively provide a wide range of skills
training through this mechanism.
● The Government of India, through the Institutions involved in enhancing Skills in FP
sector needs to invest in such mediums and come out with a new Skill enhancement
programs and solutions.
● Need to involve a series of new start-ups and Industry Veterans who can help in creating
such Skilling ecosystem for the Sector.

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Chapter 6: Sub-Sectoral Analysis –

Bread & Bakery Products
6.1 Market summary
Bread & Bakery is one of the largest segments in the food processing sector in India and offers
huge opportunities for growth, innovation, and job generation. The market consists of retail sales
of baking ingredients, baking mixes, bread & rolls, cakes, pastries & sweet pies, sweet biscuits,
dough products, energy bars, morning goods and savoury biscuits. The Indian bakery & bread
market has experienced strong value and volume growth in recent years. Besides daily household
consumption, growth in the fast-food chains as well as introduction of value-added bakery
products is giving an impetus to the market growth. The growth of the organised sector is set to
increase to approx. 70% by FY'30. This is because large companies are spending on R&D,
launching premium products and cakes, improving on their market reach and distribution, trying
to understand the needs of the youth, and venturing into new categories. Availability of better
ingredients such as chocolate, toppings, fillings, flavours and demand for organic products like
flours made from buckwheat, quinoa, millet, amaranth, flax, corn, rice, sorghum, wild rice, and
other non-wheat grains has helped many companies to produce international quality products.
The Indian bakery market is being driven by the growing demand for biscuits and cookies. Due
to growing population and urbanization, Indian bread and bakery industry likely to experience
healthy growth in the coming years. With the increasing consumer demand for new and healthy
food options, the industry is further experiencing fortification of bakery products to satiate the
appetite of the health-conscious people. The growing penetration of bakery chains is further
triggering the growth of the industry in India.

Key Industry Indicators Details

Overall Market (‘000 MT) (FY’20) 3,675
No. of registered units 1,996
Past Growth rate (CAGR) (FY’ 15 – FY’ 20) 7.6%
Total Number of Employees (FY’ 20) 1,35,233 nos.
Overall Exports (FY’20) INR 2,433 Crs.
Expected Market (‘000 MT) (FY’ 30) 8,750

Future growth rate (FY’ 20 – FY’ 30) 9.1%

Total Employee Estimation (FY’ 30) 3,21,983 nos.
Overall Employment Additions (FY’ 20 – FY’ 30) 1,86,750 nos.

Table 9: Bread & Bakery : Key Industry Indicators

6.2 Present State of the Industry & Future Outlook

Bread and Bakery segment is one of the largest segments in the food processing sector in India
and offers huge opportunities for growth, innovation, and job generation.

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

As the second largest producer of biscuits after USA, India is a key player internationally, and with
the entrepreneurial spirit of Indian companies and individuals it is one of the most exciting
regions for the bakery sector.
As breads and biscuits are fast-moving consumer goods (FMCG), they are consumed on a daily
basis by the consumers which increases the sales of these products in India. In addition to this,
growth in the fast-food chains further stimulates the demand for breads as they are used in
sandwiches, burgers, soups, snacks, etc.
The bread & bakery market consists of retail sales of baking ingredients, baking mixes, bread &
rolls, cakes, pastries & sweet pies, sweet biscuits, dough products, energy bars, morning goods
and savory biscuits. The Indian bakery & bread market has experienced strong value growth and
volume growth in recent years.
Moreover, introduction of value-added bakery products is giving an impetus to the market
growth. Apart from this, busy lifestyles, changing eating habits and western influence has
reflected in a strong demand for bakery products in India.
Britannia is the leading company in the market, holding the largest market share in 2019. Parle
Products Pvt Ltd and ITC Limited also have a strong presence in the country, accounting for the
second and third largest value shares in the same year.
Artisanal producers - i.e., small/independent bakeries that produce their own products for sale
(usually onsite) - hold a significant position in the market.
There are around 1,996 bread and bakery producers in the organized sector. The organised
bakery segment of the country produces nearly 3.6 MMT of bread and bakery products. The
increasing production can be presented based on the development of traditional products, and
the expanding range of non-traditional varieties. Besides, market-system shows that the products
are more competitive and more profitable in recent times.

Value chain of Bread and Bakery market in India

Industrial
customers
Raw Material
Wholesalers Food service
Suppliers
Operators
Manufacturers
Bakeries
Premix Material
Bulk Retailer
Suppliers Retail shelf
serve bulk

Retail pre-
packaged

Vending
machines

Figure 12: Value chain of Bread and Bakery market in India

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Manufacturing Clusters
Southern India dominates the market for biscuits & cookies segment while the bakeries segment
spread across regions

Delhi
Uttar
Pradesh

Gujarat West Bengal

Maharashtra
Telangana

Andhra Pradesh

Karnataka

Kerala
Tamil Nadu

Figure 13: Manufacturing Clusters

Top 10 states account to 84% of total employment in the bread & bakery industry
Market Overview

Bread & Bakery Market Trend in India (Volume in ‘000 MT)

3,675
3,435
3,210
2,938
2,502 2,714
2,301

FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20

Figure 14: Bread & Bakery Market Trend in India (Volume in ‘000 MT)
Source: AIBMA; Feedback BoK
Product segment includes of Cookies, Savory Biscuits, Break & Rolls, Cakes, Pastries, Sweet pies,
Breakfast cereals and morning goods among others

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Exports of overall Bread & Bakery Products under the 4 digit HS Code 1905 (Rs. Cr)

Exports Trends of Bread & Bakery Products (HS Code 1905)

2,500 2,433 14%

13% 2,425
11% 12%
2,400
2,302 10%
2,300 2,268
8%
7%
2,200 6%

2,100 2,071 4%
2%
2,000
0% 0%
1,900 -1% -2%
1,800 -4%
FY'16 FY'17 FY'18 FY'19 FY'20

Total Exports (Rs. Cr) YoY Growth in %

Figure 15: Exports Trends of Bread & Bakery Products

Source: Ministry of Commerce & Industry (Tradestat)

6.3 Present Employment Scenario & Analysis

Category of the Companies by Revenue

Definition
Category of the
(Annual Remarks
Company
Revenue Range)
Micro enterprises are primarily small-scale
manufacturer or Artisan Baker (industrial
Micro Enterprises < Rs 5 Cr
manufacturers) baking a wide variety of breads,
cakes and other bakery products from scratch

Small enterprises would typically bake wide

Small Enterprises RS 5.1 – 50 Cr range of bread and bakery products focusing
specific region

Medium-Sized Enterprises predominantly have

Medium Enterprises Rs 50.1 – 250 Cr multiple region presence focusing across
product categories.

Large Sized Enterprises are organized players

Large Enterprises > Rs 250 Cr focusing multiple products within bread and
bakery sector

Table 10: Category of the Companies: By Revenue

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6.3.1 Sample Coverage by Categories of Companies & Region

The detailed primary research exercise undertaken by Feedback Consulting for this report
involved meeting over 412 companies across India and across category of players.
>80% of these companies were Micro and Small Enterprises and 63% of these companies are
clustered in Southern and Western region.

Category of the Sample

East North West South
Company Coverage (N)

Micro
197 18% 22% 24% 36%
Enterprises

Small
138 19% 12% 39% 30%
Enterprises

Medium
67 27% 9% 42% 22%
Enterprises

Large
10 20% 40% 20% 20%
Enterprises

Total 412 20% 17% 32% 31%

Table 11: Sample Coverage by Categories of Companies & Region

6.3.2 Total No. of Employees
Past Trend of employment in the organized Bread & Bakery Industry

135,233
118,118 126,386
99,867 108,116
84,669 92,051

FY'14 FY'15 FY'16 FY'17 FY'18 FY'19 FY'20

Total No. of Employees

Figure 16: Past Trend of employment in the organized Bread & Bakery Industry
Source: Feedback Analysis

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Share of Employees (FY’20): Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 1,35,233) (Base: 1,35,233)
Top
Manage
ment
10%
Operator-Level
Employees
Permanent 71% Middle
Contractual 38% Manage
62% ment
5%
Lower
Management /
supervisory
14%

Share of Operator-Level Employees Share of Permanent Employees by Education

(Base: 96,015) (Base: 51,389)

PG
Helpers, 4%
Pre-Processing Baking
Production Preparation
Cleaning Less than
Support & 15%
9% Schooling
Others UG
28% 48% 14%

Baking Diploma /
Loader / ITI
Unloader Equipment
Operators 3%
8%
17%
Supervisor Schooling Vocational
8% Packer
29% Training
15%
2%

Figure 17: Share of Employees (FY’20) : By Different Category

Share by NSQF (Base=135,233 Employees)

Level 7 (Sr Mgmt)
10%

Level 5&6 (Low + mid

Level 2&3
Mgmt)
43%
24%

Level 4 (Operator/
Supervisor)
23%

Figure 18: Share of Employees (FY’20) : By NSQF levels

Source: Feedback Analysis

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State wise Employees in the industry (Base: 135,233 Employees)

Maharashtra 21,637
Tamil Nadu 16,904
Karnataka 16,228
Kerala 13,523
Uttar Pradesh 13,523
Gujarat 7,303
Andhra Pradesh 6,762
Telangana 6,762
West Bengal 6,762
Delhi 4,057
Punjab 3,516
Madhya Pradesh 3,110
Haryana 2,705
Rajasthan 2,299
Uttarakhand 2,299
Others 7,844

Figure 19: State wise Employees in the Industry (FY’20)

Source: Feedback Analysis

Top 15 states account to 94% of total employment in the industry

Current Key Job Roles & Responsibilities (at Operator-level employees’ category)

Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles
No. Responsibilities Level Micro Small Medium Large
The pre-processing work
includes primarily grinding
Pre-
flours; grading and sorting
1 Processing 3    
nuts and other ingredients;
Labourers
filtering or cleaning flours,
etc.
Mixing technician prepares
different types of dough used
in making baked products by
Mixing
2 using various methods such 4  
Technician
as weighing, mixing,
kneading, fermenting and
relevant responsibilities

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Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles
No. Responsibilities Level Micro Small Medium Large
Production Specialist
produces biscuits, breads,
and other baked products in
the production unit by
Production weighing, mixing, kneading,
3 4    
Specialist rolling/sheeting, cutting,
moulding, baking, cooling, etc.
either manually or using
machineries. This job role is
specific to large enterprises
This job role is applicable for
micro, small & medium units
where the Baker produces
Baker baked products (breads,
(Craft puffs, cookies, cakes/
4 Baker or pastries, desserts, specialty 4   
Plant baked products, etc.) by
Baker) measuring raw materials and
ingredients, mixing, kneading,
fermenting, shaping, and
baking
Baking Responsible for baking of
5 4  
Technician products
Machine
Operator
Operating machine and also
6 (Oven / 4  
for maintenance of machines
Packing
Machinery)
Monitoring overall operation
Shift
7 and managing manpower 5    
Supervisor
across functions
Misc. work including cleaning
8 Helpers plants, Machinery after every 3    
batch, etc.
Loader / Material handling, Loading &
9 3    
Unloader Unloading products.
Accountant Managing accounting and day
10 / Invoicing to day transaction entry in 4   
Clerk the ledger
Sales and Sales Executives /
11 Distribution Distribution to the Channel 4  
Support Partners
Table 12: Current Key Job Roles & Responsibilities (at Operator-level employees’ category)

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6.3.3 Past Growth of Employees (FY’17 – FY’20)

48%
 <15% of the enterprises have
experienced degrowth in their
manpower in the past 3 years.

23%
 48% have indicated that their
15%
manpower has grown marginally
11% (up to 5%).
3%
0%  35 – 40% experienced the growth
>-10% -5 to -10% -5% to 0% 0.1 to 5% 5.1 - 10% > 10%
on >5% in the past 3 years

Figure 20: Past Growth of Employees (FY’17 – FY’20)

6.3.4 Future Plans of the Companies and its Impact on the Manpower Growth
Future Plans of the Companies covered

Micro Small Medium Large

Plans

Planning to invest in Internet of Things

59% 67% 21% 100%
(IoT) or Automation

Plan to invest on new equipment 50% 51% 24% 100%

Plan to enhance the production capacity 73% 64% 22% 100%

Plans to launch new products 52% 38% 25% 100%

Plans to increase exports 4% 2% 18% 100%

Plans to invest on R&D 1% 8% 7% 60%

Table 13: Future plans of companies covered

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Manpower Recruitment Plan, Considering the Future Operational Expansion Plans

61%
Considering the future
expansion plans of enterprises,
47% it is expected that the manpower
is likely to increase by
32%
 2% – 3% in next 3 & 5 years
21% 20% 18% (Average)

3 Years 5 Years

No Change in Manpower 0.1% - 5% 5.1% - 10%

Figure 21: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
Source: Feedback Analysis

6.4 Recruitment & Training Practice

Recruitment Practice
Walk-in is the key source of recruiting candidates across Operational level and Lower-level
employees. Following are the key institutes encountered during our survey from where the
candidates / employees have got trained or graduated before joining the enterprises.

Key Institutes Encountered (Graduated Institutes of the Current

Managerial Level
Employees)
 Formal training institutes offering food technology / food science
Top Management
programs
 Formal training institutes offering food technology / food science
Middle Management
programs
 Regional training institutes (Craft Baker or Plant Baker)
Lower-Level
Management  Most of them are either secondary or higher secondary education
(Schooling) or less than secondary schooling
Operator Level  No specific Institutes. As most of them are either secondary or higher
Employees secondary education (Schooling) or less than secondary schooling

Table 14: Recruitment Practice

Training Practice
Overall ~35% of the companies we have covered as part of the sample are providing training
across levels when an employee joins the firm (On-the-Job training).
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% of Companies offering training

67%
76% 76%
84%
100%

33%
24% 24%
16%

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Offers Training Doesn't Offer Training

Figure 22: % of Companies offering training

Source: Feedback Analysis
Major Training Topics Covered (Encountered in Primary Interviews)
Enterprises

Enterprises

Enterprises

Enterprises
Functional

Medium
Training
Micro

Large
Small
Remarks Focus / Job
Topics
Roles

Proper filtering or
Pre-
cleaning the flour; Operator Level
Processing    
Sorting; grading the Employees
Operations
raw materials

Most of the
companies do have Operator Level
unique ingredient mix Employees;
Mixing / different ratio mix. Lower-Level
   
Techniques Training on those Employees;
mixes by products Supervisors /
becomes mandatory Managers
for all employees

Operator Level
Baking techniques;
Employees &
Baking operating machines;    
Lower-Level
etc.
Employees
Training to detail the
Operations overall operations, Supervisors /
 
Management manpower allocation, Managers
inspection, etc.

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Enterprises

Enterprises

Enterprises

Enterprises
Functional

Medium
Training

Micro

Large
Small
Remarks Focus / Job
Topics
Roles

Appropriate packing
Supervision
methods, latest
of product Supervisors /
technology,  
handling Managers
equipment
activities
operations, etc.
Operator Level
Employees &
Maintenance checklist
Lower-Level
Plant for equipment
Employees 
Maintenance (processing and
(Technicians /
packing)
Machine
Operators)

Hygienic way of
handling products
while packing and
Packing 
also the knowledge on
SKUs by product
portfolio

Table 15: Major Training Topics Covered

Effectiveness of Training
(Mean score On a Scale of 1 - 7 where 7 is extremely satisfied and 1 is extremely dissatisfied)

5.32 5.11
4.69
4.12 4.23

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Figure 23: Effectiveness of Training

Source: Feedback Analysis

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6.5 Challenges related to Skill Availability Vs Skill Gaps

Skill Acquisition Challenges
Limited Skilled / Semi Skilled Employees Available

 Skilled workers in this industry are very limited. Support from academic institutions is
not in line with the industry expectations.

 New equipment, automation, etc. are going on one side where the trained workers
availability becomes challenge on another end.

 The sector is very unorganized and every unorganized sector comes with its own set of
challenges like employment is subject to high degree of insecurity.
Poor Knowledge on Sourcing Trained Labour

 Small and Micro units depend on walk-ins or known contacts for unskilled or semi-skilled
labours. The primary reason for the same is limited awareness of the training institutes
in the vicinity that offers programs on craft bakery or plant baker and other relevant
programs
Skill Gaps by Specific Job Roles
Following are the select key job roles and their required skills and skill gaps

Managerial Skill Gaps by type of Enterprises

Job Roles Level & Skills Required Skill Gaps
NSQF Micro Small Medium Large

 Equipment
operations
(across
functions)  Understanding and
adaptation to newer
 Managerial Skills technologies
Mid  Technical Know-  Lack of knowledge
Plant how across
Management on equipment
Manager / functions maintenance and    
Production
 Leadership Skills operations
Manager
NSQF: 6
 Training  Ability to work with
manpower at the both the processing
lower level or and packaging
operator level equipment

 Production
planning

Mid  Monitoring the

Management Raw Materials  Unable to maintain
Quality quality the similar quality    
Control
 Ingredient’s across batches
NSQF: 5 quality check

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Managerial Skill Gaps by type of Enterprises

Job Roles Level & Skills Required Skill Gaps
NSQF Micro Small Medium Large

 Assessing the
quality for the
finished products
 Overseeing
operations
Lower-Level including  Best practices w.r.t
Shift Management material material handling
Supervisor / handling across to reduce wastage    
Supervisor functions during material
NSQF: 5  Equipment handling
operations and
maintenance
 Knowledge on
Lower-Level latest equipment
Management and the old
Maintenance equipment  Lack of update in
 
Officer (primarily for technology
NSQF: 5 maintenance)
 Domain Skills

Operator  Inability to learn

Level and operate across
Loading / functions
Employees  Materials
Unloading   
Handling  Lack of knowledge
Labors
on wastage
NSQF: 3 handling
 Understanding
the job roles in  Sanitation and
Operator various Hygienic awareness
Level interlinked and
Employees functions knowledge/practice
Helpers  
 Materials  Inability to learn
Handling and operate across
NSQF: 3
 Production functions
support

Table 16: Key job roles and their required skills and skill gaps

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6.6 Future Projection – Sector & Employment

Projected growth in Bread and Bakery products production in India
Based on all discussions conducted with the Visionaries and Industry experts, Indian bread and
bakery production likely to reach approx. 8.75 Mn MT by FY'30. This indicates CAGR of approx.
9.1%.
Reasons for such growth are the followings:

 The Indian bakery market is being driven by the growing demand for biscuits and cookies.
Due to growing population and urbanization, Indian bread and bakery industry likely to
experience healthy growth in the coming years.

 With the increasing consumer demand for new and healthy food options, the industry is
further experiencing fortification of bakery products to satiate the appetite of the health-
conscious people.
o The launch of healthy products in the bakery segment is increasing and is gaining
popularity at a high rate.
o The growing penetration of bakery chains is further triggering the growth of the
industry in India.

 Bakery products like bread and biscuits are quite popular among millennials due to their
convenient and affordable nature. Further, the growing use of online platforms in India is
enhancing the 'click and collect' trend, with millennials ordering baked goods online.
o This still is an untapped market in India and is expected to create huge revolution
in the future, thus, aiding the Indian bakery market further.

Future Market & Growth Rate of Bread & Bakery Segment

10,000 14.0%
9,000 11.5%
10.8% 10.5% 12.0%
8,000 9.7%
8.7% 6.9% 8.9% 8.4% 10.0%
7,000 7.9%
6,000 7.0% 7.4%
8.0%
5,000 8,750
4,000 8,073 6.0%
6,767 7,303
3,000 5,568 6,110 4.0%
4,650 5,184
2,000 3,675 3,996 4,270
2.0%
1,000
0 0.0%
FY'20 FY'21 FY'22 FY'23 FY'24 FY'25 FY'26 FY'27 FY'28 FY'29 FY'30
(E) (E) (E) (E) (E) (E) (E) (E) (E) (E)

Volume in '000 MT Growth

Figure 24: Future Market & Growth Rate of Bread & Bakery Segment
Source: Interactions with SMEs & Visionaries

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Processing capacity and investment required in the sector

Parameter Unit Values

FY'20 Production '000 MT 3,675

FY'30 Production (E) '000 MT 8,750

Increase in production between FY'20 &
'000 MT 5,075
FY'30
Considering 80% capacity utilization,
'000 MT 6,344
additional processing capacity required

Investment norm* Rs. / MT 75,000

Total Investment required Rs. Cr. 47,578

Table 17: Processing capacity and investment required in the sector

*Source: Discussion with Plant & Equipment Manufacturers & SMEs
There are well noted investments in Bread & Bakery and associated segments. Below mentioned
projects are either in announced stage or already under implementation. Apart from the below
mentioned key projects, UK-based yeast and bakery ingredients maker AB Mauri is planning to
invest more than Rs. 400 Cr. in a greenfield project in Uttar Pradesh. At the same time, Britannia
Industries had also evinced interest to invest Rs. 300 Cr. in a greenfield plant in UP.
Select ongoing and upcoming projects in the Bread & Bakery products sector

Company Project Cost (Rs.

SL # Project Name Project Type
Name Location Cr.)

Khurda Food
Khurda,
1 I T C Ltd. Processing Park New Unit 675
Odisha
Project

Britannia Confectionary
Kolkata,
2 Industries Products (Uttar New Unit 300
West Bengal
Ltd. Pradesh) Project

Britannia Biscuits
Kolkata, Capacity
3 Industries (Gangaikondan) 250
West Bengal Expansion
Ltd. Project - Expansion

Frisco
Bakery Products
4 Overseas Pvt. Delhi New Unit 200
(Mohana) Project
Ltd.

Khurda Biscuit
Surya Foods Khurda,
5 Manufacturing Plant New Unit 109
& Agro Ltd. Odisha
Project

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Company Project Cost (Rs.

SL # Project Name Project Type
Name Location Cr.)

Britannia Bakery Products

Kolkata, Capacity
6 Industries (Khurda) Project - 94
West Bengal Expansion
Ltd. Expansion

Britannia
Odisha Bakery Plant
7 Industries Odisha New Unit 94
Expansion Project
Ltd.

Jubilant Dough Balls Gautam Budh

8 FoodWorks (Adinarayanahoshalli) Nagar, Uttar New Unit 90
Ltd. Project Pradesh

Mrs. Bector's
Food Biscuits (Rajpura) Ludhiana, Capacity
9 41
Specialities Project - Expansion Punjab Expansion
Ltd.

Table 18: Select ongoing and upcoming projects in the Bread & Bakery sector
Source: CMIE & Projects Today
FY'20 employment estimation in Bread and Bakery products industry in India

FY'20 Total
Annual
Average No. of
Company Production Production Production/
no. of Employees in
Category Share* ('000 MT) Employee
Employees Bread &
(MT)
Bakery Sector
Large
Enterprises 800 36,800 30% 1,103 30.0
Medium
Enterprises 150 41,550 29% 1,066 25.6
Small
Enterprises 50 37,500 26% 956 25.5
Micro
Enterprises 21 19,383 15% 551 28.4

Total 135,233 100% 3,675 27.2

Table 19: FY'20 employment estimation in Bread and Bakery products industry in India
*Source: Discussion with the Bread & Bakery Manufacturers, Associations & SMEs
Note: LMS classification has been made based on overall revenue of the companies. Large companies: > Rs.
250 Cr., Medium: Rs. 50 - 250 Cr., Small: Rs. 5 - 50 Cr. and Micro: <Rs. 5 Cr.

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Future employment projection in Bread & Bakery products industry in India

Annual FY'20 - FY'30

FY'30 FY'30 Total
Company FY'30 share in Production/ Employment
Production Employee
Category Production* Employee Generation
('000 MT) Estimation
(MT)# potential
Large
30% 2,625 30.0 87,619 50,819
Enterprises
Medium
29% 2,538 25.6 98,929 57,379
Enterprises
Small
26% 2,275 25.5 89,286 51,786
Enterprises
Micro
15% 1,313 28.4 46,150 26,767
Enterprises
Total 8,750 321,983 186,750

Table 20: Future employment projection in Bread & Bakery products industry in India
* As per discussion with the Bread & Bakery Manufacturers and SMEs, contribution of various types of
companies in the Bread & Bakery products industry will remain same over next 10 years.

# Based on discussions with equipment manufacturers and SMEs, there could be marginal adoption of
automation / industry 4.0 in the coming years. However, that will have negligible impact on the productivity
of the employees. Hence, the same productivity values have been considered for future employment generation
potential.

Share of FY'20 - FY'30 Employment Generation potential Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 1,86,750) (Base: 1,86,750)
Top
Managem
ent
10%
Operator-Level
Employees
70% Middle
Contractual Permanent Managem
60% 40% ent
5%

Lower
Management /
supervisory
15%

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Share of Operator-Level Employees Share of Permanent Employees by

(Base: 1,30,725) Education (Base: 74,700)

PG
Helpers,
5%
Production Less than
Pre-Processing Baking
Support & Schooling
Cleaning Preparation
Others 45%
8% 18%
25%
UG
Loader / 15%
Unloader
8%
Diploma /
Baking ITI
Equipment 5%
Operators
Supervisor 20% Schooling Vocational
7% Packer 25% Training
14% 5%

Figure 25: Share of FY'20 - FY'30 Employment Generation potential : By Different Category

Share by NSQF (Base=186,750 Employees)

Level 7 (Sr Mgmt)

10%

Level 2&3
Level 5&6 (Low + 38%
mid Mgmt)
26%

Level 4 (Operator/
Supervisor)
26%

Figure 26: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels
Source: Feedback Analysis

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State wise Employment Generation Potential (Base: 186,750 Employees)

Maharashtra 30,830
Tamil Nadu 23,568
Karnataka 22,651
Uttar Pradesh 18,982
Kerala 18,347
Gujarat 10,822
West Bengal 9,154
Telangana 9,124
Andhra Pradesh 7,588
Delhi 5,161
Punjab 4,575
Madhya Pradesh 4,237
Haryana 3,906
Uttarakhand 3,292
Rajasthan 3,193
Others 11,323

Figure 27: State wise Employment Generation Potential

Source: Feedback Analysis

Top 15 states account to 94% of total employment in the industry

6.7 Existing & Emerging Prominent Job Roles Which Requires

Skilling
Bread & Bakery is one of the key sub-sectors currently focused by NSDC / FICSI where there are
specific programs already available. Following are the specific existing and emerging prominent
job roles that will create employment opportunities in bread & bakery products Sub-sector in
future

Major Category of Enterprises

NSQF Key Activities & for Emerging Job Role
Job Role Brief Description
Level Knowledge Required Micro Small Mediu Large
m
Helper / A Helper / Floor
Floor Cleaner / Loader & A Helper / Floor Cleaner
Cleaner / 3 Unloader is / Loader & Unloader   
Loader & responsible for must be able to:
Unloader carrying out various
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Major Category of Enterprises

NSQF Key Activities & for Emerging Job Role
Job Role Brief Description
Level Knowledge Required Micro Small Mediu Large
m
labor-intensive  Load and unload
activities such as supplies.
loading/unloading
 Maintain cleanliness in
and storing the
the processing and
supplies; packing
storage area.
products;
maintaining the  Store the supplies
storage area along appropriately.
with other relevant
activities under  Pack the products as per
supervision. the packaging standards
when required.
A Helper / Floor Cleaner
/ Loader & Unloader
must know and
understand:
 Applicable food safety
and hygiene standards.
 Appropriate handling of
food supplies and
products.
An Over Operator must
be able to:
 Load and unload the
oven with the bakery
products.
An Oven Operator is
responsible for  Monitor gauges, dials, or
operating bakery other indicators to
Oven industrial ovens at ensure oven works as
Operator commercial expected.
or Baking establishments. The  Regulate the oven
4    
Equipme individual is also temperature according
nt responsible for to the product being
Operator carrying out minor baked.
repair and
maintenance of the  Alter the position of
oven. baking trays in the oven
during the baking
process for the optimum
heat distribution.
An Over Operator must
know and understand:

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Major Category of Enterprises

NSQF Key Activities & for Emerging Job Role
Job Role Brief Description
Level Knowledge Required Micro Small Mediu Large
m
 How to operate a
variety of industrial
bakery ovens.
 Appropriate
temperature required
for baking a variety of
bakery products.
 How to perform general
troubleshooting of a
variety of industrial
bakery ovens.
A Bread Slicer Operator
must be able to:
 Operate the slice
machine with ease and
to slice the with uniform
size.
 Clean the slicer machine
frequently to avoid any
A Bread Slicer
damage due to crumbs.
Operator is
responsible for  Handle the sliced bread
Bread
slicing the baked from the slicer machine
Slice
4 bread. The individual to packaging point  
Machine
is also responsible without any wastage.
Operator
for shifting the sliced
An Over Operator must
breads for further
know and understand:
packaging.
 How to operate a
variety of slicer
machines (Varies by
type of breads / cake
loafs).
 How to perform general
troubleshooting of a
slicer machine.

An Ingredients An Ingredients Process

Ingredie
Process Mixer Mixer Operator must be
nts
Operator is able to:
Process
4 responsible for   
Mixers  Operate the mixer
Operator mixing the dough and (Machine) with ease and
s other ingredients and to mix all the
prepare for baking ingredients to make a

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Major Category of Enterprises

NSQF Key Activities & for Emerging Job Role
Job Role Brief Description
Level Knowledge Required Micro Small Mediu Large
m
the bread and bakery final dough for further
products. baking or processing.
 Measure the list of
ingredients as per the
product requirement.
 Clean the mixer after
every batch to avoid any
contamination.
An Over Operator must
know and understand:
 The measurement and
list of ingredients
required for the product
baking
A Flow Wrapping / Flow-
Pack Machine Operator
must be able to:
 Operate the packing
A Flow Wrapping /
equipment to pack and
Flow-Pack Machine
seal the food products
Operator is
as per the standard
responsible for
procedure.
packing food items
using the relevant  Label the packed food
Flow
packaging products.
Wrappin
equipment. The
g / Flow-  Maintain the packaging
4 individual is also   
Pack equipment.
responsible for
Machine
maintaining the A Flow Wrapping / Flow-
Operator
record of packing Pack Machine Operator
operations and carry must know and
out regular repair understand:
and maintenance of
 Applicable food safety
the packaging
and packaging
equipment.
standards.
 How to operate and
maintain the relevant
packaging equipment.

Bakery A Bakery Processing A Bakery Processing

Processin Plant Supervisor is Plant Supervisor must be
g Plant 5 responsible for able to:    
Supervis supervising and
coordinating the  Arrange the required
or
activities of plant resources for the
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Major Category of Enterprises

NSQF Key Activities & for Emerging Job Role
Job Role Brief Description
Level Knowledge Required Micro Small Mediu Large
m
workers engaged in smooth operation of the
various activities processing plant.
such as mixing,
 Manage the inventory
dividing, moulding,
and review the
baking, slicing, etc.
accounting records.
The individual is
responsible for  Train and supervise a
ensuring adherence team of plant workers.
to the applicable food
 Inspect the plant
safety, health, and
equipment and systems
safety standards.
regularly to detect any
malfunctions and take
appropriate preventive
or remedial action.
A Bakery Processing
Plant Supervisor must
know and understand:
 Inventory management
and applicable
accounting practices.
 How to train and
manage a team of
workers.
 Various tools,
equipment and
machineries used in a
processing plant,
common issues
encountered with them
and their basic
troubleshooting.

Conduct A Food Laboratory

standardized tests on Assistant must be able to:
food, beverages,  Test the raw materials
additives, or and finished products to
preservatives to ensure compliance with
Food
ensure compliance standards and
Laborato
5 with standards and regulations and  
ry
regulations regarding adherence to the
Assistant
factors such as color, organization’s food
texture, or nutrients. safety and hygiene
Test quality of policy.
materials or finished
products.  Analyze test results to
classify products or
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Major Category of Enterprises

NSQF Key Activities & for Emerging Job Role
Job Role Brief Description
Level Knowledge Required Micro Small Mediu Large
m
compare results with
standard tables.
 Perform regular
maintenance of
laboratory equipment
by inspecting
calibrating, cleaning, or
sterilizing.
 Examine chemical or
biological samples to
identify cell structures
or to locate bacteria or
extraneous material,
using a microscope.
A Food Laboratory
Assistant must know and
understand:
 Applicable food safety
and hygiene standards.
 Record research or
operational data
A R&D Manager must be
able to:
 Conduct research on
new product
development.
 Innovate new health-
oriented Bakery
A R&D Manager is products based on
responsible for research.
R&D research, planning,  Oversee the
6   
Manager and overseeing the development of new
development of new products as envisaged.
products.
An R&D Executive must
know and understand:
 The Global trends on
new products and the
consumer trend.
 Industry standards and
applicable regulations
with respect to the

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Major Category of Enterprises

NSQF Key Activities & for Emerging Job Role
Job Role Brief Description
Level Knowledge Required Micro Small Mediu Large
m
development of new
products.
 The process of research,
planning, and
implementing new
programs and protocols
A Food Safety & Hygiene
Manager must be able to:
 Ensure adherence to the
organization’s food
A Food Safety & safety and hygiene
Hygiene Manager is policy.
responsible for  Train the processing
implementing the plant employees on the
food safety policies use of relevant systems.
and standards in the
food processing  Ensure maintenance of
plant. The individual the record of operations
Food is also responsible and review them
Safety & for training other periodically.
6    
Hygiene employees;  Manage supplier
Manager maintaining relationships.
documentation; Conduct safety audits.
ensuring that
products meet the A Food Safety & Hygiene
applicable quality Manager must know and
standards; educating understand:
suppliers; and  Applicable food safety
conducting safety and hygiene standards.
audits.
 Record maintenance
and review procedures.
 Supplier management.
 Safety audit procedures.

Table 21: Existing and emerging prominent job roles which will require skilling

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Skill Sets required across multiple levels in the sector

Figure 28: Skill Sets required across multiple levels in the sector

6.8 Expectations from the Industry Stakeholders

Considering the nature of the industry which is highly fragmented with more than 3,00,000
bakeries which is growing every year, the sector has huge potential for training. Also, Bread &
bakery is one of the Key sectors for FICSI which has created around 5 QPs already for the sector.
Unlike other industries, candidates trained under Bread & Bakery programs are professional
bakers work in either of the following venues;

 Wholesale and retail bakeries

 Catering companies

 Supermarkets

 Restaurants

 Hotels and resorts

 Cafeterias

 Factories

 Ingredient Manufacturing

 Techno Marketing of Ingredients and Bakery Products

In addition, there is huge requirement of R&D Professional in Bakery Industry.

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Also, it is to be noted that more 30,000 Indian Bakery Chefs/Technologists are working in abroad.
There are lots of opportunities of Indian bakers in international market.

Training the Candidates on Multi Functions

 Multiskilling is the key by introducing them to multiple skills required by the industry so
that the employee can be fill in across any functions.

 Also, at the minimum, people need to teach the basics of milling and further processing
which will develop a much-rounded skill set in bakery.

Specializations needs to be created in the formal training curriculum

 Currently there are no specialization offered to students to choose their interest area /
career in specific sub-sectors within food processing industry.

 It is expected that creating such specializations will create more customized curriculum,
training and practical knowledge for the students and they will be job ready when they
join any processing company.

Visibility of Training Institutes offering technicians

 With the limited awareness of the institutes offering bread and bakery product training
programs, it is expected that more institutes to be operated across states.

 Introduction of more online training programs to make skilling available at a national

level

Food Safety related programs

 The food safety may be the first and foremost concept for the Government to give training
to each and every person.

 It becomes extremely important to sensitize employees on the importance of maintaining

stringent hygiene standards. This is one area where the government needs to lay a lot of
emphasis on.

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Chapter 7: Sub-Sectoral Analysis –

Dairy Products
7.1 Market summary
India is the largest producer of milk in the world with almost 18.5 per cent of the world
production. The organized segment consists of Co-operatives and Private Dairies and the
unorganized segment consists of traditional milkmen, vendors, and self-consumption at home.
Out of the total milk distributed jointly by the organized and unorganized segments, about 70%
is consumed in milk form and the balance is converted into various milk products like milk
powder, ghee, butter, cheese, yoghurt, etc. The biggest component of India’s dairy market is
liquid milk. According to Dairy India (2017), the liquid milk market’s share is estimated to be
around 58% of the total value. Other products include Semi-Skimmed and Skimmed Milk, Low-
Fat Milk, Sweet Yoghurt, Buttermilk, Ice-creams etc. the organised sector currently accounts for
38% and the Govt. is trying to increase the share of organized sector through various
interventions. Visionaries and the industry experts perceive the share of organized sector to
reach to approx. 50% by FY'30. Due to lockdown, the demand of milk and milk products especially
from the Hotel, Restaurants & Catering sector has adversely impacted, thus resulting in sharp fall
in sales of these commodities. Overall Exports of Dairy Products have seen a significant drop in
FY 20, it is expected to recover in the coming years post the recovery from pandemic. India has
seen dramatic shift towards consumption of value-added products such as cheese, yoghurt, UHT
(ultra-heat treatment) milk, flavoured milk, and whey. 100% of these products are sold through
organized market. The value-added products market is under-penetrated, thus having
tremendous scope for growth in the coming years.

Key Industry Indicators Details

Overall Market (‘000 MT) (FY’20) 40,835
No. of registered units 2,374
Past Growth rate (CAGR) (FY’ 15 – FY’ 20) 9.8%
Total Number of Employees (FY’ 20) 2,02,240 nos.
Overall Exports (FY’20) INR 1,982 Crs.
Expected Market (‘000 MT) FY’ 2030 1,02,000
Future growth rate (FY’ 20 – FY’ 30) 9.6%
Total Employee Estimation (FY’ 30) 4,75,811 nos.
Overall Employment Additions (FY’ 20 – FY’ 30) 2,73,571 nos.

Table 22: Dairy: Key Industry Indicators

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7.2 Present State of the Industry & Future Outlook

India is the largest producer of milk in the world with almost 18.5 per cent of the world
production. According to NDDB, India ranks first among the world’s milk producing nations,
achieving an annual output of 199 mn tonnes18 during the year FY20 which is approximately 2
times that of the USA, over 5 times of China and over 4 times of Pakistan.
The Indian dairy industry is divided into 2 segments: organized and unorganized. The organized
segment consists of Co-operatives and Private Dairies and the unorganized segment consists of
traditional milkmen, vendors and self-consumption at home. This study covers only the organised
dairy segment in India.
Out of the total milk distributed jointly by the organized and unorganized segments, about 70%
is consumed in milk form and the balance is converted into various milk products like milk
powder, ghee, butter, cheese, yoghurt, etc.

Key Stakeholders in the Value Chain

15 mn Primary Members Unions in India: ~145,000 Liquid Milk & UHT 70%
Cattle Feed Institutional
Village Dairy Co-operative Societies
Suppliers Customers

Retail
Consumers

Cattle Member Milk for 1065 Dairy

Farmers Unions Milk Producers manufacturing other Plants
milk Based products registered by
Co-Operative 30% State
Dairy Plants Milk Product Registering
Manufacturers Authority &
Milk Village Central
Collection Private Dairy Authority
Centres Plants

Distributors

Ingredient Suppliers for

Dairy Products

Figure 29: Value chain of Dairy market in India

Various milk-based products manufactured commercially in a rural industry are Paneer (Cheese),
Dahi (Curd), Ghee etc. Other products include Semi-Skimmed and Skimmed Milk, Low-Fat Milk,
Sweet Yoghurt, Buttermilk, Ice-creams etc.
These products are manufactured by low-cost traditional methods and machineries. These kinds
of industries are located in the area where abundance quantity of milk is available.

18 NDDB
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Manufacturing Clusters

Punjab

Haryana
Uttar
Pradesh

Gujarat Madhya
Pradesh

Maharashtra
Telangana

Andhra Pradesh

Karnataka

Tamil Nadu

Figure 30: Manufacturing Clusters

Top 10 states account to 82% of total employment in the Dairy products industry.
The Indian Dairy market was valued at INR 11,609 Bn growing at a CAGR of 5.6% in the past 5
years.

Dairy Market Trend in India (Value INR Bn)

10,957 11,609
10,171 10,540
9,325

FY'16 FY'17 FY'18 FY'19 FY'20

Figure 31: Dairy Market Trend in India (Value INR Bn)

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Production trend of select Dairy products

Milk powder production in India (Mn

Ghee production in India (Mn Tons)
Tons)
0.218
0.170

0.193 0.158

FY'12 FY'20 FY'12 FY'20

Butter production in India (Mn Tons) Ice Cream production in India (Mn Ltrs.)

0.970 202

146

0.103

FY'12 FY'20 FY'12 FY'20

Figure 32: Production trend of select Dairy products

Source: Analyst Report – Hatsun Agro Products
The biggest component of India’s dairy market is liquid milk. According to Dairy India (2017), the
liquid milk market’s share is estimated to be around 58% of the total value.
After liquid milk, the biggest segment of the country’s dairy market is dairy products such as khoa,
chhana and paneer used as base material for a variety of indigenous sweets and preparations,
followed by ghee. Much of these products are produced by households or halwais (sweetmeat
makers).

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Historical Growth of Milk Production

Milk Production Trend in India (‘000 MT)

187,700 199,000
165,400 176,300
146,300 155,500
132,400 137,700

FY'13 FY'14 FY'15 FY'16 FY'17 FY'18 FY'19 FY'20

Figure 33: Milk Production Trend in India (‘000 MT)

Source: till FY'19 NDDB, FY'20 Feedback BOK, Interactions with SMEs
Exports
Overall Exports of Dairy Products have seen a significant drop in FY 20, it is expected to recover
in the coming years post the recovery from Pandemic.
Below mentioned chart indicates exports of Skimmed Milk Powder, Butter, Butter Oil, Cheese,
Ghee and Butter Milk.

Dairy Products Exports in Volume (Tons) Dairy Products Exports in Value (Rs Cr.)

180,688
3,376

111,146
1,982
66,424
48,039 1,205 1,196
33,442 39,166 755 905

FY'15 FY'16 FY'17 FY'18 FY'19 FY'20 FY'15 FY'16 FY'17 FY'18 FY'19 FY'20

Figure 34: Export Trends of Dairy Products in Volume (Tons) & Value (Rs. Cr.)
Source: Ministry of Commerce & Industry (Tradestat)
Support for Exports of Skimmed Milk Powder (SMP)
Due to lockdown to curb the spread of COVID19, the demand of milk and milk products especially
from the Hotel, Restaurants & Catering sector has adversely impacted, thus resulting in sharp fall
in sales of these commodities. While majority of the co-operative dairies have continued to collect
milk from dairy farmers to ensure best possible financial support in spite of lower sales, this has
resulted in surplus stock of SMP and butter.

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Till July, 2020 India has more than 1.5 Lakh metric tonne of SMP out of which about 50,000 metric
tonne of SMP can be exported through support provided by the government by competing in the
global trade of SMP19.

7.3 Present Employment Scenario & Analysis

Category of the Companies by Revenue

Category of the Definition

Remarks
Company (Revenue Range)
 Micro enterprises are primarily into milk
Micro
< Rs 5 Cr pasteurization and few products like Paneer and
Enterprises
Curd
 Small enterprises would typically deal with Milk and
Small other value-added products. Most of the Small
RS 5.1 – 50 Cr
Enterprises enterprises are also do the contract manufacturing
for the large private and co-operative units
 Medium-Sized Enterprises are predominantly into
Medium multiple value-added products along with the milk.
Rs 50.1 – 250 Cr
Enterprises These enterprises are either co-operative or private
enterprises
 Large Enterprises can further be split into two
categories - Very Large Enterprises and Large
Enterprises.
Large  Very Large enterprises procure more than 25 LLPD
> Rs 250 Cr
Enterprises of milk for processing while it is less than 25 LLPD
of milk for the Large Enterprises.
 Revenue for both the categories are more than Rs.
250 Cr

Table 23: Category of the Companies: By Revenue

7.3.1 Sample Coverage by Categories of Companies & Region
The detailed primary research exercise undertaken by Feedback Consulting for this report
involved meeting over 415 companies across India. This also covered various category of players.
75% of these companies were Micro and Small Enterprises and ~83% of these companies were
clustered in Northern, Southern and Western region in India.

Category of the Company Sample Coverage (N) East North West South
Micro Enterprises 160 17% 30% 25% 28%
Small Enterprises 150 17% 30% 25% 28%
Medium Enterprises 80 16% 30% 25% 29%
Large Enterprises 25 16% 32% 24% 28%
Total 415 17% 30% 25% 28%
Table 24: Sample Coverage by Categories of Companies & Region

19 https://ficci.in/spdocument/23304/Development-Dairy-Sector.pdf
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7.3.2 Total No. of Employees

Past Trend of employment in the Dairy Industry

180,716 202,240
126,788

FY'15 FY'19 FY'20

Total No. of Employees

Figure 35: Past Trend of employment in the Dairy Industry

Source: Feedback Analysis
The employment in Dairy industry has grown at a CAGR of 9.8% over the past 5 years and is one
of the fast growing employment segments in India.
Share of Employees (FY’ 20): Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 2,02,240) (Base: 2,02,240)
Top
Managem
ent
5%
Permanent
27% Operator-Level
Employees
74% Middle
Managem
ent
Contractual 8%
73%
Lower
Management /
supervisory
13%

Share of Operator-Level Employees Share of Permanent Employees by

(Base: 149,658) Education (Base: 54,605)
Loader/
Technicia PG
Unloader
ns and 3%
5%
Others Cleaning / Pre-
9% Processing
27% UG
Less than 12%
Schooling
Helpers 63% Diploma /
21% ITI
Machine 2%
Operators
7%
Schooling
Packing 16% Vocational
Supervisor 25% Training
6% 4%

Figure 36: Share of Employees (FY’20): By Different Category

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Share by NSQF (Base=202,240 Employees)

Level 7 (Sr Mgmt)
6%

Level 5&6 (Low + mid Level 2&3

Mgmt) 37%
26%

Level 4 (Operator/
Supervisor)
31%

Figure 37: Share of Employees (FY’20): By NSQF levels

Source: Feedback Analysis

FY 20: State wise Employees in the industry (Base: 202,240 Employees)

Gujarat 32,303
Maharashtra 30,131
Tamil Nadu 28,820
Uttar Pradesh 14,995
Karnataka 13,354
Andhra Pradesh 12,684
Punjab 10,117
Haryana 8,522
Madhya Pradesh 7,848
Telangana 7,323
Rajasthan 7,275
Kerala 5,514
Bihar 4,910
Uttarakhand 4,231
West Bengal 3,696
Others 10,516

Figure 38: State wise Employees in the Industry (FY’20)

Source: Feedback Analysis

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Top 15 states account to 95% of total employment in the industry

Current Key Job Roles & Responsibilities (at Operator-level employees’ category)

Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles
No. Responsibilities Level Micro Small Medium Large
On any given day, a
veterinary supervisory
could be dealing with feed
stock, scheduling
Veterinary
1 laboratory samples or 5  
Supervisor
check-up of live stocks,
assisting a veterinarian
(doctor) whenever
required
Operate machines to
Machine process dairy products
Operator (Pasteurization of milk,
(Processing other dairy value-added
2 Machinery products). 4    
& Also, operate machines to
Packaging pack. Operators of coolers
Machinery) / cold storage facility at
the unit
The pre-processing work
Cleaning /
includes cleaning of tanks
Pre-
3 / machine drums after 4    
Processing
every batch to remove
Labours
contamination
Monitoring overall
Shift operation and managing
4 5    
Supervisor manpower across
functions
Misc. work including
5 Helpers cleaning plants, Vehicles, 3    
Machinery, etc.
Loader / Material handling, Loading
6 3    
Unloader & Unloading products.
7 Technician Machine maintenance 4    
Packing the products
8 Packer 3   
based on specifications
Accountant Managing accounting and
9 / Invoicing day to day transaction 4   
Clerk entry in the ledger
Weigh the product based
on specification
Pre-Pack
(specifically for cottage
10 Support 3   
cheese and few dairy
Labour
products where manual
intervention required).

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Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles
No. Responsibilities Level Micro Small Medium Large
Drivers transit the raw
Tanker milk from the collection
11 Lorry centers to the plant and 4   
Drivers transit the finished goods
to the retail / channel
Technician / collection
Collection
agent at the collection
Labour at
center transfer the raw
12 the 4   
milk into bulk milk coolers
Collection
before transiting to the
Centers
plant
Table 25: Current Key Job Roles & Responsibilities (at Operator-level employees’ category)
7.3.3 Past Growth of Employees (FY’17 – FY’20)

36%
 >55% of the enterprises have
28% experienced degrowth in their
manpower in the past 3 years.
13% 15%
 36% have indicated that their
7% manpower has grown marginally
1% (up to 5%).

>-10% -5 to -10% -5% to 0% 0.1 to 5% 5.1 - 10% > 10%

Figure 39: Past Growth of Employees (FY’17 – FY’20)

Source: Feedback Analysis

7.3.4 Future Plans of the Companies and its Impact on the Manpower Growth
Future Plans of the Companies covered

Micro Medium
Plans Small Large

Planning to invest in Internet of Things

37% 9% 36% 80%
(IoT) or Automation

Plan to invest on new equipment / New

0% 0% 7% 20%
Facility

Plan to enhance the production capacity 26% 12% 21% 80%

Plans to launch new products 0% 0% 14% 0%

Plans to increase exports 0% 21% 0% 0%

Table 26: Future plans of the companies covered

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Manpower Recruitment Plan, Considering the Future Operational Expansion Plans

Considering the future

71%
expansion plans of enterprises,
62% it is expected that the manpower
is likely to increase by

 <1% in next 3 years

29%
27% (Average)

9%  1% – 2% in next 5 years
2% (Average)

3 Years 5 Years

No Change in Manpower 0.1% - 5% 5.1% - 10%

Figure 40: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans

7.4 Recruitment & Training Practice

Recruitment Practice
Walk-ins are the key source of recruiting candidates across Operational level and Lower level
employees. Following are the key institutes encountered during our survey from where the
candidates / employees have got trained or graduated before joining the enterprises.

Managerial Level Key Institutes Encountered (Graduated Institutes of the Current

Employees)
 Formal education institutes that offer food technology / food science
Top Management
programs
 Formal education institutes that offer food technology / food science
Middle Management
programs
 Regional training institutes
Lower Level  Majority of employees in lower-level management are not coming from
Management any education institutes. Most of them are either secondary or higher
secondary education (Schooling) or less than secondary schooling
Operator Level  No specific Institutes. As most of them are either secondary or higher
Employees secondary education (Schooling) or less than secondary schooling
Table 27: Recruitment Practice

Training Practice
Overall ~30% of the companies we have covered as part of the sample are providing training
across levels when an employee joins the firm (On-the-Job training).

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% of Companies offering training

40%
64% 71%
77% 76%

60%
36% 29%
23% 24%

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall (N=415)

Offers Training Doesn't Offer Training

Figure 41: % of Companies offering training

Source: Feedback Analysis
Major Training Topics Covered (Encountered in Primary Interviews)

Enterprises
Enterprises

Enterprises

Enterprises
Medium
Functional
Micro

Large
Small
Training
Remarks Focus / Job
Topics
Roles

Collection
Milk Collection and
Raw Milk Labour at the
initial storage in Bulk    
Handling Collection
Milk Coolers
Centers
Detail the Milk and
Operator
value-added products
Level
Product handling requirements.
Employees &    
Handling Hygienic handling of the
Lower-Level
products and the
Employees
wastages
Storage temperature Operator
required at every stage Level
Storage of processing (Raw Employees &  
Material to Finished Lower-Level
Products) Employees
Appropriate cooling
Supervision
methods, packing
of product Supervisors /
methods, latest  
handling Managers
technology, equipment
activities
operations, etc.
Training to detail the
Operations overall operations, Supervisors /

Management manpower allocation, Managers
inspection, etc.

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Enterprises

Enterprises

Enterprises

Enterprises
Medium
Functional

Micro

Large
Small
Training
Remarks Focus / Job
Topics
Roles

Operator
Level
Maintenance checklist Employees &
Plant for equipment Lower-Level

Maintenance (processing and Employees
packing) (Technicians
/ Machine
Operators)
Operator
Machine / Drum
Level
cleaning; Vehicle tank
Cleaning Employees & 
cleaning before every
Lower-Level
batch
Employees
Table 28: Major Training Topics Covered
Effectiveness of Training
(Mean score On a Scale of 1 - 7 where 7 is extremely satisfied and 1 is extremely dissatisfied)

5.12

5.01
4.98 4.97

4.8

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Figure 42: Effectiveness of Training

Source: Feedback Analysis

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7.5 Challenges related to Skill Availability Vs Skill Gaps

Skill Acquisition Challenges
Key concerns raised by the dairy product (Pasteurized Milk and Value-Added Products)
manufacturers in terms of acquiring the skilled manpower are as follows
Source of Manpower Availability

 According to the processing companies, there are 5+ QPs developed by FICSI for dairy
sector. It is to be noted that companies are not aware of the training institutes offering
these training programs from where companies can source the semi-skilled / skilled
manpower
Limited Institutes offer Formal Education

 There are around 15 institutes offering focused program for Dairy science / technology
in India. These institutes are primarily clustered in western region and northern region

 Large and medium enterprises are aware of these formal training institutes offering
graduate programs. The expectations are around creating more regional institutes
offering formal training for the manpower addition in mid management and top
management
Limited knowledge on the Automation among Medium, Small and Micro Companies

 With the technology changes like instrumentation or automation, baring large companies,
other dairy processing companies lack knowledge on these emerging technologies
Higher Attrition on Operator Level Employees

 Higher employee attrition among the Medium, Small and Micro enterprises is another
challenge where ~45% of employees at the operator level and lower level are leaving the
organizations within 2 - 3 years of their joining
Skill Gaps by Specific Job Roles
Following are the select key job roles and their required skills and skill gaps

Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Micro Small Medium Large

 Managerial Skills  Understanding the

 Technical Know- technology and
how across adaptation to newer
Mid technologies
functions
Management
Plant
 Interpersonal Skills  Ability to work with   
Manager both the processing and
NSQF: 6  Leadership Skills packaging equipment
 Training manpower  Lack of leadership
at the lower level or
operator level

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Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Micro Small Medium Large

 Production
planning
 Technical details
on the product  Lack of knowledge on
ingredients level equipment
(Measurement to maintenance and
the T) operations
Mid
Management  Equipment  Hygiene practice on
Production
operations (across cleaning the    
Manager
functions) equipment / drums
NQSF: 6 (usage of proper
 Manpower
planning for the materials for cleaning
shifts to avoid
contamination)
 Co-ordinating with
the Milk supply
from the different
collection centers
 Monitoring the
Milk quality (Fat
content and other
Mid
parameters)
Management  Unable to maintain the
Quality
 Ingredient’s quality similar quality across   
Control
check batches
NSQF: 5
 Assessing the
quality for the
finished products
 To develop
inventory
management
systems, maintain
stock levels, and
Inventory coordinate the
Mid  Knowledge of
Controller logistics of orders
Management inventory management
& and transfers.
software    
Transporta  To organize the
tion  Analysis of demand
NSQF: 5 optimized way to
Manager and supply (Regional)
bring the raw
materials to the
plant and supply
finished goods to
the channel
partners

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Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Micro Small Medium Large

 Overseeing
operations
including material
handling across
functions  Gaps in
 Technical Know- leadership/supervision
Lower-Level how knowledge skills leading to
Shift efficiency and
Management
Supervisor  Soft skills monitoring issues    
/ (Communication;
Supervisor Training efficiency  Best practices w.r.t
NSQF: 5 material handling to
& Leadership)
reduce wastage during
 Equipment material handling
operations and
maintenance
 Manpower
planning
 Knowledge on
Lower-Level transformation
Management from analogue to
Maintenanc  Lack of update in
digital business   
e Officer technology
model
NSQF: 4
 Domain Skills
Operator  Inability to learn and
Level operate across
Loading /
Employees functions
Unloading  Materials Handling    
Labors  Lack of knowledge on
NSQF: 3 wastage handling

 Understanding the  Sanitation and

Operator Hygienic awareness
job roles in various
Level and
interlinked
Employees knowledge/practice
Helpers functions  
 Materials Handling  Inability to learn and
NSQF: 3 operate across
 Production support functions

Table 29: Key job roles and their required skills and skill gaps

7.6 Future Projection – Sector & Employment

Projected growth in Milk production in India
Based on the discussions conducted with the Visionaries and Industry experts, Indian Milk
production likely to grow at 6-7% CAGR over next 4 - 5 years. A conservative estimate of approx.

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5.5% CAGR has been considered to compute Milk production over next 10 years according to
which, Milk production in the Country is likely to reach approx. 340 Mn MT by FY'30.

Projected growth in Milk production in India (‘000 MT)

400,000 6.2%
6.0% 340,000
350,000 322,000
289,500
305,000 6.0%
300,000 274,500
260,000
233,500 246,500 5.8%
250,000 210,000 221,500
200,000 199,000
5.6% 5.6% 5.6% 5.6%5.6%
150,000 5.5% 5.5%
5.5% 5.4% 5.4%
5.5% 5.4%
100,000
5.2%
50,000
- 5.0%
FY'20 FY'21 FY'22 FY'23 FY'24 FY'25 FY'26 FY'27 FY'28 FY'29 FY'30
(E) (E) (E) (E) (E) (E) (E) (E) (E) (E)

Production YoY Growth %

('000 MT)

Figure 43: Projected growth in Milk production in India (‘000 MT)

Source: Interactions with SMEs & Visionaries
Dairy Processing Capacity Requirement

Local Marketable Organized Unorganized

Production
Year Consumption Surplus Sector Sector
('000 MT)
('000 MT) ('000 MT) ('000 MT) ('000 MT)

FY'15 1,46,300 65,835 80,465 25,600 54,865

FY'19 1,87,700 86,342 1,01,358 36,489 64,869

FY'20 Approx. 1,99,000 91,540 1,07,460 40,835 66,625

CAGR 6.3% 6.8% 6.0% 9.8% 4.0%

Current
Processing 53,500
Capacity

Capacity
76%
utilization

Table 30: Dairy Processing Capacity Requirement

Source: FY 15- Feedback BoK; FY 19 - Budget Speech
COVID-19 pandemic is considered for the future estimates both production and employment.

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Future Estimates of Dairy Production & Processing

Milk
Local
Production Marketable Share of processing by
Share of Local Consumpt Processing
Year Estimates Surplus Organized the Organized
Consumption ion level
('000 MT) ('000 MT) Sector* Sector
('000 MT)
('000 MT)
FY'20 1,99,000 46% 91,540 1,07,460 38% 40,835 21%
FY'21 (E) 2,10,000 46% 96,600 1,13,400 40% 45,360 22%
FY'22 (E) 2,21,500 45% 99,675 1,21,825 40% 48,730 22%
FY'23 (E) 2,33,500 45% 1,05,075 1,28,425 42% 53,939 23%
FY'24 (E) 2,46,500 45% 1,10,925 1,35,575 42% 56,942 23%
FY'25 (E) 2,60,000 43% 1,11,800 1,48,200 44% 65,208 25%
FY'26 (E) 2,74,500 43% 1,18,035 1,56,465 44% 68,845 25%
FY'27 (E) 2,89,500 42% 1,21,590 1,67,910 46% 77,239 27%
FY'28 (E) 3,05,000 42% 1,28,100 1,76,900 46% 81,374 27%
FY'29 (E) 3,22,000 41% 1,32,020 1,89,980 48% 91,190 28%
FY'30 (E) 3,40,000 40% 1,36,000 2,04,000 50% 102,000 30%

Table 31: Future Estimates of Dairy Production & Processing

*Govt. is trying to increase the share of organized sector through various interventions. Visionaries,
industry experts and SMEs feel that share of Organized sector likely to reach to approx. 50% by
FY'30.
Processing capacity and investment required to achieve the above processing levels

Parameter Unit Values

Current Processing Capacity '000 MT 53,500
FY'30 Milk Processing Vol. '000 MT 1,02,000
Considering 80% capacity utilization,
'000 MT 1,27,500
processing capacity required by FY'30
Capacity addition required till FY'30 '000 MT 74,000
Investment Norm* Rs. Cr. / '000 MT 2.3
Total Investment required Rs. Cr. 1,66,500

Table 32: Processing capacity and investment required in the sector

Source: Discussion with Plant & Equipment Manufacturers & SMEs

 There are more than 80 projects in the organized sector with investments worth more
than Rs. 10,400 Cr. where the projects are either under implementation or at
announcement stage. More than 85% of these projects are financed by Co-operative
Sector or Government.

 The Department of Animal Husbandry & Dairying is implementing National Programme

for Dairy Development scheme since 2014-15 with the objective to create and strengthen
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dairy infrastructure for procurement, processing and marketing of milk and milk
products by the State Implementing Agencies (SIAs) i.e., State Cooperative Dairy
Federations/ District Cooperative Milk Producers’ Union.

 During financial year 2020-21, the Department's focus was primarily on two activities
namely (a) Village based milk procurement system and (b) Milk Quality Testing Facilities
at Village/District/State Level.

 Government has decided to spend Rs. 15,000 Cr. for a Dairy Infrastructure Fund to build
infra for 15 MLD capacity.

 India has seen dramatic shift towards consumption of value-added products such as
cheese, yoghurt, UHT (ultra-heat treatment) milk, flavored milk, and whey. 100% of these
products are sold through organized market. The value-added products market is under-
penetrated, thus having tremendous scope for growth in the coming years.
Select ongoing and upcoming projects in Dairy processing industry in India

SL Project Project Cost

Company Name Project Name
# Location Type (INR Cr)
Gujarat Co-op. Milk Mktg. Amul Milk Production
1 NCT of Delhi Expansion 2800
Fedn. Ltd. Capacity Expansion Project
Pradeshik Co-op. Dairy Lucknow Multi Product Lucknow, Uttar
2 New Unit 650
Federation Ltd. Dairy Plant Project Pradesh
Banaskantha District Co-
Raiya Milk Processing Banas Kantha,
3 op. Milk Producers' Union New Unit 600
Plant Project Gujarat
Ltd.
Gujarat Co-op. Milk Mktg. Rajkot (Saurashtra Region)
4 Rajkot, Gujarat New Unit 500
Fedn. Ltd. Dairy Plant Project
Gujarat Co-op. Milk Mktg. Gandhinagar Milk Powder Gandhinagar,
5 New Unit 450
Fedn. Ltd. Plant Project Gujarat
Andhra Pradesh Dairy Kondapavuluru Mega Krishna, Andhra
6 New Unit 362
Devp. Co-op. Fedn. Ltd. Dairy Plant Project Pradesh
Ahmedabad District Co-op. Ahmadabad Dairy and Ahmedabad,
7 New Unit 350
Milk Producers' Union Ltd. Cattle Feed Plant Project Gujarat
Govindapur Ice Cream
Sangareddy,
8 Hatsun Agro Products Ltd. Manufacturing Plant New Unit 311
Telangana
Project
Ajmer Zila Dugdh Utpadak Ajmer Milk Processing
9 Ajmer, Rajasthan New Unit 253
Sahakari Sangh Ltd. Plant Project
Gujarat Co-op. Milk Mktg.
10 Odisha Dairy Plant Project Odisha New Unit 250
Fedn. Ltd.
Kaira District Co-op. Milk Kolkata, West
11 Kolkata Dairy Plant Project New Unit 250
Producers' Union Ltd. Bengal

Table 33: Select ongoing and upcoming projects in Dairy processing industry in India
Source: CMIE & Projects Today

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FY'20 employment estimation in Dairy processing industry in India

FY'20 Total Annual

Average No. of Share in FY'20 Milk
Company Category# no. of Employees in Milk Processing Processing
Employees Dairy Processing* ('000 MT) / Employee
Processing (MT)
Large Enterprises 900 90,000 65% 26,543 295
Medium Enterprises 100 75,000 25% 10,209 136
Small Enterprises 50 27,500 8% 3,267 119
Micro Enterprises 10 9,740 2% 817 84
Total 202,240 100% 40,835 202

Table 34: FY'20 employment estimation in Dairy processing industry in India

* Based on discussion with the processing plants and SMEs

*Large Enterprises can further be split into two categories - Very Large Enterprises and Large Enterprises.
Very Large enterprises procure more than 25 LLPD of milk for processing while it is less than 25 LLPD of milk
for the Large Enterprises. Revenue for both the categories are more than Rs. 250 Cr. Revenue for the other
three categories are as follows - Medium: Rs. 50 - 250 Cr., Small: Rs. 5 - 50 Cr. and Micro: <Rs. 5 Cr.

Future employment projection in Dairy processing industry in India

Annual Milk FY'20 - FY'30

FY'30 FY'30 Total
FY'30 share in Processing / Employment
Company Category Processing Employee
Processing* Employee Generation
('000 MT) Estimation
(MT)# potential

65% 66,300 324 204,371 114,371

Large Enterprises
Medium
25% 25,500 143 178,419 103,419
Enterprises

8% 8,160 119 68,691 41,191

Small Enterprises

2% 2,040 84 24,329 14,589

Micro Enterprises
Total 102,000 214 475,811 273,571

Table 35: Future employment projection in Dairy processing industry in India

* as per discussion with the processing plants and SMEs, contribution of various types of companies will
undergo some changes and the same has been considered in the calculation

# Based on discussions with equipment manufacturers and SMEs, Very large, large and some of the medium
enterprises will adopt automation / industry 4.0 in the coming years. As per equipment manufacturers, this
may lead to 10% improve in the productivity for large enterprises and average 5% improvement in the
productivity for the medium enterprises. It is estimated that small and micro enterprises likely to have current
productivity level in future as well. The same has been considered for calculating future employment
generation potential.

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Share of FY'20 - FY'30 Employment Generation potential Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 2,73,571) (Base: 2,73,571)
Top
Managem
ent
5%

Operator-Level
Permanent Employees
35% 75% Middle
Managem
Contractual ent
65% 10%
Lower
Management /
supervisory
10%

Share of Operator-Level Employees Share of Permanent Employees by Education

(Base: 2,05,178) (Base: 95,750)
Loader/
Technicia PG
Unloader
ns and 3%
5%
Others Cleaning / Pre-
8% Processing UG
23% Less than 10%
Schooling
60% Diploma /
Helpers
ITI
26% Machine 5%
Operators
10%

Packing Schooling
22% 15% Vocational
Supervisor
Training
6%
7%

Figure 44: Share of FY'20 - FY'30 Employment Generation potential: By Different Category

Share by NSQF (Base=273,571 Employees)

Level 7 (Sr Mgmt)

5%

Level 5&6 (Low + mid

Mgmt)
25% Level 2&3
39%

Level 4 (Operator/
Supervisor)
31%

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Figure 45: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels

State wise Employment Generation Potential (Base: 273,571 Employees)

Gujarat 46,547
Maharashtra 41,725
Tamil Nadu 39,039
Uttar Pradesh 20,452
Karnataka 18,111
Andhra Pradesh 13,786
Punjab 12,777
Haryana 11,963
Madhya Pradesh 10,383
Rajasthan 9,816
Telangana 9,597
Kerala 7,266
Bihar 7,159
Uttarakhand 5,889
West Bengal 4,860
Others 14,200

Figure 46: State wise Employment Generation Potential

Source: Feedback Analysis

Top 15 states account to 95% of total employment in the industry

7.7 Existing & Emerging Prominent Job Roles Which Requires

Skilling
Following are the specific existing and emerging prominent job roles that will create employment
opportunities in dairy Processing Sub-sector in future

Major Category of Enterprises for

NSQF Brief Key Activities & Knowledge Emerging Job Role
Job Role
Level Description Required Micro Small Mediu Large
m
A Helper / Floor
Cleaner / Loader A Helper / Floor Cleaner /
Helper / & Unloader is Loader & Unloader must be able
Floor responsible for to:
Cleaner / 3 carrying out   
 Load and unload supplies.
Loader & various labor-
Unloader intensive  Maintain cleanliness in the
activities such as processing and storage area.
loading/unloadin
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Major Category of Enterprises for

NSQF Brief Key Activities & Knowledge Emerging Job Role
Job Role
Level Description Required Micro Small Mediu Large
m
g and storing the  Store the supplies
supplies; packing appropriately.
products;
 Pack the products as per the
maintaining the
packaging standards when
storage area
required.
along with other
relevant activities A Helper / Floor Cleaner /
under Loader & Unloader must know
supervision. and understand:
 Applicable food safety and
hygiene standards.
 Appropriate handling of food
supplies and products.
A Machine & Truck Cleaners
must be able to:
A Machine &
Truck Cleaners is  Effectively use the cleaning
responsible for agents for cleaning the
carrying out machinery and trucks after
cleaning every batch and trips
activities under respectively.
supervision such  Effective cleaning of Machinery
Machine as cleaning of and Trucks and remove any
& Truck 3 machineries after particles from previous batch to    
Cleaners every batch of avoid contamination of
production and products.
cleaning the
trucks before A Machine & Truck Cleaners
loading milk after must know and understand:
every trip to  How to clean the machinery &
avoid trucks
contamination
 How to handle the chemicals
and other cleaning agents.
A Bulk Milk Cooler Operator
must be able to:
A Bulk Milk
 Test the fat content in the raw
Cooler Operator
milk procured from farmers.
is responsible for
Bulk Milk
operating and  Operate and maintain bulk milk
Cooler 4  
maintaining bulk coolers.
Operator
milk coolers at
 Follow the applicable food and
milk collection
personal safety standards.
centres.
A Bulk Milk Cooler Operator
must know and understand:
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Major Category of Enterprises for

NSQF Brief Key Activities & Knowledge Emerging Job Role
Job Role
Level Description Required Micro Small Mediu Large
m
 How to test the fat content in
milk.
 How to operate and maintain
bulk milk coolers.
 Applicable health and safety
standards
A Milk Pasteurization Plant
Operator must be able to:
 Operate the pasteurizers for
processing milk.
 Store the processed milk
A Milk
products appropriately.
Pasteurization
Plant Operator is  Maintain the record of
responsible for processing undertaken at the
Milk operating processing plant.
Pasteuriz Pasteurizers to
A Milk Pasteurization Plant
ation 4 process milk. The   
Operator must know and
Plant individual also
understand:
Operator carries out
standard repair  Pasteurization technique.
and maintenance
 Equipment Maintenance for any
of the
emergency.
pasteurizers.
 Appropriate conditions
required for storing the
processed dairy products.
 Applicable health and safety
standards
A Paneer Press A Paneer Press Machine
Machine Operator must be able to:
Operator is
 Operate the paneer press
responsible for
machines for processing panner
Pressing the milk
or cottage cheese.
Paneer solids to make
Press Paneer in  Store the processed paneer
4    
Machine required density. products appropriately.
Operator The individual
A Paneer Press Machine
also carries out
Operator must know and
standard
understand:
maintenance of
the Paneer press  Pressing technique for minimal
machines. wastage.

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Major Category of Enterprises for

NSQF Brief Key Activities & Knowledge Emerging Job Role
Job Role
Level Description Required Micro Small Mediu Large
m
 Equipment Maintenance for any
emergency.
 Applicable health and safety
standards
A Form Fill Seal Machine
Operator must be able to:
 Use the appropriate packaging
material according to the type
of milk and other liquid dairy
products.
 Operate the Form Fill Seal
Machines with ease.
 Follow the applicable food
hygiene and safety standards.
A Form Fill Seal
Machine  Carry out standard repair and
Operator is maintenance of the machine.
Form Fill
responsible for
Seal A Form Fill Seal Machine
4 packing milk and   
Machine Operator must know and
other liquid dairy
Operator understand:
products by using
the "Form Fill  How to prepare and use the
Seal Machine". machine.
Applicable food and personal
safety standards.
 How to maintain the machine.
 How to control and minimize
leakage
 How to control fluctuations in
weights of packs
 How to minimize wastage of
packing material
A Container Filling Machine
A Container Operator must be able to:
Filling Machine  Use the appropriate packaging
Container Operator is material according to the type
Filling responsible for of dairy products.
4    
Machine dairy products by
Operator using the  Operate the Container Filling
"Container Filling Machines with ease.
Machine".  Follow the applicable food
hygiene and safety standards.

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Major Category of Enterprises for

NSQF Brief Key Activities & Knowledge Emerging Job Role
Job Role
Level Description Required Micro Small Mediu Large
m
 Carry out standard repair and
maintenance of the machine.
A Container Filling Machine
Operator must know and
understand:
 How to prepare and use the
machine.
 Applicable food and personal
safety standards.
 How to maintain the machine.
A Dairy Products Processing
Plant Supervisor must be able to:
 Inspect the dairy plant
processing plant equipment to
ensure correct functioning.
A Dairy Products  Coordinate with the relevant
Processing Plant service providers for the repair
Supervisor is and maintenance of processing
responsible for plant equipment.
supervising and
 Ensure adherence to the
coordinating the
applicable quality and safety
Dairy activities of dairy
standards.
Products processing plant
Processin workers. The  Train and supervise a team of
5    
g Plant individual is also processing plant workers
Superviso responsible for including planning daily
r monitoring operations and allocating work.
various
A Dairy Products Processing
equipment in the
Plant Supervisor must know
plant and
and understand:
ensuring their
effective  Functioning of various dairy
functioning. products processing plant
equipment.
 Effective team management
practices.
 Applicable food and personal
safety standards.
A Data Analyst is
A Data Analyst must be able to:
Data responsible for
5 collecting and  Collate data from different  
Analyst
analysing data stakeholders.
regarding milk
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Major Category of Enterprises for

NSQF Brief Key Activities & Knowledge Emerging Job Role
Job Role
Level Description Required Micro Small Mediu Large
m
production,  Analyse the data for actionable
collection, insights.
demand, sales,
 Prepare relevant reports for the
etc. The
stakeholders.
individual is also
responsible for A Data Analyst must know and
storing the data understand to:
safely and
 The process of collecting and
preparing the
analysing relevant data.
relevant reports
to offer  Use of the relevant software
actionable tools for analysing data and
insights. preparing a variety of reports.
A Food Laboratory Assistant
must be able to:
 Test the raw materials and
finished products to ensure
compliance with standards and
Conduct regulations and adherence to
standardized the organization’s food safety
tests on food, and hygiene policy.
beverages,  Analyze test results to classify
additives, or products or compare results
preservatives to with standard tables.
ensure
Food compliance with  Perform regular maintenance of
Laborator standards and laboratory equipment by
5 inspecting calibrating, cleaning,  
y regulations
Assistant regarding factors or sterilizing.
such as color,  Examine chemical or biological
texture, or samples to identify cell
nutrients. Test structures or to locate bacteria
quality of or extraneous material, using a
materials or microscope.
finished
products. A Food Laboratory Assistant
must know and understand:
 Applicable food safety and
hygiene standards.
 Record research or operational
data
An R&D Manager
R&D is responsible for An R&D Manager must be able
6  
Manager research, to:
planning, and
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Major Category of Enterprises for

NSQF Brief Key Activities & Knowledge Emerging Job Role
Job Role
Level Description Required Micro Small Mediu Large
m
implementing  Conduct research on new
new programs product development.
and protocols in
 Innovate new health-oriented
their
dairy products based on
organisation and
research.
overseeing the
development of  Oversee the development of
new products. new products as envisaged.
 Plan and implement new
programs and protocols.
An R&D Manager must know
and understand:
 The Global trends on new
products and the consumer
trend.
 Industry standards and
applicable regulations with
respect to the development of
new products.
 The process of research,
planning, and implementing
new programs and protocols.
An Inventory Manager must be
able to:
An Inventory
Manager is  Ensure the recommended
responsible for temperature and hygienic
managing the conditions for the variety of
inventory of dairy products.
pasteurised milk  Implement the FEFO (First
and value-added Expiry, First Out) mechanism in
dairy products. the outbound shipments.
Inventory
6 This includes    
Manager  Ensure adherence to the
ensuring storage
of products in the applicable food safety standards
recommended and regulatory requirements in
conditions; inventory management.
timely supply to An Inventory Manager must
the relevant know and understand:
markets and
restocking.  Appropriate conditions and
standards for the storage of a
variety of dairy products.

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Major Category of Enterprises for

NSQF Brief Key Activities & Knowledge Emerging Job Role
Job Role
Level Description Required Micro Small Mediu Large
m
 FEFO (First Expiry, First Out)
and other effective inventory
management practices.
A Food Safety & Hygiene
A Food Safety & Manager must be able to:
Hygiene Manager  Ensure adherence to the
is responsible for organization’s food safety and
implementing the hygiene policy.
food safety
policies and  Train the processing plant
standards in the employees on the use of
food processing relevant systems.
plant. The  Ensure maintenance of the
individual is also record of operations and review
Food responsible for them periodically.
Safety & training other
6  Manage supplier relationships.    
Hygiene employees;
Manager maintaining Conduct safety audits.
documentation; A Food Safety & Hygiene
ensuring that Manager must know and
products meet understand:
the applicable
quality  Applicable food safety and
standards; hygiene standards.
educating  Record maintenance and review
suppliers; and procedures.
conducting safety
audits.  Supplier management.
 Safety audit procedures.

An Ice Cream An Ice Cream Manufacturer

Manufacturer is must be able to:
responsible for  Develop ice-cream recipes and
developing ice flavours
cream recipes Organise various ingredients
and flavours; required for producing ice-
organising the cream
Ice Cream required
Manufact 4 ingredients;  Produce ice-cream using the    
urer producing ice relevant production techniques
cream using the such as churning, mixing, and
relevant pasteurizing
machineries,  Pack the ice-cream using
tools, and appropriate packaging material
equipment; and Maintain the relevant
packing ice machinery, tools, and
cream. The equipment
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Major Category of Enterprises for

NSQF Brief Key Activities & Knowledge Emerging Job Role
Job Role
Level Description Required Micro Small Mediu Large
m
individual is also Follow the applicable health
responsible for and safety standards
carrying out
An Ice Cream Manufacturer
regular repair
must know and understand:
and maintenance
of the relevant  Applicable food safety and
machineries, hygiene standards
tools, and
 Various ice cream mixes and the
equipment.
ingredients used for producing
them
 The process of producing ice
cream and the appropriate
temperature to be maintained
while mixing and pasteurising
the ingredients
 How to operate and maintain
the relevant machineries, tools,
and equipment

Table 36: Existing and emerging prominent job roles which will require skilling

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Skill Sets required across multiple levels in the sector

Figure 47: Skill Sets required across multiple levels in the sector

7.8 Expectations from the Industry Stakeholders

Formulation of professional council to promote, regulate and standardise Dairy education in India
and maintain register of dairy technologists in the pattern of Council of Architecture, Veterinary
Council of India etc.
Further, the requirement to have a technical manager with science or technology as qualification
as per FSSAI to be partially modified to degree in dairy technology only, as hygienic, sanitary and
food safety requirements is more stringent amongst other food processing segments, which is
evident from schedule 4 of FSSR 2011 on Licensing & Registration and hygienic, sanitary and food
safety topics should be part of their UG degree curriculum.

Formal training institutes are expected to offer intense practical training / internship

 Formal training institutes are expected to change the curriculum based on the changing
needs of the industry. Moreover, it is expected that practical training or internship with
the dairy plant should be mandatory process for the graduation completion.

 Co-operative societies and Dairy equipment manufacturers like Indian Dairy Machinery
Company Ltd., Anand (IDMC) have shown interest in offering internships for the students
to experience the actual job requirements during the final year or semester.
Need for Specialized Training Institutes across every state

 With the limited awareness of the institutes offering dairy related vocational training
programs, it is expected that more institutes to be operated across states.

 In most of the states, co-operative units had a major share and adopting the latest
technology. Institutes can tie-up with the co-operative units to co-train the prospective
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manpower in the sector. Specialized programs offering training across functions for the
semi-skilled or unskilled employees to be created.

Data Analytics – New jobs on Demand

 Dairy plants and other food processing sector deals with tons of data starting from raw
material procurement from different parts of India and imports to retail sales of the end
products.
 These data have to be used for the benefit of the company in terms of demand forecasting,
raw materials supply forecasting, productivity monitoring and optimize the machine
running time, predictive assessment of market, etc.
 Industry would need these skills going forward for their self-growth as well as industry
growth

Creating a portal listing of trained manpower

 Dairy plants are facing a major challenge in finding the skilled or semi-skilled employees.

 Companies are expecting that FICSI can list down the students got trained for the QPs
generated by FICSI in their portal which can be accessed by the companies.

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Chapter 8: Sub-Sectoral Analysis –

Fish & Seafood Processing
8.1 Market summary

India is one of the world's largest seafood producers and top exporter of fish & fish products to
the major developed markets of the world such as US, Europe, South East Asia, Japan, and the
Middle East. India's buoyant seafood industry has emerged as the largest group in agricultural
exports of the country. The country holds a huge potential for fisheries with a vast coastline
spanning about 8,129 km20 in addition to inland water resources (rivers and canals, reservoirs,
ponds, tanks, and brackish water). The processed seafood segment consists of frozen, chilled and
shelf-stable seafood among which frozen segment accounts for 70% of the overall processed
seafood. Overall processed seafood production market accounts for 0.6% of the overall seafood
productions in India and this is mainly because the consumption of processed seafood in India is
still at a nascent stage. India has become the world’s fastest-growing market for packaged
processed fish and seafood which includes frozen and canned products. This market is currently
dominated by traditional Indian Fish retailers. Seafood processing is primarily focused on the
export markets, however, there has been a recent increase in demand for processed and RTE
seafood products in domestic markets.
Key Industry Indicators Details
Overall Market (‘000 MT) (FY’20) 26
No. of registered units 591
Past Growth rate (CAGR) (FY’ 15 – FY’ 20) 16.3%
Total Number of Employees (FY’ 20) 94,835 nos.
Overall Exports (FY’20) INR 46,663 Crs.
Expected Market (‘000 MT) FY’ 2030 101
Future growth rate (FY’ 20 – FY’ 30) 14.4%
Total Employee Estimation (FY’ 30) 354,036 nos.
Overall Employment Additions (FY’ 20 – FY’ 30) 259,201 nos.
Table 37: Fish & Seafood Processing: Key Industry Indicators

8.2 Present State of the Industry & Future Outlook

India is one of the world's largest seafood producers and top exporter of fish & fish products to
the major developed markets of the world such as US, Europe, South East Asia, Japan, and the
Middle East. India accounts for nearly 6% of the global fish production.

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The sector contributes 1.1% of India's GDP and 5.2% of the share of agriculture's GDP of India21.
India's buoyant seafood industry has emerged as the largest group in agricultural exports of the
country.
The country holds a huge potential for fisheries with a vast coastline spanning about 8,129 km22
in addition to inland water resources (rivers and canals, reservoirs, ponds, tanks, and brackish
water).
The Indian seafood industry is an important sector of food production, providing nutritional
security (such as protein, healthy fats and other nutrients like long-chain omega-3 fatty acids,
iodine, vitamin D, and calcium) and deploying about 14 million people across different activities
such as harvesting, processing, packaging, and distribution.

Key Stakeholders and Their Roles

Collection / Harvesting of fish.
Fishermen Fishermen do not store raw
fish as it is highly perishable

Transportation: Insulated vans

with Ice The agent transports the fish
immediately to the processor
Purchase men / factory agent appointed by processor or
without any holding at his level.
Commission Agent Responsibilities includes of
Weighing, loading, transportation
and unloading

Processing / Cold Storage Facility

Processor / Exporter
Processed fish is stored for
approximately 7 – 8 days
depending on demand

Reefer vans at -18 degree Celsius

Domestic Market / Exports are used for transportation to
consumption pockets

Figure 48: Key Stakeholders and Their Roles

The processed seafood segment consists of frozen, chilled and shelf-stable seafood among which
frozen segment accounts for 70% of the overall processed seafoods.
Overall processed seafood production market accounts for 0.6% of the overall seafood
productions in India and this is mainly because the consumption of processed seafood in India is
still at a nascent stage.
India has become the world’s fastest-growing market for packaged processed fish and seafood
which includes frozen and canned products. This market is currently dominated by traditional

21 MPEDA
22 Seafood Exports Association of India
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Indian Fish retailers. Seafood processing is done mostly for exports. However, there has been a
recent increase in demand for processed and RTE seafood products in domestic markets.
India presently has approximately 600 registered units of seafood Processing Plants having
installed capacity to process 26MMT23.
Marine products are exported through 30 different sea/air/land ports across the country.
Pipavav is the major port with respect to export volumes and Vizag is the major port with respect
to export values.

Manufacturing Clusters: Fish & Seafood Processing

Gujarat West Bengal

Odisha
Maharashtra

Andhra Pradesh
Goa
Karnataka

Kerala
Tamil Nadu

Figure 49: Manufacturing Clusters

Top 9 states account to 100% of total employment in the Fish & Seafood Processing industry

23 MPEDA
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No. of Processing Units & Processing Capacity by States

8,000 113 7,009 140

7,000 5,719 5,305 133 5,115 120
6,000 4,486 100
5,000 61
98 80
4,000 2,738 60
3,000 56 54 1,870 1,250 40
2,000 1,081
1,000 15 83 50 31 20
- 2 0

Capacity in MT No. of Processing Units

Figure 50: No. of Processing Units & Processing Capacity by States

Source: MPEDA
There are 14 offices where these processing units are registered with. Apart from the processing
units, there are various storage units, handling centers are registered with the MPEDA /Ministry
of Commerce & Industry.
Chilled Dry Fish
Processing Cold Storage Other Storage
Storage Storage
Office
Capacity Capacity Capacity Capacity Capacity
No No No No No
(MT) (MT) (MT) (MT) (MT)

RC Vijayawada 10 607 12 15,968 - - - - - -

RO Chennai 33 2,347 38 25,744 3 1,448 6 1,218 2 1,246
RO Kochi 110 4,464 148 78,124 1 861 1 4 7 2,588
RO Kolkata 45 1,824 55 16,685 1 310 20 1,272 1 60
RO Mumbai 45 3,841 49 51,008 1 10 5 460 1 540
RO Veraval 95 4,994 105 55,476 - - 14 1,496 1 200
RO Vizag 18 812 33 21,305 2 1,268 2 3,030 - -
SRD Ratnagiri 12 1,541 9 8,211 1 706 3 3,110 3 3,110
SRO BBSR 30 1,296 33 19,932 18 11,099 - - - -
SRO Bhimavaram 50 2,900 53 34,785 3 5,366 10 871 3 3,315
SRO Goa 15 1,081 16 7,387 - - - - 2 1,400
SRO Mangalore 55 5,719 33 25,002 - - 10 7,153 23 13,292
SRO Porbandar 30 1,831 26 19,518 3 877 9 3,731 1 5
SRO Tuticorin 43 1,399 42 22,107 8 783 9 5,080 8 2,502
Total 591 34,657 652 401,250 41 22,728 89 27,425 52 28,258

Table 38: List of Offices & Processing Units

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Market Trend in Fish and Seafood Production in India

Production Domestic Sales Export

Year
(Rs. Cr.) (Rs. Cr.) (Rs. Cr.)
FY'15 1,01,000 68,000 33,000
FY'16 1,09,520 79,100 30,420
FY'17 1,23,870 85,999 37,871
FY'18 1,40,100 94,993 45,107
FY'19 1,53,939 1,07,350 46,589
FY'20 1,67,963 1,21,300 46,663
CAGR 10.7% 7.2% 12.3%

Table 39: Market Trend in Fish and Seafood Production in India (Rs. Cr.)
Source: MPEDA; Seafood Exporters Association of India

Total Fish and Seafood production in India has been estimated at Rs. 1,67,963 Cr in FY'20.
Production has been growing at a CAGR of 10.7% since FY'15. Domestic sales have grown by
12.3% CAGR since FY'15 and currently valued at Rs. 1,21,300 Cr.

On the other hand, Export of Fish & Seafood has grown at 7.2% CAGR since FY'15 and currently
valued at Rs. 46,663 Cr. Based on published reports, Domestic Fish and Seafood Sales likely to
grow at 13% CAGR and may touch Rs. 1,75,000 Cr. by FY'23.

Estimated No. of Fish & Seafood Processing Units by States24

The industry comprises around 590 - 600 processing units as on March 2021 across categories.
Around 60% of these companies are either Small or Micro enterprises.

Capacity Range (MT)

Name of the No. of
State Units 15.1 – 25.1 - 50.1 - 75.1 - 100.1 150.1
< 15 > 200
25 50 75 100 - 150 - 200
Tamil Nadu 60 33% 16% 28% 16% - 3% - 3%
Andhra Pradesh 95 2% 6% 40% 37% 12% 2% - 1%
Kerala 110 9% 19% 50% 17% 2% 2% 1% -
West Bengal 45 10% 24% 44% 16% 4% 2% - -
Maharashtra 50 2% 2% 20% 20% 17% 22% 13% 4%
Gujarat 130 4% 6% 51% 28% 5% 5% 2% -
Odisha 30 6% 42% 32% 6% 10% 3% - -
Goa 15 - 13% - 53% 20% 13% - -
Karnataka 54 4% 5% 13% 14% 29% 14% 14% 7%

24 MPEDA
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Capacity Range (MT)

Name of the No. of
State Units 15.1 – 25.1 - 50.1 - 75.1 - 100.1 150.1
< 15 > 200
25 50 75 100 - 150 - 200
Daman & Diu 2 - - 100% - - - - -
Total 591 8% 13% 38% 23% 9% 6% 3% 1%

Table 40: Estimated No. of Fish & Seafood Processing Units by States

Market Trend in Processed Fish and Seafood production in India

Frozen Chilled Shelf Stable

Total Volume
Year Seafood Seafood Seafood
(Rs. Cr.) ('000 MT)
(Rs. Cr.) (Rs. Cr.) (Rs. Cr.)
FY'15 358 109 52 519 12.2
FY'16 417 127 60 604 14.3
FY'17 492 150 71 713 16.8
FY'18 580 177 83 840 19.8
FY'19 665 193 106 964 22.7
FY'20 752 221 133 1,106 26.1
CAGR 16.0% 15.2% 20.7% 16.3%
FY'20 Share 68% 20% 12%

Table 41: Market Trend in Processed Fish and Seafood production in India
Source: MPEDA; Seafood Exporters Association of India; Volume for FY'15 - FY'19 has been derived based on
FY'20 volume
In FY'20, Processed Fish & Seafood market accounts for only 0.7% of the overall Fish and Seafood
production in India and valued at Rs. 1,106 Cr. Within the segment, Frozen Seafood accounts for
68% share while Chilled Seafood and Shelf stable seafood accounts for 20% and 12% share
respectively. These three sub-segments are growing at a CAGR of 16.0%, 15.2% and 20.7% CAGR
respectively since FY'15.
Market by products
Others
12%

Fish Dried & Salted

Shrimp & Prawn
or smoked
Frozen
13%
38%

Fish Dried, Unsalted

16%

Marine Fish Frozen

21%
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Figure 51: Market share by Products

Other Products: Frozen whole cooked lobster, jelly fish, frozen squids, shark fins, etc.
India's domestic consumption as well as the export of marine products have observed
tremendous growth in recent years. The changing lifestyle of people and food habits coupled with
a rising appetite for healthy food is creating higher demand for processed fish in the urban areas.
This, in turn, is creating a way for various players to invest and increase the accessibility of
processed products for consumers.

8.3 Present Employment Scenario & Analysis

The detailed primary research exercise undertaken by Feedback Consulting for this report
involved meeting over 404 companies across India. This also covered various category of players.
74% of these companies were Micro and Small Enterprises and ~68% of these companies were
clustered in Southern and Western region in India.

Generally, the industry is classified based on capacity. However, for uniformity, the industry has
been classified based on the revenue guidelines of RBI. Large companies: > Rs. 250 Cr., Medium:
Rs. 50 - 250 Cr., Small: Rs. 5 - 50 Cr. and Micro: <Rs. 5 Cr.

8.3.1 Sample Coverage by Categories of Companies & Region

Sample
Category of the Company East West South
Coverage (N)

Micro Enterprises 195 33% 33% 34%

Small Enterprises 170 33% 30% 37%
Medium Enterprises 32 29% 43% 36%
Large Enterprises 7 30% 40% 30%
Total 404 32% 34% 34%

Table 42: Sample Coverage by Categories of Companies & Region

The following charts outlines the overall employment scenario across category of companies.
Annexure of this report outlines the employment scenario by the category of companies classified
above (Micro, Small, Medium & Large Enterprises).

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8.3.2 Total No. of Employees

Past Trend of employment in the Fish & Seafood Industry

94,835

82,655
72,040

61,155
51,832
44,507

FY'15 FY'16 FY'17 FY'18 FY'19 FY'20

Total No. of Employees

Figure 52: Past Trend of employment in the Fish & Seafood Industry
Source: Feedback Analysis
16% CAGR growth in employment in fisheries segment in India.

Share of Employees (FY’ 20) Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 94,835) (Base: 94,835)

Top Management
4%
Permanent
29%
Operator-Level
Middle
Employees
Management
76%
8%
Contractual
71%
Lower
Management /
supervisory
12%

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Share of Operator-Level Employees Share of Permanent Employees by Education

(Base: 72,075) (Base: 27,502)

Helpers, PG
Production 3%
Support & Pre-Processing
Others Cleaning UG
30% 26% Less than 10%
Schooling
62% Diploma /
ITI
Machine 2%
Operators
Loader / 9%
Unloader Schooling Vocational
6% 18% Training
Packing
Supervisor 23% 5%
6%

Figure 53: Share of Employees (FY’ 20): By Different Category

Share by NSQF (Base=94,835 Employees)

Level 7 (Sr Mgmt)
4%

Level 5&6 (Low + mid

Mgmt)
24%

Level 4 (Operator/
Level 2&3
Supervisor)
65%
7%

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Figure 54: Share of Employees (FY’20): By NSQF levels

FY 20: State wise Employees in the industry (Base: 94,835 Employees)

Andhra Pradesh 39,201

Kerala 17,130

Maharashtra 9,914

Gujarat 8,180

Karnataka 7,064

Tamil Nadu 6,910

West Bengal 3,352

Odisha 2,280

Goa 805

Figure 55: State wise Employees in the Industry (FY’20)

Source: Feedback Analysis

Top 9 states account to 100% of total employment in the industry

Current Key Job Roles & Responsibilities (at Operator-level employees’ category)

Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles
No. Responsibilities Level Micro Small Medium Large
The pre-processing work
includes grading, sorting,
distribution, evisceration,
cutting, slicing, and cleaning
Cleaning / in the case of fish, peeling,
Pre- cleaning, and grading in the
1 3    
Processing case of shrimp, evisceration,
Labourers cleaning, and grading in the
case of cephalopods.
Women comprises of 80 –
90% of the cleaning / pre-
processing labourers
Machine
Operate machines to clean,
Operator
2 cut, cook, smoke and brine, 4    
(Processing
dehydrate or otherwise
Machinery
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Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles
No. Responsibilities Level Micro Small Medium Large
& process fish or seafood
Packaging products.
Machinery) Also, operate machines to
can, bag, box or otherwise
package fish and seafood
products. Operators of
coolers / cold storage
facility at the unit
Monitoring overall
3 Supervisor operation and managing 5    
manpower across functions
Canning and other forms of
4 Packer 3   
packaging
Misc. work including
5 Helpers cleaning plants, Vehicles, 3    
Machinery, etc.
Loader / Material handling, Loading
6 3   
Unloader & Unloading products.
7 Technician Machine maintenance 4   
Weigh fish or shellfish,
record weight and pack fish
in ice. Sort fish and other
Production products according to
8 3   
Support species, weight, and
destination. Condition fish
filets for wrapping or
freezing.
Table 43: Current Key Job Roles & Responsibilities (at Operator-level employees’ category)
8.3.3 Past Growth of Employees (FY’17 – FY’20)

36%
 20% of the enterprises have
29% experienced degrowth in their
manpower in the past 3 years.

 36% have indicated that their

15%
12% manpower has grown marginally
7% (up to 5%).
1%

>-10% -5 to -10% -5% to 0% 0.1 to 5% 5.1 - 10% > 10%

Figure 56: Past Growth of Employees (FY’17 – FY’20)

Source: Feedback Analysis

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8.3.4 Future Plans of the Companies and its Impact on the Manpower Growth
Future Plans of the Companies covered

Plans Micro Small Medium Large

Plan to enhance the capacity 26% 12% 21% 80%
Plan to invest on technology 37% 9% 36% 80%
Plans to set up a new facility 0% 7% 20%
Increase / Introduce Exports 21%
New Product Addition 14%
Planning to invest in Internet of Things (IoT) or
36%
Automation

Table 44: Future Plans of the Companies covered

Automation or IoT; New Product Addition are predominantly the interest areas of large
companies.
Manpower Recruitment Plan, Considering the Future Operational Expansion Plans

Considering the future

64% expansion plans of
56%
enterprises, it is expected
that the manpower is likely
27% 25%
19% to increase by
9%
 1% - 1.5% in next 3 years
(Average)
3 Years 5 Years
 2% – 2.5% in next 5
No Change in Manpower 0.1% - 5% 5.1% - 10% years (Average)

Figure 57: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
Source: Feedback Analysis

8.4 Recruitment & Training Practice

Recruitment Practice
Walk-in is the key source of recruiting candidates across Operational level and Lower level
employees. Following are the key institutes encountered during our survey from where the
candidates / employees have got trained or graduated before joining the enterprises.

Managerial Level Key Institutes Encountered (Graduated Institutes of the Current

Employees)
 Formal training institutes offering food technology / food science
Top Management
programs

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Managerial Level Key Institutes Encountered (Graduated Institutes of the Current

Employees)
 Formal training institutes offering food technology / food science
Middle Management
programs
Lower Level  No specific Institutes. As most of them are either secondary or higher
Management secondary education (Schooling) or less than secondary schooling
Operator Level  No specific Institutes. As most of them are either secondary or higher
Employees secondary education (Schooling) or less than secondary schooling
Table 45: Recruitment Practice
Training Practice
Overall ~30% of the companies we have covered as part of the sample are providing training
across levels when an employee joins the firm (On-the-Job training).

% of Companies offering training

40%
64% 71%
77% 76%

60%
36% 29%
23% 24%

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Offers Training Doesn't Offer Training

Figure 58: % of Companies offering training

Source: Feedback Analysis
Major Training Topics Covered (Encountered in Primary Interviews)
Enterprises

Enterprises

Enterprises

Enterprises
Medium

Functional
Micro

Large
Small

Training
Remarks Focus / Job
Topics
Roles

Pre- Sort fish and seafood Operator    

Processing according to species and Level
Operations know-how the cleaning Employees &
process for different Lower-Level
type of products Employees
Product Detail the fish and Operator    
Handling seafood handling Level
requirements. Hygienic Employees &
handling of the products Lower-Level
and the wastages Employees
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Enterprises

Enterprises

Enterprises

Enterprises
Medium
Functional

Micro

Large
Small
Training
Remarks Focus / Job
Topics
Roles

Storage Storage temperature Operator   

required at every stage Level
of processing (Raw Employees &
Material to Finished Lower-Level
Products) Employees
Operations Training to detail the Supervisors /  
Management overall operations, Managers
manpower allocation,
inspection, etc.
Supervision Appropriate cooling Supervisors / 
of product methods, packing Managers
handling methods, latest
activities technology, equipment
operations, etc.
Plant Maintenance checklist Operator 
Maintenance for equipment Level
(processing and Employees &
packing) Lower-Level
Employees
(Technicians
/ Machine
Operators)
Seafood Possible Value addition Managers 
Value of the fish and seafood
Addition and the methodology of
introducing value added
products
Table 46: Major Training Topics Covered
Effectiveness of Training
(Mean score On a Scale of 1 - 7 where 7 is extremely satisfied and 1 is extremely dissatisfied)

5.12
5.01 4.98 4.97

4.8

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Figure 59: Effectiveness of Training

Source: Feedback Analysis

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8.5 Challenges related to Skill Availability Vs Skill Gaps

Skill Acquisition Challenges
Key concerns raised by the fish and seafood service providers in terms of acquiring the skilled
manpower are as follows
Only one training program designed for Fish & Seafood Processing under NSDC

 According to the processing companies, only one program has been designed by NSDC
specific to Fish and Seafood Processing (Post Harvest) – “Fish and Seafood Processing
Technician”

 The training offers employment restricted only to the Machine operators for the industry
Not Aware of Training Institutes Offering Relevant Programs

 Poor awareness of the training institutes focusing on fish and seafood processing

 Large and medium enterprises are aware of formal training institutes offering graduate
programs on fish and seafood technology
Operator Level Employees are not formally trained

 Operator level employees are either secondary/Higher secondary schools and also the
school dropouts. On-job training becomes mandatory.

 Higher employee attrition is another challenge where 64% of employees at the operator
level and lower level are leaving the organizations within 3 years of their joining
Skill Gaps by Specific Job Roles
Following are the select key job roles and their required skills and skill gaps

Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Micro Small Medium Large

 Managerial Skills
 Technical Know-
how across
functions  Ability to work with
 Interpersonal both the processing
Mid Skills and packaging
Manageme equipment
Processing  Leadership Skills
nt  Training manpower    
Manager  Domain Skills
at the lower level or
(Various Fish and
NSQF: 5 operator level
Seafood Types,
Value Added  Lack of leadership
Products, etc.))
 Understanding the
technology and
adaptation to

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Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Micro Small Medium Large
newer
technologies
 Visual examination
Mid skills of the fresh
Manageme fish and seafood
Quality  Lack of visual
nt  
Control  Assessing the examination skills
NSQF: 5 quality for the
finished products
 To develop
inventory  Knowledge of
Mid inventory
management
Manageme management
Inventory systems, maintain
nt software  
Controller stock levels, and
coordinate the  Analysis of demand
NSQF: 5
logistics of orders and supply
and transfers.
 Overseeing
operations
including Pre-  Gaps in
processing, leadership/supervi
processing, sion skills leading
packaging, and to efficiency and
dispatch of the monitoring issues
Lower-
products
Level  Lack of technical
Shift  Technical and non-
Manageme knowledge on
Supervisor / technical Know-    
nt multi-commodity
Supervisor how knowledge storage practice
NSQF: 5  Equipment  Best practices w.r.t
operations and material handling
maintenance to reduce wastage
 Manpower during material
planning handling
 Manpower
training
Lower-  Knowledge on
Level transformation
Maintenance Manageme from analogue to  Lack of update in
digital business    
Officer nt technology
model
NSQF: 4  Domain Skills
Operator  Prepare invoice
Clerks  Technical
Level
(Invoicing  Compile and competencies / lack
Employees   
and other maintain records of operating
activities) of all billings knowledge on
NSQF: 4
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Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Micro Small Medium Large
 Assist accounting accounting
team in preparing software
relevant
documents
 Inability to learn
Operator and operate across
Loading / Level functions
Unloading Employees  Materials Handling   
Labors  Lack of knowledge
NSQF: 3 on wastage
handling

 Understanding the  Sanitation and

Operator job roles in various Hygienic awareness
Level interlinked and
Helpers Employees functions knowledge/practice    
 Materials Handling  Inability to learn
NSQF: 3  Production and operate across
support functions

Table 47: Key job roles and their required skills and skill gaps

8.6 Future Projection – Sector & Employment

Projected growth of Processed Fish and Seafood market in India

Visionaries and Industry experts feel that there are certain inherent challenges within the
industry due to Overfishing or damage to the ocean floor in the western region. This may result
in limited growth in the overall Fish and Seafood production in the country. As a result, Frozen
and Chilled Seafood market likely to grow at approx. 12% CAGR over next 10 years and the Shelf
Stable Seafood market has the potential to grow at 25% CAGR.

Volume
Value Market - Processed Fish & Seafood - Rs. Cr.
Market
Shelf Production
Frozen Chilled
FY Stable Total (‘000 MT)
Seafood Seafood
Seafood
FY'20 752 221 133 1,106 26.1
CAGR 12% 12% 25% 14% 14%
FY'30 2,336 686 1,239 4,261 100.5
Share 55% 16% 29%

Table 48: Projected growth of Processed Fish and Seafood market in India

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Source: MPEDA, Seafood Exporters Association of India, Interactions with SMEs & Visionaries. Impact of COVID
pandemic considered for the future estimates of both market & employment

Processing capacity and investment required to achieve the above processing levels

Parameter Unit Values

FY'20 Production '000 MT 26.1

FY'30 Production (E) '000 MT 100.5

Increase in production between FY'20 & FY'30 '000 MT 74.5

Considering 80% capacity utilization, additional
'000 MT 93.1
processing capacity required
Investment norm Rs. / MT 2,00,000

Total Investment required Rs. Cr. 1,861

Table 49: Processing capacity and investment required to in the industry

Source: MPEDA
Note: Average investment towards setting up of 1 MT Fish and Seafood processing plant is Rs 150,000 on the
higher side. The investment would vary by type of processing (Frozen, Shelf Stable, etc.) and product (Fish,
Shrimp, etc.). More than Rs. 400 Cr. worth of projects are already in various stages of implementation.
Government of India has recently allocated Rs. 3,737 Crore for the newly carved out Ministry of Fisheries,
Animal Husbandry and Dairying.

Select ongoing and upcoming projects of Fish & Seafood Processing sector in India

SL Project Project
Company Name Project Name Cost (Rs. Cr.)
# Location Type
Odisha Industrial
Deras Mega Seafood Deras, Khordha,
1 Infrastructure New Unit 122
Park Project Odisha
Devp. Corpn.
Deras Shrimp
Falcon Marine Deras, Khordha,
2 Processing & New Unit 86
Exports Ltd. Odisha
Freezing Unit Project

Gadabhanga Shrimp Gadabhanga,

Highland
3 Processing and Cold Baleshwar, New Unit 53
Agrotech L P
Chain Unit Project Odisha
Deras Shrimp
Coastal Deras, Khordha,
4 Processing Unit New Unit 51
Corporation Ltd. Odisha
Project
Government Of
Nagapattinam Fish Nagore village,
Tamil Nadu,
5 Processing Park Nagapattinam, New Unit 23
Department of
Project Tamil Nadu
Fisheries

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SL Project Project
Company Name Project Name Cost (Rs. Cr.)
# Location Type
Deras Sea Food
Truism Resources Deras, Khordha,
6 Processing Park New Unit 23
LP Odisha
Project
Deras Seafood
B-one Business Deras, Khordha,
7 Processing Unit 2 New Unit 22
House Pvt. Ltd. Odisha
Project
Deras Sea Food
Amarsagar Deras, Khordha,
8 Processing Park New Unit 11
Seafoods Pvt. Ltd. Odisha
Project
Kerala Industrial Beypore,
Beypore Marine Park
9 Infrastructure Kozhikode, New Unit 10
Project
Devp. Corpn. Ltd. Kerala
Deras Prawn
Sabri Food Deras, Khordha,
10 Processing Plant New Unit 2
Products Pvt. Ltd. Odisha
Project
Table 50: Select ongoing and upcoming projects of Fish & Seafood Processing sector in India
Source: CMIE & Projects Today

FY'20 employment estimation in Processed Fish & Seafood sector in India

Annual
Average FY'20 Total No. of
Company Production Production Production/
no. of Employees in Processed
Category Share* ('000 MT) Employee
Employees Fish & Seafood Industry
(MT)
Large
500 5,000 15% 3.9 0.78
Enterprises
Medium
300 21,000 35% 9.1 0.44
Enterprises
Small
210 47,460 40% 10.4 0.22
Enterprises
Micro
75 21,375 10% 2.6 0.12
Enterprises
Total 94,835 26.1 0.28

Table 51: FY'20 employment estimation in Processed Fish & Seafood sector in India
*Discussion with few Processing Plants and SMEs
Note: The above employment estimation considers only the processing activity and excludes the Ice Plant, Pre-
processing storage, etc. Generally, the industry is classified based on capacity. However, for uniformity, the
industry has been classified based on the revenue guidelines of RBI. Large companies: > Rs. 250 Cr., Medium:
Rs. 50 - 250 Cr., Small: Rs. 5 - 50 Cr. and Micro: <Rs. 5 Cr.

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Future employment projection in Processed Fish & Seafood sector in India

Annual FY'20 - FY'30

FY'30 FY'30 Total
Company FY'30 share in Production/ Employment
Production Employee
Category Production* Employee Generation
('000 MT) Estimation
(MT)# potential
Large 15% 15.1 0.78 19,262 14,262

Medium 40% 40.2 0.44 92,455 71,455

Small 35% 35.2 0.22 159,977 112,517

Micro 10% 10.1 0.12 82,343 60,968

Total 100.5 0.28 354,036 259,201

Table 52: Future employment projection in Processed Fish & Seafood sector in India
*as per discussion with the processing plants and SMEs, contribution of various types of companies in the Fish
& Seafood industry will remain same over next 10 years
# Based on discussions with equipment manufacturers and SMEs, there could be marginal adoption of
automation / industry 4.0 in the coming years. However, that will have negligible impact on the productivity
of the employees. Hence, the same productivity values have been considered for future employment generation
potential.

Share of FY'20 - FY'30 Employment Generation potential Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 2,59,201) (Base: 2,59,201)

Top Management
5%
Operator-Level
Permanent
Employees
30%
70%
Middle
Management
Contractual 10%
70%
Lower
Management /
supervisory
15%

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Share of Operator-Level Employees Share of Permanent Employees by

(Base: 1,81,441) Education (Base: 77,760)

Helpers, PG
Production 3%
Support & Pre-Processing UG
Others Cleaning 7%
30% 25% Less than
Schooling
55% Diploma /
ITI
5%
Machine
Operators
Loader /
10%
Unloader
5%
Packing Schooling Vocational
Supervisor 25% 20% Training
5% 10%

Figure 60: Share of FY'20 - FY'30 Employment Generation potential: By Different Category

Share by NSQF (Base=259,201 Employees)

Level 7 (Sr Mgmt)

5%

Level 5&6 (Low + mid

Mgmt)
29%

Level 2&3
59%

Level 4 (Operator/
Supervisor)
7%

Figure 61: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels

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State wise Employment Generation Potential (Base: 259,201 Employees)

Andhra Pradesh 97,126

Kerala 48,777

Maharashtra 29,292

Gujarat 24,902

Karnataka 20,548

Tamil Nadu 20,084

West Bengal 9,530

Odisha 6,566

Goa 2,376

Figure 62: State wise Employment Generation Potential

Source: Feedback Analysis

Top 9 states account to 100% of total employment in the industry

8.7 Existing & Emerging Prominent Job Roles Which Requires

Skilling
Following are the specific existing and emerging prominent job roles that will create employment
opportunities in Fish and Seafood Processing Sub-sector in future

Major Category of Enterprises for

NSQF Key Activities & Knowledge Emerging Job Role
Job Role Brief Description
Level Required Micro Small Mediu Large
m
A Helper / Floor A Helper / Floor Cleaner /
Cleaner / Loader & Loader & Unloader must be
Helper / Unloader is able to:
Floor responsible for
Cleaner / 3 carrying out various  Load and unload supplies.   
Loader & labor-intensive  Maintain cleanliness in the
Unloader activities such as processing and storage
loading/unloading area.
and storing the
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Major Category of Enterprises for

NSQF Key Activities & Knowledge Emerging Job Role
Job Role Brief Description
Level Required Micro Small Mediu Large
m
supplies; packing  Store the supplies
products; appropriately.
maintaining the
 Pack the products as per
storage area along
the packaging standards
with other relevant
when required.
activities under
supervision. A Helper / Floor Cleaner /
Loader & Unloader must
know and understand:
 Applicable food safety and
hygiene standards.
 Appropriate handling of
food supplies and
products.
A Shell remover and
Cleaner must be able to:
 Clean, gut and cut fish into
fillets or steaks.
 Remove shells from select
seafoods.
 Carry and sorting and
A Shell remover and grading of fish and
Cleaner is seafood.
responsible
 Store fish and seafood at
Shell carrying out various
the recommended
remover pre-processing
3 temperature.    
and activities under
Cleaner supervision such as  Follow the applicable food
cleaning and gutting safety and hygiene
fish; cutting fish into standards.
fillets or steaks; etc. A Shell remover and
Cleaner must know and
understand:
 Relevant parameters for
sorting and grading fish
and seafood.
 Applicable food and
personal safety standards.
A Defrosting & A Defrosting & Washing
Defrostin
Washing Machine Machine Operators must be
g &
Operators is able to:
Washing
4 responsible for  Set up and operate   
Machine
Operator setting up and defrosting and washing
s operating machinery to defrost the
machinery defrost frozen fish and wash the
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Major Category of Enterprises for

NSQF Key Activities & Knowledge Emerging Job Role
Job Role Brief Description
Level Required Micro Small Mediu Large
m
and wash the fish same for further
and seafood. processing.
 Ensure compliance with
the applicable quality
standards by carrying out
corrective machine
adjustments as required.
 Follow the applicable food
hygiene and safety
standards.
A Defrosting & Washing
Machine Operators must
know and understand:
 Applicable food and
personal safety standards.
A Filleting and Cutting
Machine Operators must be
able to:
 Set up and operate filleting
and cutting machinery to
processing fish and
A Filleting & Cutting seafood to make a
Machine Operator is required end product or to
responsible for prepare for further
setting up and processing.
Filleting  Ensure compliance with
operate the
& Cutting the applicable quality
4 processing    
Machine standards by carrying out
machinery for
Operator corrective machine
filleting and cutting
the fish and seafood adjustments as required.
to make a required  Follow the applicable food
end product. hygiene and safety
standards.
A Filleting and Cutting
Machine Operators must
know and understand:
 Applicable food and
personal safety standards.
A Squid Pressing A Squid Pressing Machine
Squid Machine Operator is Operator must be able to:
Pressing responsible for
4 setting up and  Set up and operate squid   
Machine pressing machinery to
Operator operate the
processing processing squid to make a
machinery for squid required end product or to

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Major Category of Enterprises for

NSQF Key Activities & Knowledge Emerging Job Role
Job Role Brief Description
Level Required Micro Small Mediu Large
m
pressing and prepare for further
processing to make processing.
relevant product for  Ensure compliance with
further process. the applicable quality
standards by carrying out
corrective machine
adjustments as required.
 Follow the applicable food
hygiene and safety
standards.
 Recycle and dispose the
waste generated
appropriately.
A Squid Pressing Machine
Operator must know and
understand:
 Applicable food and
personal safety standards.
A Fish & Seafood Processing
Plant Supervisor must be
able to:
 Train and supervise a
team of processing plant
A Fish & Seafood workers, including work
Processing Plant allocation and scheduling
Supervisor or of task
responsible for  Ensure the applicable and
supervising a team health and safety
Fish & of fish and seafood standards are followed
Seafood processing workers  Inspect the processing
Processin at processing plants. plant working conditions
5    
g Plant The individual is and equipment to ensure
Supervis also responsible for compliance with the
or conducting regular applicable standards
inspections and
 Coordinate with the
ensuring smooth
relevant service providers
functioning of
or vendors for repair and
various equipment
maintenance of the
at the plant.
processing plant
equipment
A Fish & Seafood
Processing Plant
Supervisor must know and
understand:

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Major Category of Enterprises for

NSQF Key Activities & Knowledge Emerging Job Role
Job Role Brief Description
Level Required Micro Small Mediu Large
m
 Applicable food and
personal safety standards
 Various activities carried
out during pre-processing
and processing of fish and
seafood
 Use of various equipment
used at a fish processing
plant and the best
practices to be followed to
achieve machine-efficiency
 Team handling practices
A Food Laboratory
Assistant must be able to:
 Test the raw materials and
finished products to
ensure compliance with
standards and regulations
and adherence to the
organization’s food safety
and hygiene policy.
Conduct  Analyze test results to
standardized tests classify products or
on food, beverages, compare results with
additives, or standard tables.
preservatives to
ensure compliance  Perform regular
Food maintenance of laboratory
with standards and
Laborato equipment by inspecting  
5 regulations
ry calibrating, cleaning, or
regarding factors
Assistant sterilizing.
such as color,
texture, or  Examine chemical or
nutrients. Test biological samples to
quality of materials identify cell structures or
or finished to locate bacteria or
products. extraneous material, using
a microscope.
A Food Laboratory
Assistant must know and
understand:
 Applicable food safety and
hygiene standards.
 Record research or
operational data

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Major Category of Enterprises for

NSQF Key Activities & Knowledge Emerging Job Role
Job Role Brief Description
Level Required Micro Small Mediu Large
m
A Food Safety & Hygiene
Manager must be able to:
 Ensure adherence to the
A Food Safety & organization’s food safety
Hygiene Manager is and hygiene policy.
responsible for
implementing the  Train the processing plant
food safety policies employees on the use of
and standards in the relevant systems.
food processing  Ensure maintenance of the
plant. The record of operations and
individual is also review them periodically.
Food
responsible for
Safety &  Manage supplier    
6 training other
Hygiene relationships.
employees;
Manager Conduct safety audits.
maintaining
documentation; A Food Safety & Hygiene
ensuring that Manager must know and
products meet the understand:
applicable quality
standards;  Applicable food safety and
educating suppliers; hygiene standards.
and conducting  Record maintenance and
safety audits. review procedures.
 Supplier management.
 Safety audit procedures.

Table 53: Existing and emerging prominent job roles which will require skilling

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Skill Sets required across multiple levels in the sector

Figure 63: Skill Sets required across multiple levels in the sector

8.8 Expectations from the Industry Stakeholders

There are lot of training institutes on fisheries and aqua culture. But, the institutes offering
training programs for the fish and seafood processing is very limited in India.
Following are the key expectations from the industry.
Need for Specialized Training Institutes in Key Clusters

 Specialized training institutes that cater to the needs of the fish and seafood processing
industry should be developed and focused on skilling of manpower in the key clusters like
Veraval, Kochi, Chennai, Ratnagiri, Kolkata, etc.
 As on now, the fish and seafood processing companies have limited awareness about the
current training infrastructure in the country.
 There are various companies in the coastal areas like Kochi, Veraval, Ratnagiri, etc. are
ready to offer internship programs to train the manpower.

Training Programs Focusing Operator Level Functions & Women Employment

 Around 80% of the total manpower categorized under operator level functions. And 80-
90% of the operator level employees are women employees

 Almost 100% of these employees are unskilled employees and on-the job training are
provided to the employees

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 Training programs designed to these stakeholders (Women employees at operator level),

primarily focusing cleaning, sorting, grading, cutting, conditioning, wrapping, etc. would
benefit the industry

Continuous Training

 Higher attrition among women employment drive for the continuous training support for
the industry.

 There will be less productivity in the industry for the specific months every year when
the fisheries are not allowed. Processing companies are expecting to utilize those
timelines for the training support for their existing employees.
Offering Practical Training Courses

 Offering certification at the lower level where the course involving practical work
experience in addition to academic study

 There are various companies in the coastal areas like Kochi, Veraval, Ratnagiri, etc. are
ready to offer internship programs to train the manpower

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Chapter 9: Sub-Sectoral Analysis –

Fruits & Vegetable Processing
9.1 Market summary
The fruit and vegetable processing industry holds significant growth potential owing to the low
levels of processing currently being done in the country. The withdrawal of excise duty on fruit
and vegetable products in the country has led to the growth of this industry. India is the world’s
second-largest producer of fruits and vegetables. To reduce wastage of fresh fruits and
vegetables, and to add value to them, processes like canning, dehydration, pickling, provisional
preservation and bottling have been introduced. However, percentage of processing of fruits and
vegetables is currently less than 3% as compared to countries like China (23%), the United States
(65%) and Philippines (78%).The Indian fruit and vegetable processing industry is also
experiencing conducive growth environment, owing to the abundant supply of raw materials and
favourable government policies like Pradhan Mantri Kisan Sampada Yojana (PMKSY), rapid
urbanization and increasing consumer affordability resulting in lifestyle changes and preference
towards various processed foods such as frozen peas, chopped vegetables, sauces and jams,
canned fruits and vegetables etc. India also has a geographical advantage as it is centrally located
to key export destinations such as Africa, the Middle East, Oceania and the Southeast Asia. Growth
in exports of processed fruits and vegetables has been aided by significant improvements in
processing technology, packaging quality and greater private sector participation and the trend
is likely to continue in the coming years.

Key Industry Indicators Details

Overall Market (‘000 MT) (FY’20) 8,542
No. of registered units 1,426
Past Growth rate (CAGR) (FY’ 15 – FY’ 20) 7.6%
Total Number of Employees (FY’ 20) 88,258 nos.
Overall Exports (FY’20) INR 3,173 crs.
Expected Market (‘000 MT) FY’ 2030 17,500
Future growth rate (FY’ 20 – FY’ 30) 7.4%
Total Employee Estimation (FY’ 30) 1,80,821 nos.
Overall Employment Additions (FY’ 20 – FY’ 30) 92,563 nos.
Table 54: Fruits & Vegetable Processing: Key Industry Indicators

9.2 Present State of the Industry & Future Outlook

The fruit and vegetable processing industry holds significant growth potential owing to the low
levels of processing currently being done in the country. In 2017, there were 1,100+ factories that

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were related to processing and preserving of fruit and vegetables25. The numbers have increased
to around 1,426 processing units at present.
The withdrawal of excise duty on fruit and vegetable products in the country has led to the growth
of this industry. India processed about 8542 MMT of Fruits and vegetables in FY 20.
Andhra Pradesh, Gujarat, Uttar Pradesh, Maharashtra and Karnataka are the five major fruit
producing states in India and account for ~51% of the total fruit production. West Bengal, Bihar,
Uttar Pradesh, Madhya Pradesh and Gujarat are five major states that accounts for ~55% of the
national vegetables production.
Increasing export opportunities are helping the market flourish, and are expected to drive future
growth in the industry. Top importers from India include the U.S., the Netherlands, Saudi Arabia,
the U.K., Iran, and France
On course with the ‘Digital India’ mission, the Maharashtra government has planned to digitize
the functioning of private wholesale vegetable markets to prevent farmers from being cheated
and to increase transparency. The government’s focus to launch various schemes to provide the
required infrastructure to the industry is also helping in the development of the industry.
These include schemes to provide capital, subsidies, duty free export of products, tax incentives
to investors, along with the Mega Food Parks Scheme and Scheme for Integrated Cold Chain
Capricorn Food Products India Limited and Shimla Hills Offerings Private Limited are among the
top players in the fruit and vegetable processing industry in India
Manufacturing Clusters

Punjab
Uttarakhand

Rajasthan

Gujarat West Bengal

Madhya Pradesh

Maharashtra

Andhra Pradesh

Karnataka

Tamil Nadu

Figure 64: Manufacturing Clusters

25 Annual Survey of Industries (2016-17)

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Top 10 states account to 89% of total employment in the F&V Processing industry

Market Overview
India is the second-largest producer of fruits and vegetables, thereby ensuring easy availability
of the main raw materials for the fruit and vegetable processing industry.
There are around 15 agro-climatic zones in India that can support the production of most fruits.
However, the country's level of fruit processing is very low (~2.2%), compared to countries like
Philippines (78%), China (23%) and the United States (65%). Processing in this segment is
expected to grow to 25% by 202526.
Fruits and Vegetable Processing Market Trend in India (INR Cr)

19,000 20,500
16,500 17,700
15,300

2016 2017 2018 2019 2020

Figure 65: Fruits and Vegetable Processing Market Trend in India (INR Cr)
Source: Foodprocessingindia.gov.in, Subject Matter Expert
The market is highly fragmented with a more significant presence of the unorganized sector,
mainly in the pickle producing segment. The organized industry comprises large and established
players with a diverse product portfolio.
A few of the significant players include Dabur India Limited, ITC Limited, Hindustan Unilever
Limited and Mother Dairy Fruit Vegetable Private Limited.
The industry is witnessing a rise in the number of foreign players as well, owing to significant
growth opportunities. Some of the tech start-ups in the Indian fruit and vegetable industry
include Ecozen Solutions Private Limited, Rakyan Beverages, Raav Techlabs Private Limited and
Nutricane Beverages Private Limited.27

Increasing export opportunities

 India is the second-largest producer of fruits and vegetables globally, and its vast
production base offers tremendous opportunities for exports
o With productions of 94.883 Mn metric Tonnes of fruits and 180.68 Mn metric
Tonnes of vegetables in FY 201828 (according to the first advance estimates), it
contributes a significant portion to the export portfolio of the country

26 https://www.researchgate.net/publication/309177866_Post-harvest_Situation_and_Losses_in_India
27 Source: https://foodprocessingindia.gov.in/sectors/Fruits-Vegetables
28 https://pib.gov.in/PressReleseDetailm.aspx?PRID=1703196

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o The country has exported 306,990.47 MT of Processed Fruits, Juices & Nuts to the
world for the worth of INR 3173.4229 Crores during the year 2020-21.

 Growth in exports of processed fruits and vegetables has been aided by significant
improvements in processing technology, packaging quality and greater private sector
participation
o India has an edge in cost of production compared to its competitors in Asia and
other developed countries
o India is one of the largest exporters of mango pulp in the world
o It is also a prominent exporter of dried and preserved vegetables

 Favorable climate, a large agriculture sector and livestock base, a long coastline, and
inland water resources have given India a comparative advantage over other processed
food exporting economies

 Moreover, India also has a geographical advantage as it is close to key export destinations
such as Africa, the Middle East, Oceania, and Southeast Asia

9.3 Present Employment Scenario & Analysis

Category of the Companies by Revenue

Category of the Definition

Remarks
Company (Revenue Range)
Micro enterprises are primarily small-scale
Micro
< Rs 5 Cr manufacturer focuses only on specific products of
Enterprises
F&V
Small enterprises would typically focus few products
Small like canning or dehydrated F&V, etc where the
RS 5.1 – 50 Cr
Enterprises minimal process that are required and for the export
purpose
Medium-Sized Enterprises predominantly have
Medium
Rs 50.1 – 250 Cr multiple product range caters to domestic and
Enterprises
exports market
Large Sized Enterprises are organized players
Large
> Rs 250 Cr focusing multiple products for domestic and exports
Enterprises
market
Table 55: Category of the Companies by Revenue

9.3.1 Sample Coverage by Categories of Companies & Region

Category of the Sample
East North West South
Company Coverage (N)
Micro Enterprises 250 22% 18% 36% 24%

29 http://apeda.gov.in/apedawebsite/SubHead_Products/Other_Processed_Fruits_Vegetables.htm
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Category of the Sample

East North West South
Company Coverage (N)
Small Enterprises 185 12% 19% 30% 39%

Medium Enterprises 46 9% 27% 22% 42%

Large Enterprises 7 40% 20% 20% 20%

Total 488 20% 17% 32% 31%

Table 56: Sample Coverage by Categories of Companies & Region

9.3.2 Total No. of Employees.

Past Trend of employment in the Fruit & Vegetable Processing Industry

88,258
76,203 81,800
65,871 71,037

FY'16 FY'17 FY'18 FY'19 FY'20

Total No. of Employees

Figure 66: Past Trend of employment in the Fruit & Vegetable Processing Industry
Source: Feedback Analysis
Share of Employees (FY’ 20) Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 88,258) (Base: 88,258)

Top
Operator-Level Management
Employees 9%
71%
Permanent
Contractual 38% Middle
62% Managem
ent
3%
Lower
Management /
supervisory
17%

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Share of Operator-Level Employees Share of Permanent Employees by

(Base: 62,663) Education (Base: 33,538)
Cleaning /
Helpers Pre-
17% PG
Processin 6%
g Less than
10% Schooling
42%

Loader/
UG
Unloader
15%
16%
Diploma /
Processor ITI
43% 4%
Superviso Packing Schooling Vocational
r 9% 32% Training
5% 1%

Figure 67: Share of Employees (FY’ 20): By Different Category

Share by NSQF (Base=88,258 Employees)

Level 7 (Sr Mgmt)

9%

Level 2&3
Level 5&6 (Low + mid
37%
Mgmt)
24%

Level 4 (Operator/
Supervisor)
30%

Figure 68: Share of Employees (FY’20) : By NSQF levels

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FY 20: State wise Employees in the industry (Base: 88,258 Employees)

Maharashtra 16,082
Andhra Pradesh 15,980
Punjab 10,572
Tamil Nadu 10,567
Karnataka 7,551
Gujarat 6,275
Uttarakhand 3,219
Madhya Pradesh 2,911
West Bengal 2,887
Rajasthan 2,349
Uttar Pradesh 2,315
Haryana 1,930
Himachal Pradesh 1,104
Delhi 1,082
Kerala 746
Others 2,687

Figure 69: State wise Employees in the Industry (FY’20)

Source: Feedback Analysis

Top 15 states account to 97% of total employment in the industry

Current Key Job Roles & Responsibilities (at Operator-level employees’ category)

Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles
No. Responsibilities Level Micro Small Medium Large
The pre-processing work
Pre-
includes primarily
1 Processing 3    
cleaning, grading, and
Labourers
sorting, cutting, etc.
Operating IQF;
Mixing/Grindings/Cutting
Machines, Other
Processing
2 processing machinery 4    
Labourers
based on the type of F&V
processed and the
required outputs
Operating machine and
Machine
3 also for maintenance of 4    
Operator
machines

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Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles
No. Responsibilities Level Micro Small Medium Large
(Packing
Machinery)
Monitoring overall
Shift operation and managing
4 5    
Supervisor manpower across
functions
Misc. work including
5 Helpers cleaning plants, Machinery 3    
after every batch, etc.
Loader / Material handling, Loading
6 3    
Unloader & Unloading products.
Accountant Managing accounting and
7 / Invoicing day to day transaction 4  
Clerk entry in the ledger
Sales and Sales Executives /
8 Distribution Distribution to the 4   
Support Channel Partners
Table 57: Current Key Job Roles & Responsibilities (at Operator-level employees’ category)
9.3.3 Past Growth of Employees (FY’17 – FY’20)

42%
 15% of the enterprises
29% surveyed have experienced
degrowth in the manpower
16%
11%  ~45% of the medium
1% 1% enterprises have seen
growth of >5% in the last 3
>-10% -5 to -10%-5% to 0%0.1 to 5% 5.1 - 10% > 10% years (FY 17 – FY 20)

Figure 70: Past Growth of Employees (FY’17 – FY’20)

Source: Feedback Analysis

9.3.4 Future Plans of the Companies and its Impact on the Manpower Growth
Future Plans of the Companies covered

Plans Micro Small Medium Large

Planning to invest in Internet of Things
46% 50% 30% 100%
(IoT) or Automation
Plan to invest on new equipment 40% 38% 35% 100%
Plan to enhance the production capacity 58% 48% 33% 100%
Plans to launch new products 41% 29% 37% 100%
Plans to increase exports 3% 2% 26% 100%
Plans to invest on R&D 0% 6% 11% 100%
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Table 58: Future Plans of the Companies covered

Manpower Recruitment Plan, Considering the Future Operational Expansion Plans

34% 33% 33% 33%

Considering the future

20% expansion plans of enterprises,
16%
13% it is expected that the manpower
8% 9%
is likely to increase by
 >5% of the manpower
3 Years 5 Years growth in next 3 – 5 years

Degrowth upto 5% No Change in Manpower 2

0.1% - 5% 5.1% - 10%
>10 %

Figure 71: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
Source: Feedback Analysis

9.4 Recruitment & Training Practice

Recruitment Practice
Following are the key institutes encountered during our survey from where the candidates /
employees have got trained or graduated before joining the enterprises.

Key Institutes Encountered (Graduated Institutes of the Current

Managerial Level
Employees)

Top Management Formal training institutes offering Food Tech / Food Science programs

Middle Management Formal training institutes offering Food Tech / Food Science programs

Lower-Level No specific Institutes. As most of them are either secondary or higher

Management secondary education (Schooling) or less than secondary schooling

Operator Level No specific Institutes. As most of them are either secondary or higher
Employees secondary education (Schooling) or less than secondary schooling

Table 59: Recruitment Practice

Training Practice
Overall, 15 – 16% of the companies we have covered as part of the sample are providing training
across levels when an employee joins the firm (On-the-Job training).

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% of Companies offering training

48%

90% 89% 84%

100%

52%

10% 11% 16%

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Offers Training Doesn't Offer Training

Figure 72: % of Companies offering training

Source: Feedback Analysis
Major Training Topics Covered (Encountered in Primary Interviews)

Enterprises

Enterprises

Enterprises

Enterprises
Medium
Training Functional Focus

Micro

Large
Small
Remarks
Topics / Job Roles

Proper cleaning of F&V,

Pre-
grading, sorting, and Operator Level
Processing    
preparation for processing Employees
Operations
line chopping, etc.
Operating machines for Operator Level
further processing of F&V Employees; Lower-
Processing
to get required output Level Employees;    
Operations
(Pulp, Dehydrated, juices, Supervisors /
jams, sauces, etc.) Managers
Supervision Appropriate packing
of product methods, latest Supervisors /
 
handling technology, equipment Managers
activities operations, etc.
Operator Level
Employees &
Maintenance checklist for Lower-Level
Plant
equipment (processing Employees 
Maintenance
and packing) (Technicians /
Machine
Operators)
Hygienic way of handling
products while packing
Packing 
and also the knowledge on
SKUs by product portfolio

Table 60: Major Training Topics Covered

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Effectiveness of Training
(Mean score On a Scale of 1 - 7 where 7 is extremely satisfied and 1 is extremely dissatisfied)

5.32
5.11
4.69
4.12 4.23

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Figure 73: Effectiveness of Training

Source: Feedback Analysis

9.5 Challenges related to Skill Availability Vs Skill Gaps

Skill Acquisition Challenges

 With increasing technology, the existing employees would require continuous learning in
this industry.

 Most of the training are in-house training with the purchase of new equipment or
adopting new technology.

 The freshers joining the industry are having the basic knowledge on the processing but
have limited knowledge on the plant operations or technology already in practice.

 Small and Micro units depend on walk-ins or known contacts for unskilled or semi-skilled
labours. The primary reason for the same is limited awareness of the training institutes
in the vicinity that offers programs on F&V processing

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Skill Gaps by Specific Job Roles

Following are the select key job roles and their required skills and skill gaps

Managerial Applicable Type of Enterprises

Job
Level & Skills Required Skill Gaps Mediu Larg
Roles Micro Small
NSQF m e
 Monitoring the
Raw Materials  Unable to
Mid quality maintain the
Quality Management  Ingredient’s similar
  
Control quality check quality
NSQF: 5  Assessing the across
quality for the batches
finished products
 Knowledge on
latest equipment
Lower-Level
Mainte and the old  Lack of
Management
nance equipment update in   
Officer (primarily for technology
NSQF: 4
maintenance)
 Domain Skills
 Technical know-
how on operating
processing
Lower-Level
machines  Lack of
Process Management
 Limited wastage update in    
ors
during process technology
NSQF: 4
 Packaging
techniques
(canning, etc.)
 Inability to
learn and
Loading
Operator operate
/
Level  Materials across
Unloadi
Employees Handling functions   
ng
 Storage process  Lack of
Laborer
NSQF: 3 knowledge
s
on wastage
handling
 Sanitation
 Understanding and Hygienic
the job roles in awareness
Operator various and
Level interlinked knowledge/
Helpers Employees functions practice   
 Materials  Inability to
NSQF: 3 Handling learn and
 Production operate
support across
functions
Table 61: Key job roles and their required skills and skill gaps
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9.6 Future Projection – Sector & Employment

Based on discussions conducted with the Visionaries and Industry experts, Indian processed F&V
industry likely to reach approx. Rs. 42,000 Cr. or 17.5 Mn MT by FY'30. This translates into CAGR
of approx. 7% - 8% over next 10 years.
Reasons for such growth are the followings:

 India is the world’s second-largest producer of fruits and vegetables. To reduce wastage
of fresh fruits and vegetables, and to add value to them, processes like canning,
dehydration, pickling, provisional preservation and bottling have been introduced.
However, percentage of processing of fruits and vegetables is currently less than 3% as
compared to countries like China (23%), the United States (65%) and Philippines (78%).
Experts believe that the processing level could reach to 5-5.5% over next 10 years' period.
This translates to 7% - 8% growth of Indian F&V processing industry.

 The Indian fruit and vegetable processing industry is also experiencing conducive growth
environment, owing to the abundant supply of raw materials and favourable government
policies like Pradhan Mantri Kisan Sampada Yojana (PMKSY)

 Rapid urbanization and increasing consumer affordability resulting in lifestyle changes

and preference towards various processed foods such as frozen peas, chopped vegetables,
sauces and jams, canned fruits and vegetables etc.

 India also has a geographical advantage as it is centrally located to key export destinations
such as Africa, the Middle East, Oceania and the Southeast Asia.
o Growth in exports of processed fruits and vegetables has been aided by significant
improvements in processing technology, packaging quality and greater private
sector participation and the trend likely to continue in the coming years.
o India has an edge in cost of production compared to its competitors in Asia and
other developed countries. India is one of the largest exporters of mango pulp in
the world. It is also a prominent exporter of dried and preserved vegetables

Market Size Market Size

Year Y-o-Y Growth
(Rs. Cr.) ('000 MT)

FY'20 20,500 8,542 7.9%

FY'21 (E) 22,000 9,167 7.3%
FY'22 (E) 23,600 9,833 7.3%
FY'23 (E) 25,400 10,583 7.6%
FY'24 (E) 27,300 11,375 7.5%
FY'25 (E) 29,400 12,250 7.7%
FY'26 (E) 31,600 13,167 7.5%
FY'27 (E) 34,000 14,167 7.6%
FY'28 (E) 36,500 15,208 7.4%

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Market Size Market Size

Year Y-o-Y Growth
(Rs. Cr.) ('000 MT)

FY'29 (E) 39,200 16,333 7.4%

FY'30 (E) 42,000 17,500 7.1%
Table 62: Future Market & Growth Rate of Processed Fruit & Vegetable market in India
Source: Interaction with SMEs & Visionaries

Export Opportunity
Current export share is around 5% of the total production of processed Fruits & Vegetables. It is
likely to reach around 7% over next 10 years’ period. This translates to around 11% CAGR
between FY’20 & FY’30.
Future Trend of Exports of Processed Fruits & Vegetables from India (‘000 MT)

1200

615
427

FY'20 FY'25 FY'30

Figure 74: Future Trend of Exports of Processed Fruits & Vegetables from India (‘000 MT)
Source: Feedback Analysis
Processing Capacity Requirement and investment required in the F&V Processing Sector

Parameter Unit Values

FY'20 Production ‘000 MT 8,542

FY’30 Production ‘000 MT 17,500

Increase in production between FY'20 &
‘000 MT 8,958
FY'30
Considering 80% capacity utilization,
‘000 MT 11,198
additional processing capacity required
Investment norm Rs. / MT 18,750

Investment required Rs. Cr. 20,996

Table 63: Processing Capacity Requirement and investment required in the sector
Source: Plant / Equipment Manufacturers & SMEs

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Select ongoing and upcoming projects in Indian F&V Processing sector

Project Cost (Rs.

SL # Company Name Project Name Project Type
Location Cr.)
Sri City New
Manpasand Beverages Chittoor, Andhra
1 New Unit 150
Beverages Ltd. Manufacturing Plant Pradesh
Project
Bareilly Juice Plant Bareilly, Uttar
2 B L Agro Inds. Ltd. New Unit 121
Project Pradesh

Patanjali Food & Vizianagaram Anchor

Vizianagaram,
3 Herbal Park Pvt. Unit (Juice New Unit 45
Andhra Pradesh
Ltd. Extraction) Project
Mastenahalli
Avantnature Foods Dehydrated Fruit & Chikkaballapura,
4 New Unit 17
Pvt. Ltd. Vegetables Herbs Karnataka
Project
Pannasandra Pickled
Vegetables and Other
Riviana Foods Pvt. Tumkur,
5 Agro Processing New Unit 17
Ltd. Karnataka
Manufacturing Unit
Project
Himachal Pradesh
Parwanoo Juice
Horticultural
Processing Plant Solan, Himachal
6 Produce Mktg. & Ren. /Mod. 12
Modernisation Pradesh
Processing Corpn.
Project
Ltd.
Gujarat State Co- Amreli Peanut Butter
7 op. Mktg. Fedn. Manufacturing Plant Amreli, Gujarat New Unit 6
Ltd. Project
Singha Apple Juice
Cremica Food Park Concentrate Una, Himachal
8 New Unit NA
Pvt. Ltd. Manufacturing Plant Pradesh
Project
Himachal Pradesh
Horticultural Chamba Fruit Chamba,
9 Produce Mktg. & Processing Plant Himachal New Unit NA
Processing Corpn. Project Pradesh
Ltd.
Himachal Pradesh
Horticultural Parala Fruit Shimla,
10 Produce Mktg. & Processing Plant Himachal New Unit NA
Processing Corpn. Project Pradesh
Ltd.
Khurda (Eastern
India) New
Manpasand
11 Beverages Khordha, Odisha New Unit NA
Beverages Ltd.
Manufacturing Plant
Project

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Project Cost (Rs.

SL # Company Name Project Name Project Type
Location Cr.)
Baghari Jam &
Shimla,
Myshimla Fruit Chutney
12 Himachal New Unit NA
Players Pvt. Ltd. Manufacturing Plant
Pradesh
Project
Almond Processing
13 ETG Agro Pvt. Ltd. Kheda, Gujarat New Unit NA
Plant (Kheda)

Table 64: Select ongoing and upcoming projects in F&V Processing sector
Source: CMIE & Projects Today
FY'20 employment estimation in F&V Processing Sector in India

FY'20 Total No.

Annual
Average of Employees
Company Production Production Production/
no. of in F&V
Category Share* ('000 MT) Employee
Employees Processing
(MT)
industry
Large
950 15,200 25% 2,135 140
Enterprises
Medium
230 23,920 30% 2,563 107
Enterprises
Small
55 31,570 33% 2,819 89
Enterprises
Micro
24 17,568 12% 1,025 58
Enterprises
Total 88,258 8,542 97
Table 65: FY'20 employment estimation in F&V Processing Sector in India
*Discussion with the F&V processing units & SMEs
Note: LMS classification has been made based on overall revenue of the companies. Large companies: > Rs.
250 Cr., Medium: Rs. 50 - 250 Cr., Small: Rs. 5 - 50 Cr. and Micro: <Rs. 5 Cr.

Future employment projection in F&V processing industry in India

Annual FY'20 - FY'30

FY'30 FY'30 Total
Company FY'30 share in Production/ Employment
Production Employee
Category Production* Employee Generation
('000 MT) Estimation
(MT)# potential
Large
25% 4,375 140 31,141 15,941
Enterprises
Medium
30% 5,250 107 49,007 25,087
Enterprises
Small
33% 5,775 89 64,680 33,110
Enterprises
Micro
12% 2,100 58 35,993 18,425
Enterprises
Total 17,500 97 180,821 92,563
Table 66: Future employment projection in F&V processing industry in India

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* As per discussion with the F&V processing units and SMEs, contribution of various types of companies in the
F&V processing industry will remain same over next 10 years
# Based on discussions with equipment manufacturers and SMEs, there could be marginal adoption of
automation / industry 4.0 in the coming years. However, that will have negligible impact on the productivity
of the employees. Hence, the same productivity values have been considered for future employment generation
potential.

Share of Employees (FY’20 – FY’30 ) Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 92,563) (Base: 92,563)

Top
Managem
ent
7%
Operator-Level
Permanent Employees Middle
35% 75% Managem
ent
Contractual 3%
65%
Lower
Management /
supervisory
15%

Share of Operator-Level Employees Share of Permanent Employees by Education

(Base: 69,422) (Base: 32,397)
Helpers
15% PG
Less than 6%
Loader/ Cleaning / Pre-
Processing Schooling
Unloader 40%
15% 10%

UG
15%

Diploma /
ITI
Supervisor 4%
Schooling
5% Packing Processor 30% Vocationa
10% 45% l Training
5%

Figure 75: Share of FY'20 - FY'30 Employment Generation potential: By Different Category

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Share by NSQF (Base=92,563 Employees)

Level 7 (Sr Mgmt)
9%

Level 2&3
Level 5&6 (Low + mid 35%
Mgmt)
24%

Level 4 (Operator/
Supervisor)
32%

Figure 76: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels

State wise Employment Generation Potential (Base: 92,563 Employees)

Maharashtra 17,982
Andhra Pradesh 13,595
Tamil Nadu 11,529
Punjab 10,664
Karnataka 8,249
Gujarat 7,333
Uttarakhand 3,620
Madhya Pradesh 3,093
West Bengal 3,047
Rajasthan 2,552
Uttar Pradesh 2,545
Haryana 2,191
Himachal Pradesh 1,287
Delhi 1,063
Assam 874
Others 2,940

Figure 77: State wise Employment Generation Potential

Source: Feedback Analysis

Top 15 states account to 97% of total employment in the industry.

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9.7 Existing & Emerging Prominent Job Roles Which Requires

Skilling
Following are the specific existing and emerging prominent job roles that will create employment
opportunities in F&V processing Sub-sector in future

Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required
Micro Small Medium Large
A Helper / Floor Cleaner
/ Loader & Unloader
A Helper / must be able to:
Floor Cleaner /  Load and unload
Loader & supplies.
Unloader is
responsible for  Maintain cleanliness in
carrying out the processing and
various labor- storage area.
intensive  Store the supplies
Helper / activities such appropriately.
Floor as
Cleaner / 3 loading/unloadi  Pack the products as per   
Loader & ng and storing the packaging standards
Unloader the supplies; when required.
packing A Helper / Floor Cleaner
products; / Loader & Unloader
maintaining the must know and
storage area understand:
along with
other relevant  Applicable food safety
activities under and hygiene standards.
supervision.  Appropriate handling of
food supplies and
products.
A Grader, Sorter &
A Grader, Sorter Cleaner operator must be
& Cleaner is a able to:
Pre-Processing
Operator  Clean fruits and
perform various vegetables.
activities such  Carry out blanching to
Grader, as blanching, inactivate enzymes and
Sorter & 3 pre-treatment    
microorganisms.
Cleaner and applicable
of chemical  Cure root and tubers
preservatives as following the
part of the pre- appropriate practices.
processing  Carry out pre-treatment
process to of produce at cold or
prepare the high temperature.

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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required
Micro Small Medium Large
F&V for further  Apply chemical
processing. preservatives to control
pests.
 Store pre-processed
fruits and vegetables
appropriately.
A Grader, Sorter &
Cleaner must know and
understand:
 Various methods of pre-
processing fruits and
vegetables and relevant
requirements.
 Applicable food hygiene
and safety standards.
 Use of the relevant tools
and equipment.
 Use of a ripening
chamber.
A Freeze Drying &
Dehydrating Equipment
Operator must be able to:

A Freeze Drying  Carry out fruits and

& Dehydrating vegetable processing
Equipment activities using freeze
Operator drying methods or
processes fruits dehydrating the
Freeze required products using
and vegetables
Drying & lyophilization methods.
using a freeze
Dehydrat
drying or  Maintain various F&V
ing 4   
lyophilization processing equipment.
Equipme
method. The
nt  Follow the applicable
individual is
Operator food hygiene and safety
also responsible
for maintaining practices.
the relevant A Freeze Drying &
processing Dehydrating Equipment
equipment. Operator must know and
understand:
 Various methods of F&V
processing.

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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required
Micro Small Medium Large
 Applicable food and
personal safety
standards.
 How to carry out repair
and maintenance of
relevant F&V processing
equipment.
A Bottling / Pouch Plant
Operator must be able to:
 Select and use the
appropriate packaging
material according to
the type of processed
fruits and vegetables.
 Prepare and operate the
appropriate packaging
equipment to pack a
variety of fruits and
vegetables.

A Bottling /  Follow the applicable

Pouch Plant food hygiene and safety
Operator is standards.
Bottling / responsible for  Carry out standard
Pouch packing fruits repair and maintenance
4   
Plant and vegetables of the packaging
Operator using the equipment.
appropriate
packaging A Bottling / Pouch Plant
equipment. Operator must know and
understand:
 Appropriate packing
material to be used to
pack.
 How to prepare and use
the relevant packaging
equipment.
 Applicable food and
personal safety
standards.
 How to maintain the
packaging equipment.

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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required
Micro Small Medium Large
A F&V Processing Plant
Supervisor must be able
to:
 Train and supervise a
team of F&V processing
unit workers including
work allocation and
scheduling of tasks.
A F&V
Processing  Ensure the F&V
Plant processing is carried out
Supervisor is as per the defined
responsible for quality and safety
overseeing a standards.
team of  Carry out regular
F&V workers and inspections to ensure
Processin ensuring smooth functioning of
g Plant 5 smooth various equipment and    
Supervis functioning of arrange for their repair
or the processing and maintenance when
unit along with required.
adherence to
applicable A F&V Processing Plant
standards on Supervisor must know
food hygiene and understand:
and personal  Applicable F&V
safety. processing methods.
 Effective team handling
practices.
 Correct use of various
F&V processing
equipment and their
repair and maintenance
needs.
Conduct
A Food Laboratory
standardized
Assistant must be able to:
tests on food,
beverages,  Test the raw materials
Food additives, or and finished products to
Laborato preservatives to ensure compliance with
5 ensure standards and  
ry
Assistant compliance regulations and
with standards adherence to the
and regulations organization’s food
regarding safety and hygiene
factors such as policy.
color, texture,
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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required
Micro Small Medium Large
or nutrients.  Analyze test results to
Test quality of classify products or
materials or compare results with
finished standard tables.
products.
 Perform regular
maintenance of
laboratory equipment
by inspecting
calibrating, cleaning, or
sterilizing.
 Examine chemical or
biological samples to
identify cell structures
or to locate bacteria or
extraneous material,
using a microscope.
A Food Laboratory
Assistant must know and
understand:
 Applicable food safety
and hygiene standards.
 Record research or
operational data
A Fruit Technologist must
be able to:
 Modify existing
A Fruit products and processes
technologist, and develop new ones.
also called
 Select raw materials and
scientists, study
other ingredients from
the physical,
suppliers.
chemical, and
Fruit
biological  Prepare product
Technolo 6  
composition of costings based on raw
gist
fruits and other materials and
relevant manufacturing costs to
products which ensure profitable
are further products.
processed into
 Audit suppliers or
various forms.
manage internal audits
 Run trials of new
products - either
alongside or together

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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required
Micro Small Medium Large
with product
development
A Fruit Technologist
must know and
understand:
 Global product
innovations.
 Applicable health and
safety standards
A Food Safety & Hygiene
Manager must be able to:
A Food Safety &
Hygiene  Ensure adherence to the
Manager is organization’s food
responsible for safety and hygiene
implementing policy.
the food safety  Train the processing
policies and plant employees on the
standards in the use of relevant systems.
food processing
plant. The  Ensure maintenance of
individual is the record of operations
Food also responsible and review them
Safety & for training periodically.
6    
Hygiene other  Manage supplier
Manager employees; relationships.
maintaining Conduct safety audits.
documentation;
ensuring that A Food Safety & Hygiene
products meet Manager must know and
the applicable understand:
quality  Applicable food safety
standards; and hygiene standards.
educating
suppliers; and  Record maintenance
conducting and review procedures.
safety audits.  Supplier management.
 Safety audit procedures.
A Jam and Jelly A Jam and Jelly Producer
Producer is must be able to:
Jam and responsible for
organising the  Organise the
Jelly 4   
ingredients ingredients required for
Producer
required for the producing jam and jelly
production of Prepare fruits and fruit
jam and jelly; juice for the production
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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required
Micro Small Medium Large
preparing fruit of jam and jelly
and fruit juice Produce jam and jelly
for jam and jelly using the relevant
production; machineries, tools, and
operating the equipment
relevant
 Pack jam and jelly in
machineries,
appropriate containers
tools,
Maintain the relevant
equipment to
machineries, tools, and
produce jam
equipment
and jelly;
packing jam  Follow the applicable
and jelly and in health and safety
appropriate standards
containers. The
A Processing Plant
individual is
Operator must know and
also responsible
understand:
for carrying out
regular repair  Applicable food safety
and and hygiene standards
maintenance of The process of
the relevant producing jam and jelly
machineries, and the ingredients
tools, and required for the
equipment. purpose
 Appropriate
temperature required
for preparing jam and
jelly
 How to operate and
maintain the relevant
machineries, tools, and
equipment

Table 67: Existing and emerging prominent job roles which will require skilling

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Skill Sets required across multiple levels in the sector

Figure 78: Skill Sets required across multiple levels in the sector

9.8 Expectations from the Industry Stakeholders

Need for highly trained Fruit technologist & agronomist

 The industry current lacks ‘Fruit technologist’ who can play a major role in developing
new products for the market

 Agronomist role, is most critical role who can understand the details on the plant and the
pesticide usage, but is also aware of the rules and regulations for the international
markets
Requirement for training on multiple techniques used in F&V processing

 There are multiple technologies that are used in the F&V processing like Freeze drying,
dehydrating, canning, packaging, etc.

 A trained worker who has the knowledge about all these techniques along with the basic
understanding of the F&V process (sorting, grading, tip cutting, etc.) would be really
helpful for the industry
Training Programs

 The industry is witnessing an increased application of innovative technology to increase

productivity. Artificial intelligence (AI) is being implemented to examine fresh fruits and
vegetables for defects, and accurately predict the exact date of decay. Nanotechnology is
aiding in maintaining the freshness of perishables.

 Furthermore, grading robots are used to evaluate the quality of the produce to minimize
manual errors. Cold plasma, high-pressure processing, irradiation, and radio frequency

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identification (RFID) are technologies that are mostly used in the fruit and vegetable
industry in India.

 With this technology currently being implemented by the industry; it is more important
that existing employees in the sector need upskilling and the freshers needs to be trained
with this technology.
Visibility of Training Institutes offering technicians

 Industries are aware of various training programs designed by FICSI for Juice Processing,
Jams/ Pickle / Dehydration / canning / ketchup processing etc. The challenge the industry
face is to source the trained manpower for F&V processing.

 It is expected that more institutes are to be operated across F&V producing belts
(primarily Maharashtra) and these institutes are expected to have presence in Tier 2 cities
for better reach.
Higher Emphasis on ‘Food Safety’ & Hygiene Related Programs

 ‘Food Safety’ should be the first and foremost subject, to be trained for any person getting
employed in the F&V processing

 Prospective workers also need to be trained on how to handle products and the steps
involved in food processing.

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Chapter 10: Sub-Sectoral Analysis –

Meat & Poultry Processing
10.1 Market summary
India has the world’s highest population of livestock. The livestock population in the country is
estimated at about 515 millions of which cattle population stands at around 200 million. The
poultry population is estimated at 750 million . India accounts for 55% and 16% of the world’s
buffalo and cattle populations respectively. The country ranks first in goat and buffalo, second in
sheep and cattle, and eighth in poultry populations in the world. Yet, the meat and poultry
processing industry does not find any place in the global reckoning. The reason can be traced to
our large vegetarian population estimated to be over 70% and hence the domestic market is
restricted. The other reason is inadequate or even absence of cold chain infrastructure to
distribute the meat and meat products within the country. In the domestic market, meat would
mean only goat meat and poultry would only mean chicken. The beef in India is only buffalo meat
as cow slaughtering is now banned and thus not sold in the domestic market and not slaughtered
for international trade. Based on type of processing, the meat market is segmented into a chilled
processed meat, frozen processed meat, canned/preserved meat and meat products. It has been
reported that only 6% of poultry meat and 2% buffalo meat are processed in the organized sector
in India. Chilled processed meat is expected to show strong growth in the upcoming times. This
is mainly due to an increase in demand for a quick meal that also scores well on the nutrition
scale. The meat processing industry is still in its infancy and there is vast scope for processing.
Poor infrastructure, limited investments and lower product acceptance in the market are the key
reasons for low level of mat processing in India.

Key Industry Indicators Details

Overall Market (‘000 MT) (FY’20) 1,752

No. of registered units 210

Past Growth rate (CAGR) (FY’ 15 – FY’ 20) 7.8%

Total Number of Employees (FY’ 20) 31,296 nos.

Overall Exports (FY’20) INR 23,375 Crs.

Expected Market (‘000 MT) FY’ 2030 5,024

Future growth rate (FY’ 20 – FY’ 30) 11.1%

Total Employee Estimation (FY’ 30) 92,651 nos.

Overall Employment Additions (FY’ 20 – FY’ 30) 61,355 nos.

Table 68: Meat & Poultry Processing: Key Industry Indicators

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10.2 Present State of the Industry & Future Outlook

India has the world’s highest population of livestock. The livestock population in the country is
estimated at about 515 millions of which cattle population stands at around 200 million30.
The poultry population is estimated at 750 million31. India accounts for 55% and 16% of the
world’s buffalo and cattle populations respectively. The country ranks first in goat and buffalo,
second in sheep and cattle, and eighth in poultry populations in the world.
Yet, our meat and poultry processing industry does not find any place in the global reckoning. The
reason can be traced to our large vegetarian population estimated to be over 70%, the domestic
market, therefore, is restricted. The other reason is inadequate or even absence of cold chain
infrastructure to distribute the meat and meat products within the country.
In the domestic market, meat would mean only goat meat and poultry would only mean chicken.
The beef in India is only buffalo meat as cow slaughtering is now banned and thus not sold in the
domestic market and not slaughtered for international trade.
Of all different types and sources of meat in India, poultry is the largest source of meat
contributing about 50% of all meat production and consumption and buffalo meat is about 20%
of the total32.
Poultry meat is the major source of meat for domestic consumption whereas buffalo meat which
is exported as beef is the major source of meat in international trade. Nearly four million tons of
poultry meat was produced in India for the year 2018-1933.
The largest pig producing state in the country is Assam. Pig meat is only 6.5% of the total meat
source and consumption in the country. Goat meat is another major constituent of total meat
consumption in the country. It is estimated that goat contributes about 14.5 % of the total meat
production in India34
Based on type of processing, the meat market is segmented into a chilled processed meat, frozen
processed meat, canned/preserved meat and meat products. Chilled processed meat is expected
to show strong growth in the upcoming times. This is mainly due to an increase in demand for a
quick meal that also scores well on the nutrition scale. It also eliminates one of the key concerns
in the meat sector of India - Quality & Hygiene. The advantage that chilled processed meat market
offers, is enhanced quality and supreme hygiene levels, conducive to good health and nutrition.

Key players in Meat and Poultry processing in India

Meat Processing
A large number of processors are present in Uttar Pradesh and Maharashtra state, who are
regular exporters of fresh frozen meat as well as processed meat products.

30 APEDA
31 Poultry Federation of India
32 APEDA
33 Poultry Federation of India
34 APEDA

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Some of them have also established their own brands and cold chain network in the domestic
market. Popular amongst them are Lazzez, Al Kabeer, Al Sami, Al Nasir, etc.
Frozen Buffalo meat is exported by established processors including Allanasons which acquired
an abattoir from Brook Bond in the early eighties which had a capacity to slaughter 500 Buffaloes
every day35. This is an integrated plant and everything from the animal is used for the productive
purpose including blood and skin.
They are one of the large frozen and chilled meat exporters in the country. They have their own
network of dealers and distributors for its products in the Middle East and thus having an edge
over others.
Pig meat is not widely sold in India except in markets of the north-eastern part of the country.
The largest pig production and consumption is also in this part of the country. Star hotels serve
the pig meat products like sausages and salamis, but mostly have their own small processing
units. Pig rearing is not done in an organized fashion. However, of late, a plant has come up near
Guwahati, in Assam, to process and sell Pig meat.
Poultry Processing
There are many players in poultry processing. The biggest player is Venky’s which has an all-India
network and also have modern integrated facilities and process plants.
Many smaller poultry farms spread across the country source Chicks from Venky’s hatchery to
grow and finally sell in their locality.
Godrej Agrovet has also set up a modern poultry processing plant in Mumbai, in a joint venture
with Tyson Foods of US, which has 51% equity in the venture to form Godrej Tyson Ltd to produce
both frozen dressed chicken, chicken portions such as legs and breasts, as well as chicken snacks.

APEDA Registered Meat Processing Plants

The animal slaughtering takes place both in registered as well as unlicensed/unregistered
slaughterhouses.
As per the estimate available, the total number of slaughterhouses in the country is around 3600
and out of which only around 1,700 are registered and the remaining are unlicensed and
unregistered.
The number of small-scale meat retail shops are 25,000 and the number of abattoirs with meat
processing facilities approved by APEDA are 6836.

35 Primary Interviews with Meat Processing Companies

36 APEDA
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APEDA Registered Meat Abattoirs & Processing Plants

APEDA Registered Integrated

APEDA Registered Meat
State Abattoirs Cum Meat
Processing Plants
Processing Plants
Uttar Pradesh 15 37
Maharashtra 6 12
Andhra Pradesh 2 2
Telangana 2 4
Haryana 1 3
Rajasthan 1 -
Karnataka 1 -
Punjab - 5
Bihar - 4
Kerala - 1
Total 28 68

Table 69: APEDA Registered Meat Abattoirs & Processing Plants

Source: APEDA
Manufacturing Clusters

Punjab
Haryana
Delhi
Uttar
Pradesh

West Bengal

Maharashtra
Telangana

Andhra Pradesh

Karnataka

Tamil Nadu

Figure 79: Manufacturing Clusters

Top 10 states account to 97% of total employment in the Meat & Poultry Processing industry
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Market Overview
Buffalo Meat Industry
India has consistently retained the number one position in the world for buffalo population,
buffalo meat and milk production for the past several years. Buffalo meat export in India accounts
for more than 95% of total meat exports.
Since the year 2010, the unit value of buffalo meat has substantially increased from Rs. 110 to Rs.
195 per kg. during the year 2019
Sheep and Goat Meat Industry
The country is the largest exporter of sheep & goat meat to the world. The country has exported
18,425 MT of mutton and chevon for the worth of Rs. 790.65 Crores during the year 2018-19
(APEDA, 2020).
Sheep / Goat meat are the premium meats in India, being sold at more than Rs. 400-500 per kg
across the country. Most of the edible by-products produced from sheep and goat are also
marketed and consumed in India. Hence, the wastage is minimal.
Poultry Meat Industry
The production in the poultry sector, comprising of breeding, hatcheries and feeding operations
in India is organised with complete vertical integration. But the marketing of broilers, involving
slaughtering, distribution and retailing is still highly unorganised with the predominance of wet
market business.
Only 11% of poultry meat in India is produced from poultry processing plants, which include
more than 21 large (>1000 birds per hour(BPH) capacity) and around 20 smaller (<1000 BPH)
units. The rest 89% of the poultry meat in India is produced under wet market conditions through
highly scattered roadside poultry processing plants.
Pig Meat Industry
Among the various livestock species, Pig is the most potential source of meat production and
more efficient feed converter after the broiler. Around 150 meat processing plants which are
mainly processing pork and pork products like sausages, bacon and ham are functioning on small
scale in the private sector in India.
The total requirement of pork in India would be around 0.93 million tons against the present (FY
20) pork production of 0.437 million tons. Thus, the present shortfall of pork in the country is
about 0.50 million tons.
No. of Animals slaughtered for Meat (‘000 Nos. - Per Annum)37

Species FY'18 FY'19

Cattle 3,410.18 3,055.84

Buffalo 11,337.19 11,926.27

Sheep 46,216.23 50,863.58

37 Basic Animal Husbandry Statistics

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Species FY'18 FY'19

Goat 93,917.18 97,190.24

Pig 10,903.06 10,734.89

Poultry 25,44,299.00 28,12,839.00

Table 70: No. of Animals slaughtered for Meat (‘000 Nos. - Per Annum)

Meat Production Trend in India (‘000 Tons)

8,762
8,114
7,386 7,589
6,691 7,020

FY'15 FY'16 FY'17 FY'18 FY'19 FY'20

Figure 80: Meat Production Trend in India (‘000 Tons)

Source: Basic Animal Husbandry Statistics-2019; Subject Matter Expert
The total processing capacity in India is over 1 million tons per annum, of which 40-50 percent is
utilized. India exports about 2 Mn tons of animal products, mostly Buffalo meat.
The meat production has registered a healthy growth. India currently processes only 6 % of
poultry and 21 % of buffalo live stock. Pork and Poultry meat are used for production of ham,
sausages, patties etc., for the elite market.

FY’ 20 Meat Production Share by Species - Base = 8,762 (‘000 MT)

Cattle
4%
Buffalo
19%

Poultry
50% Sheep
8%

Goat
Pig 14%
5%

Figure 81: FY’20 Meat Production Share: by Species

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Meat Production Trend by Species (‘000 MT)

4062

4386
3767
3681
3499
3335

1669
1546
1430
1399
1330
1268

1186
1098
1043
1007
957
912

732
678
603
602
572
545

437
404
396
377
358

353
350
341

326
319
303
289

FY'15 FY'16 FY'17 FY'18 FY'19 FY'20

Poultry Buffalo Goat Sheep Pig Cattle

Figure 82: Meat Production Trend by Species (‘000 MT)

Source: Basic Animal Husbandry Statistics-2019; Subject Matter Expert

FY’20 Meat Production Share by States - Base = 8,762 (‘000 MT)

Other States Uttar Pradesh
16% 15%
Karnataka
3%
Bihar Maharashtra
4% 13%
Kerala
6%
Haryana West Bengal
6% 10%
Tamil Nadu
8% Telangana Andhra Pradesh
9% 10%

Figure 83: FY’20 Meat Production Share: by State

Source: Basic Animal Husbandry Statistics

10.3 Present employment scenario & analysis

Category of the companies by Revenue

Category of the Definition (Revenue

Remarks
Company Range)
 Micro enterprises are primarily small-scale
Micro Enterprises < Rs 5 Cr meat & poultry processers. Primarily deals
with non-Buffalo meats
 Small enterprises would typically deal with
Small Enterprises RS 5 – 50 Cr
poultry products
 Medium-Sized Enterprises predominantly
Medium have multiple product presence among
Rs 50.1 – 250 Cr
Enterprises non-buffalo meat or completely buffalo
meat exports.
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Category of the Definition (Revenue

Remarks
Company Range)
 Large Sized Enterprises are organized
Large Enterprises > Rs 250 Cr players focusing exports and other
domestic market
Table 71: Category of the Companies by Revenue
10.3.1 Sample Coverage by Categories of Companies & Region
Sample
Category of the Company East West North South
Coverage (N)
Micro Enterprises 52 19% 25% 38% 17%

Small Enterprises 31 23% 19% 42% 16%

Medium Enterprises 16 25% 19% 38% 19%

Large Enterprises 5 20% 20% 40% 20%

Total 104 21% 22% 39% 17%

Table 72: Sample Coverage by Categories of Companies & Region

10.3.2 Total No. of Employees
Past Trend of employment in the Meat & Poultry Sector

31,296
28,982
25,750
25,059
23,819
21,508

FY'15 FY'16 FY'17 FY'18 FY'19 FY'20

Total No. of Employees

Figure 84: Past Trend of employment in the Meat & Poultry Sector
Source: Feedback Analysis

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Share of Employees (FY’ 20) Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 31,296) (Base: 31,296)

Top Management
4%
Permanent
27%
Operator-Level
Employees Middle
75% Management
8%
Contractual
73%
Lower
Management /
supervisory
13%

Share of Operator-Level Employees Share of Permanent Employees by

(Base: 23,472) Education (Base: 8,450)
Packing
19% Supervisor PG
4% 3%
Loader /
Unloader UG
9% 9%
Less than
Helpers, Schooling
Productio 63% Diploma /
n Support ITI
Processing 2%
31% & Others
10%
Vocationa
Schooling
l Training
19%
Preslaughter 4%
Slaughtering
19% 8%

Figure 85: Share of Employees (FY’ 20): By Different Category

Share by NSQF (Base=31,296 Employees)

Level 7 (Sr Mgmt)

4%
Level 5&6 (Low + mid
Mgmt)
25%

Level 2&3
48%

Level 4 (Operator/
Supervisor)
23%

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Figure 86: Share of Employees (FY’20) : By NSQF levels

FY 20: State wise Employees in the industry (Base: 31,296 Employees)

Uttar Pradesh 16,794

Maharashtra 4,711
Tamil Nadu 2,437
Karnataka 1,433
Punjab 1,197
Telangana 1,145
Andhra Pradesh 830
Haryana 698
Delhi 617
West Bengal 576
Bihar 394
Goa 216
Kerala 183
Nagaland 65

Figure 87: State wise Employees in the Industry (FY’20)

Source: Feedback Analysis

Top 14 states account to 100% of total employment in the industry

Current Key Job Roles & Responsibilities (at Operator-level employees’ category)

Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles
No. Responsibilities Level Micro Small Medium Large
Preparing meat in
accordance with laid down
procedures. Reducing
Slaughter
meat wastage wherever
Person/
1 possible. Ensuring a clean, 3   
Butcher
safe, and organized work
(Kasai)
environment. Cutting,
boning and trimming
meat.
Prepare poultry for further
Poultry
2 processing, for packaging 3   
Preparers
or for marketing
Cooking or freezing or
3 Processor 4    
chilling of meat in

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Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles
No. Responsibilities Level Micro Small Medium Large
accordance with the laid
down procedures
Operating slaughter
machine, meat mincer,
Equipment
4 cutting machine, wrapping 4    
Operator
or packing machine, bone
saw, etc.
Monitoring overall
operation and managing
5 Supervisor 5    
manpower across
functions
Various forms of
6 Packer 4    
packaging
Misc. work including
cleaning plants,
7 Helpers 3    
machinery, assist
veterinary, etc.
Loader / Material handling, loading
8 3    
Unloader & unloading products.
9 Technician Machine maintenance 4    

Table 73: Current Key Job Roles & Responsibilities (at Operator-level employees’ category)
10.3.3 Past Growth of Employees (FY’17 – FY’20)

54%
 35% of the enterprises have
29%
experienced degrowth in their
manpower in the past 3 years.
10%
6%  54% have indicated that their
0% 2%
manpower has grown marginally
>-10% -5 to -10% -5% to 0% 0.1 to 5% 5.1 - 10% > 10% (up to 5%).

Figure 88: Past Growth of Employees (FY’17 – FY’20)

10.3.4 Future Plans of the Companies and its Impact on the Manpower Growth
Future Plans of the Companies covered

Plans Micro Small Medium Large

Planning to invest in Internet of Things (IoT) or
38% 6% 44% 80%
Automation
Plan to invest on new equipment / New Facility 0% 0% 44% 80%

Plan to enhance the production capacity 67% 13% 31% 80%

Plans to increase exports 0% 32% 0% 0%

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Table 74: Future Plans of the Companies covered

Manpower Recruitment Plan, Considering the Future Operational Expansion Plans

67%
Considering the future
55% expansion plans of enterprises,
it is expected that the manpower
is likely to increase by
36%
 2% - 3% in next 3 & 5 years
24%

9% 10%

3 Years 5 Years

No Change in Manpower 0.1% - 5% 5.1% - 10%

Figure 89: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
Source: Feedback Analysis

10.4 Recruitment & Training Practice

Recruitment Practice
Walk-in or through references are the key source of recruiting candidates across Operational
level and Lower level employees. Women employment is not a predominant practice in Meat
processing. Following are the key institutes encountered during our survey from where the
candidates / employees have got trained or graduated before joining various enterprises.

Key Institutes Encountered (Graduated Institutes of the

Employee Level
Current Employees)

Top Management  Formal training institutes offering food technology / science

Middle Management  Formal training institutes offering food technology / science

 No specific Institutes. As most of them are either secondary or

Lower Level Management higher secondary education (Schooling) or less than secondary
schooling
 No specific Institutes. As most of them are either secondary or
Operator Level Employees higher secondary education (Schooling) or less than secondary
schooling

Table 75: Recruitment Practice

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Training Practice
Of the total sample covered, around 25 - 30% of the companies are providing training across
levels when an employee joins the firm (On-the-Job training).
% of Companies offering training

69% 73%
74%
80%
100%

31% 27%
26%
20%

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Offers Training Doesn't Offer Training

Figure 90: % of Companies offering training

Source: Feedback Analysis
Major training topics covered
Enterprises

Enterprises

Enterprises

Enterprises
Functional
Medium

Training
Micro

Large
Small

Remarks Focus / Job

Topics
Roles

Monitoring animal
health before processing
for meat. Large Across all
Animal
companies include employees’    
health
modules on back level
tracking technology,
DNA, etc.
Procedures for Operator
Preparation processing, wastage level
for reduction techniques, employees &    
processing processing techniques, lower-level
etc. employees
Effective ways of Operator
Slaughtering
slaughtering to reduce level    
techniques
wastage employees &
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Enterprises

Enterprises

Enterprises

Enterprises
Functional

Medium
Training

Micro

Large
Small
Remarks Focus / Job
Topics
Roles

lower-level
employees
Operator
Storage temperature level
Storage required at every stage employees &    
of processing lower-level
employees
Product handling across
Across all
Product various functions
employees’    
handling (Livestock to Finished
level
Meat product)
Training to detail the
Operations overall operations, Supervisors /
 
management manpower allocation, Managers
inspection, etc.
Appropriate cooling
Supervision
methods, packing
of product Supervisors /
methods, latest 
handling Managers
technology, equipment
activities
operations, etc.
Operator
level
Maintenance checklist employees &
Plant for equipment lower-level

maintenance (processing and employees
packing) (Technicians
/ Machine
Operators)

Table 76: Major Training Topics Covered

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Effectiveness of Training
(Mean score On a Scale of 1 - 7 where 7 is extremely satisfied and 1 is extremely dissatisfied)

4.5

4.3 4.27
4.2
4.1

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Figure 91: Effectiveness of Training

Source: Feedback Analysis

10.5 Challenges related to Skill Availability Vs Skill Gaps

Skill acquisition challenges
Key concerns raised by the Meat and Poultry processing companies in terms of acquiring the
skilled manpower are as follows

 There are no accredited courses where students can be offered a diploma program in
meat processing

 A few companies are dependent on migrant laborers.

 The existing training programs in vocational training institutes are limited to offal
collector, butcher / processor related programs.

 Limited training institutes that are focusing meat processing related programs

 Employees are predominantly recruited through reference in this sector and are joining
with limited or no prior experience in the relevant functions

 High employee attrition

Skill Gaps by Specific Job Roles
Following are the select key job roles and their required skills and skill gaps

Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Micro Small Medium Large

 Ensures
Mid  Limited frequency
quality meat
Veterinarian Management of physical 
production by
physical examination
examination of
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Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Micro Small Medium Large

NSQF: 6 meat including  Limited knowledge

colour of meat on the processing
in different techniques
food animals,
abnormal
colour and
distribution of
fat in the meat.
 Chemical
examination of
meat
 Inspection of
Livestock
 Managerial
Skills  Ability to work with
Mid  Operating both the processing
Management Machines and packaging
Processing equipment   
Manager  Understanding
the technology  Training manpower
NSQF: 6 at the lower level or
and adaptation
to newer operator level
technologies
 Visual
examination
Mid skills of the cut
Management meat color
Quality  Lack of visual
  
Control  Assessing the examination skills
NSQF: 5 quality for the
finished
products
 Lack of uniformity
Lower-Level in cutting (Size /
 Meat cutting
Management weight)
based on
Butcher   
required  Lack of Hygiene
procedures practice
NSQF: 3
 Higher wastage
 Lack of technical
Lower-Level  Overseeing
operations knowledge on
Shift Management
including Pre- storage practice
Supervisor /    
Supervisor processing,  Best practices w.r.t
NSQF: 5 processing, material handling
packaging, and to reduce wastage
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Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Micro Small Medium Large

dispatch of the during material

products handling
 Equipment
operations and
maintenance
 Manpower
planning
 Knowledge on
Lower-Level transformation
Management from analogue
Maintenance to digital  Not updated as per
   
Officer business technology change
NSQF: 4 model
 Domain Skills

Operator  Inability to learn

Level and operate across
Loading / functions
Employees  Materials
Unloading    
handling  Lack of knowledge
Labors
on wastage
NSQF: 3 handling
 Understanding
the job roles in  Sanitation and
Operator various Hygiene awareness
Level interlinked and
Employees functions knowledge/practice
Helpers    
 Materials  Inability to learn
Handling and operate across
NSQF: 3
 Production functions
support

Table 77: Key job roles and their required skills and skill gaps

10.6 Future Projection – Sector & Employment

Projected growth in Meat & Poultry production in India
Based on discussions conducted with the Visionaries and Industry experts, Indian Meat
production likely to reach approx. 15 - 16 Mn tons by FY'30. This indicates CAGR of approx. 6%.
Reasons for such growth are the followings:

 Introduction and acceptance of value-added products like frozen/chilled products,

RTC/RTE, Indian ethnic products, etc.

 Increase in the disposable income has led to tremendous increase in the poultry demand
and a steady increase in consumption over the years.
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 While demand from high-end hotels, restaurants and retailers is driving imports of pork
products to India, there is also a separate but significant market for locally produced pig
meat in the north-eastern states - which include Assam, Nagaland, Arunachal Pradesh,
Manipur, Meghalaya, Mizoram, Sikkim, and Tripura - as well as in Bihar, Jharkhand, West
Bengal, Goa, and Kerala.

 India’s per-capita consumption of meat stands at 4.4 kg per person compared to global
average of 33.7 kg per person. This makes India as one of the least meat consuming
countries in the world. According to SMEs, India's per capital meat consumption likely to
see healthy growth in this decade and may reach approx. 9 - 10 kg.

Year Production ('000 Tons) Y-o-Y Growth

FY'20 8,762
FY'21 (E) 9,250 5.6%
FY'22 (E) 9,800 5.9%
FY'23 (E) 10,400 6.1%
FY'24 (E) 11,000 5.8%
FY'25 (E) 11,600 5.5%
FY'26 (E) 12,350 6.5%
FY'27 (E) 13,100 6.1%
FY'28 (E) 13,900 6.1%
FY'29 (E) 14,800 6.5%
FY'30 (E) 15,700 6.1%

Table 78: Future Trend in Meat & Poultry production in India

Source: Interactions with SMEs & Visionaries
Future trends and likely share of the Organized sector

Production ('000 Processing Volume

Year Processing Level*
Tons) ('000 MT)
FY'20 8,762 20% 1,752
FY'21 (E) 9,250 22% 2,035
FY'22 (E) 9,800 23% 2,254
FY'23 (E) 10,400 24% 2,496
FY'24 (E) 11,000 25% 2,750
FY'25 (E) 11,600 26% 3,016
FY'26 (E) 12,350 27% 3,335
FY'27 (E) 13,100 28% 3,668
FY'28 (E) 13,900 29% 4,031
FY'29 (E) 14,800 31% 4,588

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Production ('000 Processing Volume

Year Processing Level*
Tons) ('000 MT)
FY'30 (E) 15,700 32% 5,024
CAGR 6.0% 11.1%

Table 79: Future trends and likely share of the Organized sector
Source: Interactions with SMEs & Visionaries
*Note: Visionaries, industry experts and SMEs feel that share of Organized sector likely to reach to approx.
32% by FY'30 from the current 20%.

 In a common non-vegetarian diet in India, meat is regarded as a valuable component and

an important source of protein. The meat availability in India is only about 15 gms /
person / day against the ICMR recommendation of 30 gms / person / day.

 The meat processing industry is still in its infancy and there is vast scope for processing.
Poor infrastructure and investment are hindrances in the level of processing in India. It
has been reported that only 6% of poultry meat and 2% buffalo meat are processed in the
organized sector in India.

 India is becoming a major buffalo meat producing country and will be a main player in the
international market with additional establishment of the state-of-art-abattoirs cum meat
processing plants.

Processing capacity and investment requirement to achieve the above processing levels

Parameter Unit Overall Production

FY'20 Production '000 MT 1,752
FY'30 Production (E) '000 MT 5,024
Increase in production between FY'20
'000 MT 3,272
& FY'30
Considering 80% capacity utilization,
'000 MT 4,089
additional processing capacity required
Investment norm Rs. / MT 30,000
Total Investment required Rs. Cr. 12,268

Table 80: Processing Capacity Requirement and investment required in the sector
Source: Discussion with Plant & Equipment Manufacturers & SMEs

 The Indian government announced a new infrastructure fund of Rs. 15,000 Cr. during
June 2020 for the benefit of individual entrepreneurs, micro, small and medium
enterprises (MSMEs), farmer producer organizations (FPOs) to enable them to set up
dairy, poultry, and meat processing units.

 For a semi-automatic Buffalo slaughter line with 50 - 100 animals per day, total
investment would be around 6 - 7 cr.

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 Meat processing is one of the key sectors under the PLI Scheme announced for Food
processing sector.
Select ongoing and upcoming projects in Meat & Poultry Processing industry in India

Company Project Project

SL # Project Name Cost (Rs. Cr.)
Name Location Type
Punjab Meat
Allanasons Pvt.
1 Processing Facility Punjab New Unit 125
Ltd.
Project
Panjehra Poultry Solan,
Venky's (India)
2 Processing Unit Himachal New Unit 47
Ltd.
Project Pradesh
West Bengal
Phansidewa Meat
Livestock
(Chicken and Darjiling, West
3 Processing New Unit 36
Pork) Processing Bengal
Devp. Corpn.
Plant Project
Ltd.
Meat Processing
Meat Products Chalakkudy,
4 (Chalakkudy) New Unit 32
of India Ltd. Kerala
Project
Srinagar Srinagar,
Srinagar Abattoir
5 Municipal Jammu & New Unit 25
Project
Corpn. Kashmir
Municipal
Faridabad Faridabad,
6 Corporation of New Unit 22
Abattoir project Haryana
Faridabad
Hasugavalli
Venkateshwara Poultry & Poultry
Hassan,
7 Hatcheries Pvt. Product New Unit 22
Karnataka
Ltd. Manufacturing
Unit Project

Table 81: Select ongoing and upcoming projects in Meat & Poultry Processing industry in India
Source: CMIE & Projects Today
FY'20 employment estimation in Meat & Poultry Processing Industry in India

FY'20 Total No. Annual

Average
Company of Employees in Production Production Production/
no. of
Category Meat & Poultry Share* ('000 MT) Employee
Employees
Sector (MT)
Large
Enterprises 675 16,875 60% 1,051 62.3
Medium
Enterprises 182 8,736 25% 438 50.2
Small
Enterprises 75 3,900 10% 175 44.9

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FY'20 Total No. Annual

Average
Company of Employees in Production Production Production/
no. of
Category Meat & Poultry Share* ('000 MT) Employee
Employees
Sector (MT)
Micro
Enterprises 21 1,785 5% 88 49.1

Total 31,296 1,752 56.0

Table 82: FY'20 employment estimation in Meat & Poultry Processing Industry in India
*Source: Discussion with the Meat Processing Units, APEDA and SMEs
Note: LMS classification has been made based on overall revenue of the companies. Large companies: > Rs.
250 Cr., Medium: Rs. 50 - 250 Cr., Small: Rs. 5 - 50 Cr. and Micro: <Rs. 5 Cr.

Future employment projection in Meat & Poultry Processing industry in India

Annual FY'20 - FY'30

FY'30 share FY'30 FY'30 Total
Production/ Employment
Company Category in Production Employee
Employee Generation
Production* ('000 MT) Estimation
(MT)# potential

Large Enterprises 45% 2,261 62.3 36,283 19,408

Medium Enterprises 40% 2,010 50.2 40,071 31,335
Small Enterprises 10% 502 44.9 11,180 7,280

Micro Enterprises 5% 251 49.1 5,117 3,332

Total 5,024 54.2 92,651 61,355

Table 83: Future employment projection in Bread & Bakery products industry in India
*As per discussion with the Meat Processing Units, APEDA and SMEs, contribution of various types of
companies in the Meat & Poultry processing industry will remain same over next 10 years
# Based on discussions with equipment manufacturers and SMEs, there could be marginal adoption of
automation / industry 4.0 in the coming years. However, that will have negligible impact on the productivity
of the employees. Hence, the same productivity values have been considered for future employment generation
potential.

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Share of FY'20 - FY'30 Employment Generation potential Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 61,355) (Base: 61,355)

Top Management
3%
Permanent
25% Middle
Operator-Level
Employees Management
75% 7%

Contractual
75%
Lower
Management /
supervisory
15%

Share of Operator-Level Employees Share of Permanent Employees by Education

(Base: 46,016) (Base: 15,388)
Packing Superviso
20% r PG
3% 3%
UG
Loader /
7%
Unloader
8% Less than
Diploma /
Processin Helpers, Schooling
ITI
g Productio 65%
3%
30% n Support
& Others
9% Vocational
Schooling Training
18% 4%
Slaughteri Preslaugh
ng ter
20% 10%

Figure 92: Share of FY'20 - FY'30 Employment Generation potential : By Different Category

Share by NSQF (Base=61,355 Employees)

Level 7 (Sr Mgmt)

Level 5&6 (Low + mid 3%
Mgmt)
24%

Level 2&3
50%

Level 4 (Operator/
Supervisor)
24%

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Figure 93: Share of FY'20 - FY'30 Employment Generation potential :By NSQF levels
Source: Feedback Analysis

State wise Employment Generation Potential (Base: 61,355 Employees)

Uttar Pradesh 33,176

Maharashtra 9,429
Tamil Nadu 4,787
Karnataka 2,816
Punjab 2,214
Telangana 2,187
Haryana 1,412
Andhra Pradesh 1,355
Delhi 1,120
West Bengal 1,103
Bihar 824
Goa 432
Kerala 352
Nagaland 147

Figure 94: State wise Employment Generation Potential

Source: Feedback Analysis

Top 14 states account to 100% of total employment in the industry

10.7 Existing & emerging prominent job roles which requires

Skilling
Following are the specific existing and emerging prominent job roles that will create employment
opportunities in Meat & Poultry Processing Sub-sector in future.

Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required Micro Small Mediu Large
m
A Helper / Floor A Helper / Floor Cleaner /
Helper /
3 Cleaner / Loader Loader & Unloader must   
Floor
& Unloader is be able to:
Cleaner /
responsible for

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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required Micro Small Mediu Large
m
Loader & carrying out  Load and unload supplies.
Unloader various labor-
 Maintain cleanliness in
intensive
the processing and
activities such as
storage area.
loading/unloadin
g and storing the  Store the supplies
supplies; packing appropriately.
products;
maintaining the  Pack the products as per
storage area the packaging standards
along with other when required.
relevant A Helper / Floor Cleaner /
activities under Loader & Unloader must
supervision. know and understand:
 Applicable food safety
and hygiene standards.
 Appropriate handling of
food supplies and
products.
An Animal Attendant must
be able to:
 Prepare animal feed and
An Animal feed them.
Attendant is  Treat wounds and
responsible for administer medication
providing daily under veterinary
care to animals supervision.
under  Prepare and maintain
supervision such animal enclosures,
as preparing ensuring hygiene.
Animal
3 their feed and   
Attendant An Animal Attendant must
feeding them,
cleaning/ know and understand:
bathing them,  How to prepare different
treating wounds types of animal feed and
or administer feed the animals.
medication  Applicable health and
under veterinary safety standards.
supervision, etc.
 Process of treating
animal wounds and
administering them
medication.
A Meat & Poultry
Meat & Pre-processor is A Meat & Poultry Pre-
3    
Poultry responsible for processor must be able to:
carrying out
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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required Micro Small Mediu Large
m
Pre- relevant meat  Clean the meat and
Processor and poultry pre- poultry products
processing appropriately.
activities under  Cure the meat and
supervision such poultry products
as cleaning, following the
curing, storing, recommended methods
etc. under supervision.
 Store the pre-processed
meat and poultry
products appropriately.
 Follow the applicable
food hygiene and safety
standards.
A Meat & Poultry Pre-
processor must know and
understand:
 Applicable food and
personal safety
standards.
 Process of cleaning and
curing meat and poultry
products.
 Appropriate conditions
for storing meat and
poultry products.
A Deboning & Slaughter
A Deboning & Butcher must be able to:
Slaughter
Butcher is  Bone or debone meat as
responsible for per the given
slaughtering instructions.
beef, sheep, goat,  Use the relevant tools and
fish, pork, and equipment ensuring
Deboning poultry by personal safety.
& boning or  Follow the applicable
3    
Slaughter deboning meat food hygiene and safety
Butcher under standards.
supervision to A Deboning & Slaughter
meet the given Butcher must know and
targets and understand:
ensure
compliance with  How to bone or debone
the applicable different types of meat
standards. using the relevant tools
and equipment.

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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required Micro Small Mediu Large
m
 Applicable food hygiene
and safety standards.
A Slaughtering Line
Operator must be able to:
A Slaughtering  Load the animals in
Line Operator is slaughter line and
responsible for responsible for initial
operating the processing and scalding,
slaughtering line dehairing, washing, etc.
that includes of
supply of live  Perform general
stocks, scalding, maintenance of the
dehairing and equipment.
Slaughteri A Slaughtering Line
washing and
ng Line 3 Operator must know and   
other processing.
Operator understand:
The individual is
also responsible  Different type of
for maintaining equipment used in meat
hygiene and & poultry
safety in the  Process of operating
storage area as various machineries
per the
supervisor's  How to perform general
instructions. maintenance
 Applicable health and
safety standards
A Meat Mincer Operator
must be able to:
A Meat Mincer  Chop the meat using
Operator is Mincer.
responsible for  Perform general
fine chopping maintenance of the
and/or mixing of equipment
Meat raw or cooked
A Meat Mincer Operator
Mincer 4 meat. The person   
must know and
Operator is also
understand:
responsible
general  Process of operating
maintenance, various machineries
cleaning of the  How to perform general
mincer. maintenance
 Applicable health and
safety standards
Thermofor A A Thermoforming,
ming, 4 Thermoforming, Traysealing, Horizontal  
Traysealin Traysealing, Flow Pack, Vertical Flow
g, Horizontal Flow Pack and Stretch Film
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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required Micro Small Mediu Large
m
Horizontal Pack, Vertical Machine Operator must be
Flow Pack, Flow Pack and able to:
Vertical Stretch Film  Select the packaging
Flow Pack Machine material and method
and Operator is according to the type of
Stretch responsible for meat to be packed
Film preparing and
 Prepare and operate the
Machine operating the
packaging machines to
Operator packaging
pack the meat and
machine to pack
poultry products
meat and
poultry. The  Label the packaged food
individual is also products with the
responsible for required information
performing  Carry out general
general maintenance of the
maintenance of packaging equipment
the packaging A Thermoforming,
machine and Traysealing, Horizontal
maintain the Flow Pack, Vertical Flow
record of packing Pack and Stretch Film
operations. Machine Operator must
know and understand:
 Different types of
material used for
packaging the meat and
poultry products
 Various methods of
packaging the meat and
poultry products
A supervisor is
A Supervisor must be able
responsible for
to:
supervising and
coordinating the  Arrange the required
activities of meat resources for the smooth
& poultry operation of the
Meat & processing plant processing plant
Poultry workers. The  Manage the inventory
Processing 5 individual is also and review the    
Unit responsible for accounting records
Supervisor monitoring and  Train and supervise a
ensuring team of plant workers
effective
 Inspect the plant
functioning of
equipment and systems
various
regularly for correct
equipment in the
functioning
plant.
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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required Micro Small Mediu Large
m
A Supervisor must know
and understand:
 Inventory management
and applicable
accounting practices
 How to train and manage
a team of workers
 Various tools, equipment
and machineries used in a
processing plant,
common issues
encountered with them
and their basic
troubleshooting
A Food Laboratory
Assistant must be able to:
 Test the raw materials
and finished products to
ensure compliance with
standards and
regulations and
Conduct adherence to the
standardized organization’s food safety
tests on food, and hygiene policy.
beverages,  Analyze test results to
additives, or classify products or
preservatives to compare results with
ensure standard tables.
compliance with
Food  Perform regular
standards and
Laboratory 5 maintenance of  
regulations
Assistant laboratory equipment by
regarding factors
such as color, inspecting calibrating,
texture, or cleaning, or sterilizing.
nutrients. Test  Examine chemical or
quality of biological samples to
materials or identify cell structures or
finished to locate bacteria or
products. extraneous material,
using a microscope.
A Food Laboratory
Assistant must know and
understand:
 Applicable food safety
and hygiene standards.
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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required Micro Small Mediu Large
m
 Record research or
operational data
A Veterinarian must be
able to:
A Veterinarian is
Examine livestock to detect
responsible for
any disease or injuries.
conducting
examinations on  Prescribe appropriate
livestock, treatment according to
observing flock the disease identified.
Veterinari behaviour,  Suggest feed change to
6  
an carrying out for optimum production.
vaccinations, A Veterinarian must know
evaluating meat and understand:
and making
 Signs of disease and
nutritional
stress in livestock.
recommendation
Various diseases found in
s.
livestock and their
appropriate treatment.
A Storage Manager must be
able to:
 Arrange for the storage of
different types of meat
and poultry products.
A Storage  Store meat and poultry
Manager is products under hygienic
responsible for conditions and the
ensuring recommended
Storage temperature.
6 appropriate    
Manager
storage of all A Storage Manager must
types of meat know and understand:
and poultry  Appropriate temperature
products. required for storing a
variety of meat and
poultry products.
 Appropriate handling of
meat and poultry
products.
A Food Safety &
Hygiene Manager A Food Safety & Hygiene
Food is responsible for Manager must be able to:
Safety & implementing    
6  Ensure adherence to the
Hygiene the food safety
Manager organization’s food safety
policies and
and hygiene policy.
standards in the
food processing
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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required Micro Small Mediu Large
m
plant. The  Train the processing
individual is also plant employees on the
responsible for use of relevant systems.
training other
 Ensure maintenance of
employees;
the record of operations
maintaining
and review them
documentation;
periodically.
ensuring that
products meet  Manage supplier
the applicable relationships.
quality Conduct safety audits.
standards;
A Food Safety & Hygiene
educating
Manager must know and
suppliers; and
understand:
conducting safety
audits.  Applicable food safety
and hygiene standards.
 Record maintenance and
review procedures.
 Supplier management.
 Safety audit procedures.

Table 84: Existing and emerging prominent job roles which will require skilling

Skill Sets required across multiple levels in the sector

Figure 95: Skill Sets required across multiple levels in the sector
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10.8 Expectations from the Industry stakeholders

Modernization of municipal slaughter house would require trained manpower for respective
operations. Certified capacity building programme should be introduced for veterinarians, meat
inspectors, butchers, etc. Training programmes could be conducted on various topics such as

 Butcher personal hygiene and care

 Meat inspection

 Meat stall management and environmental sanitation

 Care and maintenance of butcher tools

 Equipment hygiene
It is expected to introduce new, Under Graduate programs in meat processing technology. The
sector is likely to open up huge employment opportunities with more modernization of slaughter
houses and processing units. Introduction of automation is key factor for the development of this
sector
As of now, Women employees have a limited role in the Buffalo meat processing. It is important
that needs to be taken to improve the role of women in this industry.
Industry to work towards introduction of value added products in both Meat and poultry related
products. New products demand for investments and higher employment.
It is expected that focus should be on a skill development programs on the basis of different set
of roles. This can help industries help absorb people directly to get on the job without putting
employees through any prior training programs

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Chapter 11: Sub-Sectoral Analysis –

Milling
11.1 Market summary
India is the world’s second largest producer of fine cereals, rice and wheat, and by far the largest
producer of pulses. This has also helped grow the Milling industry in India, as these cereals and
pulses need to be milled for human consumption. India processes approximately 200 million tons
of various grains and the industry employs roughly 480,000 persons. Indian grain milling
industry has a mix of both traditional and modern equipment being used. The industry is highly
fragmented. There are a very large number of small mills and medium-sized milling units spread
across the country. For wheat milling, 60- 65% of the wheat that produced in the country is
converted to ‘atta’ produced primarily by the unorganised players (Chakkis) and the organised
roller flour mills. Rice milling is one of the most prevalent businesses in the country, triggered by
growing production, expanding domestic consumption and increasing export. India is the world’s
largest rice exporter with annual shipments of about 10 million tons consisting of Basmati and
non-Basmati rice varieties. Mills with huller and sheller for rice milling is highly unorganized.
These mills convert paddy into rice and the yield is approximately 63-68 percent depending on
various parameters. The next big milling activity in India is pulse milling (Dal mills). Modern dal
mills with capacities of 200-500 tons have come up in India recently to take advantage of growing
demand for the grain, especially packaged and branded pulses. The overall production of oil seeds
in the country 34.19 MMT (2019 – 20), and this is processed in mills which are categorised as
Ghani's, Solvent Extractors and Oil refineries. Ghanis are largely unorganised, while the solvent
extractors and oil refineries are more organised in nature. There are multiple reasons for limited
growth of Milling industry are population growth, growing at approx. 1% CAGR since 2015,
though the industry is witnessing some structural changes and evolutions which are likely to
continue in the coming years. Factors like consumers moving towards good quality branded
products, Introduction of various kind of health-benefit products, attractive packaging,
Increasing number of QSR outlets, Cafes, eateries and fast food restaurants, society’s shift towards
high quality processed oil are going to propel growth at a steady pace and the trend is likely to
continue in the coming years.
Key Industry Indicators Details
Overall Market (‘000 MT) (FY’20) 21,795
No. of registered units 23,792
Past Growth rate (CAGR) (FY’ 15 – FY’ 20) 2.1%
Total Number of Employees (FY’ 20) 4,82,418 nos.
Overall Exports (FY’20) INR 2,369 Crs.
Expected Market (‘000 MT) FY’ 2030 28,050
Future growth rate (FY’ 20 – FY’ 30) 2.6%
Total Employee Estimation (FY’ 30) 6,05,753 nos.
Overall Employment Additions (FY’ 20 – FY’ 30) 1,23,335 nos.
Table 85: Milling: Key Industry Indicators

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11.2 Present State of the Industry & Future Outlook

Milling - Grains (Flour, Pulses, Rice) and Oilseeds
India is the world’s second largest producer of fine cereals, rice and wheat, and by far the largest
producer of pulses. This has also helped grow the Milling industry in India, as these cereals and
pulses need to be milled for human consumption.
India processes approximately 200 million tons of various grains and the industry employs
roughly 370,000 persons. Indian grain milling industry has a mix of both traditional and modern
equipment being used. The industry is highly fragmented. There are a very large number of small
mills and medium-sized milling units spread across the country.
For wheat milling, 60- 65% of the wheat that produced in the country is converted to ‘atta’
produced primarily by the unorganised players (Chakkis) and the organised roller flour mills.
There are roughly 900 large stone mills that account for about 15 percent of flour production.
These mills produce wheat flour (atta), finely milled white flour (Maida) and kind of semolina
(sooji or rawa)38.
Rice milling is one of the most prevalent businesses in the country, triggered by growing
production, expanding domestic consumption and increasing export. India is the world’s largest
rice exporter with annual shipments of about 10 million tons consisting of Basmati and non-
Basmati rice varieties.
Mills with huller and sheller for rice milling is highly unorganized. These mills convert paddy into
rice and the yield is approximately 63-68 percent depending on various parameters.
The next big milling activity in India is pulse milling (Dal mills). There are approximately 7,000
operating dal mills in India, most of which have rather small capacities of 10-25 tons a day.
Modern dal mills with capacities of 200-500 tons have come up in India recently to take advantage
of growing demand for the grain, especially packaged and branded pulses. In addition to pulse
splitting, many of the mills produce chickpea flour (known as Besan) for which there is
tremendous demand across the country as it is used in many traditional food products including
snacks.
Foreign direct investment (FDI) in milling industry is permitted 100 percent under the automatic
route. Many investors are exploring opportunities in India given its large size of the domestic
market and opportunities of export to Asian and African neighbours.
India is the 4th largest39 oil seed producing economy in the world after USA, China and Brazil,
which contributes about 10% of the world oilseeds production. Although India has 20.8% of the
world’s area under oilseed crops, it accounts for about 10% of global production. This is because
of low productivity of oilseed crops and year to year fluctuations in production in India.
Nine oilseeds are the primary source of vegetable oils in the country, which are largely grown
under rainfed condition over an area of about 26 million ha40.

38 Millermagazine – Article by G. Chandrashekhar, Economist, Senior Editor and Policy Commentator, is a

global agribusiness and commodities market specialist
39 Indian Chamber of Food & Agriculture
40 Indian Chamber of Food & Agriculture

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Among these, soybean (34%), groundnut (27%), rapeseed & mustard (27%) contributes to more
than 88% of total oilseeds production and >80% of vegetable oil with major share of mustard
(35%), soybean (23%) and groundnut (25%). India is producing about 7-8 million tons of
vegetable oils from primary sources41.
In addition to nine oilseeds, 3 million tonnes of vegetable oil are being harnessed from secondary
sources like cottonseed, rice bran, coconut, Tree Borne Oilseeds (TBOs) and Oil Palm. Oil palm
which is categorized as secondary sources of oils should be included as primary source as it gives
the highest per ha oil yield (4-5t/ha) 42.
Manufacturing Clusters:

Punjab
Haryana

Uttar
Pradesh

Gujarat West Bengal

Chhattisgar
h

Maharashtra
Telangana

Andhra Pradesh

Tamil Nadu

Figure 96: Manufacturing Clusters: Milling Industry

Top 10 states account to 79% of total employment in the Milling industry
Market Overview

Milling Market Trend in India (Volume in ‘000 MT)

23,348 28,050
20,975 21,381 21,796

FY'15 FY'17 FY'20 FY'25 (E) FY'30 (E)

41 Indian Chamber of Food & Agriculture

42 SOPA, Indian Chamber of Food & Agriculture
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Figure 97: Overall Milling Market Trend in India

Source: Feedback Analysis

11.3 Present Employment Scenario & Analysis

Category of the Companies by Revenue
The milling industry is generally classified based on capacity. However, for uniformity, the
industry has been classified based on the revenue guidelines of RBI. Large companies: > Rs. 250
Cr., Medium: Rs. 50 - 250 Cr., Small: Rs. 5 - 50 Cr. and Micro: <Rs. 5 Cr.

11.3.1 Sample Coverage by Categories of Companies & Region

Category of the Sample
East North West South
Company Coverage (N)

Micro Enterprises 300 18% 22% 24% 36%

Small Enterprises 214 19% 12% 39% 30%

Medium Enterprises 97 27% 9% 42% 22%

Large Enterprises 10 20% 40% 20% 20%

Total 621 20% 17% 32% 31%

Table 86: Sample Coverage by Categories of Companies & Region

11.3.2 Total No. of Employees
Past Trend of employment in the Milling Sector

482,418
481,803
496,218 488,925
430,240
434,364

FY'15 FY'16 FY'17 FY'18 FY'19 FY'20

Total No. of Employees

Figure 98: Past Trend of employment in the Milling Sector

Source: Feedback Analysis

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Share of Employees (FY’ 20) Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 4,82,418) (Base: 4,82,418)
Top
Managem
ent
4%
Permanent
28% Operator-Level
Employees
Middle
73%
Managem
ent
9%
Contractual
72%
Lower
Management /
supervisory
14%

Share of Operator-Level Employees Share of Permanent Employees by

(Base: 3,52,165) Education (Base: 1,35,077)
Helpers, Production
PG
Support & Others
3%
5%
Loader / Pre-Processing
Unloader 14% UG
Less than 12%
21%
Schooling
63% Diploma /
ITI
2%
Supervisor Milling
6% Operator /
Processor Schooling
Packer 29% 16% Vocational
25% Training
4%

Figure 99: Share of Employees (FY’ 20): By Different Category

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Share by NSQF (Base=482,418 Employees)

Level 7 (Sr Mgmt)

4%

Level 5&6 (Low +

mid Mgmt)
27%

Level 2&3
48%

Level 4 (Operator/
Supervisor)
21%

Figure 100: Share of Employees (FY’20) : By NSQF levels

FY 20: State wise Employees in the industry (Base: 482,418 Employees)

Punjab 91,349
Tamil Nadu 50,906
Andhra Pradesh 48,370
West Bengal 31,059
Haryana 30,874
Telangana 27,900
Gujarat 27,081
Maharashtra 26,698
Uttar Pradesh 24,444
Chattisgarh 20,151
Madhya Pradesh 19,633
Odisha 16,639
Karnataka 14,330
Rajasthan 12,249
Uttarakhand 7,983
Others 32,752

Figure 101: State wise Employees in the Industry (FY’20)

Source: Feedback Analysis
Top 15 states account to 93% of total employment in the industry

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Current Key Job Roles & Responsibilities (at Operator-level employees’ category)

Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles Level Micro Small Medium Large
No. Responsibilities
Cleaning & grading the grains
or oilseeds. Process includes
winnowing; grading and
manual drying. Grains /
Oilseeds are cleaned to remove
Pre- the plant residue, soil, stones,
1 Processing etc. 3   
Labours
Large companies have vertical
dryer and horizontal rotary
dryer for the purpose of drying
which are used by pre-
processing labours.
A Pulses Mill Operator is
responsible for preparing the
mill for use and operating it to
Pulses Mill
2 carry out various processes for 4    
Operator
the milling of different types of
pulses, such as de-husking,
cleaning, polishing and grading
A Rice Mill Operator is
responsible for preparing the
rice mill for use and carrying
out various processes such as
Rice Mill pre-cleaning, dehulling/ de-
3 4    
Operator husking, paddy separation,
whitening/ polishing,
separation of white rice, rise
mixing, mist polishing,
weighing, and packing.
An Oilseed Mill Operator is
responsible for carrying out
various processes in an oilseed
Oilseed Mill mill such as pre-cleaning,
4 4    
Operator cleaning, decortication,
crushing/ grinding/ flaking,
conditioning, oil extraction, oil
clarification, etc.
A Gram Flour Mill Operator is
Gram Flour responsible for carrying out
5 Mill various processes in for milling 4    
Operator gram, such as cleaning,
conditioning, breaking,
scalping, purification,

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Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles Level Micro Small Medium Large
No. Responsibilities
reduction, dressing, finishing
and packing. The individual
uses a variety of machineries
and equipment for the purpose,
such as milling separator,
aspirator, dust collector, double
roller mill, sifter, etc.
Production Specialist acts as
extension of milling technician
Production where the job responsibilities
6 4  
Specialist include of removal of
cloudiness & excess color from
oil, filtering, etc.
Machine
Operating machine and also for
Operator
7 maintenance of machines for 4   
(Packing
packing
Machinery)
Monitoring overall operation
Shift
8 and managing manpower 5    
Supervisor
across functions
Misc. work including cleaning
9 Helpers plants, Machinery after every 3   
batch, etc.
Loader / Material handling, Loading &
10 3    
Unloader Unloading products.
Accountant / Managing accounting and day
11 Invoicing to day transaction entry in the 3   
Clerk ledger
Sales and
Sales Executives / Distribution
12 Distribution 3  
to the Channel Partners
Support

Table 87: Current Key Job Roles & Responsibilities (at Operator-level employees’ category)
11.3.3 Past Growth of Employees (FY’17 – FY’20)

43%
 >45% of the enterprises have
32%
experienced degrowth in their
manpower in the past 3 years.
8% 7% 9%  43% have indicated that their
1% manpower has grown marginally
>-10% -5 to -10% -5% to 0% 0.1 to 5% 5.1 - 10% > 10% (up to 5%).

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Figure 102: Past Growth of Employees (FY’17 – FY’20)

Source: Feedback Analysis

11.3.4 Future Plans of the Companies and its Impact on the Manpower Growth
Future Plans of the Companies covered

Plans Micro Small Medium Large

Planning to invest in Internet of Things
12% 9% 36% 20%
(IoT) or Automation
Plan to invest on new equipment /
0% 0% 0% 20%
New Facility
Plan to enhance the production
32% 12% 24% 40%
capacity
Plans to launch new products 0% 0% 17% 0%
Plans to increase exports 0% 21% 0% 0%

Table 88: Future Plans of the Companies covered

Manpower Recruitment Plan, Considering the Future Operational Expansion Plans

Considering the future

expansion plans of enterprises,
71%
it is expected that the manpower
62%
is likely to increase by

 <1% in next 3 years

27% 29% (Average)
9%  1% – 2% in next 5 years
2%
(Average)
3 Years 5 Years
No Change in Manpower 0.1% - 5% 5.1% - 10%

Figure 103: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
Source: Feedback Analysis

11.4 Recruitment & Training Practice

Recruitment Practice
Walk-in is the key source of recruiting candidates across Operational level and Lower-level
employees. Following are the key institutes encountered during survey from where the
candidates / employees have got trained or graduated before joining the enterprises.

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Key Institutes Encountered (Graduated Institutes of the Current

Managerial Level
Employees)

 Formal training institutes offering Food Tech / Food Science

Top Management
programs

 Formal training institutes offering Food Tech / Food Science

Middle Management
programs

Lower-Level  No specific Institutes. As most of them are either secondary or higher

Management secondary education (Schooling) or less than secondary schooling

Operator Level  No specific Institutes. As most of them are either secondary or higher
Employees secondary education (Schooling) or less than secondary schooling

Table 89: Recruitment Practice

Training Practice
Overall, 16% of the companies we have covered as part of the sample are providing training
across levels when an employee joins the firm (On-the-Job training).
% of Companies offering training

77%
89% 85% 84%
100%

23%
11% 15% 16%

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Offers Training Doesn't Offer Training

Figure 104: % of Companies offering training

Source: Feedback Analysis
Major Training Topics Covered
Enterpris

Enterpris

Enterpris

Enterpris
Medium

Functional
Micro

Large
Small

Training
Remarks Focus / Job
es

es

es

es

Topics
Roles

Proper cleaning,
Pre- grading, usage of dryer
Operator Level
Processing (machinery) with the    
Employees
Operations wastage of less than
2%

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Enterpris

Enterpris

Enterpris

Enterpris
Medium
Functional

Micro

Large
Small
Training
Remarks Focus / Job

es

es

es

es
Topics
Roles

Operator Level
Details of all processes
Employees;
involved. Effective way
Milling Lower-Level
of filtration of flour,    
Techniques Employees;
cleaning of Oil, color
Supervisors /
removal from oil, etc.
Managers
Supervision Appropriate packing
of product methods, latest Supervisors /
 
handling technology, equipment Managers
activities operations, etc.
Operator Level
Employees &
Maintenance checklist
Lower-Level
Plant for equipment
Employees 
Maintenance (processing and
(Technicians /
packing)
Machine
Operators)
Hygienic way of
handling products
while packing and also
Packing 
the knowledge on
SKUs by product
portfolio
Table 90: Major Training Topics Covered
Effectiveness of Training
(Mean score On a Scale of 1 - 7 where 7 is extremely Satisfied and 1 is extremely dissatisfied)

4.56
4.21 4.11 4.03

3.22

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Figure 105: Effectiveness of Training

Source: Feedback Analysis

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11.5 Challenges related to Skill Availability Vs Skill Gaps

Skill Acquisition Challenges

 Skilled workers in this industry are very limited. There are no training institutes that offer
training on mini milling plant as practical training.

 Among the smaller companies, training is provided by the equipment supplier at the time
of purchase of new equipment. With the higher attrition, the regular training becomes a
challenge.
Skill Gaps by Specific Job Roles
Following are the select key job roles and their required skills and skill gaps

Managerial Skill Gaps by Type of Enterprises

Job Roles Level & NSQF Skills Required Skill Gaps
Level Micro Small Medium Large

 Skills on grading,
Operator sorting, cleaning of
Level seeds  Lack of knowledge
Pre-
Employees on equipment
Processing  Equipment   
maintenance and
Labours operations (Dryer) operations (Dryer)
NSQF: 3 / Manual drying
operations
 Technical know-
how of all process  Unable to maintain
Operator for milling. the similar output
Level level across batches
 Required output
Milling Employees  Difficulties in
by the products    
Technician operation of new
that are milled
machines even after
NSQF: 4  Post milling training from the
process (Filter / machinery supplier
cleaning, etc)

Operator  Inability to learn

Level and operate across
Loading / functions
Employees
Unloading  Materials Handling    
Labors  Lack of knowledge
on wastage
NSQF: 3 handling
 Understanding the  Sanitation and
Operator job roles in various Hygiene awareness
Level interlinked and
Employees functions knowledge/practice
Helpers   
 Materials Handling  Inability to learn
NSQF: 3  Production and operate across
support functions

Table 91: Key job roles and their required skills and skill gaps
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11.6 Future Projection – Sector & Employment

Projected growth in Milling industry in India
Based on discussions conducted with the Visionaries and Industry experts, Indian Milling
industry likely to grow at a CAGR of 2% - 2.5% CAGR over next 10 years.
Reasons for limited growth of Grain Milling (Rice, Pulses & Dal) industry are as follows:

 Consumption growth of Grain Milling products has very strong correlation with
population growth as grains are consumed by almost everyone in the country. India's
population is growing at approx. 1% CAGR since 2015. Besides, Indian Grain Milling
industry is also stagnated since last 3 years. Considering both the facts, a meagre growth
of 1.5% CAGR has been considered for Indian Grain Milling industry.

 However, the industry is witnessing some structural changes and evolutions which are
likely to continue in the coming years:
o Though the industry is highly fragmented, consumers are slowly moving towards
good quality branded products and as a result, share of the large and medium
enterprises are slowly increasing. Brand consciousness has significantly
improved in this industry in the last few years.
o Introduction of various kind of health-benefit products along with attractive
packaging. Some of these products are multi-grain flours, whole wheat flours etc.
o Share of organized retail is increasing. At present around 8% of packaged Atta is
sold through the modern retail channel and as per experts, may reach to 15-20%
in next 10 years.
o Increase in Private label sales across modern retails in India.
On the other hand, Oilseed Milling industry likely to grow at a slightly better rate due to the
following factors:

 Increasing number of QSR outlets, Cafes, eateries and fast food restaurants across the
country fuelling the demand for edible oils.

 A section of the society is shifting towards low cholesterol edible oils from products like
Ghee, Butter etc.

 Export of edible oil is increasing at a steady pace and the trend is likely to continue in the
coming years. According to the Solvent Extractors' Association of India (SEA), India
exported 80,765 tonnes of various edible oils valued at ₹955.51 crore during 2019-20,
against 52,490 tonnes valued at ₹627.11 crore during the previous year 2018-19. Major
oils exported are groundnut oil, rice bran oil and also small quantities of sesame oil,
sunflower oil and mustard oil.

 Similar to Grain Milling industry, Oilseed milling industry is also undergoing structural
changes and evolutions such as emergence of Branded products, introduction of various
types of edible oil with higher health benefits, higher sales through organized retail
channel etc.

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Future Market & Growth Rate of the Milling industry in India

Market Size -
Market Size - Market Size -
Oilseed
Year Grain Milling YoY Growth YoY Growth Total Milling
Milling ('000
('000 MT) ('000 MT)
MT)

FY'20 15,575 6,220 72,498

FY'21 (E) 15,784 1.3% 6,433 3.4% 73,600

FY'22 (E) 16,388 1.7% 6,660 3.5% 74,943

FY'23 (E) 16,640 1.5% 6,900 3.6% 76,233

FY'24 (E) 16,880 1.4% 7,133 3.4% 77,467

FY'25 (E) 17,160 1.7% 7,380 3.5% 78,880

FY'26 (E) 17,763 1.4% 7,633 3.4% 80,133

FY'27 (E) 18,048 1.6% 7,913 3.7% 81,580

FY'28 (E) 18,293 1.4% 8,187 3.5% 82,853

FY'29 (E) 18,942 1.5% 8,493 3.7% 84,260

FY'30 (E) 19,250 1.6% 8,800 3.6% 1,39,500

Table 92: Future Market & Growth Rate of the Milling industry in India
100% FDI is permitted in the Milling industry under automatic route. Many investors are
exploring business opportunities in India considering the sheer size of the domestic market and
also due to the export opportunities to Asian and African neighbours.
There is scope for capacity scale-up and modernization of many milling units in the country. Govt.
of India is providing financial assistance for modernization of grains and pulses milling with latest
technologies.
Select ongoing and upcoming projects of Milling industry in India

Project Project Cost (Rs.

SL # Company Name Project Name
Location Type Cr.)
Sri Ganganagar Gluten Ganganagar,
1 Vikas W S P Ltd. New Unit 196
Free Flour Project Rajasthan
Kandla (Solan) Malt
Alcobrew Distillation and Solan,
2 Distilleries India Saturation Himachal New Unit 65.39
Pvt. Ltd. Manufacturing Plant Pradesh
Project

Easternzone Flour Mill (Bahuda)

3 Cuttack, Odisha New Unit 50
Industries Pvt. Ltd. Project

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Project Project Cost (Rs.

SL # Company Name Project Name
Location Type Cr.)
Patel Retail Pvt. Flour Milling (Anjar) Kachchh,
4 New Unit 30
Ltd. Project Gujarat
Flour Mill (Jauharpur) Bareilly, Uttar
5 B L Agro Oils Ltd. New Unit 25
Project Pradesh

Maa Mundeshwari Flour Mill (Mohania)

6 Bhabhua, Bihar New Unit 20
Flour Mill Pvt. Ltd. Project

Anjani Agro Food Wheat Flour (Vemgal) Kolar,

7 New Unit 16
Products Pvt. Ltd. Project Karnataka

Punjab Non-Basmati
8 L T Foods Ltd. Punjab New Unit 12
Plant (Phase 2) Project

Kewlani Agro Flour (Madhav Nagar) Katni, Madhya

9 New Unit 10
Industries Pvt. Ltd. Project Pradesh

Aditya Flour Mills Bokaro Flour Mill (Suji, Bokaro,

10 New Unit 1
Pvt. Ltd. Besan) Project Jharkhand
Punjab State Co-
op. Supply & Flour Mill (Punjab)
11 Punjab New Unit NA
Marketing Fedn. Project
Ltd.

Baba Gorakhnath Flour Mill (Akbarpur) Kanpur, Uttar

12 New Unit NA
Flour Mills Ltd. Project Pradesh

Table 93: Select ongoing and upcoming projects of Milling industry in India
Source: CMIE & Projects Today
FY'20 employment estimation in Indian Grain Milling industry

FY'20 Total No. of Annual

Average
Company Employees in Production Production Production/
no. of
Category Flour Milling Share* ('000 MT) Employee
Employees
industry (MT)
Large
450 11,250 10% 1,558 138
Enterprises
Medium
80 40,000 20% 3,115 78
Enterprises
Small
25 125,000 45% 7,009 56
Enterprises
Micro
13 195,858 25% 3,894 20
Enterprises
Total 372,108 15,575 42

Table 94: FY'20 employment estimation in Indian Grain Milling industry

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* Based on discussion with the milling units and SMEs

Note: The milling industry is generally classified based on capacity. However, for uniformity, the industry has
been classified based on the revenue guidelines of RBI. Large companies: > Rs. 250 Cr., Medium: Rs. 50 - 250
Cr., Small: Rs. 5 - 50 Cr. and Micro: <Rs. 5 Cr.

Future employment projection Grain Milling Industry in India

Annual FY'20 - FY'30

FY'30 share FY'30 FY'30 Total
Company Production/ Employment
in Production Employee
Category Employee Generation
Production* ('000 MT) Estimation
(MT)# potential
Large
1,925 144 13,369 2,119
Enterprises 10%
Medium
3,850 81 47,536 7,536
Enterprises 20%
Small
8,663 57 151,462 26,462
Enterprises 45%
Micro
4,813 20 237,320 41,462
Enterprises 25%
Total 19,250 449,687 77,579

Table 95: Future employment projection Grain Milling Industry in India

* As per discussion with the grains milling units and SMEs, share of large and medium enterprises are likely to
increase marginally over next 10 years’ time. The same has been considered in future employment on potential
calculation
# Based on discussions with equipment manufacturers and SMEs, across all categories of companies will have
adoption of automation / industry 4.0 in the coming years. As per equipment manufacturers, this may lead to
around 4% improve in the productivity for large and medium enterprises and average 2% improvement in the
productivity for the medium and small enterprises. The same has been considered for calculating future
employment generation potential.

FY'20 employment estimation Oilseed Milling industry in India

FY'20 Total No. of Annual

Average
Company Employees in Production Production Production/
no. of
Category Oilseed Milling Share* ('000 MT) Employee
Employees
industry (MT)
Large
350 7,000 10% 622 89
Enterprises
Medium
115 34,500 35% 2,177 63
Enterprises
Small
50 50,000 45% 2,799 56
Enterprises
Micro
10 18,810 10% 622 33
Enterprises
Total 110,310 6,220 56

Table 96: FY'20 employment estimation Oilseed Milling industry in India

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* Based on discussion with the milling units and SMEs

Note: The milling industry is generally classified based on capacity. However, for uniformity, the industry has
been classified based on the revenue guidelines of RBI. Large companies: > Rs. 250 Cr., Medium: Rs. 50 - 250
Cr., Small: Rs. 5 - 50 Cr. and Micro: <Rs. 5 Cr.

Future employment projection Oilseed Milling industry in India

Annual FY'20 - FY'30

FY'30 FY'30 Total
Company FY'30 share in Production/ Employment
Production Employee
Category Production* Employee Generation
('000 MT) Estimation
(MT)# potential
Large
880 89 9,903 2,903
Enterprises 10%
Medium
3,080 63 48,809 14,309
Enterprises 35%
Small
3,960 56 70,737 20,737
Enterprises 45%
Micro
880 33 26,611 7,801
Enterprises 10%
Total 8,800 156,061 45,751

Table 97: Future employment projection Oilseed Milling industry in India

* As per discussion with the grains milling units and SMEs, share of large and medium enterprises are likely to
increase marginally over next 10 years’ time. The same has been considered in future employment on potential
calculation
# Based on discussions with equipment manufacturers and SMEs, there could be marginal adoption of
automation / industry 4.0 in the coming years. However, that will have negligible impact on the productivity
of the employees. Hence, the same productivity values have been considered for future employment generation
potential.

Future combined employment projection in the Grains and Oilseed Milling industry

FY'20 FY'30
FY 20 Annual FY 30 Annual FY'20-FY'30
FY 20 FY 30
Production Production/ Production Production/ Employment
Employment Employment
('000 MT) Employee ('000 MT) Employee Addition
(MT) (MT)
Grain
15,575 372,108 42 19,250 449,687 43 77,579
Milling
Oilseed
6,220 110,310 56 8,800 156,061 56 45,751
Milling

Total 21,796 482,418 45 28,050 605,748 46 123,330

Table 98: Future combined employment projection in the Grains and Oilseed Milling industry

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Share of FY'20 - FY'30 Employment Generation potential Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 1,23,330) (Base: 1,23,330)
Top
Managem
ent
3%
Permanent
25% Middle
Operator-Level
Managem
Employees
ent
75%
7%

Contractual
75%
Lower
Management /
supervisory
15%

Share of Operator-Level Employees Share of Permanent Employees by

(Base: 92,498) Education (Base: 30,833)
Helpers, Production
PG
Support & Others
3%
5% Pre-Processing
Loader / 15%
Unloader UG
20% Less than
Schooling 12%
60%
Diploma /
Supervisor ITI
5% 5%
Milling
Operator /
Packer Processor Schooling
15% Vocational
25% 30% Training
5%

Figure 106: Share of FY'20 - FY'30 Employment Generation potential: By Different Category

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Share by NSQF (Base=123,335 Employees)

Level 7 (Sr Mgmt)

3%

Level 5&6 (Low + mid

Mgmt)
26%

Level 2&3
49%

Level 4 (Operator/
Supervisor)
22%

Figure 107: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels
Source: Feedback Analysis

State wise Employment Generation Potential (Base: 123,335 Employees)

Punjab 20,657
Tamil Nadu 14,173
Haryana 9,462
Gujarat 8,876
West Bengal 7,943
Maharashtra 7,894
Telangana 7,066
Uttar Pradesh 6,936
Andhra Pradesh 6,094
Chattisgarh 5,279
Madhya Pradesh 5,113
Odisha 4,477
Karnataka 4,003
Rajasthan 3,373
Bihar 2,535
Others 9,455

Figure 108: State wise Employment Generation Potential

Source: Feedback Analysis

Top 15 states account to 92% of total employment in the industry

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11.7 Existing & Emerging Prominent Job Roles Which Requires

Skilling
Milling is one of the key sub-sectors which is highly unorganized and tremendous scope for new
employment generation through the efforts of NSDC / FICSI where there are specific programs
are to be created. Following are the specific existing and emerging prominent job roles that will
create employment opportunities in Milling products Sub-sector in future

Major Category of Enterprises for

NSQF Key Activities & Emerging Job Role
Job Role Brief Description
Level Knowledge Required
Micro Small Medium Large
A Helper / Floor
Cleaner / Loader &
Unloader must be able
to:
 Load and unload
supplies.
 Maintain cleanliness
A Helper / Floor in the processing
Cleaner / Loader & and storage area.
Unloader is responsible  Store the supplies
for carrying out various appropriately.
Helper / labor-intensive
Floor activities such as  Pack the products as
Cleaner / 3 loading/unloading and per the packaging   
Loader & storing the supplies; standards when
Unloader packing products; required.
maintaining the storage A Helper / Floor
area along with other Cleaner / Loader &
relevant activities Unloader must know
under supervision. and understand:
 Applicable food
safety and hygiene
standards.
 Appropriate
handling of food
supplies and
products.
A Grain & Oilseed A Grain & Oilseed
Cleaner & Pre- Cleaner & Pre-
processor Labourer is processor must be
Grain & responsible for able to:
Oilseed cleaning and grading
Cleaner & 3 various food items such  Clean and grade food    
Pre- as grains, oil seeds, etc. items ensuring
processor The individual also minimum wastage
performs other pre-  Carry out pre-
processing activities processing
under supervision. operations and
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Major Category of Enterprises for

NSQF Key Activities & Emerging Job Role
Job Role Brief Description
Level Knowledge Required
Micro Small Medium Large
operate food dryer
machine
A Grain & Oilseed
Cleaner & Pre-
processor must know
and understand:
 Process of cleaning
and drying various
food items such as
grains, oil seeds, etc.
 How to operate food
dryer machine
 Applicable food
hygiene and safety
standards
A Milling Machine
Operator must be able
to:
 Prepare the milling
machine for
A Milling Machine operation
Operator is responsible Operate milling
for preparing and machine to mill
operating milling different types of
machine to mill grains
Milling  Carry out general
different types of
Machine 4 maintenance of the    
grains such as rice,
Operator milling machine
wheat, pulses, etc. The
individual also carries A Milling Machine
out general Operator must know
maintenance of the and understand:
milling machine.  How to operate and
maintain a milling
machine
 Applicable food
hygiene and safety
standards
A Wheat Flour Mill A Wheat Flour Mill
Operator is responsible Operator must be able
for preparing the wheat to:
Wheat flour mill for use;
Flour Mill 4  Prepare the wheat
cleaning the wheat
Operator flour mill for use
grains; tempering the
grains; grinding the  Carry out various
tempered grains in wheat flour milling
roller mills; sifting the processes such as

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Major Category of Enterprises for

NSQF Key Activities & Emerging Job Role
Job Role Brief Description
Level Knowledge Required
Micro Small Medium Large
ground grains into cleaning, tempering,
various sizes; and grinding, sifting, etc.
packing the ground  Pack the wheat flour
wheat products in mill products
appropriate packing
 Carry out regular
material. The
repair and
individual is also
maintenance of
responsible for
wheat flour mill
carrying out regular
repair and  Follow the
maintenance of the applicable food
wheat flour mill. hygiene, and health
and safety standards

A Wheat Flour Mill

Operator must know
and understand:
 Applicable food
hygiene, and health
and safety standards
 How to prepare and
use a wheat flour
mill
 Various processes
carried out during
wheat flour milling
 How to carry out
regular repair and
maintenance of
wheat flour mill
A Pulses Mill Operator
is responsible for A Pulses Mill Operator
preparing the mill for must be able to:
use and operating it to  Prepare the pulses
carry out various mill and relevant
processes for the equipment for use
milling of different  Carry out various
types of pulses, such as pulses milling
Pulses Mill
4 de-husking, cleaning, processes such as
Operator
polishing, and grading. de-husking, cleaning,
The individual is also polishing, and
responsible for packing grading, etc.
the milled pulses and  Pack the processed
carrying out regular pulses mill in
repair and appropriate packing
maintenance of the material
pulses mill.

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Major Category of Enterprises for

NSQF Key Activities & Emerging Job Role
Job Role Brief Description
Level Knowledge Required
Micro Small Medium Large
 Carry out regular
repair and
maintenance of
pulses mill and
relevant equipment
 Follow the
applicable food
hygiene, and health
and safety standards
A Pulses Mill Operator
must know and
understand:
 How to prepare and
use a pulses mill
 Various processes
carried out during
the milling of pulses
 How to carry out
regular repair and
maintenance of
pulses mill and
relevant equipment
 Applicable food
hygiene, and health
and safety standards
A Rice Mill Operator
must be able to:
A Rice Mill Operator is
responsible for  Set up the rice mill
preparing the rice mill for the milling
for use and carrying operation
out various processes  Carry out various
such as pre-cleaning, processes during
dehulling/ de-husking, rice milling pre-
paddy separation, cleaning, dehulling/
whitening/ polishing, de-husking, paddy
Rice Mill
4 separation of white separation,
Operator
rice, rice mixing, mist whitening/
polishing, weighing, polishing, weighing,
and packing. The packing, etc.
individual is also  Carry out regular
responsible for repair and
carrying out minor maintenance of the
repair and rice mill and relevant
maintenance of the rice equipment
mill.
 Follow the
applicable food
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Major Category of Enterprises for

NSQF Key Activities & Emerging Job Role
Job Role Brief Description
Level Knowledge Required
Micro Small Medium Large
hygiene, and health
and safety standards

A Rice Mill Operator

must know and
understand:
 Applicable food
hygiene, and health
and safety standards
 Process of setting up
rice mill for use and
operating it for rice
milling
 Process of carrying
out regular repair
and maintenance of
rice mill
An Oilseed Mill
Operator must be able
to:
An Oilseed Mill  Follow the
Operator is responsible applicable food
for carrying out various hygiene, and health
processes in an oilseed and safety standards
mill such as pre-  Prepare the oilseed
cleaning, cleaning, mill for the milling
decortication, operation
crushing/ grinding/
flaking, conditioning,  Carry out various
oil extraction, oil processes during
Oilseed clarification, etc. The oilseed milling such
Mill 4 individual uses a as pre-cleaning,
Operator variety of machineries cleaning,
for the purpose and is decortication,
responsible for crushing/ grinding/
preparing the flaking, conditioning,
machineries for use; oil extraction, oil
using them as per the clarification, etc.
Standard Operating  Maintain the oilseed
Procedure (SOP); and mill in working
carrying out their condition through
regular repair and regular repair and
maintenance. maintenance
An Oilseed Mill
Operator must know
and understand:

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Major Category of Enterprises for

NSQF Key Activities & Emerging Job Role
Job Role Brief Description
Level Knowledge Required
Micro Small Medium Large
 Applicable food
hygiene, and health
and safety standards
 How to prepare and
operate the oilseed
mill
 How to carry out
regular repair and
maintenance of
oilseed mill
A Gram Flour Mill
Operator must be able
to:
 Set up the gram flour
mill for the milling of
A Gram Flour Mill gram
Operator is responsible  Carry out various
for carrying out various processes during
processes in for milling gram flour milling
gram, such as cleaning, such as cleaning,
conditioning, breaking, conditioning,
scalping, purification, breaking, scalping,
reduction, dressing, purification,
finishing, and packing. reduction, dressing,
The individual uses a finishing, etc.
variety of machineries
 Pack the processed
and equipment for the
Gram gram flour in the
purpose, such as
Flour Mill 4 appropriate packing
milling separator,
Operator material
aspirator,
 Maintain the gram
dust collector, double
flour mill in working
roller mill, sifter, etc.
condition through
The person is
regular repair and
responsible for using
maintenance
these machineries and
equipment as per the  Follow the
Standard Operating applicable food
Procedure (SOP) and hygiene, and health
carrying out their and safety standards
regular repair and A Gram Flour Mill
maintenance. Operator must know
and understand:
 SOP for preparing,
operating, and
maintaining the
gram flour mill

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Major Category of Enterprises for

NSQF Key Activities & Emerging Job Role
Job Role Brief Description
Level Knowledge Required
Micro Small Medium Large
 Applicable food
hygiene, and health
and safety standards
A Flour Packaging
Machine Operator
must be able to:
 Protect the
packaging contents
from spoilage &
spillage.
 Design appropriate
packaging.
Carry out
maintenance of the
A Flour Packaging packaging
Machine Operator is equipment.
responsible for A Flour Packaging
handling the milled Machine Operator
Flour must know and
flours, preparing, and
Packaging understand:
4 operating the   
Machine
packaging machine and  Criteria for selecting
Operator
performing general suitable packing
maintenance of the material for different
flour packaging types of flour types.
machine.  Various methods
packing food items
using the relevant
packaging
equipment.
 How to perform
general maintenance
of the packaging
equipment.
 Applicable food
hygiene and safety
standards.
An Oil Pouch Packing An Oil Pouch Packing
Machine Operator is Machine Operator
responsible for must be able to:
Oil Pouch
handling the milled oils  Protect the
Packing
4 from oilseeds. Also packaging contents   
Machine
performing general from spoilage &
Operator
maintenance of the oil spillage.
pouch packaging  Design appropriate
machine. packaging.

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Major Category of Enterprises for

NSQF Key Activities & Emerging Job Role
Job Role Brief Description
Level Knowledge Required
Micro Small Medium Large
 Carry out
maintenance of the
packaging
equipment.
An Oil Pouch Packing
Machine Operator
must know and
understand:
 Criteria for selecting
suitable packing
material for different
types of Oil types /
pack size.
 Various methods
packing food items
using the relevant
packaging
equipment.
 How to perform
general maintenance
of the packaging
equipment.
 Applicable food
hygiene and safety
standards.
A Mill Supervisor must
be able to:
 Schedule activities
and allocate task
A Mill Supervisor is  Maintain general
responsible for safety and discipline
scheduling and
 Measure qualities of
allocating tasks to the
finished product
workers, monitoring
Mill A Supervisor must
5 their performance, and    
Supervisor know and
ensuring correct
functioning of the understand:
machineries and  Relevant safety and
overall maintenance of security procedures
the mill.  Product quality
evaluation criteria
w.r.t national and
international
standards

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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Major Category of Enterprises for

NSQF Key Activities & Emerging Job Role
Job Role Brief Description
Level Knowledge Required
Micro Small Medium Large
A Food Laboratory
Assistant must be able
to:
 Test the raw
materials and
finished products to
ensure compliance
with standards and
regulations and
adherence to the
organization’s food
safety and hygiene
policy.
 Analyze test results
Conduct standardized to classify products
tests on food, or compare results
beverages, additives, or with standard tables.
preservatives to ensure  Perform regular
compliance with maintenance of
Food
standards and laboratory  
Laboratory 5
regulations regarding equipment by
Assistant
factors such as color, inspecting
texture, or nutrients. calibrating, cleaning,
Test quality of or sterilizing.
materials or finished
products.  Examine chemical or
biological samples to
identify cell
structures or to
locate bacteria or
extraneous material,
using a microscope.
A Food Laboratory
Assistant must know
and understand:
 Applicable food
safety and hygiene
standards.
 Record research or
operational data
A Food Safety & A Food Safety &
Food Hygiene Manager is Hygiene Manager
Safety & responsible for must be able to:    
6
Hygiene implementing the food
Manager safety policies and  Ensure adherence to
standards in the food the organization’s

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Major Category of Enterprises for

NSQF Key Activities & Emerging Job Role
Job Role Brief Description
Level Knowledge Required
Micro Small Medium Large
processing plant. The food safety and
individual is also hygiene policy.
responsible for training
 Train the processing
other employees;
plant employees on
maintaining
the use of relevant
documentation;
systems.
ensuring that products
meet the applicable  Ensure maintenance
quality standards; of the record of
educating suppliers; operations and
and conducting safety review them
audits. periodically.
 Manage supplier
relationships.
Conduct safety
audits.
A Food Safety &
Hygiene Manager
must know and
understand:
 Applicable food
safety and hygiene
standards.
 Record maintenance
and review
procedures.
 Supplier
management.
 Safety audit
procedures.

Table 99: Existing and emerging prominent job roles which will require skilling

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Skill Sets required across multiple levels in the sector

Figure 109: Skill Sets required across multiple levels in the sector

11.8 Expectations from the Industry Stakeholders

Training program with specific focus on the milling industry required

 Within the Milling industry, there is a need to introduce basic courses on crushing,
and refining
o There can be additional courses oil milling machine and basic functions of
machines.
 Along with the basic course, there is a need to train the millers on food safety along
with the GMP and HACCP practices

Requirement for providing machine maintenance courses for millers

 An example of good practice in US is the Association of Operative Millers (AOM) Kansas,

who conduct courses for a week on mill maintenance, quality and operation systems
which can be replicated in India to trained millers who are already employed in milling
industry and those who are interested in it
 With most companies having an automated line, it is important that several small-time
repair and maintenance works are attended to locally without calling the equipment
companies and this can easily be done
 Most equipment companies are willing to contribute to designing a course which can
address this need and also help in training the initial batches which can then be replicated.

Training the Candidates on Latest Technology

 Candidates across functions are required to know various functionalities (Grain silo,
Milling, R&D, Warehouse operations, etc.).

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 Increased use of automation and control systems mean that engineering and computer
skills needs to the adequate across level of employees.
 The existing QPs of FICSI focuses on core functions of milling created few years back and
it is expected to be updated with the latest technology in the industry

Visibility of Training Institutes offering technicians

 There are very few institutes which are well known in the industry like CFTRI, CSMT
(Choyal School of Milling Technology) which offers technical programs on various milling
technology
 With the limited awareness of these institutes, it is expected that more institutes to be
operated across states.
 Some of the Machine suppliers are ready to collaborate with the education institutes to
offer practical training at their plant.
Joint efforts of all the stakeholders (MoFPI / FICSI; Machinery Manufacturers; Millers &
Education Institutes) will reduce the skill gap in the industry.

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Chapter 12: Sub-Sectoral Analysis –

Beverages (Tea and Coffee)
12.1 Market summary
Indian tea is among the finest in the world owing to strong geographical conditions, heavy
investment in tea processing units, continuous innovation, augmented product mix and strategic
market expansion. India is the 2nd largest producer and exporter of tea in the world. India is also
Asia's third-largest producer and exporter of coffee. Almost 80% of Indian coffee is exported. The
trend is likely to continue in the coming years. The unbranded market by value is around 30-35%
of the overall market. Green tea is estimated to be ~3% of the branded category. When it comes
to domestic consumption, tea is considered as common man's drink and is consumed multiple
times during the day. However, tea drinkers are now preferring multiple flavours. Among the milk
tea drinkers, masala tea, ginger tea, elaichi tea etc. are gaining preference whereas, among the
non-milk tea drinkers, green tea and lemon tea are fast becoming the popular choice after plain
liquor tea. Green tea is fast becoming a popular drink across age due to its perceived health
benefits, and is fast becoming one of the popular products in the health and wellness segment
thereby driving the growth of Indian tea industry. On the other hands, influence of western
culture, entry of international brands, availability and affordability, change in drinking habits
among the working populations etc. are driving the growth of Indian Coffee market and likely to
do so in the coming years.
Key Industry Indicators Details

Overall Market (‘000 MT) (FY’20) 1,516

No. of registered units 1,075

Past Growth rate (CAGR) (FY’ 15 – FY’ 20) 1.8%

Total Number of Employees (FY’ 20) 1,05,100 nos.

Overall Exports (FY’20) INR 8,736 Crs.

Expected Market (‘000 MT) FY’ 2030 2,450

Future growth rate (FY’ 20 – FY’ 30) 4.9%

Total Employee Estimation (FY’ 30) 1,69,870 nos.

Overall Employment Additions (FY’ 20 – FY’ 30) 64,770 nos.

Table 100: Beverages (Tea and Coffee): Key Industry Indicators

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12.2 Present State of the Industry & Future Outlook

Tea Industry
The Indian tea market, during FY 2143, is estimated to be ~ 1200 Mn Kgs by volume and ~Rs.
26,000 Crores44 by value. The unbranded market by value is around 30-35% of the overall market.
Green tea is estimated to be ~3% of the branded category.
Indian tea is among the finest in the world owing to strong geographical conditions, heavy
investment in tea processing units, continuous innovation, augmented product mix and strategic
market expansion. The main tea-growing regions are in the Northeast (including Assam) and in
North Bengal (Darjeeling district and the Dooars region). Tea is also grown on a large scale in
Tamil Nadu and Kerala in south India.
Value chain of Tea Market in India

Growing Consumer

Plucking Distribution

Processing Tea Manufacturer

Figure 110: Value chain of Tea market in India

43 Tea Board of India

44 Analyst Report – Tata Consumer Products
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Manufacturing Clusters:

Arunachal
Sikkim Pradesh

Assam Nagaland
Manipur

West Bengal

Andhra Pradesh

Karnataka

Kerala
Tamil Nadu

Figure 111: Manufacturing Clusters

Top 10 states account to 94% of total employment in the Beverages (Tea & Coffee) industry
Coffee Industry

Karnataka accounts for over 50% of the coffee land under cultivation in India at 226,244
hectares45. Karnataka also has the highest soil productivity at 983 kg’s per hectare in
contrast to Tamil Nadu which has the lowest soil productivity among the three states at
519 kg’s per hectare. Although Kerala has the marginally low soil productivity at 774 kg’s
per hectare but it has comparative advantage versus Karnataka and Tamil Nadu in terms
of labour utilization.

Kerala employs an aggregate ~44,000 people in its coffee farm lands but at a unit level in
terms of coffee produced per labour, Kerala has the highest productivity at 1.5 tons of
coffee production per labour46. Karnataka and Tamil Nadu states lag behind Kerala on
these metrics and this comparative advantage of Kerala is possible because of more
mechanization of coffee farm lands versus that of Karnataka and Tamil Nadu.

45 Coffee Board of India

46 ICO.ORG, Coffee Board of India
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Value chain of Coffee Market in India

Cultivation Processing Roasting

Grinding Blending Cooling

Purchase of
Coffee
Packaging roasted
brewing
ground coffee

Figure 112: Value chain of Coffee Market in India

Market Overview - Tea Industry

Tea Market Trends in India (Volume in ‘000 MT) – Total Tea Leaves Processed
1,218
1,171
1,113
1,087
1,054

FY 16 FY 17 FY 18 FY 19 FY 20
Figure 113: Tea Market Trends in India (Volume in ‘000 MT) – Total Tea Leaves Processed
Source: Tea Board of India & Discussion with SMEs

Big Growers: 1,569 Nos Big Growers: Area in Hector: 420,670

Assam Assam
6% 1% 7% 1%
8% West Bengal 7% West Bengal
3%
7% Other Parts in Other Parts in
Northern India Northern India
49% Tamil Nadu Tamil Nadu
55%

Kerala 27% Kerala

29% Karnataka Karnataka

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Figure 114: No. of Big Growers: By State

Figure 115: Area of Big Growers: By State
Source: Tea Board of India

Small Growers: 210,225 Nos Small Growers: Area in Hector: 215,886

Assam Assam
4% 2%
West Bengal 15% West Bengal
22%
Other Parts in Other Parts in
Northern India Northern India
48% 49%
Tamil Nadu Tamil Nadu
18%
8% Kerala Kerala

Karnataka Karnataka
18% 16%

Figure 116: No. of Small Growers: By State

Figure 117: Area of Small Growers: By State
Market Overview – Coffee Industry

Coffee Market Trends in India (Volume in ‘000 MT)

348

320
310
300 298

FY 16 FY 17 FY 18 FY 19 FY 20
Figure 118: Coffee Market Trends in India (Volume in ‘000 MT)
Source: Coffee Board of India

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State wise Coffee production for FY 21 is 298 Mn Kg

Arabica 2020-21 (Base: 87 Mn Kg) Robusta 2020-21 (Base: 211 Mn Kg)

Karnataka Karnataka
0% 0%
11% 0% 0% 2% 0%
Kerala Kerala
28%
13% Tamil Nadu Tamil Nadu

2% Andhra Andhra
Pradesh Pradesh
74% Orissa 70% Orissa

North Easter North Easter

Region Region

Figure 119: State wise Coffee production for FY 21: By type

Source: Coffee Board of India

12.3 Present Employment Scenario & Analysis

Category of the Companies by Revenue

Category of the Definition

Remarks
Company (Revenue Range)

Micro Enterprises < Rs 5 Cr Micro and small enterprises are primarily small-
scale manufacturer / processors attached to
Small Enterprises RS 5.1 – 50 Cr small plantations.
Medium-Sized Enterprises predominantly
Medium Enterprises Rs 50.1 – 250 Cr exporters and also purchases from small
plantations for further processing.
Large Sized Enterprises are organized players
Large Enterprises > Rs 250 Cr having a strong brand presence in India and also
exports to other countries.
Table 101: Category of the Companies by Revenue
12.3.1 Sample Coverage by Categories of Companies & Region

Category of the Company Sample Coverage (N) East South

I. Micro Enterprises 32 44% 56%

II. Small Enterprises 48 40% 60%

III. Medium Enterprises 17 41% 59%

IV. Large Enterprises 5 40% 60%

Total 102 41% 59%

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Table 102: Sample Coverage by Categories of Companies & Region

12.3.2 Total No. of Employees

Past Trend of employment in the Tea & Coffee Industry
105,100
102,684

97,554 97,970

FY'17 FY'18 FY'19 FY'20

Total No. of Employees

Figure 120: Past Trend of employment in the Tea & Coffee Industry
Source: Feedback Analysis
Share of Employees (FY’ 20) Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 1,05,100) (Base: 1,05,100)

Top
Managem
ent
Permanent Operator-Level 8%
20% Employees
72%
Middle
Managem
ent
Contractual 4%
80%
Lower
Management /
supervisory
16%

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Share of Operator-Level Employees Share of Permanent Employees by

(Base: 75,672) Education (Base: 21,020)

Helpers Loader/ UG PG
12% Unloader Cleaning / Pre- 2% 2%
10% Processing
Diploma /
10%
Less than ITI
Schooling 6%
53% Vocational
Supervisor Training
8% 3%
Processors
30%
Machine
Operators Schooling
20% 34%
Packing
10%

Figure 121: Share of Employees (FY’ 20): By Different Category

Share by NSQF (Base=105,100 Employees)

Level 7 (Sr Mgmt)
8%

Level 2&3
30%
Level 5&6 (Low + mid
Mgmt)
26%

Level 4 (Operator/
Supervisor)
36%

Figure 122: Share of Employees (FY’20) : By NSQF levels

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FY 20: State wise Employees in the industry (Base: 105,100 Employees)

Assam 26,275

Karnataka 26,275

West Bengal 15,765

Tamil Nadu 10,510

Arunachal Pradesh 4,204

Kerala 4,204

Manipur 3,153

Nagaland 3,153

Sikkim 3,153

Andhra Pradesh 2,102

Himachal Pradesh 2,102

Tripura 2,102

Uttar Pradesh 2,102

Figure 123: State wise Employees in the Industry (FY’20)

Source: Feedback Analysis

Top 13 states account to 100% of total employment in the industry

Current Key Job Roles & Responsibilities (at Operator-level employees’ category)

Sr. NSQF Applicable Type of Enterprises

Job Roles Job Profile / Key Responsibilities
No. Level Micro Small Medium Large
Tea: Washing the leaf and load it in
the first process of Spreading the
leaf on Withering Trough.
Pre-
Coffee: Grading; Sorting of the
1 Processing 3    
beans which is done by size and
Labours
weight, and beans are also
reviewed for colour flaws or other
imperfections.
Labours involved in various
process, such as…
1. Natural or Artificial
Withering
Processing
2 2. Rolling / Rotorvane 4  
Labours
3. Fermentation
4. Drying
5. Milling the Beans (Only
Coffee)
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Sr. NSQF Applicable Type of Enterprises

Job Roles Job Profile / Key Responsibilities
No. Level Micro Small Medium Large
6. Sorting
Roasting the coffee (Only Coffee)
Machine operators operate
machines which does cutting,
Machine tearing and curling. This process is
3 4  
Operators started after rolling or rotorvane.
Machines are primarily used to cut
leaves in uniform sizes.
After sorting, grading tea is packed
in tea chest/jute bags of standard
4 Packer 3   
size for auction or packed for retail
market
Monitoring overall operation and
Shift
5 managing manpower across 5    
Supervisor
functions
Misc. work including cleaning
6 Helpers plants, machinery after every 3   
batch, etc.
Loader / Material handling, loading &
7 3    
Unloader unloading products.
Sales and
Sales executives / Distribution to
8 Distribution 4   
the channel partners
Support
Table 103: Current Key Job Roles & Responsibilities (at Operator-level employees’ category)
12.3.3 Past Growth of Employees (FY’17 – FY’20)

63%
 <20% of the enterprises have
experienced degrowth in their
manpower in the past 3 years.

17% 18%  63% have indicated that their

manpower has grown marginally
0% 2% 0% (up to 5%).
>-10% -5 to -10% -5% to 0% 0.1 to 5% 5.1 - 10% > 10%

Figure 124: Past Growth of Employees (FY’17 – FY’20)

Source: Feedback Analysis

12.3.4 Future Plans of the Companies and its Impact on the Manpower Growth
Future Plans of the Companies covered

Plans Micro Small Medium Large

Plan to invest on technology 0% 0% 18% 100%
Plan to invest on new equipment 12% 21% 41% 100%

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Plans Micro Small Medium Large

Plan to enhance the production
9% 50% 59% 100%
capacity
Plans to launch new products 6% 0% 12% 40%
Plans to increase exports 3% 25% 47% 100%
Plans to invest on R&D 0% 0% 12% 100%

Table 104: Future Plans of the Companies covered

Manpower Recruitment Plan, Considering the Future Operational Expansion Plans

71%
62%

Considering the future

27% 29% expansion plans of enterprises, it
is expected that the manpower is
9%
2% likely to increase by

3 Years 5 Years  2 - 3% in next 3 & 5 years

No Change in Manpower 0.1% - 5% 5.1% - 10%

Figure 125: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
Source: Feedback Analysis

12.4 Recruitment & Training Practice

Recruitment Practice
Source of labourers are locals from nearby villages and town. Walk-in is the key source of
recruiting candidates across Operational level and Lower-level employees.
Following are the key institutes encountered during survey from where the candidates /
employees have got trained or graduated before joining the enterprise.

Key Institutes Encountered (Graduated Institutes of the

Managerial Level
Current Employees)
 Formal training institutes offering food technology / food
Top Management
science programs
 Formal training institutes offering food technology / food
Middle Management
science programs
 Most of them are either secondary or higher secondary
Lower Level Management
education (Schooling) or less than secondary schooling
 No specific Institutes. As most of them are either secondary or
Operator Level Employees higher secondary education (Schooling) or less than
secondary schooling

Table 105: Recruitment Practice

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Training Practice
Overall, ~25% of the companies covered were providing training across levels, whenever an
employee joins the firm (On-the-Job training).
% of Companies offering training

41%
79% 72%
88%
100%
59%
21% 28%
13%
Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Offers Training Doesn't Offer Training

Figure 126: % of Companies offering training

Source: Feedback Analysis

Major Training Topics Covered (Encountered in Primary Interviews)

Enterprises

Enterprises

Enterprises

Enterprises
Medium
Functional
Micro

Large
Small
Training
Remarks Focus / Job
Topics
Roles

Proper washing and

Pre-
removal of foreign
Processing Operator Level
materials from the    
Operations Employees
leaves before spreading
(Tea)
for Withering
Pre-
Grading & Sorting of the
Processing Operator Level
beans by size, weight,    
Operations Employees
colors, etc.
(Coffee)
Steps involved in the
Operator Level
process as ‘on the job’
Employees;
Processing training. The topics
Lower-Level
Methods includes of natural    
Employees;
(Tea) withering; artificial
Supervisors /
withering, rolling,
Managers
fermentation,
Operator Level
Employees;
Processing
Drying and milling of Lower-Level
Methods    
beans Employees;
(Coffee)
Supervisors /
Managers
Operations Training on overall Supervisors /
 
Management operations, manpower Managers
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Enterprises

Enterprises

Enterprises

Enterprises
Medium
Functional

Micro

Large
Small
Training
Remarks Focus / Job
Topics
Roles

allocation, inspection,
etc.
Supervision Appropriate packing
of product methods, latest Supervisors /
 
handling technology, equipment Managers
activities operations, etc.
Operator Level
Employees &
Maintenance checklist
Lower-Level
Plant for equipment
Employees 
Maintenance (processing and
(Technicians /
packing)
Machine
Operators)
Hygienic way of
handling products while
Packing packing and also the   
knowledge on SKUs by
product portfolio
Table 106: Major Training Topics Covered
Effectiveness of Training
(Mean score On a Scale of 1 - 7 where 7 is extremely Satisfied and 1 is extremely dissatisfied)

5
4.5 4.5 4.5
4

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Figure 127: Effectiveness of Training

Source: Feedback Analysis

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12.5 Challenges related to Skill Availability Vs Skill Gaps

Skill acquisition challenges
Limited Skilled / Semi Skilled employees available

 Employees are primarily sourced within the region / location of the processing plant.
People joining the processing plants are through reference with limited knowledge on
processing.

 Most of the processing plants are associated with the tea / coffee estates where the
cultivation employees also join the pre-processing functions.
Poor Knowledge on sourcing Trained Labour

 Companies are not aware of training institutes for the operator level or lower level
employees.
Skill gaps by specific job roles
Following are the select key job roles and their required skills and skill gaps

Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Level Micro Small Medium Large
 Knowledge on
manufacturing  Tea Tasting &
Plant Mid
techniques Blending is one
Manager / Management
 Manufacturing area where plant  
Production
operations manager needs
Manager NSQF: 6
 Tea Tasting & more training
Blending
 Overseeing
operations
including
material
Lower-Level handling  Poor knowledge on
Management across various product
Supervisors functions grading (e.g., Green   
NSQF: 5  Equipment Tea, Black Tea
operations Grade, etc.)
and
maintenance
across
functions
Lower-Level
Management
Maintenance  Maintenance  Knowledge on
  
Officer of machineries latest equipment
NSQF: 4

Operator
Loading /  Inability to learn
Level  Materials
Unloading and operate across    
Employees Handling
Laborer’s functions
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Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Level Micro Small Medium Large
NSQF: 3

 Understanding
the job roles in  Sanitation and
Operator various Hygiene awareness
Level interlinked and
Helpers Employees functions knowledge/practice  
 Materials  Inability to learn
NSQF: 3 Handling and operate across
 Production functions
support
Table 107: Key job roles and their required skills and skill gaps

12.6 Future Projection – Sector & Employment

Projected growth of Tea & Coffee production in India
Based on discussions conducted with the Visionaries and Industry experts, Indian Tea & Coffee
production likely to reach approx. 2.450 Mn MT by FY'30. This indicates CAGR of approx. 5%.
Reasons for such growth are the followings:

 India is the 2nd largest producer and exporter of tea in the world. India is also Asia's third-
largest producer and exporter of coffee. Almost 80% of Indian coffee is exported. The
trend is likely to continue in the coming years.

 When it comes to domestic consumption, tea is considered as common man's drink and
is consumed multiple times during the day. However, tea drinkers are now preferring
multiple flavours.

 Among the milk tea drinkers, masala tea, ginger tea, elaichi tea etc. are gaining preference
whereas, among the non-milk tea drinkers, green tea and lemon tea are fast becoming the
popular choice after plain liquor tea.

 Green tea is fast becoming a popular drink across age due to its perceived health benefits,
and is fast becoming one of the popular products in the health and wellness segment
thereby driving the growth of Indian tea industry

 On the other hands, influence of western culture, entry of international brands,

availability and affordability, change in drinking habits among the working populations
etc. are driving the growth of Indian Coffee market and likely to do so in the coming years

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Future Market & Growth Rate of Tea & Coffee Production

3,000 7.0%
6.1%
5.6% 6.0%
2,500 5.3% 5.0% 5.0%
4.7% 4.8%
4.5% 4.4% 5.0%
2,000 4.0%
4.0%
4.0%
1,500
3.0%
1,000
2.0%
500 1.0%
1,516 1,600 1,675 1,750 1,820 1,900 2,000 2,100 2,200 2,310 2,450
0 0.0%
FY'20 FY'21 (E) FY'22 (E) FY'23 (E) FY'24 (E) FY'25 (E) FY'26 (E) FY'27 (E) FY'28 (E) FY'29 (E) FY'30 (E)

Volume in Mn Kg Growth

Figure 128: Future Market & Growth Rate of Tea & Coffee Production
Source: Tea Board of India & Coffee Board of India, Subject Matter Experts & Visionaries
Processing capacity and investment required in Tea & Coffee sector

Parameter Unit Values

FY'20 Production '000 MT 1,516

FY'30 Production (E) '000 MT 2,450

Increase in production between FY'20 &
'000 MT 934
FY'30
Considering 80% capacity utilization,
'000 MT 1,168
additional processing capacity required
Investment norm Rs. / MT 37,500

Total Investment required Rs. Cr. 4,379

Table 108: Processing capacity and investment required in the sector

Source: Plant / Equipment Manufacturers; Tea Board of India & Coffee Board of India
The government has allowed 100% FDI in both Tea & Coffee plantations. Tea Board of India along
with Ministry of Commerce & Industry, providing assistance under Scheme for setting up Tea
Boutiques in India for Domestic Promotion.
In addition, coffee exports are also covered under the Merchandise Exports from India Scheme
(MEIS) and Duty Drawback schemes of the Government of India.
The MEIS reward rate can range from 3-7 percent of the FOB value of exports, depending on the
harmonized tariff schedule and coffee classification (green coffee, roast and ground, or
instant/soluble).

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Select ongoing and upcoming projects in Tea & Coffee sector in India

Company Project Project

SL # Project Name Cost (Rs. Cr.)
Name Location Type
Naidupeta SEZ
Nellore,
Indus Coffee Freeze Dried Coffee
1 Andhra New Unit 304
Pvt. Ltd. Manufacturing Plant
Pradesh
Project
Assam
Industrial Jorhat Tea Park Jorhat,
2 New Unit 126
Devp. Corpn. Project Assam
Ltd.
Coffee Agglomeration Chittoor,
CCL Products
3 & Packaging Andhra New Unit 120
(India) Ltd.
(Kuvvakolli) Project Pradesh
Tata
Tea Packaging Ganjam,
4 Consumers New Unit 100
(Gopalpur) Project Odisha
Products Ltd.
Assam
Industrial Chaygaon Tea Park Kamrup,
5 New Unit 26
Devp. Corpn. Project Assam
Ltd.
Mohani Tea
Jalpaiguri Tea Jalpaiguri,
6 Leaves Pvt. New Unit 25
Factory Project West Bengal
Ltd.

Vidya Herbs Tea & Coffee Hassan,

7 New Unit 24
Pvt. Ltd. (Hassan) Project Karnataka

Green Coffee Beans

Western Processing (Hassan Hassan,
8 New Unit 16
Coffee Curers Growth Centre) Karnataka
Project
Instant Tea
AVT Natural Ernakulam, Capacity
9 (Vazhakulam) 5
Europe Ltd. Kerala Expansion
Project - Expansion

Shri Krishna Tea (Guhaigaon) Jorhat,

10 New Unit 4
Tea Company Project Assam

Table 109: Select ongoing and upcoming projects in Tea & Coffee sector in India
Source: CMIE & Projects Today

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FY'20 employment estimation in Tea & Coffee sector in India

FY'20 Total
Annual
Average No. of
Company Production Production Production/
no. of Employees in
Category Share* ('000 MT) Employee
Employees Tea & Coffee
(MT)
industry
Large
1,400 35,000 35% 531 15.2
Enterprises
Medium
450 31,500 30% 455 14.4
Enterprises
Small
170 30,600 28% 424 13.9
Enterprises
Micro
10 8,000 7% 106 13.3
Enterprises

Total 1,05,100 1,516 14.4

Table 110: FY'20 employment estimation in Tea & Coffee sector in India
*Discussion with the Processing Units and SMEs

Note: LMS classification has been made based on overall revenue of the companies. Large companies: > Rs.
250 Cr., Medium: Rs. 50 - 250 Cr., Small: Rs. 5 - 50 Cr. and Micro: <Rs. 5 Cr.

Future employment projection in Tea & Coffee sector in India

Annual FY'20 - FY'30

FY'30 share FY'30 FY'30 Total
Company Production/ Employment
in Production Employee
Category Employee Generation
Production* ('000 MT) Estimation
(MT)# potential

Large
35% 858 15.2 56,569 21,569
Enterprises
Medium
30% 735 14.4 50,912 19,412
Enterprises
Small
28% 686 13.9 49,458 18,858
Enterprises
Micro
7% 172 13.3 12,930 4,930
Enterprises
Total 2,450 1,69,870 64,770

Table 111: Future employment projection in Tea & Coffee sector in India
*As per discussion with the Processing Units and SMEs, contribution of various types of companies in the Tea
& Coffee industry will remain same over next 10 years

# Based on discussions with equipment manufacturers and SMEs, there could be marginal adoption of
automation / industry 4.0 in the coming years. However, that will have negligible impact on the productivity
of the employees. Hence, the same productivity values have been considered for future employment generation
potential.

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Share of FY'20 - FY'30 Employment Generation potential Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 64,770) (Base: 64,770)

Top
Managem
ent
4%
Operator-Level
Permanent Employees
20% 70% Middle
Managem
ent
6%

Contractual
80% Lower
Management /
supervisory
20%

Share of Operator-Level Employees Share of Permanent Employees by Education

(Base: 45,339) (Base: 12,954)

Helpers Cleaning / Pre- PG

Loader/
12% Processing 3% UG
Unloader
10% 10% 3%
Less than
Diploma /
Schooling
ITI
50%
6%
Supervisor
8% Processors Vocational
30% Training
8%

Packing Machine Schooling

10% Operators 30%
20%

Figure 129: Share of FY'20 - FY'30 Employment Generation potential: By Different Category

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Share by NSQF (Base=64,770 Employees)

Level 7 (Sr Mgmt)

4%

Level 2&3
29%
Level 5&6 (Low + mid
Mgmt)
32%

Level 4 (Operator/
Supervisor)
35%

Figure 130: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels
Source: Feedback Analysis

State wise Employment Generation Potential (Base: 64,770 Employees)

Assam 17,511
Karnataka 15,802
West Bengal 9,025
Tamil Nadu 6,309
Kerala 2,415
Nagaland 2,385
Manipur 2,304
Sikkim 2,292
Arunachal Pradesh 1,965
Himachal Pradesh 1,384
Uttar Pradesh 1,276
Tripura 1,234
Andhra Pradesh 868

Figure 131: State wise Employment Generation Potential

Source: Feedback Analysis

Top 13 states account to 100% of total employment in the industry

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12.7 Existing & Emerging prominent job roles which requires

Skilling
Tea & Coffee, as a sub-sector, cut across 2 different skill sector council. Plantation / Cultivation
related jobs are under the Agriculture and the processing functions are under the FICSI. Following
are the specific existing and emerging prominent job roles that will create employment
opportunities in Tea & Coffee Processing in future

Major Category of Enterprises

NSQF Key Activities & Knowledge for Emerging Job Role
Job Role Brief Description
Level Required Micro Small Medi Large
um
A Helper / Floor Cleaner /
Loader & Unloader must be
able to:
A Helper / Floor  Load and unload supplies.
Cleaner / Loader &
Unloader is  Maintain cleanliness in the
responsible for processing and storage
carrying out various area.
labor-intensive  Store the supplies
Helper / Floor activities such as appropriately.
Cleaner / loading/unloading
3  Pack the products as per   
Loader & and storing the
Unloader supplies; packing the packaging standards
products; when required.
maintaining the A Helper / Floor Cleaner /
storage area along Loader & Unloader must
with other relevant know and understand:
activities under
supervision.  Applicable food safety and
hygiene standards.
 Appropriate handling of
food supplies and products.
A Tea Taster must be able to:
 Identify different tea
samples
A Tea Taster is  Differentiate between
responsible for various intricate tea
identifying different flavours
Tea Taster 3 tea samples and    
grade various  Grade different varieties of
varieties of tea as tea
per their quality. A Tea Taster must know
and understand:
 Different techniques of tea
tasting

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Major Category of Enterprises

NSQF Key Activities & Knowledge for Emerging Job Role
Job Role Brief Description
Level Required Micro Small Medi Large
um
A Coffee Huller Operator
must be able to:
 De Husk or complete
separation of the husk from
the coffee beans for further
processing.
A Coffee Huller  Prepare the work area and
Operator is machineries for processing
responsible for de coffee
husking and
Coffee Huller  Perform general
4 polishing of coffee   
Operator maintenance of the
bean. The individual
machineries
is also responsible
for maintaining the A Coffee Huller Operator
huller. must know and understand:
 Use of different types of
machineries used in coffee
processing plants
 How to perform general
maintenance of the
processing machineries
A Dryer / Roaster Plant
Operator must be able to:
 Roasting of Chicory Cubes,
Spray Drying, Continuous
extraction of Tea and
process using evaporation
A Dryer / Roaster and drying technology.
Plant Operator is  Perform general
responsible for maintenance of the
Dryer / Roaster processing Tea & machineries
4    
Plant Operator Coffee using various
methods like A Dryer / Roaster Plant
evaporation and Operator must know and
drying technology. understand:
 Use of different types of
machineries used in Tea &
coffee processing plants
 How to perform general
maintenance of the
processing machineries

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Major Category of Enterprises

NSQF Key Activities & Knowledge for Emerging Job Role
Job Role Brief Description
Level Required Micro Small Medi Large
um
A Dosing, Filling, Weighing
and Sealing Machine
Operator must be able to:
 Select the packaging
material and method
according to the type of tea
/ coffee to be packed
 Prepare and operate the
packaging machines
A Dosing, Filling,
Weighing and  Label the packaged food
Dosing, Filling, Sealing Machine products with the required
Weighing and Operator is information
4  
Sealing Machine responsible for  Carry out general
Operator operating the maintenance of the
relevant packaging packaging equipment
machineries.
A Dosing, Filling, Weighing
and Sealing Machine
Operator must know and
understand:
 Different types of material
used for packaging the tea /
coffee products
 Various methods of
packaging
A System Administrator
must be able to:

A System  Install and configure the

Administrator is appropriate MIS software
responsible for  Record data in application
recording and like FoxPro etc.
System
4 maintaining data in  
Administrator A System Administrator
Management
Information System must know and understand:
(MIS) used by the  Use of the relevant MIS
organisation. system
 Process of recording and
analysing data
A Tea & Coffee A Tea & Coffee Processing
Tea & Coffee Processing Supervisor must be able to:
Processing Plant 5 Supervisor is    
Supervisor  Assign tasks to the
responsible for
processing unit workers
monitoring the daily
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Major Category of Enterprises

NSQF Key Activities & Knowledge for Emerging Job Role
Job Role Brief Description
Level Required Micro Small Medi Large
um
operations of the  Supervise the tea and
tea/ coffee coffee processing
processing plant operations
and ensuring work
 Monitor and check
is carried out in an
equipment and system for
effective and timely
the correct functioning
manner by
allocating tasks to  Supervise the repair and
workers. maintenance activities
 Manage and lead a team
A Tea & Coffee Processing
Supervisor must know and
understand:
 Tea and Coffee processing
 Applicable food hygiene
and safety standards
A Food Laboratory Assistant
must be able to:
 Test the raw materials and
finished products to ensure
compliance with standards
and regulations and
Conduct adherence to the
standardized tests organization’s food safety
on food, beverages, and hygiene policy.
additives, or  Analyze test results to
preservatives to classify products or
ensure compliance compare results with
with standards and standard tables.
Food Laboratory
5 regulations  
Assistant  Perform regular
regarding factors
such as color, maintenance of laboratory
texture, or equipment by inspecting
nutrients. Test calibrating, cleaning, or
quality of materials sterilizing.
or finished  Examine chemical or
products. biological samples to
identify cell structures or to
locate bacteria or
extraneous material, using
a microscope.
A Food Laboratory Assistant
must know and understand:

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Major Category of Enterprises

NSQF Key Activities & Knowledge for Emerging Job Role
Job Role Brief Description
Level Required Micro Small Medi Large
um
 Applicable food safety and
hygiene standards.
 Record research or
operational data
A Food Safety & Hygiene
Manager must be able to:
 Ensure adherence to the
A Food Safety & organization’s food safety
Hygiene Manager is and hygiene policy.
responsible for  Train the processing plant
implementing the employees on the use of
food safety policies relevant systems.
and standards in the
food processing  Ensure maintenance of the
plant. The individual record of operations and
is also responsible review them periodically.
Food Safety &
for training other  Manage supplier
Hygiene 6    
employees; relationships.
Manager
maintaining Conduct safety audits.
documentation;
ensuring that A Food Safety & Hygiene
products meet the Manager must know and
applicable quality understand:
standards;  Applicable food safety and
educating suppliers; hygiene standards.
and conducting
safety audits.  Record maintenance and
review procedures.
 Supplier management.
 Safety audit procedures.
A Spray Dryer A Spray Dryer Operator
Operator is must be able to:
responsible for
 Load raw materials into the
setting up a spray
spray dryer machine and
drying machine for
set it up for use
use and using it as
Spray Dryer per the applicable  Monitor the batch and use
4   
Operator SOPs. The individual the relevant tools and
is responsible for equipment to measure and
carrying out regular maintain the required
repair and temperature and humidity
maintenance of the
 Maintain the spray drying
spray drying
machine in working and
machine.
sanitary condition by
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Major Category of Enterprises

NSQF Key Activities & Knowledge for Emerging Job Role
Job Role Brief Description
Level Required Micro Small Medi Large
um
carrying out regular repair
and maintenance
 Review process data,
respond to control alarms
and follow the applicable
Standard Operating
Procedures (SOPs)
 Carry out documentation as
per the organisational
policy
 Follow the applicable food
hygiene, and health and
safety standards
A Spray Dryer Operator
must know and understand:
 How to prepare and use a
spray dryer machine
 Use of the relevant tools
and equipment to measure
and maintain the required
temperature and humidity
during spray drying
Applicable documentation
requirements
 Applicable food hygiene,
and health and safety
standards
A Freeze Dryer A Freeze Dryer Operator
Operator is must be able to:
responsible for
setting up freeze  Prepare and use the freeze
dryer for use; dryer
operating it; Carry out the freeze-drying
carrying out operations such as product
relevant procedures pre-treatment, freezing,
Freeze Dryer
4 for freeze drying, annealing, primary and   
Operator
such as pre- secondary processing
treatment of the Carry out regular repair
product; freezing and maintenance of freeze
and annealing; and dryer
primary and  Follow the applicable food
secondary drying. hygiene, and health and
The individual is safety standards
also responsible for
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Major Category of Enterprises

NSQF Key Activities & Knowledge for Emerging Job Role
Job Role Brief Description
Level Required Micro Small Medi Large
um
carrying out regular A Freeze Dryer Operator
repair and must know and understand:
maintenance freeze
 Applicable food hygiene,
dryer.
and health and safety
standards
 How to carry out various
relevant processes during
freeze drying
How to set up, use and
maintain freeze dryer

Table 112: Existing and emerging prominent job roles which will require skilling
Skill Sets required across multiple levels in the sector

Figure 132: Skill Sets required across multiple levels in the sector

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12.8 Expectations from the Industry stakeholders

Large-scale tea and coffee plantations and processors have started relying on unskilled migrant
workers due to unavailability of local workforce for processing.

The medium; small and micro tea and coffee processors currently work on a low level of
mechanization and have opportunities to have better machines that save time. This in turn
doesn’t impact or reduce manpower, but increases productivity.

Visibility of Training Institutes offering technicians

 There are very limited institutes, that the companies are aware of, for the training related
to Tea / Coffee Processing. With the limited availability of the institutes, it is expected that
more institutes to be operated across the Southern region, East & North East (Tea & Coffee
Processing clusters)
 Introduction of more online training programs to make skilling available at a national
level

Sector Specific Job Roles

 There are no QPs developed by the FICSI for tea / coffee processing. With the growth in
the sector, there is a scope for introducing specific job roles like Tea Taster, etc.
 Tea Tasting is an important component of tea manufacturing and only few institutes
across the country offer a course on that. A relevant QP/NOS can be developed for this
since a considerable number of tea tasters are required in Tea clusters.
 System admins job is also a demand for Tea or coffee garden office where the data
processing in application like FoxPro and other tools. Very limited manpower availability
knowing these computer tool skills for Tea / coffee processing.

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Chapter 13: Sub-Sectoral Analysis –

RTE & RTC Products
13.1 Market summary
Ready-to-eat / Ready-to-cook (RTE / RTC) food products, as the name suggests refer to that form
of animal or plant-derived food or a combination thereof that can be offered to the customer after
being pre-washed, pre-cooked, processed, frozen and hence does not require elaborate
processing of the food by the end-consumer before consumption; thus, saving time and energy of
the consumers. This product segment has emerged as an alternative to a complete home-cooked
meal. Growing urbanization, rising income, increasing number of employed women with children,
single parent working and a busy lifestyle has powered the RTE/RTC market in the country.
Currently, RTE/RTC foods, also synonymously called ready meals, packed foods or instant ready
meals in some places, is the largest segment globally in the overall conventional and non-
conventional food industry owing to higher consumer acceptance of such foods. Hectic lifestyle,
need for faster cooking, growing population of working women, changing food habits etc. have
created latent demand for RTE/RTC products in India. This rise in demand has created interest
among many companies to enter this space of ready foods. Factors like Innovative products,
packaging and longer shelf life, aggressive marketing and promotion strategies will lead to strong
growth of this segment in the coming years. Besides, retailers are offering lucrative options such
as combo packs, day-specific discounts, festive offers, flat discounts and coupon discounts etc.
improve the sales of RTE/RTC products. Govt. has recently announced PLI scheme to incentivize
eligible players in Food Processing segments including RTE/RTC companies. The sector will
record the highest growth rates across all the food processing segments and presents a lot of
investment and growth opportunities for companies.
Key Industry Indicators Details
Overall Market (‘000 MT) (FY’20) 135
No. of registered units 716
Past Growth rate (CAGR) (FY’ 15 – FY’ 20) 15%
Total Number of Employees (FY’ 20) 51,085 nos.
Overall Exports (FY’20) INR 5,775 Crs.
Expected Market (‘000 MT) FY’ 2030 459
Future growth rate (FY’ 20 – FY’ 30) 13%
Total Employee Estimation (FY’ 30) 1,59,785 nos.
Overall Employment Additions (FY’ 20 – FY’ 30) 1,08,700 nos.
Table 113: RTE & RTC Products: Key Industry Indicators

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13.2 Present State of the Industry & Future Outlook

Ready-to-eat / Ready-to-cook (RTE / RTC) food products, as the name suggests refer to that form
of animal or plant-derived food or a combination thereof that can be offered to the customer after
being pre-washed, pre-cooked, processed, frozen and hence does not require elaborate
processing of the food by the end-consumer before consumption; thus, saving time and energy of
the consumers.
This product segment has emerged as an alternative to a complete home-cooked meal. Growing
urbanization, rising income, increasing number of employed women with children, single parent
working and a busy lifestyle has powered the RTE/RTC market in the country.
Currently, RTE/RTC foods, also synonymously called ready meals, packed foods or instant ready
meals in some places, is the largest segment globally in the overall conventional and non-
conventional food industry owing to higher consumer acceptance of such foods.
The RTE/RTC foods can be further classified as below.

Ready-to-eat Shelf stable Processed

Shelf stable Frozen ready
breakfast fruits and frozen fruits and
ready meals meals
cereals vegetables vegetables
These are These are These are frozen
These are plain
packaged full packaged fruits fruits and
or mixed cereal These are pre-
meals items that and vegetables, vegetables, with
flakes, puffed packaged, frozen
can be stored at with little or no added
grains, fruit or meal that
room other ingredients and
flake mixtures requires heating
temperature ingredients, that preservatives, so
with or without before
without any can be stored in that shelf life of
other consumption
chance of room food can be
ingredients
contamination temperature increased
Examples:
Examples: Fruit
Examples: Examples: MOM Haldiram’s
spreads, dried
Kellogg's Corn Meal of the Examples: Fruit ready-to-eat
berries, broccoli,
Flakes, Kellogg's Moment Pouch, juice, chopped food pouches,
cauliflower, corn,
Chocos, and Mini Cup Idli, vegetables, and Miraj’s ready-to-
green beans and
Bagrrys Corn and MOM Veg. vegetable pastes eat food
peas, dehydrated
Flakes Biryani Pouch pouches, chicken
potatoes
tikka pouches
Table 114: RTE/RTC foods: Classification

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Manufacturing Clusters:

Punjab

Haryana
Uttar
Rajasthan Pradesh

Gujarat

Maharashtra

Andhra Pradesh

Karnataka

Kerala
Tamil Nadu

Figure 133: Manufacturing Clusters

Top 10 states account to 82% of total employment in the RTE & RTC Products industry
Market Overview

RTE/RTC Market Trend in India (Rs. Cr.)

2,821
2,453
2,133
1,855

FY'17 FY'18 FY'19 FY'20

Figure 134: RTE/RTC Market Trends in India (Rs. Cr.)

Source: Global News Wire, FnBnews, Subject matter expert

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RTE/RTC Market in India: Share by Frozen & Non-Frozen – FY 20

Non-Frozen Foods
27%

Frozen Foods
73%

Figure 135: RTE/RTC Market in India: Share by Frozen & Non-Frozen – FY 20

Source: Global News Wire, FnBnews, Subject matter expert
Major brands by key product segment

Curries /
Meals

Batters and
Non- Pastes
Frozen
RTC
Instant Pasta

Desserts

Snacks (Fries
/ Nuggets /
Tikkis)
Frozen
RTC Meat Snacks
(Chicken /
Mutton /
Prawn / Fish

Figure 136: Major brands by key product segment

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13.3 Present Employment Scenario & Analysis

Category of the Companies by Revenue

Most of the Large and Medium Enterprises are into manufacturing of multiple food products apart
from RTE/RTC products. Average no. of employees indicated in the tables are the employees
working only in the RTE/RTC manufacturing line. LMS classification has been made based on
overall revenue of the companies. Large companies: > Rs. 250 Cr., Medium: Rs. 50 - 250 Cr., Small:
Rs. 5 - 50 Cr. and Micro: <Rs. 5 Cr.

13.3.1 Sample Coverage by Categories of Companies & Region

Category of the Sample

East North West South
Company Coverage (N)

Micro Enterprises 427 23% 24% 28% 25%

Small Enterprises 278 22% 24% 28% 26%

Medium Enterprises 30 20% 25% 32% 23%

Large Enterprises 5 22% 24% 28% 26%

Total 740 22% 24% 28% 25%

Table 115: Sample Coverage by Categories of Companies & Region

13.3.2 Total No. of Employees
Past Trend of employment in the RTE & RTC Industry

51,085
48,505
42,014
36,725

FY'17 FY'18 FY'19 FY'20

Total No. of Employees

Figure 137: Past Trend of employment in the RTE & RTC Industry
Source: Feedback Analysis

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Share of Employees (FY’ 20) Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 51,085) (Base: 51,085)
Top
Managem
ent
5%

Contractual Operator-Level
55% Employees Middle
75% Managem
ent
Permanent 8%
45%
Lower
Management /
supervisory
12%

Share of Operator-Level Employees Share of Permanent Employees by

(Base: 38, 314) Education (Base: 22,988)

Loader/ Helpers PG
Unloader 13% 4%
Pre-Processing
12% 11% UG
Less than 8%
Schooling Diploma /
52% ITI
1%
Supervisor
6% Vocational
Processor
Training
32%
Schooling 2%
Machine 33%
Operators
Packing 10%
16%

Figure 138: Share of Employees (FY’20): By Different Category

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Share by NSQF (Base=51,085 Employees)

Level 7 (Sr Mgmt)
5%

Level 5&6 (Low + mid

Mgmt)
25% Level 2&3
39%

Level 4 (Operator/
Supervisor)
31%

Figure 139: Share of Employees (FY’20): By NSQF levels

Source: Feedback Analysis

FY 20: State wise Employees in the industry (Base: 51,085 Employees)

Maharashtra 8,174
Tamil Nadu 6,130
Uttar Pradesh 6,130
Karnataka 5,109
Gujarat 4,087
Kerala 4,087
Punjab 2,554
Andhra Pradesh 2,043
Haryana 2,043
Rajasthan 1,533
Telangana 1,533
West Bengal 1,533
Madhya Pradesh 1,175
Delhi 1,022
Assam 511
Others 3,423

Figure 140: State wise Employees in the Industry (FY’20)

Source: Feedback Analysis

Top 15 states account to 93% of total employment in the industry

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Current Key Job Roles & Responsibilities (at Operator-level employees’ category)

Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles
No. Responsibilities Level Micro Small Medium Large
The pre-processing work
Pre- includes primarily grinding;
1 Processing Cutting; grading and sorting 3    
Labours the raw materials and other
ingredients, etc.
Selection of raw materials for
Supervisors quality production, quality
(Quality of evaluation of ingredients
2 5    
Raw involved in making products
Materials) with reference to grades &
classification
Mixing, Cooking and other
Processing processing types with
3 4  
employees standard operating
procedures followed.
Practice to operate machines
Machine with changing parameters,
4 4    
Operators sensory analysis of final
product.
Identification of packaging
materials, practice on
5 Packers packaging with sealing and 3    
sending it for storing and
marketing.
Monitoring overall operation
Shift
6 and managing manpower 5    
Supervisor
across functions
Misc. work including Cleaning
7 Helpers plants, Machinery after every 3  
batch, etc.
Loader / Material handling, Loading &
8 3    
Unloader Unloading products.
Table 116: Current Key Job Roles & Responsibilities (at Operator-level employees’ category)
13.3.3 Past Growth of Employees (FY’17 – FY’20)

42%  <15% of the small

34% enterprises have indicated
that their manpower has de-
grown in the past 3 years
12% 10%
2%  42% have indicated that
their manpower has grown
>-10% -5 to -10% -5% to 0% 0.1 to 5% 5.1 - 10% >10% marginally
Figure 141: Past Growth of Employees (FY’17 – FY’20)
Source: Feedback Analysis

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13.3.4 Future Plans of the Companies and its Impact on the Manpower Growth
Future Plans of the Companies covered

Micro Small Medium Large

Plans

Plan to invest on technology 29% 61% 29% 100%

Plan to invest on new equipment 23% 47% 29% 100%
Plan to enhance the production capacity 36% 59% 34% 100%
Plans to launch new products 38% 35% 32% 100%
Plans to increase exports 23% 2% 21% 71%
Plans to invest on R&D 5% 7% 9% 86%
Table 117: Future Plans of the Companies
Manpower Recruitment Plan, Considering the Future Operational Expansion Plans

62%
53% Considering the future expansion
plans of enterprises, it is
36% expected that the manpower is
31%
likely to increase by

11%  ~2% in next 3 & 5 years

8%

3 Years 5 Years
No Change in Manpower 0.1% - 5% 5.1% - 10%

Figure 142: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
Source: Feedback Analysis

13.4 Recruitment & Training Practice

Recruitment Practice
Walk-ins are the key source of recruiting candidates across Operational and Lower-level
employees. Following are the key institutes encountered during our survey from where the
candidates / employees have got trained or graduated before joining the enterprises.

Key Institutes Encountered (Graduated Institutes of the Current

Managerial Level
Employees)
 Formal training institutes offering Food Tech / Food Science
Top Management
programs
 Formal training institutes offering Food Tech / Food Science
Middle Management
programs

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Key Institutes Encountered (Graduated Institutes of the Current

Managerial Level
Employees)
Lower Level  No specific Institutes. As most of them are either secondary or higher
Management secondary education (Schooling) or less than secondary schooling
Operator Level  No specific Institutes. As most of them are either secondary or higher
Employees secondary education (Schooling) or less than secondary schooling

Table 118: Recruitment Practice

Training Practice
Overall, 20 – 25% of the companies covered during the survey, were providing training to new
employees, across levels (On-the-Job training).
% of Companies offering training

59%
78% 80% 77%
100%

41%
22% 20% 23%

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Offers Training Doesn't Offer Training

Figure 143: % of Companies offering training

Source: Feedback Analysis
Major Training Topics Covered (Encountered in Primary Interviews)
Enterprises

Enterprises

Enterprises

Enterprises
Medium

Training Functional Focus /

Micro

Large
Small

Remarks
Topics Job Roles

Pre- Selection of raw

Operator level
Processing materials and    
employees
Operations ingredients
Operator level
Pre- Slicing; grading;
employees; Lower-
Processing preparation for    
level employees;
Operations processing, etc.
Supervisors
Product preparation Operator Level
Processors    
methods Employees &

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Enterprises

Enterprises

Enterprises

Enterprises
Medium
Training Functional Focus /

Micro

Large
Small
Remarks
Topics Job Roles

Lower-Level
Employees
Operator Level
Training to operate
Machine Employees &
the machines and    
Operations Lower-Level
maintenance
Employees
Operations Supervisors /
Overall operations  
Management Managers
Hygienic way of
handling products Operator Level
while packing and Employees; Lower-
Packing 
also the knowledge Level Employees;
on SKUs by product Supervisors
portfolio

Table 119: Major Training Topics Covered

Effectiveness of Training
(Mean score On a Scale of 1 - 7 where 7 is extremely satisfied and 1 is extremely dissatisfied)

4.12 4.21
3.91
3.49 3.56

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Figure 144: Effectiveness of Training

Source: Feedback Analysis

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13.5 Challenges related to Skill Availability Vs Skill Gaps

Skill Acquisition Challenges
Limited Skilled / Semi Skilled employees available

 Skilled workers in this industry are very limited. The skilled employees demand is
increasing across all functions in the manufacturing line starting from Pre-processing
function

 Higher dependency on women employment on specific functions and at the same time
higher attrition among employees
Poor Knowledge on Sourcing Trained Labour

 Small and Micro units depend on walk-ins or known contacts for unskilled or semi-skilled
labours.

 The primary reason for the same is limited awareness of the training institutes in the
vicinity, that offers programs on RTC/RTE Processing
Skill gaps by specific Job roles
Following are the select key job roles and their required skills and skill gaps

Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Level Micro Small Medium Large
 Equipment
operations
(across
functions)
 Technical Understanding and
Know-how adaptation to newer
Plant Mid
across technologies
Manager / Management
functions Lack of knowledge on    
Production
 Training equipment
Manager NSQF: 6
manpower at maintenance and
the lower level operations
or operator
level
 Production
planning
 Monitoring
the Raw
materials  Unable to maintain
Mid quality the similar quality
Quality Management  Ingredient’s across batches
 
Control quality check  Poor selection of
NSQF: 5  Assessing the raw materials /
quality for the ingredients
finished
products

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Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Level Micro Small Medium Large
 Exploring new
products in
Mid
RTE/RTC  Limited frequency
R&D Management
 Understanding of new product 
Executives
Consumer development
NSQF: 5
changing
behavior
 Overseeing
operations
including
material  Best practices w.r.t
Lower-Level
Shift handling material handling
Management
Supervisor / across to reduce wastage    
Supervisor functions during material
NSQF: 5
 Equipment handling
operations
and
maintenance
 Knowledge on
latest
Lower-Level  Not updated to
equipment
Maintenance Management understand new
and the old   
Officer technology
equipment
NSQF: 4 evolution
(primarily for
maintenance)
 Inability to learn
Operator
and operate across
Loading / Level
 Materials functions
Unloading Employees    
Handling  Lack of knowledge
Labors
on wastage
NSQF: 3
handling
 Understanding
the job roles in  Sanitation and
Operator various Hygiene awareness
Level interlinked and
Helpers Employees functions knowledge/practice  
 Materials  Inability to learn
NSQF: 3 Handling and operate across
 Production functions
support
Table 120: Key job roles and their required skills and skill gaps

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13.6 Future Projection – Sector & Employment

Projected growth in RTE / RTC industry in India
Based on discussions conducted with the Visionaries and Industry experts, RTE/RTC foods
production likely to reach approx. Rs. 9,600 Cr. or approx. 4.6 Lac MT by FY'30. This indicates
CAGR of approx. 13%.
Reasons for such growth are the followings:

 Hectic lifestyle, need for faster cooking, growing population of working women, changing
food habits etc. have created latent demand for RTE/RTC products in India

 This rise in demand has created interest among many companies to enter this space of
ready foods. Factors like Innovative products, packaging and longer shelf life, aggressive
marketing and promotion strategies will lead to strong growth of this segment in the
coming years

 Besides, retailers are offering lucrative options such as combo packs, day-specific
discounts, festive offers, flat discounts and coupon discounts etc. improve the sales of
RTE/RTC products

Market Size Market Size

Year Y-o-Y Growth
(Rs. Cr.) ('000 MT)
FY'20 2,821 135
FY'21 (E) 3,250 156 15.2%
FY'22 (E) 3,750 179 15.4%
FY'23 (E) 4,250 203 13.3%
FY'24 (E) 4,800 230 12.9%
FY'25 (E) 5,400 258 12.5%
FY'26 (E) 6,100 292 13.0%
FY'27 (E) 6,900 330 13.1%
FY'28 (E) 7,700 368 11.6%
FY'29 (E) 8,600 411 11.7%
FY'30 (E) 9,600 459 11.6%

Table 121: Future Market & Growth Rate of RTE / RTC products
Source: FnBnews, Subject Matter Expert & Visionaries

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Processing capacity and investment required in RTE / RTC industry

Parameter Unit Values

FY'20 Production '000 MT 135

FY'30 Production (E) '000 MT 459

Increase in production between FY'20 &
'000 MT 324
FY'30
Considering 80% capacity utilization,
'000 MT 405
additional processing capacity required

Investment norm Rs. / MT 3,00,000

Total Investment required Rs. Cr. 12,163

Table 122: Processing capacity and investment required in the sector

Source: Discussion with Plant & Equipment Manufacturers & SMEs
Select ongoing and upcoming projects in RTE / RTC industry

Company Project Cost (Rs.

SL # Project Name Project Type
Name Location Cr.)
Sanand Maggi
Nestle India Noodles & Sanand,
1 New Unit 700
Ltd. Confectionery Plant Gujarat
Project
Nanjangud Instant
Noodles, Mixed
Nestle India Nanjangud,
2 Condiments & New Unit 360
Ltd. Mysore
Seasonings Factory
Project
Deepkiran Sanand Frozen
Sanand,
3 Foods Pvt. Processed Food New Unit 150
Gujarat
Ltd. Project
Indo Nissin Khurda Noodles
Khordha,
4 Foods Pvt. Manufacturing Unit New Unit 100
Odisha
Ltd. Project
Barasat Yipee Noodles Barasat, West
5 I T C Ltd. New Unit 65
Plant Project Bengal
Indo Nissin Khordha Noodles
Odisha,
6 Foods Pvt. Manufacturing Unit Expansion 50
Odisha
Ltd. Expansion Project
Dahej Ready-to-Cook
Merino
7 (Vegit) Manufacturing Dahej, Gujarat New Unit 50
Industries Ltd.
Plant Project
Golden Fries Karamadai,
8 French Fries Project New Unit 39
Ltd. Tamil Nadu

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Company Project Cost (Rs.

SL # Project Name Project Type
Name Location Cr.)
C G Foods Rudrapur Instant Rudrapur,
9 New Unit 35
India Pvt. Ltd. Noodles Plant Project Uttarakhand

C G Foods Purnea Instant

10 Purnea, Bijar New Unit 30
India Pvt. Ltd. Noodles Plant Project

Table 123: Select ongoing and upcoming projects in RTE / RTC industry
Source: CMIE & Projects Today
FY'20 employment estimation in RTE/RTC industry

FY'20 Total No. Annual

Average
Company of Employees Production Production Production/
no. of
Category in RTE/RTC Share* ('000 MT) Employee
Employees
Industry (MT)
Large
525 5,250 15% 20 3.9
Enterprises
Medium
300 16,500 35% 47 2.9
Enterprises
Small
85 21,335 40% 54 2.5
Enterprises
Micro
20 8,000 10% 13 1.7
Enterprises
Total 51,085 135 2.6

Table 124: FY'20 employment estimation in RTE/RTC industry in India

*Discussion with the RTE/RTC Manufacturers and SMEs

Note: Most of the Large and Medium Enterprises are into manufacturing of multiple food products apart from
RTE/RTC products. Average no. of employees indicated in the above tables are the employees working only in
the RTE/RTC manufacturing line. LMS classification has been made based on overall revenue of the companies.
Large companies: > Rs. 250 Cr., Medium: Rs. 50 - 250 Cr., Small: Rs. 5 - 50 Cr. and Micro: <Rs. 5 Cr.

Future employment projection in RTE / RTC industry in India

FY'20 -
Annual
FY'30 share FY'30 FY'30 Total FY'30
Company Production/
in Production Employee Employment
Category Employee
Production* ('000 MT) Estimation Generation
(MT)#
potential
Large
55 4.2 12,993 7,743
Enterprises 12%
Medium
152 3.0 50,421 33,921
Enterprises 33%
Small
184 2.7 69,147 47,812
Enterprises 40%
Micro
46 1.7 27,224 19,224
Enterprises 10%
Total 436 2.7 159,785 108,700
Table 125: Future employment projection in RTE / RTC industry in India
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*As per discussion with the RTE/RTC Manufacturers and SMEs, there could be marginal increase in the share
for large and medium enterprises in future. The same has been considered for computing future employment
generation potential

# Based on discussions with equipment manufacturers and SMEs, large and some of the medium and small
enterprises will adopt automation/ industry 4.0 in the coming years. As per equipment manufacturers, this
may lead to 10% improve in the productivity for large enterprises and average 5% improvement in the
productivity for the medium and small enterprises. It is estimated that micro enterprises likely to have current
productivity level in future as well. The same has been considered for calculating future employment
generation potential.

Share of FY'20 - FY'30 Employment Generation potential Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 108,700) (Base: 108,700)
Top
Managem
ent
5%

Operator-Level
Employees Middle
Contractual Permanent 75% Managem
60% 40% ent
8%

Lower
Management /
supervisory
12%

Share of Operator-Level Employees Share of Permanent Employees by

(Base: 81,525) Education (Base: 43,480)

Loader/ Helpers Pre-Processing PG

Unloader 13% 10% 4%
12%
Less than UG
Schooling 8%
50%
Diploma /
ITI
Supervisor
3%
5%
Processor Vocational
Machine Training
Operators 35%
5%
10% Schooling
Packing 30%
15%

Figure 145: Share of FY'20 - FY'30 Employment Generation potential: By Different Category

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Share by NSQF (Base=108,700 Employees)

Level 7 (Sr Mgmt)
5%

Level 5&6 (Low + mid

Mgmt)
24% Level 2&3
37%

Level 4 (Operator/
Supervisor)
34%

Figure 146: Share of FY'20 - FY'30 Employment Generation potential :By NSQF levels
Source: Feedback Analysis

State wise Employment Generation Potential (Base: 108,700 Employees)

Maharashtra 17,794
Uttar Pradesh 13,178
Tamil Nadu 13,104
Karnataka 10,931
Gujarat 9,196
Kerala 8,540
Punjab 5,155
Haryana 4,499
Andhra Pradesh 3,655
Rajasthan 3,265
West Bengal 3,197
Telangana 3,188
Madhya Pradesh 2,463
Delhi 2,024
Assam 1,155
Others 7,358

Figure 147: State wise Employment Generation Potential

Source: Feedback Analysis
Top 15 states account to 93% of total employment in the industry
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13.7 Existing & emerging prominent Job roles which requires skilling
There are few notable programs developed by the sector skill council for RTE/RTC sector. Skills
like Convenience food maker and Traditional snack & Savory maker for the production function
and Packing technician for packing function are well aware among the manufacturer fraternity.
Following are the specific existing and emerging prominent job roles that will create employment
opportunities in RTE/RTC products Sub-sector in future

Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required
Micro Small Medium Large
A Helper / Floor Cleaner
/ Loader & Unloader
must be able to:
A Helper / Floor
Cleaner /  Load and unload
Loader & supplies.
Unloader is  Maintain cleanliness in
responsible for the processing and
carrying out storage area.
various labor-
intensive  Store the supplies
Helper / activities such appropriately.
Floor as loading/  Pack the products as
Cleaner / 3 unloading and per the packaging   
Loader & storing the standards when
Unloader supplies; required.
packing
products; A Helper / Floor Cleaner
maintaining the / Loader & Unloader
storage area must know and
along with other understand:
relevant  Applicable food safety
activities under and hygiene standards.
supervision.
 Appropriate handling of
food supplies and
products.
An Ingredient Preparator
An Ingredient must be able to:
Preparator is  Select the appropriate
responsible for raw materials required
selecting and for production of RTE
Ingredien and RTC products
preparing the
t
3 ingredients for  Carry out cleaning,  
Preparato
the processing grading, peeling, as per
r
of Ready to Eat the supervisor's
(RTE) and instructions
Ready to Cook An Ingredient
(RTC) products. Preparator must know
and understand:
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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required
Micro Small Medium Large
 Different industrially
important RTE and RTC
products
 Various ingredients
used for making RTE &
RTC products
 Applicable food hygiene
and safety standards
A Freeze-Drying Machine
Operator must be able to:
 Prepare the relevant
freeze-drying machines
A Freeze-Drying for various processes
Machine based on requirement.
Operator is  Operate the
responsible for machineries
Freeze appropriately
fruit
Drying
4 dehydration by A Freeze-Drying   
Machine
freeze drying Machine Operator must
Operator
technique and know and understand:
operating  Various machineries
relevant used for preparation of
equipment. RTE and RTC products
 Process of operating
various machineries for
the production of RTE
and RTC products
A Pick-Fill-Seal Machine
Operator must be able to:
A Pick-Fill-Seal  Prepare and operate
Machine the packaging
Operator is equipment
responsible for  Carry out maintenance
preparing and of the packaging
Pick-Fill- operating the equipment
Seal packaging
4  Label the packaged RTE   
Machine equipment to
Operator pack the Ready and RTC products
to Eat (RTE) and A Pick-Fill-Seal Machine
Ready to Cook Operator must know
(RTC) products. and understand:
The individual  Criteria for the
also labels them. selection of appropriate
packaging material for
RTE and RTC products

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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required
Micro Small Medium Large
 Various methods and
techniques of packaging
processed food
products
 Process of operating
relevant packaging
equipment
 How to perform general
maintenance of the
packaging equipment
An RTE/RTC Plant
Supervisor must be able
An RTE/RTC to:
Plant Supervisor  Schedule activities and
is responsible allocate task
for scheduling  Maintain general safety
and allocating and discipline
tasks to the
 Measure qualities of
RTE/RTC workers,
finished products
Plant monitoring the
5 An RTE/RTC Plant    
Superviso performance of
r the workers, Supervisor must know
ensuring correct and understand:
functioning of  Knowledge of all
the machineries relevant safety and
and overall security procedures
maintenance of  Product quality
the plant. evaluation criteria w.r.t
national and
international standards
Conduct A Food Laboratory
standardized Assistant must be able to:
tests on food,  Test the raw materials
beverages, and finished products
additives, or to ensure compliance
preservatives to with standards and
Food ensure regulations and
Laborator compliance with adherence to the  
5
y standards and organization’s food
Assistant regulations safety and hygiene
regarding policy.
factors such as
color, texture, or  Analyze test results to
nutrients. Test classify products or
quality of compare results with
materials or standard tables.

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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required
Micro Small Medium Large
finished  Perform regular
products. maintenance of
laboratory equipment
by inspecting
calibrating, cleaning, or
sterilizing.
 Examine chemical or
biological samples to
identify cell structures
or to locate bacteria or
extraneous material,
using a microscope.
A Food Laboratory
Assistant must know
and understand:
 Applicable food safety
and hygiene standards.
 Record research or
operational data

A Food Safety & A Food Safety & Hygiene

Hygiene Manager must be able to:
Manager is  Ensure adherence to
responsible for the organization’s food
implementing safety and hygiene
the food safety policy.
policies and
standards in the  Train the processing
food processing plant employees on the
plant. The use of relevant systems.
individual is  Ensure maintenance of
Food also responsible the record of operations
Safety & for training and review them    
6
Hygiene other periodically.
Manager employees;
maintaining  Manage supplier
documentation; relationships.
ensuring that Conduct safety audits.
products meet A Food Safety & Hygiene
the applicable Manager must know and
quality understand:
standards;
educating  Applicable food safety
suppliers; and and hygiene standards.
conducting  Record maintenance
safety audits. and review procedures.

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Major Category of Enterprises for

NSQF Brief Key Activities & Emerging Job Role
Job Role
Level Description Knowledge Required
Micro Small Medium Large
 Supplier management.
 Safety audit procedures.
A Food Extruder Machine
Operator must be able to:
Set up, test and calibrate
the food extruder machine
for use
A Food Extruder Monitor and maintain the
Machine recommended pressure,
Operator is speed and temperature
responsible for during the extrusion
setting up, process
testing, and Select and install cutters,
calibrating a moulds and other
food extruder necessary equipment parts
machine for as per the requirement to
extruding achieve machine efficiency
relevant food Check and maintain the
products. The quality of extruded food
individual products to ensure
maintains the adherence to the
recommended applicable quality
Food standards
pressure, speed,
Extruder Carry out regular repair    
4 and
Machine and maintenance of food
temperature
Operator extruder machine
during
extruding Follow the applicable food
operation, uses hygiene, and health and
the relevant safety standards
cutters, moulds,
and other A Food Extruder Machine
equipment as Operator must know and
per the understand:
requirement; Applicable food hygiene,
and also carries and health and safety
out regular standards
repair and How to set up, test and
maintenance of calibrate the food extruder
food extruder machine
machine. How to extrude relevant
food products using the
food extruder machine
How to carry out regular
repair and maintenance of
food extruder machine

Table 126: Existing and emerging prominent job roles which will require skilling

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Skill Sets required across multiple levels in the sector

Figure 148: Skill Sets required across multiple levels in the sector

13.8 Expectations from the Industry stakeholders

With the progress and growth in the industry, companies scaling up will need skilled workforce
at the entry and multiple levels
There are few categories where there is a potential in upskilling people

 R&D skills
 Technology and Project Management
 Quality and food safety
 Legal and statutory
 Manufacturing Gaps: Gap is at the entry level. Very few people can operate the food
processing equipment.
Practical Training – Mandatory for both formal & In-formal Training

 A program to make students / probable recruits’ industry ready before absorbing them
into the organization.
 Program to work very closely with industries. Every industry needs to develop its own
plans to work with academic institutes.
 Curriculum to include the regulatory requirements as well. This will add value to the
recruiting organization.
Need for Basic Operator Training specifically for RTE / RTC industry

 More requirements are coming up in the Electropneumatic and Mechatronic technologies,

which is required for automation. There is a huge skill gap in the current work force

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 The new technology-based job roles which need to be looked at are - freezing systems,
IQF, spiral freezers, packaging systems, chilling and cooling related like freon, retort
packaging, MATS etc.

 Need for basic ITI operators trained in the operating and basic maintenance of the above
equipment

Higher Emphasis on ‘Food Safety’ & Hygiene Related Programs

 ‘Food Safety’ should be the first and foremost subject, to be trained for any person getting
employed in the RTE / RTC sector
 Prospective workers also need to be trained on how to handle products and the steps
involved in food processing
 It becomes extremely important to sensitize employees on the importance of maintaining
stringent hygiene standards. This is one area where the government needs to lay a lot of
emphasis on across food processing sectors.

Data Analytics – New jobs on Demand

 RTE / RTC sector deals with a lot of data starting from raw material procurement from
different parts of India and imports to retail sales of the end products.
 These data have to be used for the benefit of the company in terms of demand forecasting,
raw materials supply forecasting, productivity monitoring and optimize the machine
running time, predictive assessment of market, etc…
 Industry would need these skills going forward for their self-growth as well as industry
growth
Government of India should fund prospective companies to implement Industry 4.0
solutions and also provide for upskilling of employees

 RTE / RTC which essentially uses a lot of automation in the current set up and also invests
in new technology
 There is a tremendous scope for increase in skilled manpower considering the
developments in Indian market. The developments are in terms of technology which has
increased the productivity which in turn increases the scope for increase in manpower.
Getting Basics Right

 Computer literacy and basic arithmetic skills are at times lacking in freshers / new
recruits. Training on these for mid and top management employees becomes mandatory.

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Chapter 14: Sub-Sectoral Analysis –

Soya Processing
14.1 Market summary
India is the fifth largest producer of soybean in the world and is the fourth largest exporter of
soybean to the world. The start of commercial exploitation of soybean in India is nearly four
decades old. In this period, the crop has shown unparalleled growth in area and production.
Soybean has established itself as a major rainy season crop in the rainfed agro-ecosystem of west
and central India. Currently the rainfed potential of soybean in India is about 2.1 t/ha against the
national average productivity of just 1.2 t/ha. Soybean can be used to prepare a plethora of
different products that acts as a substitute for milk and milk products. Soy products also act as a
substitute for meat products, and are best suited for vegan diets. The costs of these products are
very low and are helpful to combat the malnutrition by the incorporation of the soy-based food
products in daily diet. As increasing number of consumers seeking non-dairy beverage
alternatives, this has led to substantial growth in the demand for soy milk in the country. New
production technology coupled with new varieties of soybeans have resulted in introduction of
new flavors which are giving tough competitions to cow milk and dairy products. Furthermore,
increasing health consciousness among Indian population and various health benefits of soy milk
are driving the growth of Indian Soya processing industry. The trend is likely to continue in the
coming years.
Key Industry Indicators Details

Overall Market (‘000 MT) (FY’20) 18,350

No. of registered units 165

Past Growth rate (CAGR) (FY’ 15 – FY’ 20) 4.8%

Total Number of Employees (FY’ 20) 6,075 nos.

Overall Exports (FY’20) INR 3,681 Crs.

Expected Market (‘000 MT) FY’ 2030 34,000

Future growth rate (FY’ 20 – FY’ 30) 6.4%

Total Employee Estimation (FY’ 30) 11,256 nos.

Overall Employment Additions (FY’ 20 – FY’ 30) 5,181 nos.

Table 127: Soya Processing: Key Industry Indicators

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14.2 Present State of the Industry & Future Outlook

India is the fifth largest producer47 of soybean in the world and is the fourth largest exporter of
soybean to the world. The start of commercial exploitation of soybean in India is nearly four
decades old. In this period, the crop has shown unparalleled growth in area and production.
Soybean has established itself as a major rainy season crop in the rainfed agro-ecosystem of west
and central India.
Introduction of soybean has resulted in an enhancement in the cropping intensity and resultant
increase in the profitability per unit land area. A number of varieties that have been bred have
resulted in this unprecedented growth.
Currently the rainfed potential of soybean in India is about 2.1 t/ha against the national average
productivity of just 1.2 t/ha. Hence, large yield gaps exist between the potential and the actual
yields harvested by the farmers.
Stakeholders present in the value chain48

Value chain

Figure 149: Value Chain of Soya processing in India

Soybean processing in India
The Soybean can be used to prepare a plethora of different products that acts as a substitute for
milk and milk products such as cheese, flavoured milk, yoghurts and spreads among others.
Soy products also act as a substitute for meat products, and are best suited for vegan diets.

47 http://jnkvv.org/JNKVV_RESEARCH/RESEARCH_Crop_Soyabean.aspx
48 Source: Primary Interview with Subject matter expert and visionaries
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Figure 150: Soybean processing: Soybeans to Soy Products

Soybeans are rich in protein content and provide amino acids that are essential for the body. Soy
contains two types of fatty acids namely omega-3 and omega-6 fatty acids.
The costs of these products are very low and are helpful to combat the malnutrition by the
incorporation of the soy-based food products in daily diet.

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Manufacturing Clusters:

Rajasthan

Madhya
Gujarat Tripura
Pradesh
Chhattisgarh

Maharashtra
Telangana

Andhra Pradesh

Tamil Nadu

Figure 151: Manufacturing Clusters

Top 10 states account to 96% of total employment in the Soya Processing industry
Market Overview
During the last financial year i.e., 2020-21, Soybean processing stood at ~19.8 million tonnes.
Processing of soybean has been cyclical for 5-6 years.
Maharashtra and Madhya Pradesh are the major soya processing State in India. Other prominent
states are Gujarat, Rajasthan and Karnataka. In the last 5 years soya processing industry has
grown at 7.8% CAGR. 49

49Source: http://www.sopa.org/yearly-processing-of-soybean-production-of-meal-oil-october-
september/

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Soybean Processing Trend in India (million tonnes)

18.4 19.8
17.1 16.6
13.6 11.5

2015-16 2016-17 2017-18 2018-19 2019-20 2020-21

Figure 152: Soybean Processing Trend in India (million tonnes)

Soybean processing : By Type (Base: 19.8 million tonnes)

Extraction
Produced
Crushed 41%
50%

Oil Produced
9%

Figure 153: Soybean processing: By Type

Source: SOPA

14.3 Present Employment Scenario & Analysis

Category of the Companies by Revenue
The Soya Processing industry is generally classified based on capacity. For uniformity, the
enterprises have been classified based on their revenue as per RBI guidelines. Large companies:
> Rs. 250 Cr., Medium: Rs. 50 - 250 Cr., Small: Rs. 5 - 50 Cr. and Micro: <Rs. 5 Cr.

14.3.1 Sample Coverage by Categories of Companies & Region

The detailed primary research exercise undertaken by Feedback Consulting for this report
involved meeting over 91 companies across India. This also covered various category of players.
48% of these companies were Micro and Small Enterprises and ~73% of these companies were
clustered in Northern and Western region in India.

Category of the Sample Coverage

North West South
Company (N)

Micro Enterprises 26 38% 38% 24%

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Category of the Sample Coverage

North West South
Company (N)

Small Enterprises 40 39% 32% 29%

Medium
20 32% 42% 26%
Enterprises

Large Enterprises 5 44% 33% 22%

Total 91 36% 37% 26%

Table 128: Sample Coverage by Categories of Companies & Region

14.3.2 Total No. of Employees

Past Trend of employment in the Soya Processing Industry

6,075

5,661
5,496

FY'18 FY'19 FY'20

Total No. of Employees

Figure 154: Past Trend of employment in the Soya Processing Industry

Source: Feedback Analysis
Share of Employees (FY’ 20) : Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 6,075) (Base: 6,075)

Top
Managem
Operator-Level ent
Employees 9%
Permanent 71%
35%
Middle
Contractual Managem
65% ent
3%
Lower
Management /
supervisory
17%

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Share of Operator-Level Employees Share of Permanent Employees by

(Base: 4,281) Education (Base: 2,111)
Helpers PG UG
20% 1% 5%
Cleaning / Pre- Diploma /
Processing ITI
Less than
Loader/ 10% 3%
Schooling
Unloader 53% Vocational
10% Training
3%

Schooling
Milling 35%
Superviso Packing 40%
r 10%
10%

Figure 155: Share of Employees (FY’20): By Different Category

Share by NSQF (Base=6,075 Employees)

Level 7 (Sr Mgmt)

9%

Level 2&3
36%
Level 5&6 (Low + mid
Mgmt)
27%

Level 4 (Operator/
Supervisor)
28%

Figure 156: Share of Employees (FY’20): By NSQF levels

Source: Feedback Analysis

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FY 20: State wise Employees in the industry (Base: 6,075 Employees)

Madhya Pradesh 2,139

Maharashtra 2,139
Rajasthan 342
Tripura 299
Gujarat 257
Chattisgarh 171
Telangana 171
Tamil Nadu 128
A & N Islands 86
Andhra Pradesh 86
Karnataka 86
Delhi 43
Haryana 43
Punjab 43
Uttar Pradesh 43

Figure 157: State wise Employees in the Industry (FY’20)

Source: Feedback Analysis

Top 15 states account to 100% of total employment in the industry

Current Key Job Roles & Responsibilities (at Operator-level employees’ category)

Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles
No. Responsibilities Level Micro Small Medium Large

The pre-processing work

Pre-Processing
1 includes primarily grading, 3   
Labourers
sorting of soya beans.

Machine operators, Millers,

Processing processing labourers
2 4  
Labourers across various processing
functions

Operate machines based on

3 Plant Operators various processing and by- 4    
product production lines.

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Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles
No. Responsibilities Level Micro Small Medium Large

Supervise the manual

labourers at the operations

Misc. work including

4 Helpers Cleaning plants, Machinery 3   
after every batch, etc.

Material handling, Loading

5 Loader / Unloader 3    
& Unloading products.

Sales Executives /
Sales and
6 Distribution to the Channel 4  
Distribution Support
Partners

Table 129: Current Key Job Roles & Responsibilities (at Operator-level employees’ category)
14.3.3 Past Growth of Employees (FY’17 – FY’20)

54%

 ~60% have indicated that their

26% manpower has grown in the last
14% three years, predominantly
6% marginal growth of up to 5%.

>-10% -5 to -10% -5% to 0% 0.1 to 5% 5.1 - 10% > 10%

Figure 158: Past Growth of Employees (FY’17 – FY’20)

Source: Feedback Analysis

14.3.4 Future Plans of the Companies and its Impact on the Manpower Growth
Future Plans of the Companies covered

Plans Micro Small Medium Large

Planning to invest in Internet of

0% 0% 0% 22%
Things (IoT) or Automation
Plan to invest on new
12% 7% 0% 22%
equipment / New Facility
Plan to enhance the production
26% 12% 21% 80%
capacity
Plans to launch new products 26% 0% 14% 0%
Plans to increase exports 0% 0% 14% 0%

Table 130: Future Plans of the Companies

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Manpower Recruitment Plan, Considering the Future Operational Expansion Plans

Considering the future

67% expansion plans of enterprises,
62%
it is expected that the manpower
is likely to increase by
27%  ~2% in next 3 years
21%
(Average)
12% 12%
 2 - 3% in next 5 years
(Average)
3 Years 5 Years
No Change in Manpower 0.1% - 5% 5.1% - 10%

Figure 159: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
Source: Feedback Analysis

14.4 Recruitment & Training Practice

Recruitment Practice
Walk-in is the key source of recruiting candidates across Operational level and Lower-level
employees. Following are the key institutes encountered during our survey from where the
candidates / employees have got trained or graduated before joining the enterprises.

Key Institutes Encountered (Graduated Institutes of the Current

Managerial Level
Employees)

Top Management  Formal Education Institutes offering Food Tech / Food Science
programs

Middle Management  Formal Education Institutes offering Food Tech / Food Science
programs
Lower-Level  No specific Institutes. As most of them are either secondary or higher
Management secondary education (Schooling) or less than secondary schooling
Operator Level  No specific Institutes. As most of them are either secondary or higher
Employees secondary education (Schooling) or less than secondary schooling

Table 131: Recruitment Practice

Training Practice
Overall, 40 – 45% of the companies covered during the survey, were providing training to new
employees, across levels (On-the-Job training).

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% of Companies offering training

52% 55%
62% 68%

100%

48% 45%
38% 32%

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall (N=91)

Offers Training Doesn't Offer Training

Figure 160: % of Companies offering training

Source: Feedback Analysis
Major Training Topics Covered

Enterprises

Enterprises

Enterprises

Enterprises
Functional

Medium
Training
Micro

Large
Small
Remarks Focus / Job
Topics
Roles

Proper Sorting;
Pre- grading the raw
Operator Level
Processing soybeans.    
Employees
Operations Differentiating for
various processing
Operator Level
Employees;
Processing /
Operating processing Lower-Level
Milling    
machines Employees;
techniques
Supervisors /
Managers
Hygienic way of Operator Level
handling products Employees;
while packing and also Lower-Level
Packing 
the knowledge on Employees;
SKUs by product Supervisors /
portfolio Managers

Table 132: Major Training Topics Covered

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Effectiveness of Training
(Mean score On a Scale of 1 - 7 where 7 is extremely satisfied and 1 is extremely dissatisfied)

5.12

4.52 4.57

4.32 4.31

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Figure 161: Effectiveness of Training

Source: Feedback Analysis

14.5 Challenges related to Skill Availability Vs Skill Gaps

Skill Acquisition Challenges

 There are very limited training institutes in India that focuses Milling (where Soya
Processing is also part of it).

 There are few companies like Buhler, which is offering training programs (Certification
programs) along with CFTRI. The challenge here is these programs are hardly known
among the Soya processers fraternity

 Small and Micro units depend on walk-ins or known contacts for unskilled or semi-skilled
labours. Also, there are higher attrition which is mandating that supervisors have to be
involved in training on a daily basis

Skill Gaps by Specific Job Roles

Following are the select key job roles and their required skills and skill gaps

Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Level Micro Small Medium Large

 Understanding
Operator
the products  Lack of knowledge
Level
being produced on products and the
Pre- Employees
from Soya and raw materials  
Processing
grade / sort the quality required for
beans the processing
NSQF: 3
accordingly

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Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Level Micro Small Medium Large

 Overseeing
 Best practices w.r.t
operations
material handling
Lower-Level including
to reduce wastage
Shift Management material
during material
Supervisor / handling across    
handling
Supervisor functions
NSQF: 5  Lack of knowledge
 Equipment
on By-Products of
operations and
Soya Processing
maintenance
 Knowledge on
Lower-Level latest equipment
Management and the old
Maintenance equipment  Lack of update in
   
Officer (primarily for technology
NSQF: 4 maintenance)
 Domain Skills

Operator  Inability to learn

Level and operate across
Loading / functions
Employees  Materials
Unloading    
Handling  Lack of knowledge
Laborers
on wastage
NSQF: 3 handling
 Understanding
the job roles in  Sanitation and
Operator various Hygienic awareness
Level interlinked and
Employees functions knowledge/practice
Helpers   
 Materials  Inability to learn
Handling and operate across
NSQF: 3
 Production functions
support

Table 133: Key job roles and their required skills and skill gaps

14.6 Future Projection – Sector & Employment

Projected growth in Soya Processing Segment in India
Based on discussions conducted with the Visionaries and Industry experts, Indian Soya
Processing likely to reach approx. 34 Mn tons by FY'30. This indicates CAGR of approx. 6 - 7%.
Reasons for such growth are the followings:

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 As increasing number of consumers seeking non-dairy beverage alternatives, this has led
to substantial growth in the demand for soy milk in the country. New production
technology coupled with new varieties of soybeans have resulted in introduction of new
flavours which are giving tough competitions to cow milk and dairy products.
Furthermore, increasing health consciousness among Indian population and various
health benefits of soy milk are driving the growth of Indian Soya processing industry.

 Soybean has experienced rapid expansion in production area and production volume,
usage of high quality and high yield seeds etc. within a short span of time in the recent
past. Incentives provided by the Govt. in the form of subsidized inputs, price support for
output, marketing infrastructure etc. have facilitated rapid growth in Soybean production
in the country. Needless to say, relative profitability of soybean is better than competing
crops which has also contributed to this growth. The trend is likely to continue in the
coming years.

 Unlike Cow Milk and other dairy products, Organized retail is a key channel for selling
processed Soya products. Recent emergence of various organized retail formats such as
Hypermarket, Supermarket etc. has not only helped in creating awareness regarding
health benefits of processed Soya products but also improved visibility and availability of
processed Soya products in the market. As high as approx. 50% of processed Soya
products are sold through organized retail in the country. Processed Soya market likely
to experience strong growth as share of organized retails is steadily increasing in the
country.

 Soybean meals are also used in food and animal feeds as a protein supplement. Strong
export demand and increased crop availability have driven soybean meal exports for the
current season and the trend expected to continue in future.

Future Market & Growth Rate of Soya Processing (‘000 MT)

40,000 10.5% 12.0%
7.9% 10.0%
30,000 6.1% 6.9% 7.1% 6.7%
5.4% 6.0% 5.7% 6.3% 8.0%
5.7%
20,000 6.0%
18,350

19,800

21,000

22,200

23,400

24,800

26,500

28,000

30,000

32,000

34,000

4.0%
10,000
2.0%
0 0.0%
FY'20 FY'21 FY'22 FY'23 FY'24 FY'25 FY'26 FY'27 FY'28 FY'29 FY'30
(E) (E) (E) (E) (E) (E) (E) (E) (E) (E)

Production Y-o-Y Growth

('000 MT)

Figure 162: Future Market & Growth Rate of Soya Processing ('000 MT)
Source: Discussion with SMEs & Visionaries

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Processing capacity and investment required in Soya processing industry

Parameter Unit Values

FY'20 Production '000 MT 18,350
FY'30 Production (E) '000 MT 34,000
Increase in production between FY'20 & FY'30 '000 MT 15,650
Considering 80% capacity utilization,
'000 MT 19,563
additional processing capacity required
Investment norm Rs. / MT 2,625
Total Investment required Rs. Cr. 5,135

Table 134: Processing capacity and investment required in the sector

Source: SOPA; Discussion with the Plant / Equipment Manufacturers & SMEs
Select ongoing and upcoming projects of Soya Processing Sector in India

Company Project Cost (Rs.

SL # Project Name Project Type
Name Location Cr.)

Adani Wilmar Haldia Soya Nuggets Haldia, West

1 New Unit Not Available
Ltd. Plant Project Bengal

Vidisha Soya Nuggets Vidisha,

Adani Wilmar
2 Processing Plant Madhya New Unit Not Available
Ltd.
Project Pradesh

Patanjali Food Ausa Soybean

Latur,
3 & Herbal Park Processing Unit New Unit Not Available
Maharashtra
Pvt. Ltd. Project

Table 135: Select ongoing and upcoming projects of Soya Processing Sector in India
Source: CMIE & Projects Today
FY'20 employment estimation in Soya Processing industry in India

FY'20 Total No. Annual

Average Product
Company of Employees Production Production/
no. of ion
Category in Soya ('000 MT) Employee
Employees Share*
processing (MT)
Large
200 1,000 19% 3,487 3,487
Enterprises
Medium
83 2,490 42% 7,707 3,095
Enterprises
Small
32 1,760 27% 4,955 2,815
Enterprises
Micro
11 825 12% 2,202 2,669
Enterprises
Total 6,075 100% 18,350 3,021

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Table 136: FY'20 employment estimation in Soya Processing industry in India

*Discussion with the Processing Units and SMEs
Note: The Soya Processing industry is generally classified based on capacity. For uniformity, the enterprises
have been classified based on their revenue as per RBI guidelines. Large companies: > Rs. 250 Cr., Medium: Rs.
50 - 250 Cr., Small: Rs. 5 - 50 Cr. and Micro: <Rs. 5 Cr.

Future employment projection in Soya Processing industry in India

Annual FY'20 - FY'30

FY'30 FY'30 Total
Company FY'30 share in Production/ Employment
Production Employee
Category Production* Employee Generation
('000 MT) Estimation
(MT)# potential
Large
6,460 3,487 1,853 853
Enterprises 19%
Medium
14,280 3,095 4,614 2,124
Enterprises 42%
Small
9,180 2,815 3,261 1,501
Enterprises 27%
Micro
4,080 2,669 1,529 704
Enterprises 12%
Total 34,000 11,256 5,181

Table 137: Future employment projection Soya Processing industry in India

*As per discussion with the Processing Units and SMEs, contribution of various types of companies in the
Grounded & Blended Spices industry will remain same over next 10 years
# Based on discussions with equipment manufacturers and SMEs, there could be marginal adoption of
automation / industry 4.0 in the coming years. However, that will have negligible impact on the productivity
of the employees. Hence, the same productivity values have been considered for future employment generation
potential

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Share of FY'20 - FY'30 Employment Generation potential Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 5,181) (Base: 5,181)

Top
Managem
Operator-Level ent
Employees 9%
Permanent 70%
35%

Contractual Middle
65% Managem
ent
6%
Lower
Management /
supervisory
15%

Share of Operator-Level Employees Share of Permanent Employees by

(Base: 3,627) Education (Base: 1,813)
Helpers Cleaning / Pre- PG UG
20% Processing 1% 5%
10% Diploma /
ITI
Less than
4%
Schooling
Loader/ 50%
Unloader Vocational
10% Training
5%

Milling Schooling
Packing 40% 35%
Supervisor
10%
10%

Figure 163: Share of FY'20 - FY'30 Employment Generation potential: By Different Category

Share by NSQF (Base=5,181 Employees)

Level 7 (Sr Mgmt)

9%

Level 2&3
35%
Level 5&6 (Low + mid
Mgmt)
28%

Level 4 (Operator/
Supervisor)
28%

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Figure 164: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels
Source: Feedback Analysis

State wise Employment Generation Potential (Base: 5,181 Employees)

Maharashtra 1,884
Madhya Pradesh 1,778
Rajasthan 292
Tripura 252
Gujarat 238
Chattisgarh 143
Telangana 141
Tamil Nadu 110
A & N Islands 74
Karnataka 73
Andhra Pradesh 55
Haryana 38
Uttar Pradesh 37
Punjab 33
Delhi 33

Figure 165: State wise Employment Generation Potential

Source: Feedback Analysis

Top 15 states account to 100% of total employment in the industry

14.7 Existing & Emerging Prominent Job Roles Which Requires

Skilling
Following are the specific existing and emerging prominent job roles that will create employment
opportunities in Soya Processing Sub-sector in future

Major Category of Enterprises for

Job NSQF Brief Key Activities & Emerging Job Role
Role Level Description Knowledge Required
Micro Small Medium Large
A Helper / Floor
Helper A Helper / Floor Cleaner
Cleaner / Loader
/ Floor / Loader & Unloader
& Unloader is
Cleaner 3 must be able to:   
responsible for
/
carrying out  Load and unload
Loader
various labor- supplies.
&
intensive
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Major Category of Enterprises for

Job NSQF Brief Key Activities & Emerging Job Role
Role Level Description Knowledge Required
Micro Small Medium Large
Unload activities such as  Maintain cleanliness in
er loading/unloadi the processing and
ng and storing storage area.
the supplies;
 Store the supplies
packing
appropriately.
products;
maintaining the  Pack the products as per
storage area the packaging standards
along with other when required.
relevant
A Helper / Floor Cleaner
activities under
/ Loader & Unloader
supervision.
must know and
understand:
 Applicable food safety
and hygiene standards.
 Appropriate handling of
food supplies and
products.
A Soya Seed Cleaner &
Pre-Processor must be
A Soya Seed able to:
Cleaner & Pre-  Clean and grade
Processor is soybean
responsible for
Soya  Feed soybean in dry
carrying out
Seed beans tank
various labor-
Cleaner
3 intensive A Soya Seed Cleaner &   
& Pre-
activities such as Pre-Processor must
Process
cleaning and know and understand:
or
grading soya,
feeding soya in  Appropriate handling of
dry beans tank, soybeans
etc.  Applicable cleaning and
grading standards for
soybean
A Soya Milling
Machine A Soya Milling Machine
Soya Operator is Operator must be able to:
Milling responsible for
preparing and  Prepare the milling
Machin
4 operating machine for operation    
e
Operato milling machine  Carry out general
r to mill soya to maintenance of the
process required milling machine
products. The
individual also
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Major Category of Enterprises for

Job NSQF Brief Key Activities & Emerging Job Role
Role Level Description Knowledge Required
Micro Small Medium Large
carries out A Soya Milling Machine
general Operator must know and
maintenance of understand:
the milling
 How to operate and
machine.
maintain a milling
machine
 Applicable food hygiene
and safety standards
A Soya Nugget Machine
Operator must be able to:
 Operate soya nugget
processing machineries
appropriately
 Maintain processing
A Soya Nugget
machines
Machine
Soya
Operator is A Soya Nugget Machine
Nugget
responsible for Operator must know and
Machin
4 operating understand:  
e
nugget
Operato  Different type of
machineries for
r machines used in soya
processing soya
processing
into nuggets.
 Process of operating
various machines
 How to perform general
maintenance of various
soya processing
machine
A Soya Flour Packaging
A Soya Flour Machine Operator must
Packaging be able to:
Machine
Operator is  Protect the packaging
Soya
responsible for contents from spoilage
Flour
handling the & spillage.
Packagi
ng milled flours,  Design appropriate
4 preparing, and   
Machin packaging.
e operating the
packaging  Carry out maintenance
Operato
machine and of the packaging
r
performing equipment.
general A Soya Flour Packaging
maintenance of Machine Operator must
the flour know and understand:

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Major Category of Enterprises for

Job NSQF Brief Key Activities & Emerging Job Role
Role Level Description Knowledge Required
Micro Small Medium Large
packaging  How to perform general
machine. maintenance of the
packaging equipment.
 Applicable food hygiene
and safety standards.
A Soya Oil Pouch Packing
Machine Operator must
be able to:
 Protect the packaging
A Soya Oil Pouch contents from spoilage
Packing Machine & spillage.
Operator is
 Design appropriate
Soya Oil responsible for
packaging.
Pouch handling the
Packing milled oils from  Carry out maintenance
Machin 4 oilseeds. Also of the packaging   
e performing equipment.
Operato general
A Soya Oil Pouch Packing
r maintenance of
Machine Operator must
the oil pouch
know and understand:
packaging
machine.  How to perform general
maintenance of the
packaging equipment.
 Applicable food hygiene
and safety standards.
A Soya Processing Plant
Supervisor must be able
A Soya to:
Processing Plant  Schedule activities and
Supervisor is allocate task to plant
responsible for workers
scheduling and
Soya  Monitor and check plant
allocating tasks
Process machineries and
to workers,
ing systems for the correct
5 monitoring their    
Plant functioning
performance,
Supervi
ensuring correct  Maintain safety and
sor
functioning of discipline at the plant
the machineries
and overall  Oversee soya processing
maintenance of plant maintenance
the plant. A Soya Processing Plant
Supervisor must know
and understand:

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Major Category of Enterprises for

Job NSQF Brief Key Activities & Emerging Job Role
Role Level Description Knowledge Required
Micro Small Medium Large
 Relevant health,
hygiene, and safety
standards
 Different soya
processing methods
A Food Laboratory
Assistant must be able to:
 Test the raw materials
and finished products to
ensure compliance with
standards and
regulations and
adherence to the
organization’s food
Conduct safety and hygiene
standardized policy.
tests on food,  Analyze test results to
beverages, classify products or
additives, or compare results with
preservatives to standard tables.
ensure
Food  Perform regular
compliance with
Laborat maintenance of
standards and
ory 5 laboratory equipment  
regulations
Assista by inspecting
regarding
nt calibrating, cleaning, or
factors such as
color, texture, or sterilizing.
nutrients. Test  Examine chemical or
quality of biological samples to
materials or identify cell structures
finished or to locate bacteria or
products. extraneous material,
using a microscope.
A Food Laboratory
Assistant must know and
understand:
 Applicable food safety
and hygiene standards.
 Record research or
operational data

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Major Category of Enterprises for

Job NSQF Brief Key Activities & Emerging Job Role
Role Level Description Knowledge Required
Micro Small Medium Large
A Food Safety & Hygiene
Manager must be able to:
A Food Safety &  Ensure adherence to the
Hygiene organization’s food
Manager is safety and hygiene
responsible for policy.
implementing
the food safety  Train the processing
policies and plant employees on the
standards in the use of relevant systems.
food processing  Ensure maintenance of
plant. The the record of operations
Food
individual is also and review them
Safety
responsible for periodically.
&
6 training other    
Hygiene  Manage supplier
employees;
Manage relationships.
maintaining
r Conduct safety audits.
documentation;
ensuring that A Food Safety & Hygiene
products meet Manager must know and
the applicable understand:
quality
standards;  Applicable food safety
educating and hygiene standards.
suppliers; and  Record maintenance
conducting and review procedures.
safety audits.
 Supplier management.
 Safety audit procedures.

Table 138: Existing and emerging prominent job roles which will require skilling

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Skill Sets required across multiple levels in the sector

Figure 166: Skill Sets required across multiple levels in the sector

14.8 Expectations from the Industry Stakeholders

Importance of Training

 As there are very limited number of companies across India, recruiting experienced
skilled manpower (experienced in similar product) is a major challenge for the industry
and thus training plays an important role not only for the fresh candidates, but also for
the existing employees
 Training institutes focusing Soya Processing are very limited. Industry is expecting to
have a training program specific to Soya processing and not just as part of Milling module.

Training for Multi-Functions

 As soya have multi usage applications, the training programs are to be developed for the
Soya Processing and not just for applications like Bakery, Dairy, etc.
 Multiskilling is the key by introducing them to multiple skills required by the industry so
that the employee can be fill in across any functions (Processing machinery, packaging
machinery operations, pre-processing, etc.)
 The food safety may be the first and foremost concept for the Government to give training
to each and every person. It becomes extremely important to sensitize employees on the
importance of maintaining stringent hygiene standards. This is one area where the
government needs to lay a lot of emphasis on.

Offline with Practical Training

 Online training may not help here as the program needs practical training and creating
institutes at the clusters will solve the manpower crisis of the industry
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Chapter 15: Sub-Sectoral Analysis –

Spices
15.1 Market summary
India is the world's largest producer, consumer and exporter of spices. The country produces
about 75 of the 109 varieties listed by the International Organization for Standardization (ISO)
and accounts for half of the global trading in spices. Spices has many different applications
including bakery products, sauces, dressings, beverages, frozen foods, and package foods. Indian
blended spices market is highly fragmented and there are very limited number of players having
pan India presence. Grounded & Blended Spices market have shown a healthy growth of 8.4% in
India over the past 5 years. An increasing population of educated & working women and raising
consumer’s awareness towards adulteration has created a huge demand for branded blended
spices. The growth of blended spices and spices mix has opened a new segment for many of the
players and it is currently largely consisting of regional players. The Government of India through
its body Spices Board of India, is also propelling aggressively to export the Indian spices to gain
the market share and market value prominently with the help of promotions and branding during
international fairs. The spice industry is expected to benefit from the package announced for the
MSME units as well as from the package for the agriculture sector. Sub-components like
‘formalization & global outreach of micro food enterprises’, ‘farm-gate infrastructure
development’ and ‘promotion of herbal cultivation’ are beneficial to the sector.

Key Industry Indicators Details

Overall Market (‘000 MT) (FY’20) 185
No. of registered units 1,063
Past Growth rate (CAGR) (FY’ 15 – FY’ 20) 9.5%
Total Number of Employees (FY’ 20) 40,750 nos.
Overall Exports (FY’20) INR 14,638 Crs.
Expected Market (‘000 MT) FY’ 2030 620
Future growth rate (FY’ 20 – FY’ 30) 12.9%
Total Employee Estimation (FY’ 30) 1,34,844 nos.
Overall Employment Additions (FY’ 20 – FY’ 30) 94,094 nos.
Table 139: Spices: Key Industry Indicators

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15.2 Present State of the Industry & Future Outlook

India is the world's largest producer, consumer and exporter of spices. The country produces
about 75 of the 109 varieties listed by the International Organization for Standardization (ISO)
and accounts for half of the global trading in spices.

52 Spices out of 75 Spices under the purview of the Spices Board of India50

1. Cardamom 2. Pepper 3. Chilli 4. Ginger

5. Turmeric 6. Coriander 7. Cumin 8. Fennel
9. Fenugreek 10. Celery 11. Aniseed 12. Bishops weed
13. Caraway 14. Dill 15. Cinnamon 16. Cassia
17. Garlic 18. Curry Leaf 19. Kokkam 20. Mint
21. Mustard 22. Parsley 23. Pomegranate seed 24. Saffron
25. Vanilla 26. Tejpat 27. Pepper long 28. Star anise
29. Sweet flag 30. Greater Galanga 31. Horse Radish 32. Caper
33. Clove 34. Asafoetida 35. Cambodge 36. Hyssop
37. Juniper berry 38. Bayleaf 39. Lovage 40. Marjoram
41. Nutmeg 42. Mace 43. Basil 44. Poppyseed
45. All-spice 46. Rosemary 47. Sage 48. Savory
49. Thyme 50. Oregano 51. Tarragon 52. Tamarind

Table 140: Spices under the purview of the Spices Board of India
Spices are parts of a specific tree that are edible, have medicinal properties, and can completely
impact the flavour of a particular dish. Cinnamon, for example, is the bark of its namesake tree,
cloves are flower buds, bay leaves are the leaf of its plants, cardamoms are seeds, and in the same
way all other spices are also dried plant parts to be used in culinary arts, except herbs can be used
fresh as well.
Spices has many different applications including bakery products, sauces, dressings, beverages,
frozen foods, and package foods. Spices are an integral part of any Indian dishes which are used
for flavouring, seasoning, pungency and colouring.

50 Spices Board of India

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Key Stakeholders in the Value Chain

Indian market is highly fragmented with more than 1000 small and micro manufacturers and
limited Large and Medium players producing blended spices. There are very limited number of
players having pan India presence with a strong channel network and multiple plants across
India. Industry structure of blended spice is illustrated in the chart below:

Figure 167: Value chain of Spice Market in India

Manufacturing Clusters: Spices

Haryana

Rajasthan

Gujarat Madhya
Pradesh

Maharashtra
Telangana

Andhra Pradesh

Karnataka

Kerala
Tamil Nadu

Figure 168: Manufacturing Clusters

Top 10 states account to 77% of total employment in the Spices industry
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Grounded & Blended Spices – Market Overview

Grounded & Blended Spices market have shown a healthy growth of 8.4%51 in India over the past
5 years.

Grounded & Blended Spices Sales Trend in India (INR Cr.)

15,500 16,800
13,100 14,200
11,200 12,100

FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 (Est.)

Figure 169: Grounded & Blended Spices Sales Trend in India (INR Cr.)
Source: Feedback Analysis
An increasing population of educated & working women and raising consumers awareness
towards adulteration has created a huge demand for blended spices.
The higher purchasing power due to the overall economic development of India has also let to
various changes in the preference of Indian consumers. Increasingly, consumers have been
observed to be shifting from Standard, Local and Regional brands towards National Branded
Products.
The consumption of foreign brands is also observed to be increasing in Indian Blended Spices
market. The growth of blended spices and spices mix has opened a new segment for many of the
players and it is currently largely consisting of regional players.

15.3 Present Employment Scenario & Analysis

Category of the Companies by Revenue

Definition
Category of the
(Revenue Remarks
Company
Range)

Micro Micro enterprises are into blending or processing of

< Rs 5 Cr
Enterprises primarily Traditional Spices with revenue of < Rs. 5 Cr.

Small enterprises primarily process Pure & Traditional

Spices, Meat Masala and Ready to Prepare Masalas. many
Small RS 5.1 – 50
Small enterprises also take up contract manufacturing jobs
Enterprises Cr
from the large enterprises. Revenue range for this category is
Rs. 5 Cr. - 50 Cr.
Medium Rs 50.1 – Medium-Sized Enterprises are predominantly regional
Enterprises 250 Cr manufacturers with revenue of Rs. 50 Cr - 250 Cr.
Large Enterprises are pan India players that process various
Large > Rs 250
types of blended masala categories with overall revenue of >
Enterprises Cr.
Rs. 250 Cr.

51 Feedback BoK, Spices Board of India, Subject Matter Expert

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Table 141: Category of the Companies : By Revenue

15.3.1 Sample Coverage by Categories of Companies & Region
The detailed primary research exercise undertaken by Feedback Consulting for this report
involved meeting over 380 companies across India. This also covered various category of players.
90% of these companies were Micro and Small Enterprises and ~70% of these companies were
clustered in Southern and Western region in India.

Sample
Category of the Company North East South West
Coverage (N)
Micro Enterprises 184 18% 15% 36% 31%

Small Enterprises 161 17% 11% 45% 27%

Medium Enterprises 30 17% 7% 37% 40%

Large Enterprises 5 40% 0% 60% 0%

Total 380 18% 12% 41% 29%

Table 142: Sample Coverage by Categories of Companies & Region

15.3.2 Total No. of Employees

Past Trend of employment in the Spices Industry

40,750
37,597
33,642
31,036
27,985
25,903

FY'15 FY'16 FY'17 FY'18 FY'19 FY'20

Total No. of Employees

Figure 170: Past Trend of employment in the Spices Industry

Source: Feedback Analysis

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Share of Employees (FY’ 20) Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 40,750) (Base: 40,750)

Top Management
4%

Permanent Middle
34% Operator-Level Management
Employees 7%
Contractual 79%
66%
Lower
Management /
supervisory
10%

Share of Operator-Level Employees Share of Permanent Employees by

(Base: 32,113) Education (Base: 13,779)

Loader / Helpers, PG
Unloader Production 3%
9% Support &
Others Pre-Processing UG
13% 19% 9%
Less than
Schooling
57%
Diploma /
Supervisor
ITI
9%
4%
Grinding
Machine
Filler Machine / Operators
26% Schooling Vocational
Packing
21% Training
Technician
6%
24%

Figure 171: Share of Employees (FY’20): By Different Category

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Share by NSQF (Base=40,750 Employees)

Level 7 (Sr Mgmt)
4%

Level 5&6 (Low + mid

Mgmt) Level 2&3
24% 32%

Level 4 (Operator/
Supervisor)
40%

Figure 172: Share of Employees (FY’20) : By NSQF levels

FY’ 20: State wise Employees in the industry (Base: 40,750 Employees)

Kerala 4,890
Maharashtra 3,668
Karnataka 3,260
Andhra Pradesh 2,853
Gujarat 2,853
Haryana 2,853
Madhya Pradesh 2,853
Rajasthan 2,853
Telangana 2,853
Tamil Nadu 2,445
Punjab 2,038
Uttar Pradesh 2,038
West Bengal 1,630
Assam 1,223
Bihar 408
Others 2,038

Figure 173: State wise Employees in the Industry (FY’20)

Source: Feedback Analysis
Top 15 states account to 95% of total employment in the industry

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Current Key Job Roles & Responsibilities (at Operator-level employees’ category)

Applicable Type of
Sr. NSQF Enterprises
Job Roles Job Profile / Key Responsibilities
No. Level
Micro Small Medium Large
The pre-processing work includes
primarily grading, sorting and
preparation of raw spices (raw
Pre-Processing materials) for further processing
1 3    
Labourer (roasting, drying, etc.). Women
comprises of >65% of the labourers
among micro, small and medium
enterprises.
Machine
Grinding the raw spices and other
Operator
2 raw materials using industrial spice 4    
(Processing
grinder or Spices Pulveriser
Machinery)
Machine
Operator Operating machine or responsible
3 (Filling / for the spices filling function in the 4  
Packing bulk bag container
Machinery)
Monitoring overall operation and
4 Shift Supervisor managing manpower across 5    
functions
Misc. work including Cleaning
5 Helpers plants, Machinery after every batch, 3  
etc.
Loader / Material handling, Loading &
6 3    
Unloader Unloading products.
Table 143: Current Key Job Roles & Responsibilities (at Operator-level employees’ category)
15.3.3 Past Growth of Employees (FY’17 – FY’20)

Past Growth of Employees (FY’17 – FY’20) - %

51%  94% of the small enterprises

have indicated that their
38%
manpower has grown in the
past 3 years.

1% 2% 3% 4%  ~50% have indicated that

their manpower has grown
>-10% -5 to -10% -5% to 0% 0.1 to 5% 5.1 - 10% >10% marginally (up to 5%).

Figure 174: Past Growth of Employees (FY’17 – FY’20)

Source: Feedback Analysis

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15.3.4 Future Plans of the Companies and its Impact on the Manpower Growth
Future Plans of the Companies

Micro Small Medium Large

Plans Overall
Enterprises Enterprises Enterprises Enterprises
Planning to invest in
Internet of Things 38% 25% 33% 80% 32%
(IoT) or Automation
Plan to invest on new
49% 51% 50% 100% 51%
equipment
Plan to enhance the
58% 39% 50% 80% 50%
production capacity

Plans to launch new

34% 39% 43% 100% 38%
products

Plans to increase
17% 23% 43% 100% 23%
exports
Plans to invest on
6% 8% 27% 40% 9%
R&D

Table 144: Future Plans of the Companies

Overall, ~50% of the companies do have plans on investment on a new equipment and
enhancement of the production capacity.
Automation or IoT; Investment towards Research & Development are predominantly the interest
areas of large companies.
Expected Growth in Manpower, Considering the Future Operational Expansion Plans

Expected Growth of Employees

Considering the future expansion

plans, ~40% and 57% of the
59%
enterprises who have certain plans
43% 39% for the future are expecting that there
26% would be growth in manpower in
15% 18%
future

3 Years 5 Years

No Change in Manpower 0.1% - 5% 5.1% - 10%

Figure 175: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
Source: Feedback Analysis

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15.4 Recruitment & Training Practice

Recruitment Practice
Walk-in is the key source of recruiting candidates across Operational level and Lower-level
employees. Following are the key institutes encountered during our survey from where the
candidates / employees have got trained or graduated before joining the enterprises.

Managerial Key Institutes Encountered (Graduated Institutes of the Current

Level Employees)

 Formal training institutes offering food technology / food science

Top Management
programs

Middle  Formal training institutes offering food technology / food science

Management programs
 Ameth Business Solutions
 The Planet Education
Lower Level  Sunaina Samriddhi
Management
 Majority of employees in lower-level management are not coming from
any education institutes. Most of them are either secondary or higher
secondary education (Schooling) or less than secondary schooling
Operator Level  No specific Institutes. As most of them are either secondary or higher
Employees secondary education (Schooling) or less than secondary schooling

Table 145: Recruitment Practice

Existing employees of the large and medium enterprises do train themselves in training programs
offered by Spices Board of India
Training Practice
Overall ~30% of the companies we have covered as part of the sample are providing training
across levels when an employee joins the firm (On-the-Job training).
% of Companies offering training

95% 83% 95%

99% 100%

5% 17% 5%
1%
Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Offers Training Doesn't Offer Training

Figure 176: % of Companies offering training

Source: Feedback Analysis

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Major Training Topics Covered (Encountered in Primary Interviews)

Enterprises

Enterprises

Enterprises

Enterprises
Functional

Medium
Training

Micro

Large
Small
Remarks Focus / Job
Topics
Roles

Sorting; grading the Operator Level

spices and other raw Employees &
Pre-
materials and know- Lower-Level
Processing    
how the cleaning Employees
Operations
process for different
type of products
Raw Spices Materials handling to Operator Level
   
Handling reduce wastage Employees
Operating Machines Operator Level
spice grinder, spices Employees &
Processing    
pulveriser Lower-Level
Employees
Training to detail the Supervisors /
Operations overall operations, Managers
 
Management manpower allocation,
inspection, etc.
Appropriate packing Supervisors /
Supervision
methods, latest Managers
of product
technology,  
handling
equipment
activities
operations, etc.
Maintenance Operator Level
checklist for Employees &
equipment Lower-Level
Plant
(processing and Employees 
Maintenance
packing) (Technicians /
Machine
Operators)
Machine / Drum Operator Level
cleaning; Vehicle tank Employees &
Cleaning 
cleaning before every Lower-Level
batch Employees
Hygienic way of
handling products
while packing and
Packing 
also the knowledge
on SKUs by product
portfolio

Table 146: Major Training Topics Covered

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Effectiveness of Training
(Mean score On a Scale of 1 - 7 where 7 is extremely satisfied and 1 is extremely dissatisfied)

6
5.5
5 5.2
4.3

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Figure 177: Effectiveness of Training

Source: Feedback Analysis

15.5 Challenges related to Skill Availability Vs Skill Gaps

Skill Acquisition Challenges
Outdated Curriculum and Lack of Practical Training

 The root cause of all the problems is attributed to the education where the curriculum is
not focusing on training students who can come into the industry as a subject matter
expert since the curriculum does not teach anything about spices or any other technical
aspects related to spices or processing of spices in the country.

 Freshers, Interns entering the industry do not have exposure to practical application of
the theoretical knowledge gained by students during the course of the program.

 Elementary skills are available in abundance in the market but there are still challenges
in operating lab equipment’s etc.
Higher Attrition

 The sector is very unorganized and every unorganized sector comes with its own set of
challenges like employment is subject to high degree of insecurity

 Hiring fresh candidates from Polytechnic and training them for 2 years is rather
challenging especially when there is so much insecurity on employment
Need for Skilled Labour

 As one moves up the ranks, there are major issue with regards to Quality Control where
one needs a qualified and knowledgeable person to run the show
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Skill Gaps by Specific Job Roles

Following are the select key job roles and their required skills and skill gaps

Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Level Micro Small Medium Large

R&D Manager Mid  New Product  Ability to create

/ Executive Management Development new products
 Understanding  
NSQF: 5 global trends on
new products
Plant Manager Mid  Managerial Skills  Understanding
Management and adaptation to
 Technical Know-
newer
how across
technologies
NSQF: 6 functions
 Ability to work
 Interpersonal
with both the
Skills
processing and
 Leadership Skills packaging    
equipment
 Training
manpower at the
lower level or
operator level
 Production
planning
Production Mid  Equipment  Lack of knowledge
Manager Management operations (across on equipment
functions) maintenance and
operations
NSQF: 6  Manpower
   
planning for the
shifts
 Production
planning
Quality Control Mid  Monitoring the  Unable to
Management Raw Materials maintain the
quality similar quality
across batches
NSQF: 5  Ingredient’s
  
quality check
 Assessing the
quality for the
finished products
Inventory Mid  To develop  Knowledge of
Controller & Management inventory inventory   
management
systems, maintain
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Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Level Micro Small Medium Large

Transportation NSQF: 5 stock levels, and management

Manager coordinate the software
logistics of orders
and transfers.
Shift Lower-Level  Overseeing  Best practices
Supervisor / Management operations w.r.t material
Supervisor including material handling to
handling across reduce wastage
NSQF: 5 functions during material
handling
 Soft skills
   
(Communication;
Training efficiency
& Leadership)
 Equipment
operations and
maintenance
Maintenance Lower-Level  Knowledge on  Lack of update in
Officer Management transformation technology
from analogue to
digital business    
NSQQF: 4 model
 Domain Skills
Loading / Operator  Materials  Inability to learn
Unloading Level Handling and operate
Labors Employees across functions
   
 Lack of knowledge
NSQF: 3 on wastage
handling
Helpers Operator  Understanding the  Sanitation and
Level job roles in Hygienic
Employees various awareness and
interlinked knowledge/practi
functions ce
NSQF: 3   
 Materials  Inability to learn
Handling and operate
across functions
 Production
support

Table 147: Key job roles and their required skills and skill gaps

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15.6 Future Projection – Sector & Employment

Projected growth in Grounded & Blended Spices production in India
Based on discussions conducted with the Visionaries and Industry experts, production of
grounded and blended spices production likely to reach approx. 1 Mn MT by FY'30. This indicates
CAGR of approx. 8.8%. Reasons for such growth are the followings:

 Increasing population of working women and consumers awareness towards adulterate

has created a huge demand of blended spices

 Changing preference of Indian consumers towards grounded and blended spices due to
higher purchasing power

 There is trend of shifting towards national brands from standard, local and regional
brands

 Organized players like Everest, Badshah and MDH are coming up with low-price products
in small packaging to give competition to unorganized products.
Future Market & Growth Rate of the Organized sector of Grounded & Blended Spices

Market Size Market Size

Year Y-o-Y Growth
(Rs. Cr.) ('000 MT)
FY'20 16,800 431
FY'21 (E) 18,200 467 8.3%
FY'22 (E) 19,700 505 8.2%
FY'23 (E) 21,400 549 8.6%
FY'24 (E) 23,250 596 8.6%
FY'25 (E) 25,300 649 8.8%
FY'26 (E) 27,500 705 8.7%
FY'27 (E) 29,900 767 8.7%
FY'28 (E) 32,600 836 9.0%
FY'29 (E) 35,600 913 9.2%
FY'30 (E) 39,000 1,000 9.6%
Table 148: Future Market & Growth Rate of the Organized sector of Grounded & Blended Spices
Source: Interactions with SMEs & Visionaries
Future trends and likely share of the Organized sector (Grounded & Blended Spices)

Market Size Share of Organized Organized sector

Year
('000 MT) Sector* (Rs. Cr.)
FY'20 431 43% 185
FY'21 (E) 467 44% 201
FY'22 (E) 505 45% 227
FY'23 (E) 549 47% 258
FY'24 (E) 596 49% 292

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Market Size Share of Organized Organized sector

Year
('000 MT) Sector* (Rs. Cr.)
FY'25 (E) 649 51% 331
FY'26 (E) 705 53% 374
FY'27 (E) 767 55% 422
FY'28 (E) 836 57% 476
FY'29 (E) 913 60% 548
FY'30 (E) 1,000 62% 620
Table 149: Future trends and share of the Organized sector (Grounded & Blended Spices)
*Note: Spices Board of India, visionaries, industry experts and SMEs feel that share of Organized sector likely
to reach to approx. 62% by FY'30 from 43% in FY20.
Innovation in the new products

 As the spices powder category is getting mature, Indian players are innovating with new
hyper localized spice mix categories (e.g., Konaseema Kodi Koora Masala, Madurai
Sambar Powder, Shahi Garam Masala).

 Also, organized players are exporting global spice flavours (e.g., Ching’s Secret).
Introduction of different flavours in sectors like RTE/RTC, Snacks / Namkeens, Spice
flavours in Dairy Products, nutraceutical products etc.
Government Initiatives
The Government of India through its body Spices Board of India, is also propelling aggressively
to export the Indian spices to gain the market share and market value prominently with the help
of promotions and branding during international fairs. Around 1 – 1.5 billion kgs of total spices
have been exported by India every year52.
Spices Board provides financial assistance to exporters for infrastructure development, trade
promotion including participation in international fairs, product development & research, spice
processing in North East region, promotion of India spice brands and certification of Spice
Houses.
The spice industry is expected to benefit from the package announced for the MSME units as well
as from the package for the agriculture sector. Sub-components like ‘formalization & global
outreach of micro food enterprises’, ‘farm-gate infrastructure development’ and ‘promotion of
herbal cultivation’ are beneficial to the sector.
Processing capacity and investment required in the Organized sector (Grounded &
Blended Spices)

Parameter Unit Values

FY'20 Production '000 MT 185

FY'30 Production (E) '000 MT 620
Increase in production between
'000 MT 435
FY'20 & FY'30

52 https://www.researchgate.net/publication/334771417_Export_potential_of_spices_and_its_value_added_
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Parameter Unit Values

Considering 80% capacity
utilization, additional processing '000 MT 543
capacity required
Investment norm Rs. / MT 3,00,000

Total Investment required Rs. Cr. 16,304

Table 150: Processing capacity and investment required in the Organized sector
Source: Spices Board of India
Spices Board has established eight spice parks in major production centres by setting up common
infrastructure facilities for cleaning, grading, processing, packing, value addition and storage. The
parks are primarily intended to provide for quality improvement and value addition of spices and
to help the spice farmers/ farmers groups in shortening the supply chain by facilitating direct
linkage with exporters/processors.
The Spices Board will set up Spices Parks at Kota in Rajasthan and Rae Barely in UP. The Board
has already set up Spices Park at Chhindwara in Madhya Pradesh, Puttady in Kerala, Jodhpur in
Rajasthan, Guna in Madhya Pradesh, Sivaganga in Tamil Nadu and Guntur in Andhra Pradesh.
The Rajasthan government has allotted 30 acres at Ramganj Mandi in Kota free of cost to the
Board for the purpose. The Park is meant for processing and value addition of seed spices,
especially for coriander and cumin. The Board had allotted 14 acres to 12 spices exporters for
developing their own processing units. The UP government has allotted 11 acres. It will produce
mint and mint products.
Select ongoing and upcoming projects in Indian Grounded & Blended Spices sector5

Company Project
SL # Project Name Project Type Cost (Rs. Cr.)
Name Location
Spices
Om Oil & Flour Cuttack,
1 (Ramdaspur) New Unit 100
Mills Ltd. Odisha
Project
Spices (Walkhed)
Jain Irrigation Nashik, Capacity
2 Project - 40
Systems Ltd. Maharashtra Expansion
Expansion
Nizamabad
Government Of Nizamabad,
3 Turmeric Spice New Unit 31
Telangana Telangana
Park Project
Food Byadagi Spice Haveri,
4 New Unit 29
Karnataka Ltd. Park Project Karnataka
Telangana
Spices Processing
State Spice Ranga Reddy,
5 (Doolapally) New Unit 26
Processing Telangana
Project
Unit

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Company Project
SL # Project Name Project Type Cost (Rs. Cr.)
Name Location
Eastern Lucknow Spices
Lucknow,
6 Condiments and Condiments New Unit 20
Uttar Pradesh
Pvt. Ltd. Plant Project
Kerala
Industrial Thodupuzha
7 Infrastructure Spices Processing Idukki, Kerala New Unit 20
Devp. Corpn. Cluster Project
Ltd.
Spices Board Spices Park Rae Bareilly,
8 New Unit 19
of India (Sadar) Uttar Pradesh
Lama Bear Spice Oil
Madhura,
9 Organic (Madhura) New Unit 19
Bihar
Extract Ltd. Project
Dharwad Spices
Eastern
and Condiments Dharwad,
10 Condiments New Unit 15
Plant (Phase 1) Karnataka
Pvt. Ltd.
Project
Spices Exporters
Spices Board Entrepreneurship Bangalore,
11 New Unit 9
of India Facility Karnataka
(Banglore)
Spices
Lenyadri (Pimpalgaon Nashik, Capacity
12 5
Masale Baswant) Project Maharashtra Expansion
- Expansion

Table 151: Select ongoing and upcoming projects in Indian Grounded & Blended Spices sector
Source: CMIE & Projects Today
FY'20 employment estimation in Grounded & Blended Spices industry in India (Organized
Sector)

Annual
Average Total No. of
Company Production Production Production/
no. of Employees in
Category Share* ('000 MT) Employee
Employees Processing
(MT)
Large
1,350 10,800 30% 56 5.1
Enterprises
Medium
180 9,900 24% 44 4.5
Enterprises
Small
35 12,250 29% 54 4.4
Enterprises
Micro
12 7,800 17% 31 4.0
Enterprises

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Annual
Average Total No. of
Company Production Production Production/
no. of Employees in
Category Share* ('000 MT) Employee
Employees Processing
(MT)
Total 40,750 185 4.5

Table 152: FY'20 employment estimation in Grounded & Blended Spices industry in India (Organized Sector)
*Discussion with the Spice Processors and SMEs
Note: Large Enterprises are pan India players that process various types of blended masala categories with
overall revenue of > Rs. 250 Cr. Medium-Sized Enterprises are predominantly regional manufacturers with
revenue of Rs. 50 Cr - 250 Cr. Small enterprises primarily process Pure & Traditional Spices, Meat Masala and
Ready to Prepare Masalas. many Small enterprises also take up contract manufacturing jobs from the large
enterprises. Revenue range for this category is Rs. 5 Cr. - 50 Cr. Micro enterprises are into blending or
processing of primarily Traditional Spices with revenue of < Rs. 5 Cr.

Future employment projection in Grounded & Blended Spices industry in India (Organized
Sector)

Annual FY'20 - FY'30

FY'30 share FY'30 FY'30 Total
Company Production/ Employment
in Production Employee
Category Employee Generation
Production* ('000 MT) Estimation
(MT)# potential
Large
186 5.4 34,471 23,671
Enterprises 30%
Medium
149 4.5 33,178 23,278
Enterprises 24%
Small
180 4.4 41,054 28,804
Enterprises 29%
Micro
105 4.0 26,141 18,341
Enterprises 17%
Total 620 4.6 134,844 94,094

Table 153: Future employment projection in Grounded & Blended Spices industry in India
*As per discussion with the Spice Processors and SMEs, contribution of various types of companies in the
Grounded & Blended Spices industry will remain same over next 10 years
# Based on discussions with equipment manufacturers, processing companies, industry experts and SMEs,
large and some of the medium and small enterprises will adopt automation / industry 4.0 in the coming years.
As per equipment manufacturers, this may lead to 5% improve in the productivity for large enterprises and
2% improvement in the productivity of the employees in medium and small enterprises. It is estimated that
micro enterprises likely to have current productivity level in future as well. The same has been considered for
calculating future employment generation potential.

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Share of FY'20 - FY'30 Employment Generation potential Break by Different Category

Permanent Vs Contractual Employees Share by Managerial Level

(Base: 94,094) (Base: 94,094)

Top Management
3%

Middle
Permanent Management
35% Operator-Level 7%
Employees
Contractual 80%
65%
Lower
Management /
supervisory
10%

Share of Operator-Level Employees Share of Permanent Employees by Education

(Base: 75,275) (Base: 32,933)

Loader / Helpers, PG
Less than
Unloader Production 3%
Schooling
9% Support &
Pre-Processing 55%
Others UG
13% 19% 9%

Diploma /
Supervisor
ITI
9% Grinding 5%
Machine
Operators
Filler Machine / 25%
Packing Schooling Vocational
Technician 20% Training
25% 8%

Figure 178: Share of FY'20 - FY'30 Employment Generation potential: By Different Category

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Share by NSQF (Base=94,094 Employees)

Level 7 (Sr Mgmt)
3%
Level 5&6 (Low + mid
Mgmt)
Level 2&3
24%
33%

Level 4 (Operator/
Supervisor)
40%

Figure 179: Share of FY'20 - FY'30 Employment Generation potential: By NSQF levels
Source: Feedback Analysis

State wise Employment Generation Potential (Base: 94,094 Employees)

Kerala 11,163
Maharashtra 8,711
Karnataka 7,615
Gujarat 6,996
Haryana 6,850
Rajasthan 6,636
Madhya Pradesh 6,533
Telangana 6,483
Tamil Nadu 5,706
Andhra Pradesh 5,603
Uttar Pradesh 4,781
Punjab 4,497
West Bengal 3,715
Assam 3,012
Bihar 1,009
Others 4,786

Figure 180: State wise Employment Generation Potential

Source: Feedback Analysis
Top 15 states account to 95% of total employment in the industry

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15.7 Existing & Emerging Prominent Job Roles Which Requires

Skilling
The following table outlines the specific existing and emerging prominent job roles that will
create employment opportunities in spices Processing Sub-sector in future:

Major Category of Enterprises

NSQF Key Activities & for Emerging Job Role
Job Role Brief Description
Level Knowledge Required Micro Smal Mediu Large
l m
A Helper / Floor Cleaner /
Loader & Unloader must
be able to:

A Helper / Floor  Load and unload

Cleaner / Loader supplies.
& Unloader is  Maintain cleanliness in
responsible for the processing and
carrying out storage area.
various labor-
intensive  Store the supplies
Helper / appropriately.
activities such as
Floor
loading/unloadin  Pack the products as per
Cleaner / 3    
g and storing the the packaging standards
Loader &
supplies; packing when required.
Unloader
products;
maintaining the A Helper / Floor Cleaner
storage area / Loader & Unloader
along with other must know and
relevant understand:
activities under  Applicable food safety
supervision. and hygiene standards.
 Appropriate handling of
food supplies and
products.
A Grader & Sorter must be
able to:
A Grader &  Load and unload
Sorter is supplies
responsible for
carrying out  Maintain cleanliness in
various labor- the work area and
Grader & storage area
3 intensive    
Sorter
activities such as  Store the supplies
grading and appropriately
storing the
supplies under  Pack the products as per
supervision. the packaging standards
A Grader & Sorter must
know and understand:
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Major Category of Enterprises

NSQF Key Activities & for Emerging Job Role
Job Role Brief Description
Level Knowledge Required Micro Smal Mediu Large
l m
 Applicable food safety
and hygiene standards
 Appropriate handling of
food supplies and
products
A Grinding & Blending
Machine Operator must
be able to:
 Prepare the work area
A Grinding &
and machineries for
Blending
processing spices
Machine
Operator is  Operate the spice
responsible for processing machineries
preparing and
 Perform general
operating
Grinding & maintenance of the
processing
Blending machineries
4 machineries such    
Machine
as spice grinder, A Grinding & Blending
Operator
spice pulveriser Machine Operator must
etc. The person is know and understand:
also responsible
 Use of different types of
for the general
machineries used in
maintenance of
spice processing plant
various
such as spice grinder,
machineries.
spice pulveriser etc.
 How to perform general
maintenance of the
machineries
A Pouch
A Pouch Packaging
Packaging
Machine Operator must
Machine
be able to:
Operator is
responsible for  Maintain cleanliness in
Pouch preparing the the work area
Packaging work area and
4  Prepare filling and    
Machine packaging
sealing equipment
Operator machineries;
operating the  Operate and maintain
packaging the Pouch Packaging
machineries and machine along with
performing filling and sealing
general equipment
maintenance of

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Major Category of Enterprises

NSQF Key Activities & for Emerging Job Role
Job Role Brief Description
Level Knowledge Required Micro Smal Mediu Large
l m
the packaging A Pouch Packaging
machineries. Machine Operator must
know and understand:
 Use of different types of
equipment used for
packaging spices
 General maintenance of
various packaging
equipment
A Spice Plant Supervisor
must be able to:
 Assign tasks to the
processing unit workers
 Check work progress to
ensure timely
completion
 Identify and resolve
A Spice Plant work related problems
Supervisor is
responsible for  Manage and train
monitoring the workers
daily operations  Monitor and check
of the plant and equipment and system
Spice Plant
5 ensuring that for the correct    
Supervisor
work is carried functioning
out in an
effective and  Supervise the repair and
timely manner by maintenance activities
allocating tasks A Spice Plant Supervisor
to workers. must know and
understand:
 Effective supervision
practices to ensure
timely completion of
tasks
 Complete domain
knowledge across
functions

Conduct A Food Laboratory

Food standardized Assistant must be able to:
Laboratory 5 tests on food,  
 Test the raw materials
Assistant beverages, and finished products to
additives, or ensure compliance with
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Major Category of Enterprises

NSQF Key Activities & for Emerging Job Role
Job Role Brief Description
Level Knowledge Required Micro Smal Mediu Large
l m
preservatives to standards and
ensure regulations and
compliance with adherence to the
standards and organization’s food
regulations safety and hygiene
regarding factors policy.
such as color,
 Analyze test results to
texture, or
classify products or
nutrients. Test
compare results with
quality of
standard tables.
materials or
finished  Perform regular
products. maintenance of
laboratory equipment by
inspecting calibrating,
cleaning, or sterilizing.
 Examine chemical or
biological samples to
identify cell structures
or to locate bacteria or
extraneous material,
using a microscope.
A Food Laboratory
Assistant must know and
understand:
 Applicable food safety
and hygiene standards.
 Record research or
operational data
A Food Safety &
A Food Safety & Hygiene
Hygiene Manager
Manager must be able to:
is responsible for
implementing the  Ensure adherence to the
food safety organization’s food
policies and safety and hygiene
Food Safety standards in the policy.
& Hygiene 6 food processing    
 Train the processing
Manager plant. The
plant employees on the
individual is also
use of relevant systems.
responsible for
training other  Ensure maintenance of
employees; the record of operations
maintaining and review them
documentation; periodically.
ensuring that
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Major Category of Enterprises

NSQF Key Activities & for Emerging Job Role
Job Role Brief Description
Level Knowledge Required Micro Smal Mediu Large
l m
products meet  Manage supplier
the applicable relationships.
quality Conduct safety audits.
standards;
A Food Safety & Hygiene
educating
Manager must know and
suppliers; and
understand:
conducting safety
audits.  Applicable food safety
and hygiene standards.
 Record maintenance and
review procedures.
 Supplier management.
 Safety audit procedures.
A Steam Sterilisation
A Stream Machine Operator must
Sterilisation be able to:
Machine
Operator is  Prepare the food stream
responsible for sterilisation machine/
preparing the autoclave for use
machine for use Load food items in the
and operating it food stream sterilisation
for sterilising machine/ autoclave for
food items. The sterilization
individual  Monitor and maintain
regulates the the recommended steam
Steam steam pressure pressure and
Sterilisation and temperature temperature during the
4   
Machine during the sterilisation process
Operator sterilisation Pack the sterilised food
process. The items in appropriate
person also packing material such as
packs the cans, glass, jars,
sterilised food protecting it from
items and carries contamination
out regular
repair and  Carry out regular repair
maintenance of and maintenance of food
the food stream stream sterilisation
sterilisation machine/ autoclave
machine/ Follow the applicable
autoclave. food hygiene, and health
and safety standards

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Major Category of Enterprises

NSQF Key Activities & for Emerging Job Role
Job Role Brief Description
Level Knowledge Required Micro Smal Mediu Large
l m
A Steam Sterilisation
Machine Operator must
know and understand:
 How to calibrate the
food stream sterilisation
machine/ autoclave for
use
 How to operate the food
stream sterilisation
machine/ autoclave
Relevant temperature
and pressure to
maintained during food
sterilisation process
 How to carry out regular
repair and maintenance
of food sterilisation
machine/ autoclave
Applicable food hygiene,
and health and safety
standards
A Cryogenic
Grinding
A Cryogenic Grinding
Machine
Machine Operator must
Operator is
be able to:
responsible for
setting up the  Calibrate the cryogenic
machine for use grinding machine for use
and operating it according to the food
to carry out items to be ground
cryomilling or Load food items in the
Cryogenic freezer milling as cryogenic grinding for
Grinding per the cryomilling or freezer
4 requirement. The milling  
Machine
Operator individual
 Monitor and regulate the
monitors and
relevant machine
maintains the
parameters during the
relevant machine
grinding process
parameters
during its  Check the quality of
operation to ground food items to
ensure ensure compliance with
compliance with the applicable quality
the applicable parameters
quality standards
with respect to
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Major Category of Enterprises

NSQF Key Activities & for Emerging Job Role
Job Role Brief Description
Level Knowledge Required Micro Smal Mediu Large
l m
the quality of  Pack the ground food
ground food items in appropriate
items. The packing material
person also and
 Carry out regular repair
carries out
and maintenance of
regular repair
cryogenic grinding
and maintenance
machine
of the cryogenic
grinding  Follow the applicable
machine. food hygiene, and health
and safety standards
A Cryogenic Grinding
Machine Operator must
know and understand:
 Applicable food hygiene,
and health and safety
standards
 How to prepare a
cryogenic grinding
machine for use and
operate it to carry out
cryomilling or freezer
milling
 Relevant machine
parameters to be
monitored and
maintained during the
grinding process
 How to carry out regular
repair and maintenance
of cryogenic grinding
machine

Table 154: Existing and emerging prominent job roles which will require skilling

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Skill Sets required across multiple levels in the sector

Figure 181: Skill Sets required across multiple levels in the sector

15.8 Expectations from the Industry Stakeholders

Technology Increases the Productivity & Manpower

 There is a tremendous scope for increase in skilled manpower considering the

developments in Indian market. The developments are in terms of technology which has
increased the productivity which in turn increase the scope for increase in manpower.
 Industry 4.0 gives the results based on various sensors installed in the system related to
productivity per shift; idle machine time and idle manpower; etc. which would allow
companies to take corrective measure to increase the productivity. Higher the
productivity, more the manpower required.
 Currently the plant automation and advanced technology are being implemented by the
large companies. Certain incentives for small and medium enterprises will definitely
boost the implementation for the benefit of the industry.

Inclusion of curriculum / specialization on spice processing among Formal Education

 Among formal education, there are no specialization for spices and also there are no
curriculum focused on spice processing.
 Processing companies are willing to assist institutes for framing curriculum. The key
expectations among these companies are to identify the institutes in major states like
Kerala to introduce such programs or specializations.

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Visibility of In-formal Training Institutes offering Training Programs for Spice Industry

 As of now, spice processing technician is the only QP offered by FICSI which is specific to
Spice Industry. The challenge here in the sector is the limited awareness of such program
offering or the institutes offering spice processing technician and related vocational
training programs
 There should be an effort to showcases the training being offered for the sector and more
such institutes to be operated across key states / clusters.

Higher Emphasis on Food Safety & Hygiene Related Programs

 Prospective workers also need to be trained on how to handle these spices and the steps
involved in food processing
 The food safety may be the first and foremost concept for the Government to give training
to each and every person.
 It becomes extremely important to sensitize employees on the importance of maintaining
stringent hygiene standards. This is one area where the government needs to lay a lot of
emphasis on across food processing sectors.

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Chapter 16: Sub-Sectoral Analysis -

Cold Chain
16.1 Market summary
Cold chains impart storage and distribution services for products that must be maintained at a
given temperature. The cold chain comprises of the following 3 segments - First-mile Equipment
(Pack houses for F&V, Bulk Milk Coolers for Dairy, etc.), Cold Storages (Warehouses / Distribution
Centre / Tertiary Cold Rooms) & refrigerated Transportation (First mile vehicle, Intercity long
distance, Intracity small vehicle multi-point deliveries). The refrigerated transportation system
is still in the nascent stage in India. Cold Storage is an enabling sector and requirement of Cold
Storage will depend on growth of some of the key Processing sectors such as Dairy, Fruits &
Vegetables, Meat & Poultry, RTE/RTC and Fish & Sea Foods. EXIM-focused commodities occupy
65-70% of cold storage across the country. This is due to stringent quality requirements in the
countries they are exported to, which necessitates temperature-controlled storages and use of
reefers across the value chain. It is also estimated that the average capacity utilization in cold
storage is around 75% - showing sustainability of the cold chain business in India.
Key Industry Indicators Details
Cold Storage Requirement (‘000 MT) (FY’ 20) 33,059
No. of units (Cold storage, Pack houses & Refer
7,600
trucks)
Past Growth rate (CAGR) (FY’ 15 – FY’ 20) 3%
Total Number of Employees (FY’ 20) 2,24,300 nos.
Expected Cold Storage Requirement (‘000 MT)
105,222
FY’ 2030

Future growth rate (FY’ 20 – FY’ 30) 7%

Total Employee Estimation (FY’ 30) 296,038 nos.
Overall Employment Additions (FY’ 20 – FY’ 30) 71,738 nos.
Table 155: Cold Chain : Key Industry Indicators

16.2 Present State of the Industry & Future Outlook

Cold chains impart storage and distribution services for products that have to be maintained at a
given temperature. India is currently the world’s largest producer of milk, the second-largest
producer of fruits and vegetables and has a substantial production of marine, meat and poultry
products.
Most of these products are temperature sensitive and require specific temperature ranges to be
stored and transported. This has resulted in the establishment of a very large cold chain
infrastructure in the country.
The cold chain comprises of the following 3 segments

1. First-mile Equipment (Pack houses for F&V, Bulk Milk Coolers for Dairy, etc.)

2. Cold Storages (Warehouses / Distribution Centre / Tertiary Cold Rooms)

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3. Refrigerated Transportation (First mile vehicle, Intercity long distance, Intracity small
vehicle multi-point deliveries)
Key Cold Chain Service Providers

North

South

East

West

Central

North
East

Figure 182: Key Cold Chain Service Providers

Universe Estimation
Estimated No. of Cold Chain Service Providers
The cold chain industry comprises around 7,500 – 8,000 companies across categories.
Around 30% of these companies are in Uttar Pradesh, followed by 12% in Gujarat. Punjab and
Maharashtra accounts for 9% and 8% respectively. Together these top 4 states account for 57%
of companies
Other prominent states are West Bengal, Haryana and Karnataka.

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First-Mile Equipment
There are different First-Mile Equipment used across sub-sectors. Major sub-sectors where the
first mile equipment required are Dairy, F&V, Meat & Poultry Processing and Fish & Seafood
Processing

Sub-Sector First-Mile Equipment No. of Equipment

 It is estimated that Installed base of
Dairy Products Bulk Milk Coolers53 the BMCs in India could be around
50,000 – 52,000
 207 APEDA approved active
packhouses (as of January 2021)
 72% of the APEDA approved
packhouses are located in
Fruits & Vegetable Pack Houses54
Maharashtra
 Apart from APEDA approved
packhouses, there are another 200
packhouses in the Private Sector
Meat & Poultry Meat Cooler Box  Highly unorganized
Isolated Insulated Box
Fish & Seafood  Highly unorganized
(Ice Box)
Table 156: First-Mile Equipment used across sub-sectors
Cold Storages
The top 8 states (UP, WB, Gujarat, Punjab, AP & Telangana, Bihar, MP & Maharashtra) holds 86%
of the total capacity and 76% in terms of the number of cold storages. Around 40% of the cold
storages have a capacity below 1000 metric tonnes

53 Feedback BOK & Primary Research

54 APEDA
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Cold storage capacity: 37.4 MMT Number of cold storages: 8,18655

Uttar Pradesh Uttar Pradesh

West Bengal West Bengal

14%
Gujarat Gujarat
24%
29%
3% Punjab Punjab
4% 39% AP & Telangana AP & Telangana
4%
Bihar Bihar
4% 8%
Madhya Pradesh Madhya Pradesh
6% 6%
Maharashtra 4% Maharashtra
4%
10% 16% Others 5% 8% 12% Others

Figure 183: Cold storage capacity : By State

Figure 184: Number of cold storages: By State
Ownership of cold storages (No. of cold Potato Vs Other Products (No. of cold
storages: 8,186) storages: 8,186)

Other
Products
Cooperati
32%
ves
3%
Private
Sector Potato
Public
95% Storage
Sector
Undertaki (Single
ngs Commodit
2% y)
68%

Figure 185: Number of cold storages: By Ownership

Figure 186: Number of cold storages: By Potato Vs. Other products
Apart from potato, the multi commodity cold storages cater to meat & poultry, seafood, dairy
products, fruits & vegetables and pharmaceuticals.
EXIM-focused commodities occupy 65-70% of cold storage across the country. This is due to
stringent quality requirements in the countries they are exported to, which necessitates
temperature-controlled storages and use of reefers across the value chain.
It is also estimated that the average capacity utilization in cold storage is around 75% - showing
sustainability of the cold chain business in India.

https://agritimes.co.in/horticulture/india-has-8186-cold-storages-facilities-with-a-capacity-of-37-42-
55

million-tonnes
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Geographies for Cold Chain Interventions in India

Figure 187: Geographies for Cold Chain Interventions in India

Cold Chain Clusters in India

Punjab
Haryana

Uttar
Pradesh
Bihar

Gujarat Madhya
Pradesh West Bengal

Maharashtra

Andhra Pradesh

Karnataka

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Figure 188: Cold Chain Clusters in India

Top 10 states account to 83% of total employment in the Cold Chain industry
Historical growth in Cold Storage installed base in India

Addition in Addition in
Capacity No. of Cold Cold Storage no. of Cold
Year
('MMT) storages capacity in Storages in
India (MMT) India
FY'15 31.82 7,000
FY'16 34.05 7,395 2.23 395
FY'17 34.67 7,543 0.62 148
FY'18 36.22 7,916 1.55 373
FY'19 37.26 8,154 1.04 238
FY'20 37.40 8,186 0.14 32

Table 157: Historical growth in Cold Storage installed base in India

Refrigerated Transportation
The refrigerated transportation system is still in the nascent stage in India. Refrigerated
transportation includes of First mile vehicle, Intercity long distance and Intracity small vehicle
multi-point deliveries. Around 300 players are operating with 18,000 reefer vehicles in India56.
Around 25 – 30 players are national players while the rest of the players are unorganized regional
players.

Mode of Refrigerated Transportation

Major Products Manufacturer to
Warehouse to Distributor / Seller
Warehouse
Milk PUF Vehicles Insulated Vans
Butter, cheese, curd, cream,
Reefer Vehicles Reefer, insulated containers, insulated vans
chocolates
Reefer vehicles, shipper boxes, freezer on
Ice cream and fast food Reefer Vehicles
wheel
Frozen meat, seafood,
processed meat, and poultry Reefer Vehicles Reefer vehicles, AC vehicles, shipper boxes
& processed vegetables
Fruits, vegetables & Limited Usage of Reefer Vehicles and other
Reefer Vehicles
horticulture relevant infrastructures
Table 158: Mode of Refrigerated Transportation
Refrigerated Transportation can be anywhere between 3 hours to 7 days. While duration for Long
Haul Vehicles (Inter City) can be between 4 days and 7 days, the Short Haul Vehicles (Inter City)
transportation is around 12 hours to 24 Hours. Intracity small vehicle with multi-point deliveries
transportation can be between 3 hours and 6 hours

56 Sources: Primary Research with the Refrigerated Transportation Service Providers

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Current installed base for Pack Houses and Reefer Trucks in India

Year FY'20 Installed Base (Nos.)

Pack Houses 400
Reefer Trucks 18,000

Table 159: Current installed base for Pack Houses and Reefer Trucks in India
Note: out of 400 Pack Houses, 205 are registered with APEDA and the remaining Pack Houses are operated by
Private players.

16.3 Present Employment Scenario & Analysis

16.3.1 Sample Coverage by Categories of Companies & Region

Sample
Category of the Company East North West South
Coverage (N)

Micro Enterprises 73 7% 45% 21% 27%

Small Enterprises 67 12% 37% 24% 27%

Medium Enterprises 16 38% - 13% 50%

Large Enterprises 15 20% 33% 27% 20%

Total 171 12% 37% 22% 29%

Table 160: Sample Coverage by Categories of Companies & Region

16.3.2 Total No. of Employees
Past Trend of employment in the Cold Chain Industry

224,300
219,500

213,000

206,000
200,850
195,000

FY'15 FY'16 FY'17 FY'18 FY'19 FY'20

Total No. of Employees

Figure 189: Past Trend of employment in the Cold Chain Industry

Source: Feedback Analysis

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Share of Employees (FY’ 20) Break by Different Category (Organized Segment)

Permanent Vs Contractual Employees (Base:

Share by Managerial Level (Base: 2,24,300)
2,24,300)
Top
Managem
ent
3%

Permanent Middle
34% Managem
ent
Operator-Level 6%
Contractual Employees
66% 83%

Lower
Management /
supervisory
8%

Share of Operator-Level Employees (Base: Share of Permanent Employees by Education

1,86,169) (Base: 76,262)

R&D PG
Production
1% 3%
Support, UG
Technicians, Maintenance 9%
Machine Operator 16% QC
& Others 2% Less than
25% Schooling
55% Diploma /
Packaging ITI
Drivers 15% 3%
8%

Supervisor Schooling Vocational

Loader /
Helpers 11% 21% Training
Unloader
11% 9%
11%

Figure 190: Share of Employees (FY’20): By Different Category

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Share by NSQF (Base=224,300 Employees)

Level 7 (Sr Mgmt)

3%
Level 5&6 (Low + mid
Mgmt)
23%
Level 2&3
39%

Level 4 (Operator/
Supervisor)
35%

Figure 191: Share of Employees (FY’20): By NSQF levels

FY 20: State wise Employees in the industry (Base: 224,300 Employees)

Uttar Pradesh 65,958

Gujarat 26,564
Punjab 19,107
Maharashtra 16,969
West Bengal 14,091
Andhra Pradesh 11,103
Haryana 9,842
Bihar 8,526
Madhya Pradesh 8,279
Karnataka 6,113
Kerala 5,455
Tamil Nadu 5,017
Rajasthan 4,934
Odisha 4,907
Chattisgarh 2,714
Others 14,721

Figure 192: State wise Employees in the Industry (FY’20)

Source: Feedback Analysis

Top 15 states account to 93% of total employment in the industry

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Current Key Job Roles & Responsibilities (at Operator-level employees’ category)

Sr. Job Profile / Key NSQF Applicable Type of Enterprises

Job Roles
No. Responsibilities Level Micro Small Medium Large

Monitoring overall
operation and managing
1 Supervisor 5    
manpower at operations
Transport Scheduler
Operating relevant
machines at cold storages.
Machine
2 Maintaining the right 4    
Operator
temperature based on
product stored.
Loading & Unloading
Loader /
3 products in Warehouse / 3   
Unloader
Vehicles
4 Drivers Vehicle driving 4  
Misc. work including
Loading / Unloading /
5 Helpers 3    
Cleaning Vehicles,
Machinery, etc.
6 Technician Machine maintenance 4    
Packing the products
7 Packer 3   
based on specifications
Accountant / Managing accounting and
8 Invoicing day to day transaction 4   
Clerk entry in the ledger
Collection of Products
from Farmers / Co-
Field ordinating with Farmers.
9 3  
Executive Primarily Speaking to the
farmers to bring their
products to cold storages
Supporting the pre-
Production packing process (e.g.,
10 3  
Support slicing/cutting F&V;
sorting; etc.)
Table 161: Current Key Job Roles & Responsibilities (at Operator-level employees’ category)

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16.3.3 Past Growth of Employees (FY’17 – FY’20)

 <10% of the enterprises

have experienced degrowth
in their manpower in the
50%
past 3 years.

 50% have indicated that

29% their manpower has grown
marginally (up to 5%).
13%
 >40% experienced the
4% 4% growth on >5% in the past
0%
3 years
>-10% -5 to -10% -5% to 0% 0.1 to 5% 5.1 - 10% > 10%

Figure 193: Past Growth of Employees (FY’17 – FY’20)

Source: Feedback Analysis

16.3.4 Future Plans of the Companies and its Impact on the Manpower Growth
Future Plans of the Companies covered

Micro Medium Small Large

Plans

Plan to enhance the

52% 51% 62% 87%
capacity

Plan to invest on
53% 54% 69% 100%
technology

Plans to set up a new

1% 0% 6% 53%
facility

New Commodity
0% 3% 6% 0%
Addition

Increase / Introduce
0% 4% 0% 0%
Exports

Investment in R&D 0% 1% 0% 0%

Table 162: Future Plans of the Companies covered

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Manpower Recruitment Plan, Considering the Future Operational Expansion Plans

68%

Considering the future

45%
expansion plans of enterprises,
33% it is expected that the
22% 20% manpower is likely to increase
12%
by

 3% – 4% in next 3 & 5 years

3 Years 5 Years
(Average)
No Change in Manpower 0.1% - 5% 5.1% - 10%

Figure 194: Manpower Recruitment Plan, Considering the Future Operational Expansion Plans
Source: Feedback Analysis

16.4 Recruitment & Training Practice

Recruitment Practice
Walk-in is the key source of recruiting candidates across Operational level and Lower level
employees. Following are the key institutes encountered during our survey from where the
candidates / employees have got trained or graduated before joining the enterprises.

Managerial Key Institutes Encountered (Graduated Institutes of the Current

Level Employees)
 Indian Institute of Materials Management
Top  CII – Institute of Logistics
Management  National Institute of Logistics and Material Management
 Indian Institute of Logistics
 TCI Institute of Logistics
 Academy of Maritime Education & Trading
 CII – Institute of Logistics
Middle
Management  National Institute of Logistics and Material Management
 Institute of Logistics and Aviation Management
 Institutes offering programs designed by Logistics Skill Council
(Graduates)
 Institute of Good Manufacturing Practices India
Lower Level
Management  Institutes offering programs designed by Logistics Skill Council
(Diploma / Certifications)
Operator Level  No specific Institutes. As most of them are either secondary or higher
Employees secondary education (Schooling) or less than secondary schooling
Table 163: Recruitment Practice

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Training Practice
Overall ~30% of the companies we have covered as part of the sample are providing training
across levels when an employee joins the firm (On-the-Job training).
% of Companies offering training

68% 71%
81% 87%
100%

32% 29%
19% 13%

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall (N=171)

Offers Training Doesn't Offer Training

Figure 195: % of Companies offering training

Source: Feedback Analysis

Major Training Topics Covered (Encountered in Primary Interviews)

Enterprises

Enterprises

Enterprises

Enterprises
Medium
Functional
Micro

Large
Small

Training
Remarks Focus / Job
Topics
Roles

Detail the various

Operator
perishable goods
Level
Product handling requirements.
Employees &    
Handling Hygienic handling is
Lower-Level
the latest module
Employees
added to the topic

Reefer Vehicle
Temperature Operator
operations, product
Management Level
handling, temperature   
during (Drivers &
requirement for
Transportation Helpers)
different products

Training detailing
Operations overall operations, Supervisors /
 
Management manpower allocation, Managers
inspection, etc.

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Enterprises

Enterprises

Enterprises

Enterprises
Medium
Functional

Micro

Large
Small
Training
Remarks Focus / Job
Topics
Roles

Inspection of proper
segregation of goods in
the pre-cooling
Pre-Cooling Supervisors /
chamber. Examining 
Operations Managers
placement and
stacking of good for
right cooling

Supervision of Appropriate cooling

perishable methods by products,
Supervisors /
product latest technology, 
Managers
handling equipment operations,
activities etc.

Operator
Level
Maintenance checklist
Employees &
for evaporators,
Plant Lower-Level
electrical connections 
Maintenance Employees
etc. Overall SOP for
(Technicians
individual machineries
/ Machine
Operators)

Table 164: Major Training Topics Covered

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Effectiveness of Training
(Mean score On a Scale of 1 - 7 where 7 is extremely satisfied and 1 is extremely dissatisfied)

5.96 6
5.79 5.74

5.2

Micro Enterprises Small Enterprises Medium Enterprises Large Enterprises Overall

Figure 196: Effectiveness of Training

Source: Feedback Analysis

16.5 Challenges related to Skill Availability Vs Skill Gaps

Skill Acquisition Challenges
Key concerns raised by the cold chain service providers in terms of acquiring the skilled
manpower are as follows
No Specialized Programs for Cold Chain

 There are only a few programs that are offered specifically to Cold Chain at present by the
logistics skill council
o Example: Cold Chain Engineering, Reefer Vehicle Operator, Refrigeration
Equipment Maintenance, and few others

 There are no specialization courses focused only on Cold Chain. Rather, cold chain related
topics are covered as a module in logistics or food science-related programs
Not Aware of Training Institutes Offering Cold Chain Related Programs

 Poor awareness of the training institutes focusing on cold chain

 Cold Chain companies are not aware of training institutes that train operator level
employees. Even if there are training institutes for logistics that cover the cold chain, they
are clustered in select cities

 Only formal education institutes that are associated with the logistics skill council are
known among the large and medium enterprises
Operator Level Employees are not formally trained

 Operator level employees are either secondary/Higher secondary schools and also the
school dropouts. 80% of the employees are not trained and on-job training becomes
mandatory

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 During the on-the-job training, productivity per employee is largely impacted

Skill Gaps by Specific Job Roles
Following are the select key job roles and their required skills and skill gaps

Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Level Micro Small Medium Large
 Managerial
Skills
 Technical Know-
how across
functions
 Interpersonal
Skills  Ability to work with
 Leadership both the mechanical
Mid
Skills aspects of multi-
Cold Storage Management
 Domain Skills commodity storage  
Manager
(Cold Storage,  Training manpower
NSQF: 6
Temperature  Lack of leadership
Control
Equipment, etc.)
 Understanding
the technology
and adaptation
to newer
technologies
 Direct oversight
to all
freight/traffic-
related activities  Knowledge of all
 Negotiate with shipping terms and
Transportation Mid freight documentation for
Scheduler / Management forwarders and both international
  
Transport brokers for all and domestic
Management NSQF: 4 Cold Chain shipping (Incoterms
locations and other relevant
 Manage the flow documents)
of inbound and
outbound
shipments
 To develop
inventory
 Knowledge of
management
inventory
Mid systems,
management
Inventory Management maintain stock
software    
Controller levels, and
 Analysis of demand
NSQF: 4 coordinate the
and supply of multi-
logistics of
commodities
orders and
transfers.

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Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Level Micro Small Medium Large
 Overseeing cold  Gaps in
chain operations leadership/supervisi
including on skills leading to
refrigerated efficiency and
storage, monitoring issues
transportation,  Lack of technical
and data entry knowledge on multi-
operations commodity storage
Lower-Level
Shift  Technical and practice
Management
Supervisor / non-technical  Best practices w.r.t    
Supervisor Know-how material handling to
NSQF: 5
knowledge reduce wastage
 Equipment during material
operations and handling
maintenance  Gaps in core
 Manpower technical skills (e.g.,
planning operator should
 Manpower know about the
training maintenance as well)
 Knowledge on
Lower-Level transformation
Maintenance Management from analogue to  Lack of update in
   
Officer digital business technology
NSQF: 4 model
 Domain Skills
 Driving Skills
(by various
vehicle
categories)
 Lack of technical
 Vehicle
knowledge to rectify
Maintenance
the mechanical
Operator  Temperature
problems of the
Level Maintenance by
reefer vehicles
Drivers Employees multi-    
 Lack of product
commodities
understanding & the
NSQF: 4  Understanding
handling
documentation
requirements (e.g.,
and other
temperature)
relevant process
related to
interstate travel
and logistics
Operator  Prepare invoice
Clerks
Level  Compile and
(Invoicing and  Technical
Employees maintain  
other competencies
records of all
activities)
NSQF: 4 billings

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Managerial Skill Gaps by Type of

Job Roles Level & Skills Required Skill Gaps Enterprises
NSQF Level Micro Small Medium Large
 Assist
accounting team
in preparing
relevant
documents
Operator
Loading / Level  Inability to learn and
 Materials
Unloading Employees operate across    
Handling
Labors functions
NSQF: 3
 Understanding  Sanitation and
Operator the job roles in Hygienic awareness
Level various and
Helpers Employees interlinked knowledge/practice  
functions  Inability to learn and
NSQF: 3  Materials operate across
Handling functions
Table 165: Key job roles and their required skills and skill gaps

16.6 Future Projection – Sector & Employment

Requirement of Cold Storage in the country between FY'20 and FY'30 (Excluding Potato
Cold Storage)
Cold Storage is an enabling sector and requirement of Cold Storage will depend on growth of some
of the key Processing sectors such as Dairy, Fruits & Vegetables, Meat & Poultry, RTE/RTC and
Fish & Sea Foods

Poultry Fish & Sea

Sub-sector Dairy F&V RTE/RTC TOTAL
& Meat Foods
FY'20 Processing Volume
40,835 8,542 1,752 135 26 51,290
('000 MT)
% Coming under Cold
75% 15% 60% 60% 75%
Chain*
FY'20 Cold Storage
30,626 1,281 1,051 81 20 33,059
requirement ('000 MT)
FY'30 Processing Volume
1,18,292 17,500 3,925 459 101 1,40,277
('000 MT)
% Coming under Cold
80% 40% 80% 80% 80%
Chain*
FY'30 Cold Storage
94,634 7,000 3,140 367 80 1,05,222
requirement ('000 MT)
Additional Cold Storage
64,008 5,719 2,089 286 61 72,162
space required ('000 MT)
Inventory Turnover Days 5 15 21 10 21

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Poultry Fish & Sea

Sub-sector Dairy F&V RTE/RTC TOTAL
& Meat Foods
No. of 500 MT
equivalent Cold Storage 1,754 470 240 16 7 2,487
required
Table 166: Requirement of Cold Storage in the country between FY'20 and FY'30 (Excluding Potato Cold
Storage)
* Based on discussions with the processing units in the respective sectors, SMEs and Visionaries
Requirement of Reefer Trucks in the country between FY'20 and FY'30

Reefer Trucks Value Comments

Around 200 players are operating
with 18,000 reefer vehicles in India.
Of these, 25 – 30 players are
No. of Reefer Trucks in FY'20 18,000
national/Pan India players while the
rest of the players are unorganized /
regional players
Approx. No. of Reefer Trucks addition
1,500
every year for next 10 years
Estimated cumulative addition of
15,000
Reefer Trucks between FY'20 & FY'30

Table 167: Requirement of Reefer Trucks in the country between FY'20 and FY'30
Requirement of Pack Houses in the country between FY'20 and FY'30

Pack Trucks Value Comments

No. of Pack Houses in FY'20 400

Approx. No. of Pack Houses addition

50
every year for next 10 years*
Around 70% of these pack houses are
likely to established in West & South.
Estimated cumulative addition of Pack While India need minimum of around
500
Houses between FY'20 & FY'30 20,000 - 25,000 Pack Houses, it is not
being currently established to match
the demand.
Table 168: Requirement of Pack Houses in the country between FY'20 and FY'30
*Discussion with SMEs & Visionaries

Investment required for creating additional Cold Chain infrastructure in the country

Cold Storage Reefer

Parameter Pack Houses
(500 MT equiv.) Trucks
Additional infrastructure required
2,487 15,000 500
between FY'20 & FY'30 (Nos.)

Approx. Investment / Unit (Rs. Lacs) 40 25 15

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Cold Storage Reefer

Parameter Pack Houses
(500 MT equiv.) Trucks
Total Investment required (Rs. Cr.) 995 3,750 75
Grand Total (Rs. Cr.) 4,820

Table 169: Investment required for creating additional Cold Chain infrastructure in the country
Source: Feedback Body of Knowledge, SMEs etc.

Select ongoing and upcoming projects in Cold Chain sector in India

Project Project Cost (Rs.

SL # Company Name Project Name
Location Type Cr.)
Department of
Industries, Cold Storage (Haroli) Una, Himachal
1 New Unit 500
Himachal Project Pradesh
Pradesh
National Amravati Cold Chain
Amravati,
2 Collateral Mgmt. & Storage New Unit 100
Maharashtra
Services Ltd. Infrastructure Project
Mehsana Cold Chain
Mahesana,
3 Asandas & Sons Unit (Fruits and New Unit 93
Gujarat
Vegetables) Project
Snowman Cold Storage
4 NCT of Delhi Expansion 90
Logistics Ltd. Expansion Project
East Godavari Cold
Three Seasons East Godavari,
5 Chain (Marine & New Unit 86
Exim Ltd. Andhra Pradesh
Fishery) project
KLG Imports & Cold Storage (Kingal) Kinjal, Himachal
6 New Unit 70
Exports Pvt. Ltd. Project Pradesh
Kanpur Cold Chain Kanpur, Uttar
7 Spipick Foods New Unit 67
Project Pradesh
Khed (Pune) Cold
Avana Logistek Pune,
8 Storage Facility New Unit 65
Ltd. Maharashtra
Project
C R P L Infra Pvt. Deras (Sea Food Park)
9 Khorda, Odisha New Unit 62
Ltd. Cold Chain Project
Edayar Dry Chill Cold
Ernakulam,
10 Cella Space Ltd. Storage Logistic Park New Unit 60
Kerala
Project
Table 170: Select ongoing and upcoming projects in Cold Chain sector in India
Source: CMIE & Projects Today

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FY'20 employment estimation in Cold Chain industry (Including Potato Storage) in India

Parameter Cold Storages Reefer Trucks Pack Houses Total

Universe 7,000 300 300 7,600
Installed Base (Nos.) 8,186 18,000 400 26,586
FY'20 Total No. of
1,85,000 35,250 4,050 2,24,300
Employees
FY'20 Av. No. of
23 2 10
Employees / Unit

Table 171: FY'20 employment estimation in Indian Cold Chain industry (Including Potato Storage)
*Discussion with respective Cold Chain segments and SMEs

Future employment projection in Indian Cold Chain industry (Excluding Potato Storage)

500 MT equiv. Reefer

Parameter Pack Houses Total
Cold Storages Trucks
Projected Additions 2,487 15,000 500 17,987
(Nos.)
Av. No. of Employees /
15 2 10
Unit*
FY'20 - FY'30
Employment 37,300 29,375 5,063 71,738
Generation potential

Table 172: Future employment projection in Cold Chain industry (Excluding Potato Storage) in India
* As per discussion with the Cold Chain operators and SMEs, share of large and medium enterprises are likely
to increase marginally over next 10 years’ time. The same has been considered in future employment potential
calculation
# Based on discussions with equipment manufacturers and SMEs, there could be marginal adoption of
automation / industry 4.0 in the coming years. However, that will have negligible impact on the productivity
of the employees. Hence, the same productivity values have been considered for future employment generation
potential.

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Share of FY'20 - FY'30 Employment Generation potential Break by Different Category

(Organized Segment)

Permanent Vs Contractual Employees (Base:

Share by Managerial Level (Base: 71,738)
71,738)
Top
Managem
ent
3%

Middle
Permanent Managem
35% ent
4%
Contractual Operator-Level
65% Employees
85% Lower
Management /
supervisory
8%

Share of Operator-Level Employees (Base: Share of Permanent Employees by

60,977) Education (Base: 25,108)

R&D PG
Production
1% 3%
Support,
UG
Technicians,
Maintenance QC 8%
Machine Operator
15% 2%
& Others Less than
15% Schooling
Drivers 55% Diploma /
Packaging
15% ITI
15%
5%

Loader / Supervisor Schooling Vocational

Unloader Helpers 12% 20% Training
10%
15% 9%

Figure 197: Share of FY'20 - FY'30 Employment Generation potential: By Different Category

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Share by NSQF (Base=71,738 Employees)

Level 7 (Sr Mgmt)

3%
Level 5&6 (Low + mid
Mgmt)
22% Level 2&3
34%

Level 4 (Operator/
Supervisor)
41%

Figure 198: Share of FY'20 - FY'30 Employment Generation potential : By NSQF levels

State wise Employment Generation Potential (Base: 71,738 Employees)

Uttar Pradesh 21,645

Gujarat 9,922
Maharashtra 5,777
Punjab 5,136
West Bengal 4,218
Haryana 3,460
Bihar 3,271
Madhya Pradesh 2,518
Karnataka 1,978
Andhra Pradesh 1,838
Kerala 1,642
Tamil Nadu 1,619
Rajasthan 1,577
Odisha 1,536
Chattisgarh 830
Others 4,770

Figure 199: State wise Employment Generation Potential

Source: Feedback Analysis

Top 15 states account to 93% of total employment in the industry

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16.7 Existing & Emerging Prominent Job Roles Which Requires

Skilling
Following are the specific existing and emerging prominent job roles that will create employment
opportunities in Cold Chain Sub-sector in future

Major Category of Enterprises for

NSQF Key Activities & Knowledge Emerging Job Role
Job Role Brief Description
Level Required
Micro Small Medium Large
A Helper / Floor Cleaner /
Loader & Unloader must be
able to:
A Helper / Floor
Cleaner / Loader  Load and unload supplies.
& Unloader is  Maintain cleanliness in the
responsible for processing and storage
carrying out area.
various labor-
intensive  Store the supplies
Helper / appropriately.
activities such as
Floor
loading/unloadin  Pack the products as per
Cleaner / 3  
g and storing the the packaging standards
Loader &
supplies; packing when required.
Unloader
products;
maintaining the A Helper / Floor Cleaner /
storage area Loader & Unloader must
along with other know and understand:
relevant activities  Applicable food safety and
under hygiene standards.
supervision.
 Appropriate handling of
food supplies and
products.
A Cold Storage A Cold Storage Worker
Worker is must be able to:
responsible for
 Load and unload produce
carrying out
without causing damage to
various activities
it.
at a cold storage
under supervision  Maintain dry floor and
Cold
such as loading cleanliness in the cold
Storage 3    
and unloading; storage.
Worker
pre-cooling and
 Pre-cool and cool the
cooling the
produce as per
produce. The
instructions.
individual also
carries out  Follow the applicable food
sorting, grading, hygiene and safety
and slicing. standards.

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Major Category of Enterprises for

NSQF Key Activities & Knowledge Emerging Job Role
Job Role Brief Description
Level Required
Micro Small Medium Large
A Cold Storage Worker
must know and
understand:
 Safe loading and unloading
practices.
 How to maintain safety
and hygiene at the cold
storage.
 Applicable food hygiene
and safety standards.
 Applicable parameters for
sorting and grading the
relevant types of produce.
A Cold Storage &
Refrigeration Plant
Mechanic must be able to:
 Maintain the chillier, air
compressor unit, air dryer
A Cold Storage & and cooling tower.
Refrigeration  Handle the operational
Plant Mechanic is responsibility of the
responsible for chillier and air compressor
carrying out unit, chest freezers/
repair and Coolers, AC, and other
maintenance of refrigeration equipment.
Cold various
Storage refrigeration A Cold Storage &
& plant equipment Refrigeration Plant
4 Mechanic must know and   
Refrigera such as
tion Plant compressors, understand:
Mechanic refrigeration  Functioning and
piping and maintenance of different
controls, types of refrigeration
condensing and systems such as Freon,
evaporator Ammonia, and hybrid
system, cooling systems such as Ammonia
towers, water + Glycol system.
systems, etc.
 How to interpret control
and power wiring
drawings to be able to
check and rectify the
issues with various
refrigeration equipment.

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Major Category of Enterprises for

NSQF Key Activities & Knowledge Emerging Job Role
Job Role Brief Description
Level Required
Micro Small Medium Large
A Material Handling
Equipment Operator must
be able to:
 Operate forklift, reach
trucks, pallet truck, etc.
 Unload inbound
shipments safely and
move product to storage
locations.
 Stack and store the
merchandise efficiently.

A Material  Prepare product for

Handling shipping, ensuring that the
Equipment exact number and type of
Material Operator uses a product is loaded and
Handling variety of shipped.
Equipme 4 equipment such  Check that inbound and   
nt as forklift, reach outbound shipments are
Operator trucks and pallet accurate and free of
trucks for damage.
handling a variety
of material.  Carry out standard
maintenance of the
material handling
equipment.
A Material Handling
Equipment Operator must
know and understand:
 Procedure for safe
handling of a variety of
materials.
 Basic inventory
management and book-
keeping practices.
A Reefer Truck
Driver is A Reefer Truck Driver must
responsible for be able to:
transporting a  Operate reefer truck
Reefer variety of safely.
Truck 4 perishable food  
Driver items under  Handle variety of food
controlled items appropriately.
temperature. The  Monitor and regulate
individual is temperature according to
required to
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Major Category of Enterprises for

NSQF Key Activities & Knowledge Emerging Job Role
Job Role Brief Description
Level Required
Micro Small Medium Large
regulate the the food item being
temperature transported.
according to the
 Maintain the reefer truck
food item being
and its cleanliness.
transported to
maintain its  Ensure correct functioning
quality. of the cooling unit.
A Reefer Truck Driver
must know and
understand:
 How to operate and
maintain a reefer truck.
 Appropriate temperature
to maintain during transit
for a variety of perishable
food items.
 Applicable health and
safety standards.
A Cold Storage Supervisor
must be able to:
 Supervise and direct a
team of Cold storage unit
A Cold Storage workers including
Supervisor is training, planning daily
responsible for operations, and allocating
supervising and work.
coordinating the
 Inspect the cold storage
activities of cold
systems, temperature
storage plant
control and products
workers. The
Cold stored to ensure correct
individual is also
Storage functioning and adherence
5 responsible for    
Supervis to the applicable
monitoring and
or standards.
ensuring effective
utilization of  Coordinate with relevant
storage space agencies or vendors for
based on type of the repair and
commodities or maintenance activities
products stored when required.
at the cold
A Cold Storage Supervisor
storages.
must know and
understand:
 Functioning of different
types of refrigeration
systems such as Ammonia
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Major Category of Enterprises for

NSQF Key Activities & Knowledge Emerging Job Role
Job Role Brief Description
Level Required
Micro Small Medium Large
or Hydrocarbon based
refrigeration systems.
 Temperature required for
individual commodity
being stored at the facility.
 Effective team
management practices.
Applicable health and
safety standards.
A Food Laboratory
Assistant must be able to:
 Test the raw materials and
finished products to
ensure compliance with
standards and regulations
and adherence to the
organization’s food safety
Conduct and hygiene policy.
standardized  Analyze test results to
tests on food, classify products or
beverages, compare results with
additives, or standard tables.
preservatives to
ensure  Perform regular
Food maintenance of laboratory
compliance with
Laborato equipment by inspecting
5 standards and  
ry calibrating, cleaning, or
regulations
Assistant sterilizing.
regarding factors
such as color,  Examine chemical or
texture, or biological samples to
nutrients. Test identify cell structures or
quality of to locate bacteria or
materials or extraneous material, using
finished products. a microscope.
A Food Laboratory
Assistant must know and
understand:
 Applicable food safety and
hygiene standards.
 Record research or
operational data
A Food Safety & A Food Safety & Hygiene
Food 6    
Hygiene Manager Manager must be able to:
Safety &
is responsible for
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Major Category of Enterprises for

NSQF Key Activities & Knowledge Emerging Job Role
Job Role Brief Description
Level Required
Micro Small Medium Large
Hygiene implementing the  Ensure adherence to the
Manager food safety organization’s food safety
policies and and hygiene policy.
standards in the
 Train the processing plant
food processing
employees on the use of
plant. The
relevant systems.
individual is also
responsible for  Ensure maintenance of the
training other record of operations and
employees; review them periodically.
maintaining
documentation;  Manage supplier
ensuring that relationships.
products meet the Conduct safety audits.
applicable quality A Food Safety & Hygiene
standards; Manager must know and
educating understand:
suppliers; and
 Applicable food safety and
conducting safety
hygiene standards.
audits.
 Record maintenance and
review procedures.
 Supplier management.
 Safety audit procedures.

Table 173: Existing and emerging prominent job roles that will create employment opportunities

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Skill Sets required across multiple levels in the sector

Figure 200: Skill Sets required across multiple levels in the sector

16.8 Expectations from the Industry Stakeholders

Institutes offer a wide variety of courses, which includes undergraduate, postgraduate, diploma
and certificate courses in areas, such as supply chain management, warehousing and
transportation that includes a module on Cold Chain.

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Need for Specialized Training Institutes Focusing Cold Chain

 Specialized training institutes that cater to the needs of the Cold Chain industry should be
developed and focused on skilling of manpower.

 Current infrastructure covers overall Logistics and Warehouse skill development and not
specialized programs for Cold Chain requirements in detail.

Collaboration with Equipment Manufactures and Cold Chain Industries

 Technical courses like refrigeration plant operator, mechanics and new development
technologies should be addressed with the combined efforts with the equipment
manufacturers and the Cold Chain industry

 Curriculum should be co-created with the recommendation from the cold chain service
providers, equipment suppliers and other stakeholders
Creation of Training Infrastructure Focusing Tier-II cities along with Tier I cities

 Industry is expecting the creation of regional training infrastructure covering Tier I and
Tier-II cities.

 Cold chain infrastructure is being created in tier II cities and the training institutes growth
to be correlated with it

Offering Sandwich Courses

 Offering certification or diploma programs at the lower level where the course involving
practical work experience in addition to academic study
o Example: If an institute offers 1 year program, it can be 6-month classroom
training and 6 months practical training or internship with the large and medium
cold chain service providers.

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Chapter 17: Skill Needs for the

Unregistered units that can be
considered for the PMFME scheme
The focus of the study was not specific to the unregistered segment, however based on the inputs
from the industry and the experts from each segment, we have listed the key job roles for all the
sectors of interest for the unregistered units in each sector in the below sections.

This section covers the details on the job roles that can be potentially considered for the
unregistered units when they formalise, and which can be offered as part of the PMFME scheme.
These job roles have been selected based on our interviews with the industry veterans and the
SMEs.

17.1 BREAD & BAKERY PRODUCTS

The job roles that could be potentially considered have been mentioned in the table below:

NSQF
Job Role Brief Description Key Activities & Knowledge Required
Level

A Helper / Floor Cleaner / Loader &

Unloader must be able to:

A Helper / Floor Cleaner /  Load and unload supplies.

Loader & Unloader is  Maintain cleanliness in the processing
responsible for carrying out and storage area.
Helper / Floor various labor-intensive  Store the supplies appropriately.
Cleaner / activities such as  Pack the products as per the packaging
3 standards when required.
Loader & loading/unloading and storing
Unloader the supplies; packing products; A Helper / Floor Cleaner / Loader &
maintaining the storage area Unloader must know and understand:
along with other relevant
activities under supervision.  Applicable food safety and hygiene
standards.
 Appropriate handling of food supplies
and products.
An Oven Operator is An Over Operator must be able to:
responsible for operating
Oven Operator bakery industrial ovens at  Load and unload the oven with the
or Baking commercial establishments. bakery products.
4
Equipment The individual is also  Monitor gauges, dials, or other indicators
Operator responsible for carrying out to ensure oven works as expected.
minor repair and maintenance  Regulate the oven temperature according
of the oven. to the product being baked.

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NSQF
Job Role Brief Description Key Activities & Knowledge Required
Level

 Alter the position of baking trays in the

oven during the baking process for the
optimum heat distribution.
An Over Operator must know and
understand:
 How to operate a variety of industrial
bakery ovens.
 Appropriate temperature required for
baking a variety of bakery products.
 How to perform general troubleshooting
of a variety of industrial bakery ovens.
A Bread Slicer Operator must be able to:
 Operate the slice machine with ease and
to slice the with uniform size.
 Clean the slicer machine frequently to
avoid any damage due to crumbs.
A Bread Slicer Operator is  Handle the sliced bread from the slicer
responsible for slicing the machine to packaging point without any
Bread Slice
baked bread. The individual is wastage.
Machine 4
also responsible for shifting the
Operator An Over Operator must know and
sliced breads for further
packaging. understand:
 How to operate a variety of slicer
machines (Varies by type of breads /
cake loafs).
 How to perform general troubleshooting
of a slicer machine.
An Ingredients Process Mixer Operator
must be able to:
 Operate the mixer (Machine) with ease
and to mix all the ingredients to make a
An Ingredients Process Mixer final dough for further baking or
Operator is responsible for processing.
Ingredients  Measure the list of ingredients as per the
mixing the dough and other
Process Mixers 4 product requirement.
ingredients and prepare for
Operators  Clean the mixer after every batch to
baking the bread and bakery
products. avoid any contamination.
An Over Operator must know and
understand:
 The measurement and list of ingredients
required for the product baking

Table 174: Bread & Bakery Products: Job roles that could be potentially considered for the PMFME scheme

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To start with, these units may not have requirement of the individual roles as mentioned above.
They would need a combination of the above roles to be performed by the limited staff that they
might have. Our interviews with industry have given us the following mixed job roles as given
below -:
 Manual Labour - Helper / Floor Cleaner / Loader & Unloader
 Machine Operator - Oven Operator or Baking Equipment Operator / Bread Slice Machine
Operator / Ingredients Process Mixers Operators
The skills needed for these job roles would be -:
 Food Safety & Hygiene Training (All employees) – Basic training which covers details on
the food safety policies and standards in any food processing plant. This training should
be made mandatory for all the employees working in the company
 Skills for Machine operators – The operators should know to Operate, Handle, Clean and
perform general troubleshooting of the machine
The Owners and Proprietors of these firms would need Training on Entrepreneurship Skills,
Business Planning and Food Safety & Hygiene.
Craft Bakery Training is a new skill that is seen to have an upcoming demand for this sector and
with individuals.

17.2 DAIRY PRODUCTS

The job roles that could be potentially considered have been mentioned in the table below:

NSQF
Job Role Brief Description Key Activities & Knowledge Required
Level

A Helper / Floor Cleaner / Loader & Unloader must

A Helper / Floor Cleaner / be able to:
Loader & Unloader is  Load and unload supplies.
responsible for carrying out  Maintain cleanliness in the processing and storage
various labor-intensive area.
Helper / Floor activities such as  Store the supplies appropriately.
Cleaner / loading/unloading and  Pack the products as per the packaging standards
3
Loader & storing the supplies; when required.
Unloader packing products;
maintaining the storage A Helper / Floor Cleaner / Loader & Unloader
area along with other must know and understand:
relevant activities under  Applicable food safety and hygiene standards.
supervision.  Appropriate handling of food supplies and
products.
A Machine & Truck A Machine & Truck Cleaners must be able to:
Machine & Cleaners is responsible for
3 carrying out cleaning  Effectively use the cleaning agents for cleaning the
Truck Cleaners
activities under supervision machinery and trucks after every batch and trips
such as cleaning of respectively.

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NSQF
Job Role Brief Description Key Activities & Knowledge Required
Level

machineries after every  Effective cleaning of Machinery and Trucks and

batch of production and remove any particles from previous batch to avoid
cleaning the trucks before contamination of products.
loading milk after every trip
A Machine & Truck Cleaners must know and
to avoid contamination
understand:
 How to clean the machinery & trucks
 How to handle the chemicals and other cleaning
agents.
A Paneer Press Machine Operator must be able to:
A Paneer Press Machine  Operate the paneer press machines for processing
Operator is responsible for panner or cottage cheese.
Pressing the milk solids to  Store the processed paneer products appropriately.
Paneer Press
make Paneer in required
Machine 4 A Paneer Press Machine Operator must know and
density. The individual also
Operator understand:
carries out standard
maintenance of the Paneer  Pressing technique for minimal wastage.
press machines.  Equipment Maintenance for any emergency.
 Applicable health and safety standards
A Container Filling Machine Operator must be able
to:
 Use the appropriate packaging material according
to the type of dairy products.
Container  Operate the Container Filling Machines with ease.
Filling Machine A Container Filling Machine  Follow the applicable food hygiene and safety
Operator Operator is responsible for standards.
4  Carry out standard repair and maintenance of the
(includes mawa dairy products by using the
/ sweet / curd "Container Filling Machine". machine.
makers) A Container Filling Machine Operator must know
and understand:
 How to prepare and use the machine.
 Applicable food and personal safety standards.
 How to maintain the machine.

Table 175: Dairy Products: Job roles that could be potentially considered for the PMFME scheme
To start with, these units may not have requirement of the individual roles as mentioned above.
They would need a combination of the above roles to be performed by the limited staff that they
might have. Our interviews with industry have given us the following mixed job roles as given
below -:
 Manual Labour - Helper / Floor Cleaner / Loader & Unloader
 Machine Operator – Operate the paneer press machines for processing paneer or cottage
cheese and other equipment based on the products manufactured

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The skills needed for these job roles would be -:

 Food Safety & Hygiene Training (All employees) – Basic training which covers details on
the food safety policies and standards in any food processing plant. This training should
be made mandatory for all the employees working in the company
 Skills for processing and packaging Machine operators – The operators should know to
Operate, Handle, Clean and perform general troubleshooting of the machine. Also, for
packaging have a basic understanding of the appropriate type of packaging material to be
used according to the type of dairy products
The Owners and Proprietors of these firms would need Training on Entrepreneurship Skills,
Business Planning, Food Safety & Hygiene, standard recipes and procedures of making traditional
sweets and other dairy products and New Technologies in Dairy Sector.

17.3 FISH & SEAFOOD PROCESSING

The job roles that could be potentially considered have been mentioned in the table below:

NSQF
Job Role Brief Description Key Activities & Knowledge Required
Level

A Helper / Floor Cleaner / Loader &

Unloader must be able to:

A Helper / Floor Cleaner /  Load and unload supplies.

Loader & Unloader is  Maintain cleanliness in the processing and
responsible for carrying out storage area.
Helper / Floor various labor-intensive  Store the supplies appropriately.
Cleaner / activities such as  Pack the products as per the packaging
3 standards when required.
Loader & loading/unloading and storing
Unloader the supplies; packing products; A Helper / Floor Cleaner / Loader &
maintaining the storage area Unloader must know and understand:
along with other relevant
activities under supervision.  Applicable food safety and hygiene
standards.
 Appropriate handling of food supplies and
products.
A Shell remover and Cleaner must be able
to:
 Clean, gut and cut fish into fillets or steaks.
A Shell remover and Cleaner is
 Remove shells from select seafoods.
responsible carrying out
 Carry and sorting and grading of fish and
various pre-processing
Shell remover seafood.
3 activities under supervision
and Cleaner  Store fish and seafood at the recommended
such as cleaning and gutting
temperature.
fish; cutting fish into fillets or
steaks; etc.  Follow the applicable food safety and
hygiene standards.
A Shell remover and Cleaner must know
and understand:

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NSQF
Job Role Brief Description Key Activities & Knowledge Required
Level

 Relevant parameters for sorting and

grading fish and seafood.
 Applicable food and personal safety
standards.
A Defrosting & Washing Machine Operators
must be able to:
 Set up and operate defrosting and washing
machinery to defrost the frozen fish and
wash the same for further processing.
A Defrosting & Washing  Ensure compliance with the applicable
Defrosting &
Machine Operators is quality standards by carrying out corrective
Washing
4 responsible for setting up and machine adjustments as required.
Machine
operating machinery defrost  Follow the applicable food hygiene and
Operators
and wash the fish and seafood.
safety standards.
A Defrosting & Washing Machine
Operators must know and understand:
 Applicable food and personal safety
standards.
A Filleting and Cutting Machine Operators
must be able to:
 Set up and operate filleting and cutting
machinery to processing fish and seafood to
A Filleting & Cutting Machine make a required end product or to prepare
Operator is responsible for for further processing.
Filleting &  Ensure compliance with the applicable
setting up and operate the
Cutting quality standards by carrying out corrective
4 processing machinery for
Machine machine adjustments as required.
filleting and cutting the fish and
Operator  Follow the applicable food hygiene and
seafood to make a required end
product. safety standards.
A Filleting and Cutting Machine Operators
must know and understand:
 Applicable food and personal safety
standards.
Table 176: Fish & Seafood Processing: Job roles that could be potentially considered for the PMFME scheme
To start with, these units may not have requirement of the individual roles as mentioned above.
They would need a combination of the above roles to be performed by the limited staff that they
might have. Our interviews with industry have given us the following mixed job roles as given
below -:
 Manual Labour - Helper / Floor Cleaner / Loader & Unloader
 Cleaning & Sorting: Clean, gut and cut fish, remove shells from select seafoods.
 Machine Operator – Operate the Defrosting & Washing Machine, Filleting & Cutting
machines
The skills needed for these job roles would be -:
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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

 Food Safety & Hygiene Training (All employees) – Basic training which covers details on
the food safety policies and standards in any food processing plant. This training should
be made mandatory for all the employees working in the company
 Basic Cleaning and Sorting: Basic skills to Clean, gut and cut fish into fillets or steaks. Need
to also sort and grade the fish
 Skills for Machine operators – The operators should know to operate, defrosting and
washing machinery to defrost the frozen fish. Set up and operate filleting and cutting
machinery to processing fish and seafood to make a required product or to prepare for
further processing.
The Owners and Proprietors of these firms would need Training on Entrepreneurship Skills,
Business Planning, Food Safety & Hygiene and Exports Marketing direction.

17.4 FRUITS & VEGETABLE PROCESSING

The job roles that could be potentially considered have been mentioned in the table below:

Job Role NSQF Level Brief Description Key Activities & Knowledge Required

A Helper / Floor Cleaner / Loader &

Unloader must be able to:
A Helper / Floor Cleaner /
Loader & Unloader is  Load and unload supplies.
responsible for carrying out  Maintain cleanliness in the processing and
various labor-intensive storage area.
activities such as  Store the supplies appropriately.
Helper / Floor  Pack the products as per the packaging
loading/unloading and
Cleaner / Loader 3 standards when required.
storing the supplies;
& Unloader
packing products; A Helper / Floor Cleaner / Loader &
maintaining the storage Unloader must know and understand:
area along with other
relevant activities under  Applicable food safety and hygiene
supervision. standards.
 Appropriate handling of food supplies and
products.
A Grader, Sorter & Cleaner operator must be
A Grader, Sorter & Cleaner able to:
is a Pre-Processing Operator  Clean fruits and vegetables.
perform various activities
 Carry out blanching to inactivate enzymes
such as blanching, pre-
Grader, Sorter & and microorganisms.
3 treatment and applicable of
Cleaner  Cure root and tubers following the
chemical preservatives as
appropriate practices.
part of the pre-processing
 Carry out pre-treatment of produce at cold
process to prepare the F&V
or high temperature.
for further processing.
 Apply chemical preservatives to control
pests.

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Job Role NSQF Level Brief Description Key Activities & Knowledge Required

 Store pre-processed fruits and vegetables

appropriately.
A Grader, Sorter & Cleaner must know and
understand:
 Various methods of pre-processing fruits
and vegetables and relevant requirements.
 Applicable food hygiene and safety
standards.
 Use of the relevant tools and equipment.
 Use of a ripening chamber.
A Bottling / Pouch Plant Operator must be
able to:
 Select and use the appropriate packaging
material according to the type of processed
fruits and vegetables.
 Prepare and operate the appropriate
packaging equipment to pack a variety of
fruits and vegetables.
A Bottling / Pouch Plant  Follow the applicable food hygiene and
Operator is responsible for safety standards.
Bottling / Pouch packing fruits and  Carry out standard repair and maintenance
4
Plant Operator vegetables using the of the packaging equipment.
appropriate packaging
equipment. A Bottling / Pouch Plant Operator must
know and understand:
 Appropriate packing material to be used to
pack.
 How to prepare and use the relevant
packaging equipment.
 Applicable food and personal safety
standards.
 How to maintain the packaging equipment.

Table 177: Fruits & Vegetable Processing: Job roles that could be potentially considered for the PMFME
scheme
To start with, these units may not have requirement of the individual roles as mentioned above.
They would need a combination of the above roles to be performed by the limited staff that they
might have. Our interviews with industry have given us the following mixed job roles as given
below -:
 Manual Labour - Helper / Floor Cleaner / Loader & Unloader
 Cleaning & Sorting - Clean fruits and vegetables.
 Machine Operator – Operate the Bottling / Pouch filling and other machines

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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

The skills needed for these job roles would be -:

 Food Safety & Hygiene Training (All employees) – Basic training which covers details on
the food safety policies and standards in any food processing plant. This training should
be made mandatory for all the employees working in the company,
 Cleaning & Sorting – Basic skill to clean fruits and vegetables, carry out pre-treatment of
produce at cold or high temperature, apply chemical preservatives to control pests &
Store pre-processed fruits and vegetables appropriately
 Machine Operator – Skill to carry out fruits and vegetable processing activities using
machines, Appropriate use of packing machine and material to be used to pack.
The Owners and Proprietors of these firms would need Training on Entrepreneurship Skills,
Business Planning, Food Safety & Hygiene, Packaging Trends and Retail marketing.

17.5 MEAT & POULTRY PROCESSING

The job roles that could be potentially considered have been mentioned in the table below:

NSQF
Job Role Brief Description Key Activities & Knowledge Required
Level

A Helper / Floor Cleaner / Loader &

Unloader must be able to:
A Helper / Floor Cleaner /
Loader & Unloader is  Load and unload supplies.
responsible for carrying out  Maintain cleanliness in the processing and
various labor-intensive storage area.
activities such as  Store the supplies appropriately.
Helper / Floor  Pack the products as per the packaging
loading/unloading and
Cleaner / Loader 3 standards when required.
storing the supplies;
& Unloader
packing products; A Helper / Floor Cleaner / Loader &
maintaining the storage Unloader must know and understand:
area along with other
relevant activities under  Applicable food safety and hygiene
supervision. standards.
 Appropriate handling of food supplies and
products.
A Meat & Poultry Pre-processor must be
able to:
A Meat & Poultry Pre-  Clean the meat and poultry products
processor is responsible for appropriately.
carrying out relevant meat  Cure the meat and poultry products
Meat & Poultry
3 and poultry pre-processing following the recommended methods
Pre-Processor
activities under supervision under supervision.
such as cleaning, curing,  Store the pre-processed meat and poultry
storing, etc. products appropriately.
 Follow the applicable food hygiene and
safety standards.

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NSQF
Job Role Brief Description Key Activities & Knowledge Required
Level

A Meat & Poultry Pre-processor must

know and understand:
 Applicable food and personal safety
standards.
 Process of cleaning and curing meat and
poultry products.
 Appropriate conditions for storing meat
and poultry products.
A Deboning & Slaughter Butcher must be
able to:
 Bone or debone meat as per the given
A Deboning & Slaughter instructions.
Butcher is responsible for  Use the relevant tools and equipment
slaughtering beef, sheep, ensuring personal safety.
goat, fish, pork and poultry  Follow the applicable food hygiene and
Deboning & safety standards.
3 by boning or deboning meat
Slaughter Butcher
under supervision to meet A Deboning & Slaughter Butcher must
the given targets and know and understand:
ensure compliance with the  How to bone or debone different types of
applicable standards. meat using the relevant tools and
equipment.
 Applicable food hygiene and safety
standards.
Table 178: Meat & Poultry Processing: Job roles that could be potentially considered for the PMFME scheme
To start with, these units may not have requirement of the individual roles as mentioned above.
They would need a combination of the above roles to be performed by the limited staff that they
might have. Our interviews with industry have given us the following mixed job roles as given
below -:
 Manual Labour - Helper / Floor Cleaner / Loader & Unloader
 Preprocessor and Butcher: Clean the meat and poultry products appropriately. Deboning
& Slaughter Butcher is responsible for slaughtering beef, sheep, goat, fish, pork and
poultry by boning or deboning meat
The skills needed for these job roles would be -:
 Food Safety & Hygiene Training (All employees) – Basic training which covers details on
the food safety policies and standards in any food processing plant. This training should
be made mandatory for all the employees working in the company,
 Pre processor and Butcher: Basic Skills to load the animals in slaughter line and
responsible for initial processing and scalding, dehairing, washing, etc. appropriately.
o Poultry: Clean the meat and poultry products appropriately, cure the meat and
poultry products
o Meat: Bone or debone meat using the relevant tools and equipment ensuring
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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

The Owners and Proprietors of these firms would need Training on Entrepreneurship Skills,
Business Planning, Food Safety & Hygiene, Ecommerce and Retail Marketing.

17.6 MILLING
The job roles that could be potentially considered have been mentioned in the table below:

NSQF Key Activities & Knowledge

Job Role Brief Description
Level Required

A Helper / Floor Cleaner / Loader

& Unloader must be able to:
 Load and unload supplies.
 Maintain cleanliness in the
processing and storage area.
A Helper / Floor Cleaner / Loader &
Unloader is responsible for carrying  Store the supplies appropriately.
out various labor-intensive activities  Pack the products as per the
Helper / Floor
such as loading/unloading and storing packaging standards when
Cleaner / Loader 3
the supplies; packing products; required.
& Unloader
maintaining the storage area along
with other relevant activities under A Helper / Floor Cleaner / Loader
supervision. & Unloader must know and
understand:
 Applicable food safety and
hygiene standards.
 Appropriate handling of food
supplies and products.
A Milling Machine Operator must
be able to:
 Prepare the milling machine for
operation
A Milling Machine Operator is Operate milling machine to mill
responsible for preparing and different types of grains
operating milling machine to mill  Carry out general maintenance of
Milling Machine
4 different types of grains such as rice, the milling machine
Operator
wheat, pulses, etc. The individual also
carries out general maintenance of the A Milling Machine Operator must
milling machine. know and understand:
 How to operate and maintain a
milling machine
 Applicable food hygiene and
safety standards
Table 179: Milling : Job roles that could be potentially considered for the PMFME scheme
To start with, these units may not have requirement of the individual roles as mentioned above.
They would need a combination of the above roles to be performed by the limited staff that they
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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

might have. Our interviews with industry have given us the following mixed job roles as given
below -:
 Manual Labour - Helper / Floor Cleaner / Loader & Unloader
 Machine Operator & Packers: Machine operations and maintenance

The skills needed for these job roles would be -:

 Food Safety & Hygiene Training (All employees) – Basic training which covers details on
the food safety policies and standards in any food processing plant. This training should
be made mandatory for all the employees working in the company,
 Machine Operator - Basic skills to Prepare the milling machine for operation, Operate
milling machine to mill different types of grains and to carry out general maintenance of
the milling machine
 Packers: Hygienic way of handling products while packing and also the knowledge on
SKUs by product portfolio
The Owners and Proprietors of these firms would need Training on Entrepreneurship Skills,
Business Planning and Food Safety & Hygiene.

17.7 BEVERAGES (TEA AND COFFEE)

The job roles that could be potentially considered have been mentioned in the table below:

NSQF
Job Role Brief Description Key Activities & Knowledge Required
Level

A Helper / Floor Cleaner / Loader &

Unloader must be able to:
A Helper / Floor Cleaner /  Load and unload supplies.
Loader & Unloader is  Maintain cleanliness in the processing
responsible for carrying out and storage area.
various labor-intensive  Store the supplies appropriately.
activities such as  Pack the products as per the packaging
Helper / Floor Cleaner /
3 loading/unloading and standards when required.
Loader & Unloader
storing the supplies; packing
products; maintaining the A Helper / Floor Cleaner / Loader &
storage area along with other Unloader must know and understand:
relevant activities under  Applicable food safety and hygiene
supervision. standards.
 Appropriate handling of food supplies
and products.

A Coffee Huller Operator is A Coffee Huller Operator must be able to:

Coffee Huller Operator 4 responsible for de husking  De Husk or complete separation of the
and polishing of coffee bean. husk from the coffee beans for further
The individual is also processing.

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NSQF
Job Role Brief Description Key Activities & Knowledge Required
Level

responsible for maintaining  Prepare the work area and machineries

the huller. for processing coffee
 Perform general maintenance of the
machineries
A Coffee Huller Operator must know and
understand:
 Use of different types of machineries used
in coffee processing plants
 How to perform general maintenance of
the processing machineries
A Dryer / Roaster Plant Operator must be
able to:
 Roasting of Chicory Cubes, Spray Drying,
Continuous extraction of Tea and process
A Dryer / Roaster Plant using evaporation and drying technology.
Operator is responsible for  Perform general maintenance of the
Dryer / Roaster Plant processing Tea & Coffee using machineries
4
Operator various methods like
evaporation and drying A Dryer / Roaster Plant Operator must
technology. know and understand:
 Use of different types of machineries used
in Tea & coffee processing plants
 How to perform general maintenance of
the processing machineries

Table 180: Beverages (Tea and Coffee): Job roles that could be potentially considered for the PMFME scheme
To start with, these units may not have requirement of the individual roles as mentioned above.
They would need a combination of the above roles to be performed by the limited staff that they
might have. Our interviews with industry have given us the following mixed job roles as given
below -:
 Manual Labour - Helper / Floor Cleaner / Loader & Unloader
 Machine Operator: Machine operations and maintenance in tea and coffee plants
The skills needed for these job roles would be -:
 Food Safety & Hygiene Training (All employees) – Basic training which covers details on
the food safety policies and standards in any food processing plant. This training should
be made mandatory for all the employees working in the company,
 Machine Operator - Basic skills to operate use of different types of machineries used in
Tea & coffee processing plants
o Tea: Roasting of Chicory Cubes, Spray Drying, Continuous extraction of Tea and
process using evaporation and drying technology

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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

o Coffee: To de husk or complete separation of the husk from the coffee beans for
further processing.

The Owners and Proprietors of these firms would need Training on Entrepreneurship Skills,
Business Planning and Food Safety & Hygiene.

17.8 RTE & RTC PRODUCTS

The job roles that could be potentially considered have been mentioned in the table below:

NSQF
Job Role Brief Description Key Activities & Knowledge Required
Level

A Helper / Floor Cleaner / Loader &

Unloader must be able to:

A Helper / Floor Cleaner /  Load and unload supplies.

Loader & Unloader is  Maintain cleanliness in the processing and
responsible for carrying out storage area.
various labor-intensive  Store the supplies appropriately.
Helper / Floor  Pack the products as per the packaging
activities such as loading/
Cleaner / Loader 3 standards when required.
unloading and storing the
& Unloader
supplies; packing products; A Helper / Floor Cleaner / Loader &
maintaining the storage area Unloader must know and understand:
along with other relevant
activities under supervision.  Applicable food safety and hygiene
standards.
 Appropriate handling of food supplies and
products.
An Ingredient Preparator must be able to:
 Select the appropriate raw materials
required for production of RTE and RTC
products
An Ingredient Preparator is  Carry out cleaning, grading, peeling, as per
responsible for selecting and the supervisor's instructions
Pre-Processing preparing the ingredients for An Ingredient Preparator must know and
3
Labours the processing of Ready to understand:
Eat (RTE) and Ready to Cook  Different industrially important RTE and
(RTC) products. RTC products
 Various ingredients used for making RTE &
RTC products
 Applicable food hygiene and safety
standards
A Pick-Fill-Seal Machine A Pick-Fill-Seal Machine Operator must be
Machine Operator Operator is responsible for able to:
4 preparing and operating the
and Packers  Prepare and operate the packaging
packaging equipment to
pack the Ready to Eat (RTE) equipment

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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

NSQF
Job Role Brief Description Key Activities & Knowledge Required
Level

and Ready to Cook (RTC)  Carry out maintenance of the packaging

products. The individual also equipment
labels them.  Label the packaged RTE and RTC products
A Pick-Fill-Seal Machine Operator must
know and understand:
 Criteria for the selection of appropriate
packaging material for RTE and RTC
products
 Various methods and techniques of
packaging processed food products
 Process of operating relevant packaging
equipment
 How to perform general maintenance of the
packaging equipment
Table 181: RTE & RTC Products: Job roles that could be potentially considered for the PMFME scheme
To start with, these units may not have requirement of the individual roles as mentioned above.
They would need a combination of the above roles to be performed by the limited staff that they
might have. Our interviews with industry have given us the following mixed job roles as given
below -:
 Manual Labour - Helper / Floor Cleaner / Loader & Unloader
 Pre Processing and Machine Operator: Slicing; grading; preparation for processing, etc
 Packers: Hygienic way of handling products while packing and also the knowledge on
SKUs by product portfolio
The skills needed for these job roles would be -:
 Food Safety & Hygiene Training (All employees) – Basic training which covers details on
the food safety policies and standards in any food processing plant. This training should
be made mandatory for all the employees working in the company.
 Pre-Processing & Machine Operator – Basic skill to Select the appropriate raw materials
required for production of RTE and RTC products, carry out cleaning, grading, peeling,
 Packers: Skills to prepare and operate the packaging equipment, Label the packaged RTE
and RTC products, carry out maintenance of the packaging equipment

The Owners and Proprietors of these firms would need Training on Entrepreneurship Skills,
Business Planning, Food Safety & Hygiene, Packaging Trends and in Industry 4.0.

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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

17.9 SOYA PROCESSING

The job roles that could be potentially considered have been mentioned in the table below:

Job Role NSQF Level Brief Description Key Activities & Knowledge Required

A Helper / Floor Cleaner / Loader &

Unloader must be able to:
A Helper / Floor Cleaner /  Load and unload supplies.
Loader & Unloader is  Maintain cleanliness in the processing and
responsible for carrying out storage area.
various labor-intensive  Store the supplies appropriately.
Helper / Floor
activities such as  Pack the products as per the packaging
Cleaner /
3 loading/unloading and storing standards when required.
Loader &
the supplies; packing
Unloader A Helper / Floor Cleaner / Loader &
products; maintaining the
storage area along with other Unloader must know and understand:
relevant activities under  Applicable food safety and hygiene
supervision. standards.
 Appropriate handling of food supplies and
products.
A Soya Seed Cleaner & Pre-Processor must be
able to:
A Soya Seed Cleaner & Pre-
Processor is responsible for  Clean and grade soybean
Soya Seed carrying out various labor-  Feed soybean in dry beans tank
Cleaner & Pre- 3 intensive activities such as A Soya Seed Cleaner & Pre-Processor must
Processor cleaning and grading soya, know and understand:
feeding soya in dry beans tank,
etc.  Appropriate handling of soybeans
 Applicable cleaning and grading standards
for soybean
A Soya Milling Machine Operator must be
able to:
A Soya Milling Machine
Operator is responsible for  Prepare the milling machine for operation
preparing and operating  Carry out general maintenance of the milling
Soya Milling machine
milling machine to mill soya to
Machine 4
process required products. A Soya Milling Machine Operator must know
Operator
The individual also carries out and understand:
general maintenance of the
milling machine.  How to operate and maintain a milling
machine
 Applicable food hygiene and safety standards

Table 182: Soya Processing: Job roles that could be potentially considered for the PMFME scheme
To start with, these units may not have requirement of the individual roles as mentioned above.
They would need a combination of the above roles to be performed by the limited staff that they
might have. Our interviews with industry have given us the following mixed job roles as given
below -:
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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

 Manual Labour - Helper / Floor Cleaner / Loader & Unloader

 Pre Processing and Machine Operator: Labor-intensive activities such as cleaning and
grading soya, feeding soya in dry beans tank and operating the milling machine
The skills needed for these job roles would be -:
 Food Safety & Hygiene Training (All employees) – Basic training which covers details on
the food safety policies and standards in any food processing plant. This training should
be made mandatory for all the employees working in the company.

 Pre-Processing & Machine Operator – Basic skill to Clean and grade soybean, Feed
soybean in dry beans tank & Prepare the milling machine for operation and Carry out
general maintenance of the milling machine.

17.10 SPICES
The job roles that could be potentially considered have been mentioned in the table below:

NSQF
Job Role Brief Description Key Activities & Knowledge Required
Level

A Helper / Floor Cleaner / Loader &

Unloader must be able to:
A Helper / Floor Cleaner /
Loader & Unloader is  Load and unload supplies.
responsible for carrying  Maintain cleanliness in the processing
out various labor-intensive and storage area.
activities such as  Store the supplies appropriately.
Helper / Floor  Pack the products as per the packaging
loading/unloading and
Cleaner / Loader & 3 standards when required.
storing the supplies;
Unloader
packing products; A Helper / Floor Cleaner / Loader &
maintaining the storage Unloader must know and understand:
area along with other
relevant activities under  Applicable food safety and hygiene
supervision. standards.
 Appropriate handling of food supplies
and products.
A Grader & Sorter must be able to:
 Load and unload supplies
A Grader & Sorter is  Maintain cleanliness in the work area
responsible for carrying and storage area
out various labour-  Store the supplies appropriately
Grader & Sorter 3 intensive activities such as  Pack the products as per the packaging
grading and storing the standards
supplies under
A Grader & Sorter must know and
supervision.
understand:
 Applicable food safety and hygiene
standards

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 Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

NSQF
Job Role Brief Description Key Activities & Knowledge Required
Level

 Appropriate handling of food supplies

and products
A Grinding & Blending Machine
Operator must be able to:
 Prepare the work area and
A Grinding & Blending machineries for processing spices
Machine Operator is  Operate the spice processing
responsible for preparing machineries
and operating processing  Perform general maintenance of the
Grinding &
machineries such as spice machineries
Blending Machine 4
grinder, spice pulveriser
Operator A Grinding & Blending Machine
etc. The person is also
responsible for the general Operator must know and understand:
maintenance of various  Use of different types of machineries
machineries. used in spice processing plant such as
spice grinder, spice pulveriser etc.
 How to perform general maintenance
of the machineries
A Pouch Packaging Machine Operator
must be able to:
A Pouch Packaging  Maintain cleanliness in the work area
Machine Operator is  Prepare filling and sealing equipment
responsible for preparing  Operate and maintain the Pouch
the work area and Packaging machine along with filling
Pouch Packaging packaging machineries; and sealing equipment
4
Machine Operator operating the packaging
machineries and A Pouch Packaging Machine Operator
performing general must know and understand:
maintenance of the  Use of different types of equipment
packaging machineries. used for packaging spices
 General maintenance of various
packaging equipment

Table 183: Spices: Job roles that could be potentially considered for the PMFME scheme
To start with, these units may not have requirement of the individual roles as mentioned above.
They would need a combination of the above roles to be performed by the limited staff that they
might have. Our interviews with industry have given us the following mixed job roles as given
below -:
 Manual Labour - Helper / Floor Cleaner / Loader & Unloader
 Pre Processing and Machine Operator: Cleaning , grading and sort , and then grind and
blend the required spices
 Packers – Pack the spices in the spice using the packing machine
The skills needed for these job roles would be -:

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 Food Safety & Hygiene Training (All employees) – Basic training which covers details on
the food safety policies and standards in any food processing plant. This training should
be made mandatory for all the employees working in the company.
 Pre-Processing & Machine Operator – Basic skill grade and sort the spices, Skill to prepare
and operate processing machineries such as spice grinder, spice pulveriser etc
 Packers: Skill to operate the pouch packaging machine and performing general
maintenance
The Owners and Proprietors of these firms would need Training on Entrepreneurship Skills,
Business Planning and Food Safety & Hygiene.

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Chapter 18: EMPLOYMENT

GENERATION POTENTIAL SUMMARY
18.1 Employment generation potential forecast from the 11 Sub
sectors of Interest to the Feedback Study
No of Units in Food Processing Industry
Feedback had used the ASI data of no of Registered Units in FPI as a starting point. The key
point to be noted is the fact that not all sub segments covered under ASI is part of this Study.
Additionally, there were certain more sub sectors which were considered as relevant sub
segments for this Study. This is explained below in the following tables:

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Table 1: ASI estimates of the Registered FPI Units in India till 2017-18 and based on the data Feedback estimates for FY 19 and 20

Table 184: ASI estimates of the Registered FPI Units in India till 2017-18 and based on the data Feedback estimates for FY 19 and 20

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Table 2: Shortlisting sub sectors which are of relevance to the study

Table 185: Shortlisting sub sectors which are of relevance to the study

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Table 3: Universe estimation of sub sectors not listed in ASI data

Table 186: Universe estimation of sub sectors not listed in ASI data

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Table 4: Final Universe estimates of all sub sectors of relevance to the Feedback Study

Table 187: Final Universe estimates of all sub sectors of relevance to the Feedback Study

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Processing Volumes & Investment required:

To summarize, total processing volume across the 10 sub-sectors (Cold chain has not been
included in the processing volumes) of interest has been estimated at approx. 96 MMT in FY’20.
The processing volume likely to increase at a CAGR of 7.5% to reach approx. 198 MMT by FY’30.
Considering 80% capacity utilization, creation of this additional processing capacity will require
investment to the tune of approx. Rs. 3.22 Lakh Crores57. The below table depicts the likely growth
in processing capacity for individual sub-sector between FY’20 and FY’30 and investment
required.

FY'20 FY'30 Approx.

Processing Processing investment
Sub-Sector CAGR
Volume Volume required
('000 MT) ('000 MT) (Rs. Cr.)
Dairy Products 40,835 1,02,000 9.60% 1,66,500
Milling 21,795 28,050 2.60% 35,367
Soya Processing 18,350 34,000 6.40% 5,135
F&V Processing 8,542 17,500 7.40% 20,996
Bread & Bakery Products 3,675 8,750 9.10% 47,578
Meat & Poultry Processing 1,752 5,024 11.10% 12,268
Beverages (Tea & Coffee) 1,516 2,450 4.90% 4,379
Spices 185 620 12.90% 16,304
RTE & RTC Products 135 459 13.00% 12,163
Fish & Seafood Processing 26 101 14.40% 1,861
Total 96,811 1,98,954 7.5% 3,22,552

Table 188: Overall Processing Volumes (FY '20 & FY'30 ) & Approximate Investment Required
Source: Feedback Analysis

Other than the above investment, approx. Rs. 4,800 Cr. investment would be required to create
necessary Cold Chain infrastructure – Cold Storage, Reefer Trucks & Pack Houses.
Based on the research conducted, there are approx. 41,008 companies are involved in the
Registered Food Processing segment of the above sub-sectors. These companies employ approx.
14.6 Mn people in FY’20. Below table depicts universe of companies in each sub-sector and
employment estimates for each sub-sector in FY’20.

FY'20 Universe
Sub-Sector FY'20 - No. of Employees
(No. of Companies)
Milling 23,792 4,82,418

Cold Chain 7,600 2,24,300

57Estimations based on Feedback Analysis of each of these 10 sub sectors explained in detail in each sub
sector report.
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FY'20 Universe
Sub-Sector FY'20 - No. of Employees
(No. of Companies)
Dairy Products 2,374 2,02,240

Bread & Bakery Products 1,996 1,35,233

Beverages (Tea & Coffee) 1,075 1,05,100

Fish & Seafood Processing 591 94,835

F&V Processing 1,426 88,258

RTE & RTC Products 716 51,085

Spices 1,063 40,750

Meat & Poultry Processing 210 31,296

Soya Processing 165 6,075

Total 41,008 14,61,590

Table 189: Overall Universe of companies and Number of employees’ estimates for each sub-sector (FY’20)
Source: Feedback Analysis
In Dairy, only 20% of the milk is currently processed by the Organized sector. Rest are either
locally consumed or used by the unorganized sector for further selling or production of value-
added product. Only organized Dairy processing has been considered in the above calculation.
Similarly, current processing levels in Meat & Poultry industry and in F&V industry are only 20%
and 3% respectively and the rest are sold as unprocessed. Also, within the Bread & Bakery
segment the home institutions and retail bakeries have not been considered. Across Sectors, only
the employees involved into processing have only been considered for the above calculation.
Going forward, it has been estimated that these 11 sub-sectors will generate approx. 13.4L jobs
between FY’20 and FY’30 to reach 28.02L persons by FY’30.
Sub-sector wise Employment Generation Potential between FY’20 and FY’30

Dairy 273,571
Fish & Seafood 259,201
Bread & Bakery 186,750
Milling 123,335
RTE & RTC 108,700
Spices 94,094
F&V 92,563
Cold Chain 71,738
Tea & Coffee 64,770
Meat & Poultry 61,355
Soya Processing 5,181

Figure 201: Sub-sector wise Employment Generation Potential between FY’20 and FY’30

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Employment Generation Potential split by States

Figure 202: Employment Generation Potential: By States

Source: Feedback Analysis

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Chapter 19: Impact of Industry 4.0 on

the Food Processing Sector and Skills
19.1. Introduction:
Automation levels in manufacturing set ups are classified by the usage of various products and
services at different levels of Automation Investments made in a plant. These various levels and
their classification are set out below:

Enter-
Level 4 Offline – ERP, Digital Enterprise / PLM
prise

Spatial / time scale

Industrial

Production
Offline – MES / MOM
IT

Level 3 control

Online Soft / Hard real time – HMI, SCADA,

Supervisory control
Level 2 DCS

Real time S/W, special H/W – Machine and

Automation
Industrial

Level 1 Automatic control Control system (PLC, Industrial PCs, PID)

Embedded H/W and S/W – Sensors and

Level 0 Sensors and Actuators actuators that directly interact with the process
of the machine

Process / Machines
Figure 203: Automation: Levels and their classification
Industry 4.0 refers to the Level 4 Automation shown in the above chart. “Industry 4.0” refers to
the digitization of manufacturing and the increasing digital connectivity of product, process, and
factory. The new manufacturing technologies allow for greater communication between
machines, and machine-level processing of data allows them to adapt instantly to new production
requirements. It also refers to the connecting of information systems and sharing of data across
the supply chain to improve efficiency.
Industry 4.0 offers opportunities for greater efficiencies in energy consumption, real-time yield
optimization, and other processes that can be mined from the heaps of data it generates,

19.2. Automation in Food Processing sector:

Feedback Consulting had undertaken a major study on F&B Industry Automation for a German
Major in 2019. We present below a few glimpses from this report which indicates the level of
Automation and the status of Industry 4.0 in the Food Processing Sector.

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Automation products spend norms (with respect to the Project Cost) across large, medium,
and small players in the Food Processing Sector:

Segment of
Large Medium Small
Interest

Dairy 7.4% 5.7% 4.7%

Rice Mills 6.9% 5.6% 4.0%
Brewery 7.3% 6.4% 4.9%
Distillery 8.3% 7.8% 6.8%
Edible Oil 7.5% 6.6% 4.2%
Confectionery 7.5% 5.2% 4.2%

Overall- Average
7.3% 5.9% 4.8%
Spend Norms

Table 190: Automation products spend norms

Source: Feedback Analysis
Near 75-80% of the spend on Automation in the Food Processing Sector is mainly done by Large
and medium firms and very low levels of Automation is seen in Smaller and Micro players.
The spends on various elements of Automation in the Food Processing Sector is shown below:

%
LV
Segment Drives Motors Robotics PLC DCS MES EMS Contribution
Products
(Overall)
Dairy 1.6% 1.3% 0.3% 0.9% 1.0% 0.3% 0.2% 1.8% 7.4%

Rice mills 1.6% 1.4% 0.0% 0.8% 0.9% 0.3% 0.2% 1.7% 6.9%

Brewery 1.8% 1.7% 0.0% 0.9% 1.0% 0.3% 0.2% 1.4% 7.3%

Distillery 2.0% 1.8% 0.0% 1.1% 1.2% 0.3% 0.2% 1.7% 8.3%

Edible Oil 1.9% 1.7% 0.0% 0.9% 1.0% 0.3% 0.2% 1.5% 7.5%

Confectionery 1.7% 1.4% 0.5% 0.9% 1.0% 0.3% 0.2% 1.5% 7.5%

Overall 1.7% 1.5% 0.2% 0.9% 1.0% 0.3% 0.2% 1.5% 7.3%

Table 191: Spend levels on various elements of Automation in the Food Processing Sector
Source: Feedback Analysis
The latest automation developments in the F&B industry include:
 The major automation applications in the food & beverage industry have been observed
in the supply chain and logistics segment.

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 The focus is more on packaging, storage and distribution management. An

automated storage and retrieval system is one of the most successful processes to
efficiently automate warehousing.
 A growing trend is the automation of packaging lines to improve the speed and accuracy
of packing.
 Other areas of automation in the food and beverage industry are quality
testing/inspection and integration of all machines into a SCADA or PLC-based controllers
that can be remotely controlled and monitored to improve manpower productivity and
reduce process deviations.
Benefits of Automation
The industry handles large volumes of products, and to produce high-quality and consistent
products for the export market and the domestic consumption, the large players in the food
processing segment have gradually started implementing automation in their plants.
Following are the key benefits experienced by Food processing companies due to automation:
Increase productivity

 Industry 4.0 and IoT integration support manufacturing systems to generate necessary
analytics to self-correct the processes. For example, the IoT indicates the machine idle
time which can be analysed to experiment higher machine running time, higher
productivity, higher manpower, etc.

 Similarly, Machine Learning, Artificial Intelligence and cloud computing help with real-
time analysis and quick decision-making.
Increase efficiency

 Predictive maintenance comes along with automation. Real-time data is used to identify
potential issues and alerts when maintenance is needed, further eliminating production
downtimes.

 By aggregating the data gathered, it is possible to gain far greater insight into how a
machine is performing and where the manpower has to put their efforts for better
efficiency and productivity and how to optimize the operations, etc.
Emphasis on Personnel Safety

 When hazardous tasks such as handling heavy objects and other potentially dangerous or
monotonous tasks are performed by automation solutions, the safety of the human
workforce are addressed.
Improved Traceability

 Automation significantly improves product (raw materials or finished products)

traceability, which provides valuable data to manufacturers to ensure regulatory
compliance.

 This data also helps in identifying and solving the issues in the supply chain, thus
supporting continuous enhancement of overall quality & safety.

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19.3. Impact of Industry 4.0 / IoT / Automation in Food Processing

Sectors
Current Adoption Level

Level of Large /
Parameter Impact Micro, Small
Impact Branded /
& Medium
Organized
Players
Players
Exploring automation
and predictive
Manufacturing maintenance to reduce High Medium to high Low
manual errors and
improve efficiency

FSSAI compliances for

label claims, packaging,
freshness, along with
Regulatory High High Medium
impetus to processing
under Make in India and
SAMPADA schemes

Scale up capacity in-line

with demand through
Demand predictive analytics and Medium to
Medium Low
Forecasting use of IoT to be able to High
react to demand
fluctuations

IoT allows real-time

connectivity between
processing facility and
Medium to
Distribution distributors which Medium Low
High
would allow the product
to get to market faster
and retain quality

Table 192: Automation in Food Processing - Current Adoption Level

Micro, Small & Medium enterprises in the food processing sector are still hesitant to invest in
computing applications that can allow proper measurement, tracking & analysis of data.
Computing applications like ERPs, CRM, Supply chain visibility etc help provide factual data that
not only enables better decision making but also lead to better productivity.
Large companies that have adopted these technologies have certainly benefitted and have
experienced a visible enhancement in their profitability.

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19.4. Plant automation level by Sub-Sectors

Sub-Sectors (Food Current Adoption Level
Processing –
Manufacturing) Large Medium Small Micro
Bread and Bakery products High Moderate Low Low
Dairy Products High High Low Low
Fish and seafood processing Moderate Low Low Low
Fruits & Vegetables
High Moderate Low Low
processing
Meat & Poultry processing Moderate Low Low Low
Milling (Grains & Oilseeds) Moderate Moderate Low Low
Beverages High Moderate Low Low
RTE / RTC Products High High Moderate Low
Soya processing High Moderate Low Low
Spices High Moderate Low Low
Table 193: Plant automation - Current Adoption Level
Source: Feedback Analysis
The most important aspects considered by firms for adapting Industry 4.0 Solutions in the Food
Processing Sector is described in the chart below:

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Must comply with stringent food safety regulations

Highly selective sorting to reduce food waste

Smaller batch processing machinery and more compact

manufacturing

Inspection equipment for detection and separation of every small foreign

particles

Highly flexible equipment with easier changeover

Greater automation equipment combining a number of operations into one

Machinery that reduces and conserves energy usage

Figure 204: Factors considered by firms for adapting Industry 4.0 Solutions
In the post-COVID era, Indian food processing manufacturing are likely to be much more digital,
as is already evident in the immediate response to the crisis. It was evident that COVID-19 has
had a lower impact wherever factory automation had already been incorporated in food
production lines and a high impact in places where there is operator-intense work due to norms
of maintaining social distancing etc.
So, in a way, the onset of the pandemic has accelerated the Industry 4.0 revolution and has
brought many innovative solutions by integrating the machine data and analysing them for
efficiency improvements.

Technology applications across the value chain can help reduce wastage, maintain quality, and
enhance shelf life of food products. In a price sensitive market dominated by unorganized and
small players, technology has taken a back seat.
Traditionally dominated by imports, food processing equipment market is likely to see an
increased demand.
Digitalized supply chain, smart warehousing and logistics using industry 4.0 technologies can
help India reduce wastage during storage and transit. Intelligent supply chain management
systems can help reduce wastage for perishables.

A stable and sustainable ecosystem for startups in food processing is critical to driving
food innovation and expedited the growth. Innovative products focused on wellness,
health and nutrition are likely to see a huge opportunity in the domestic market.

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19.5. Skill Enhancement needs for Industry 4.0 in Food processing

Automation and robotics in the food and beverage industry in India are not being widely applied
but are heading in that direction, especially as the sector transforms in terms of demand and
becomes a multi-brand market.
There is quite a bit of speculation whether increasing automation will replace people, leading to
most to view that it won’t replace people, but the skill sets in them.
Skill sets needed are -:

 For companies planning automation – Most small and micro units across sub sectors do
not have high degree of automation as described above. But this is likely to change, and
Automation and Industry 4.0 will be part of FP manufacturing in the years to be come.
Such units will need the following skill training currently:
o Basic Computer education for all employees above NSQF Level 3 and above
o Basic understanding of automation and types of technologies
o Industry 4.0 basics

 For companies moving from automation to Industry 4.0

o Increasing automation will help in manpower rationalization by identifying non-
productive activities, thereby making informed decisions through means of data
and digital interventions and allowing people to upgrade their skill sets for more
productive roles.
o Major challenge in this technology adoption is the mandatory training on these
technology to the existing employees to cope-up with the same. Like how FSSAI
made the mandatory training for Ensuring food safety and hygiene (FOSTAC),
training on technology has to be mandatory for faster adoption.
o Quality certifying companies like TUV SUD in collaboration with CII have started
short term training programs for manufacturing sectors in India (incl. Food
Processing Industries) primarily to upskill the existing employees.
o Apart from TUV SUD, the equipment suppliers and technology providers like
Siemens, Buhler, etc. are offering training to their customers. This is also again to
upskill the existing employees. There is a huge gap in training the freshers in the
industry with the technology changes as the curriculum followed in the formal
training needs frequent updates.

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Chapter 20: Packaging Trends in Food

Processing Sector and impact on Skills
20.1. Industry overview of the Packaging Sector in India
The Indian Packaging industry is currently valued at USD 50 bn in 2019 and is expected to reach
USD 200 bn by 2025. The Packaging Industry in India is riding on a high wave courtesy of Food
processing sector. The industry has demonstrated a growth in the tune of double digits over the
last 5 years and is expected to continue the momentum of growth over the next 10 years as well.
The Food processing sector is the largest consumer of packaging at 45% by total value
contribution of the Packaging Industry in India. While the overall demand from Food processing
segment is estimated at USD 22 bn the segments of interest such as bread and bakery, dairy
products, fish and sea food processing, fruits and vegetables, meat and poultry, milling,
beverages, RTE, Soya Processing, spices would potentially account for 60% of the USD 22 bn
market value.
Packaging industry has been a complementary industry to the Food Processing sector. There
have been tremendous innovations over the years for packaging of processed food. These
innovations have had a positive impact on the overall ecosystem players including the raw
material providers, packaging machine suppliers and food processing industries themselves.
Packaging is pivotal to ensuring the processed food is packed in the right packaging solution and
is supplied through defined supply chain and is consumed by the consumer as it is intended to.
Considering the challenges involved in the delivery mechanisms to reach to the customer in the
right form, packaging solution becomes even more critical to mitigate this aspect. There are
various factors which influence the type of packaging solutions which is used for different type
of processed food applications. The key factors which govern the type of packaging solutions
include moisture barrier, oxygen barrier, odour control along with desired shelf life of the
processed food. Most of the packaging formats are either flexible in nature with the use of Paper
/ Plastics or use rigid format of packaging with either Plastics / Metals / Glass materials.
Packaging is a combination of science, art and technology, which not only adds self-life to a food
product, but also adds to the value of the product.
Packaging has created a way for higher volumes of processed food to enter the organized value
chain and has created opportunities for local, regional firms to create a brand for themselves in
their respective markets. There has been a large volume of conversion from non-packed food to
food which can be packed and supplied and hence the related growth opportunity for higher
volume growth for the processed food industry.
Packaged food product companies are focusing on packaging materials that support longer shelf-
life. A few others are updating their packing designs to include communication around
appropriate sanitization.

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20.2. Key factors which have been driving some of the key trends in the
market
The food processing industry has been closely regulated by agencies such as FSSAI (Food Safety
and Standards Authority of India) who have been instrumental in setting out the standards along
with the compliance and inspection norms related to end-to-end manufacturing and packing
process to be followed by the food processing units.
Some of the key guidelines set out by FSSAI for Packaging include:

 Containers used in packaging made of metal should not be rusty, enameled containers
which have not become chipped and rusty should be properly tinned, containers made
of aluminum conforming in chemical composition to IS:20

 Containers made of plastic materials should conform to the Indian Standards

Specification, used as appliances or receptacles for packing or storing whether partly or
wholly, food articles namely –
o IS: 10146 (Specification for Polyethylene in contact with foodstuffs).
o IS: 10142 (Specification for Styrene Polymers in contact with foodstuffs).
o IS: 10151 (Specification for Polyvinyl Chloride (PVC), in contact with foodstuffs).
o IS: 10910 (Specification for Polypropylene in contact with foodstuffs).
o IS: 11434 (Specification for Ionomer Resins in contact with foodstuffs).
o IS: 11704 Specification for Ethylene Acrylic Acid (EAA) copolymer.
o IS: 12252 - Specification for Poly alkylene terephathalates (PET).
o IS: 12247 - Specification for Nylon 6 Polymer.
o IS: 13601 - Ethylene Vinyl Acetate (EVA).
o IS: 13576 - Ethylene Metha Acrylic Acid (EMAA).
FSSAI has also set out some details specific to the food products as well. Few examples as stated
below:

Food
Product Specific Packaging Requirements
Category

(a) Bottling or filling of containers with heat-treated milk and milk product shall
be carried out mechanically and the sealing of the containers shall be carried out
automatically.
Milk and (b) Wrapping or packaging may not be re-used for dairy products, except where
Milk the containers are of a type which may be re-used after thorough cleaning and
Products disinfecting.
(c) Sealing shall be carried out in the establishment in which the last heat-
treatment of drinking milk or liquid milk-base products has been carried out,
immediately after filling, by means of a sealing device which ensures that the milk

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Food
Product Specific Packaging Requirements
Category
is protected from any adverse effects of external origin on its characteristic. The
sealing device shall be so designed that once the container has been opened, the
evidence of opening remains clear and easy to check.
(d) Immediately after packaging, the dairy products shall be placed in the rooms
provided for storage

(i) Every container in which any fruit product is packed shall be so sealed that it
cannot be opened without destroying the licensing number and the special
identification mark of the manufacture to be displayed on the top or neck of the
bottle.
(ii) For Canned fruits, juices and vegetables, sanitary top cans made up of suitable
kind of tin plates shall be used.
(iii) For Bottled fruits, juices and vegetables, only bottles/ jars capable of giving
hermetic seal shall be used.
(iv) Juices, squashes, crush, cordials, syrups, barley waters and other beverages
shall be packed in clean bottles securely sealed. These products when frozen and
sold in the form of ice shall be packed in suitable cartons. Juices and Pulps may be
packed in wooden barrels when sulphited.
Fruits and
(v) For packing Preserves, Jams, Jellies, and Marmalades, new cans, clean jars,
Vegetables
new canisters, bottles, chinaware jars, aluminum containers may be used, and it
shall be securely sealed.
(vi) For Pickles, clean bottles, jars, wooden casks, tin containers covered from
inside with polythene lining of 250 gauge or suitable lacquered cans shall be used.
(vii) For Tomato Ketchups and Sauces, clean bottles shall be used. If acidity does
not exceed 0.5% as acetic acid, open top sanitary cans may also be used.
(viii) Candied fruits and peels and dried fruits and vegetables can be packed in
paper bags, cardboard or wooden boxes, new tins, bottles, jars, aluminum and
other suitable approved containers.
(ix) Fruits and Vegetable products can also be packed in aseptic and flexible
packaging material having good grade quality conforming to the standards laid
down by BIS.

(i) New sanitary top cans made from suitable kind of tin plate shall be used. The
cans shall be lacquered internally; they shall be sealed hermetically after filling.
The lacquer used shall be sulphur resistant and shall not be soluble in fat or brine.
Canned
Meat (ii) Cans used for filling pork luncheon meat shall be coated internally with edible
Products gelatin, lard or lined with vegetable parchment paper before being filled.
(iii) Meat products packed in hermetically sealed containers shall be processed to
withstand spoilage under commercial conditions of storage and transport.

Table 194: Specific Packaging Requirements: By segment

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Another important development in the current scheme of things is the way packaging formats
have been changing to suit the needs of environmental concerns along with sustainability road
map for packaging. This is with respect to the type of materials being used for packaging and the
scope for recycling and reusability of the materials.
The regulatory authority MoEFCC (Ministry of Environment, Forest and Climate Change) has
introduced Plastic Waste Management Rules first in 2011, followed by various amendments in
2016, 2018. Recently the MoEFCC has issued a draft Plastic Waste Management Rules, 2021 has
necessitated a few changes in the country’s handling of its plastic waste. This requires
producers/brand owners who introduce plastic carry bags, multi-layered plastic sachets,
pouches, and packaging into the marketplace to submit an EPR (Extended Producers
Responsibility) plan. The rules state that only those multi-layered plastics (MLPs) will be phased
out which are non-recyclable or non-energy recoverable or have no alternate use. Also, there
will be a central registration system for the registration of the producer/ importer/brand owner.
The ban on single use plastics is expected to the implemented from January 2022.
Both FSSAI and MoEFCC have set out guidelines to control the type of packaging materials being
used with a view to push use of materials which can be easily recycled, biodegradable or
compostable in nature.
To incorporate the sustainability aspects, brand owners / food processing companies have been
tweaking their products, marketing strategies and service offerings to cater to the evolving
needs of consumers – highlighting what matters most today which is safety, immunity, and
health oriented.
The importance of Packaging is such that this has created a parallel industry to that of the many
essential sectors and more importantly for the Food Processing Industry. The complexities
presented by the food processing sector has successfully created a complementing, support
industry in the form of Packaging Industry in India. The industry value chain comprises of raw
material manufacturers (Films, Paper, Glass, Metals) followed by packaging product
manufacturers who are most commonly referred to as Packaging Converters. The products made
by these converters find applications for the processed food.
Most of the packaging research and development is jointly developed and created by large brand
owners and the Packaging Converters. Both these entities have a dedicated packaging research
and development department which conducts tests and trails to finalise the appropriate design,
packaging format and material to be used based on the characteristics of the processed food.
These firms employee technologists from the field of food science, material chemistry, supply
chain specialists. The food processors are highly dependent on packaging converters to meet
their packaging needs from a food essential to sustainable environment point of view. The
Packaging Converters play a very critical and are pivotal to the success of processed food
industry in India.

20.3. Current level of Skill gaps which are important to be addressed to

support the growth of the existing industry road map
The improvements in the packaging development for the food processing industry must be
viewed from the point of view of Food Science, Processing Approach, Microbial Technology,
Packaging & Sustainability and Supply Chain understanding. Currently, the level of
understanding across this value chain is limited to select set of players mainly the large and
medium scale firms who are the trend setters in the industry while the micro and small
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enterprises either follow the practices of these firms or lack the knowledge and desired skill sets
across key functions.
The emerging roles due to improvements in packaging would be mainly in the areas of food
technology and enhanced understanding of packaging materials and its sustainability issues.
Some of the areas which will need attention from a skill training point view would include:

 Understanding the nature of food products which are to be packed, each type of food
products would have different challenges such as perishable nature, odour control,
exposure to moisture, etc.
 Deeper understanding on the types of packaging materials which can be used not only
from a compliance point of view but from a sustainability perspective as well. The
selection of material is key to ensure the type of barrier required by the finished product
until it is consumed by the consumer through the supply chain points.
 Improvement from processing point of view and its impact on the finished products, for
instance the way the products must be packed like hot fill state, form filling, retort packs,
etc.
 There is a need to gain better knowledge on the existing storage and supply chain
requirement for the processed food products.
 All of the above should be complemented in imparting the knowledge of criticality of
ensuring the nutrient value of the products until consumption by consumers.
Hence, there would be requirement of Food Scientists / Technologist, Nutritionists, Packaging
Specialists, Packaging Line Operators, Quality Control Staff across most of the enterprises.

20.4. Key recommendations for the packaging function within the food
processing sector
Currently, most of the experienced professionals are either working with the large enterprises
or are associated with them in some way or other. This has created a skew towards the pool of
available employees limited to the large enterprises and to some extent medium enterprises. It
will be important to create a PPP based approach wherein the current employees can participate
in an internship program with the IIP (Indian Institute of Packaging) which otherwise runs
degree / diploma programs for the packaging executives.
The current R&D is mostly done by CFTRI, DRDO, it will be encouraging to promote partnerships
from the food processing firms for co-development programs.

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Chapter 21: An Outlook on Food

Fortification
Fortification is the addition of key vitamins and minerals such as Iron, Iodine, Zinc, Folic Acid,
Vitamins B12, A & D to staple foods such as rice, wheat, oil, milk and salt to improve their
nutritional content. These nutrients may or may not have been originally present in the food
before processing or may have been lost during processing.

Figure 205: Food Fortification

Food fortification is considered as an effective strategy of delivering micronutrients affordably
and sustainably to reduce the prevalence of micronutrient deficiency diseases like anaemia,
night blindness, neural tube defects, Vitamin D deficiency disorders, etc. Access to safe and
nutritious food is a must and sometimes due to lack of a balanced diet, lack of variety in the diet
or unavailability of food, one does not get adequate micronutrients. Often, there is considerable
loss of nutrients during the processing of food as well.
India has a very high burden of micronutrient deficiencies caused by Vitamin A, Iodine, Iron and
Folic Acid leading to Night Blindness, Goitre, Anemia and various birth defects. According to the
National Family Health Survey (NFHS-4):

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 58.4% of children (6-59 months) are anemic

 53.1% women in the reproductive age group are anemic

 35.7% of children under 5 are underweight

Fortification is a globally proven intervention to address the much prevalent micronutrient
deficiencies in the population.
Fortification does present a number of challenges. An ingrained wariness -bordering on
suspicion - among the population about ‘chemicals’ being added to food, poses a challenge to
easy adoption. Also, perceived changes to food tastes remains a significant barrier.
One of the biggest challenges of food fortification is that people are unaware of their own
micronutrient deficiencies and the seriousness of their consequences, as they may not present
themselves in typical forms and are equally unaware of the benefits of eating fortified foods.
Many people believe that they do not need vitamins and minerals or that eating a lot of food
means that they are consuming all the nutrients they need. By the time they develop health
issues because of these deficiencies, it is too late.
Even among people who are aware of food fortification, resistance may be due to misconceptions
about fortified foods. Many believe that eating fortified foods may result in an overdose of
vitamins and minerals and harm their health. They do not realise that therefore Standards have
been set carefully to limit the amount of fortificants in food so that neither too much nor too little
of micronutrients are delivered to people. Resistance to using fortified foods can also be present
because of misperceptions of change in appearance, cooking properties, taste, or flavour.
The Food Safety and Standards Authority of India (FSSAI) is framing policies and guidelines and
is engaging with the food processing industry and food business operators (FBOs) for the
fortification of cereals, oil, and milk with suitable micronutrients so that the fortified staples are
easily available in the open market and to the state governments for distribution through the
Public Distribution System (PDS), Integrated Child Development Services (ICDS) and the Mid-
Day Meal (MDM) schemes.
The packaging of fortified products has a blue-coloured +F logo indicating that it is fortified, and
the nutrition label on the packed product indicates the various added micronutrients and their
quantities, as specified by the FSSAI. Non-fortified products cannot use this logo.

21.1. Food fortification will lead to additional skill sets

Food fortification is a complementary strategy and not a replacement for balanced, diversified
diets to address malnutrition. This would mean that there will be need of food technologists as
well as nutritionists who would be able to access the level of fortification required for different
types of food products.
There could be two approaches to address this skill gap:

 Employee individuals at an organization level especially for large / medium firms

 Set up a pool of food technologists and nutritionists at a cluster level particularly

supporting the micro and small enterprises

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Chapter 22: Expectations of Training

Institutes on Training Infrastructure
Training for food processing sector can be classified as “Formal” and “In-Formal” training

22.1. Formal Training

In India, there are different food technology courses available at diploma, undergraduate,
postgraduate and doctorate, levels for the students who are seeking to make a career in the field
of food processing . Some of the popular food technology courses in India are B.Tech in Food
technology, B.Sc Food Technology, M.Tech in Food Technology, M.Sc Food Technology, etc.
Food Technologists study the content used in manufacturing the product, evaluate methods used
in food production facilities and ensure that food safety standards are met as per the guidelines
set out by the key regulators across the globe . Other responsibilities include discovering new
sources of food, testing for contaminants or harmful additives, and developing new products
Food technology degree holders are selected for various job profiles such as Quality Manager,
Regulatory Affairs Officer, Production Managers, etc.

Training Infrastructure
There are around 200 - 250 colleges in India that offer food technology courses at different levels.
Out of these colleges, approximately 54% are private while the rest are public/
government/public-private.
Typical topics covered under formal education

Under Graduation Post-Graduation

B. Tech in Food B. Sc Food M.Tech in Food M.Sc Food
Technology Technology Technology Technology
Fundamentals of food Advanced food
Food Biochemistry Food chemistry
processing chemistry
Applied mechanics Optimisation
and strengths of Food microbiology techniques in food Food microbiology
materials technology
International food
Food hygiene and
Food microbiology legislations and Food technology
sanitation
standards
Food fermentation Advanced food
Food analysis Technology of cereals
technology packaging
Concentrated and Modern baking and
Food industry waste
dehydrated milk confectionery Packaging technology
management
products technology
Bakery and
Food plant safety and Technology of
confectionary Food plant design
hazard analysis beverages
products

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Under Graduation Post-Graduation

B. Tech in Food B. Sc Food M.Tech in Food M.Sc Food
Technology Technology Technology Technology
Principles of fruits
Rheology and texture
Food Processing and vegetables Food additives
analysis
technology
Technology of spices Transport
Management of Food Bioprocess
and plantation phenomenon in food
Processing Industries technology
products processing
Introduction to
Food & Vegetable Handling and storage Fermentation
business laws and
Processing of food products technology
ethics
Bakery & Waste recycling &
Principles of food
Confectionery Food chemistry resources recovery
engineering
Technology systems
Technology of
Crop Processing Normal therapeutic Unit operations in
Fabricated and
Technology nutrition food processing
Textured Foods
Food Packaging Fundamentals of milk Enzymes in food Technology of fruits
Technology processing processing and technology
Refrigeration & Air Food laws and Technology of meat,
Food toxicology
Conditioning quality assurance fish and poultry
Sugarcane Fermented milk Cold chain Pulses and oil seeds
Technology products management technology
Food Plant Technology of pulses Post-harvest Food standards and
Engineering and oil seeds technology quality assurance
Separation
Processed fruits and
Beverage Processing techniques in food Nutrition and health
vegetables products
processing
Post-harvest
Packaging of fresh Lipid chemistry &
physiology of fruits Food biotechnology
and processed foods technology
and vegetables
Food Plant Layout & Technology of Food Confectionery
Design and seafood technology
Fat and oil
Flavour chemistry &
processing
technology
technology
Computer
Enzyme Technology applications in food
industry
Biochemistry of
Advanced
processing and
engineering statistics
preservation
Fish processing
Food quality control
technology
Meat and poultry
Meat and marine
processing
technology & Others
technology

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Table 195: Typical topics covered under formal education

22.2. In-Formal Training

The food processing industry has a large presence of MSME companies across multiple segments.
Many of these companies faces challenges that limit their development and weakens
performance. These challenges include:

 Lack of productivity and innovation due to limited skills and access to modern technology
and machinery for production and packaging

 Deficient quality and food safety control systems, including lack of basic awareness on
good hygienic and manufacturing practices

 Lack of branding & marketing skills and inability to integrate with the supply chains
These companies, need intensive hand holding support for skill training, entrepreneurship,
technology, credit and marketing, across the value chain, which necessitates active participation
of the government and private companies for better outreach
There are multiple private training companies who are offer Informal training courses to these
companies across multiple segments. Most of these companies have a regional or city focus and
are trying their level best to train several people who wish to make a career or start a new food
processing unit.
National Skill Development Corporation (NSDC), a Government of India enterprise, was
developed to promote skill development and funding organisation to build scalable and profitable
vocational training initiatives. Food Industry Capacity & Skill Initiative (FICSI) - widely known as
Food Processing Sector Skill Council is an autonomous body set up by the NSDC to look at the skill
and training requirement of the food processing industry .
FICSI creates Occupational Standards and Qualification Packs, develop competency framework,
conducts Train the Trainer Programs, conducts skill gap studies and assess and certify trainees
on the curriculum aligned to National Occupational Standards (NOS).
FICSI currently has 49 NSQF aligned QPs which cover 9 sub sectors of Food Processing Industries:
There are around 150+ training institutes partnered with FICSI to train students on the above
mentioned QPs for the food processing industry. These institutes are either Pradhan Mantri
Kaushal Vikas Yojana (PMKVY) smart training center or non-PMKVY training partners spread
across India.
In the last 5 years, ~10,000 students have been trained & certified by ~40 colleges which offer
vocational training courses designed by FICSI. Close to 2,650 students have been certified in
FY’20.

22.3. Key Expectations on Formal Training Development

Students’ Learning

 Various colleges need to introduce courses on creativity and innovation to stimulate

problem-solving skills in future

 The student must also be introduced to the industry-initiated courses by entering into
MoUs with relevant industries. Industry partners offering courses, both theory and lab
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jointly with the faculty members will not only improve the industry academia interaction
but will also enhance the employability of the graduates
Mandatory Internship

 Compulsory industry internships will be helpful to the students to get to know the
industry work culture and help them to prepare themselves in that direction. The final
year project work, which has a provision for the students to undertake projects offered
by the industries, can be a great employability booster.

 Not only the content part of the curriculum, but also the effective assessment
methodology is equally important to make the overall curriculum effective and meet the
objectives. Focus should be on internships to get the students exposed to the job market
and help in future employment opportunities.
Curriculum Co-development with the Industry Stakeholders

 Curriculum has to be developed along with the equipment manufacturers, technology

providers, food processing units, packaging solutions providers and other key industry
stakeholders.

 Frequency of updating the curriculum has to be increased.

 Students should have an option of choosing specialization post the completion of year 1
which will make students develop focused knowledge for their career.

22.4. Key Expectations on In-Formal Training Development

Awareness of Institutes

 Awareness of institutes offering training programs on the QPs developed by FICSI are
limited among the food processing industries.
Portal with Students List for Recruitment

 Also, it is expected that FICSI can create a portal with the list of candidates trained from
their partner institutes which will help companies to source the skilled manpower when
they recruit those candidates
Online Programs & Internships with the Industry

 Introduction on Online education on few QPs where there is a limited practical training
are required will help the training programs reach the larger potential candidates.

 Training institutes can partner with the food processing companies in the same region for
short internship to get first-hand experience on the plant

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22.5. Brief overview of the MSDE Report58 on Skill Assessment &

Anticipation Study (Manufacturing Sector)
Ministry of Skill Development and Entrepreneurship published a report in 2020-21 on Skill
Assessment & Anticipation Study in 7 Manufacturing Sectors in India including Food Processing
Sector. The key summary of this report w.r.t to the Food Processing Sector is summarised below:

 The Food Industry sector (with the exception of basic processes like rice milling) exhibits
the maximum dependence and satisfaction from ITI pass-outs. Both the theoretical and
practical knowledge requirements of the segment are well met under the ITI programs.
The ITI pass-outs also score well on behavioural and soft skills aspects.

 In Food Processing Sector, the accuracy, precision and dexterity of STT (Short Term
Training) certified people is better than unskilled candidates. They are also easier to
train/re-train and exhibit better behavioural aspects and adaptability. However, the
advantage of STT-certified workers in terms of technical knowledge can be compensated
by untrained personnel in 7-10 days.

 The key Job roles identified in Food Processing Sector is as given below:
o Electrician; Mechanic; Machine Operator; Plumber; Fitter; Boiler Mechanic; Boiler
Operator; Refrigeration Operator; Welder; Janitor; Production Operator; Mech.
Technician; Chef; Oven Operator; Mixing Operator; Sweeper; Packager; Factory
Helper; Baker; Sortex Foreman; Furnace Operator; Quality Analyst; Material
Handler; Packaging & Products handling team

 Key Occupations where supply is a constraint in Food Processing Sector:

o Food Technologist
o Geographical skew (supply of skilled labour in rural areas).
o Quality & Safety norms

 As firms in the Food processing sector expand into export markets, they shall enhance
skill intensity in the production and post-production activities including product
handling, quality checking and packaging which is critical for maintaining quality and
regulatory compliance.

58 MSDE Report on Skill Assessment & Anticipation Study

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Chapter 23: Recommendations on the

Rationalization of the Current QPs
23.1. Current QP details
Food Processing Sector Skill Council is an autonomous body set up by the NSDC to look at the skill
and training requirement of the food processing industry. FICSI creates Occupational Standards
and Qualification Packs, develop competency framework, conducts Train the Trainer Programs,
conducts skill gap studies and assess and certify trainees on the curriculum aligned to National
Occupational Standards (NOS).
FICSI currently has 49 NSQF aligned QPs which cover 9 sub sectors of Food Processing Industries.
Most of these QPs can be merged based on similarity in competencies and other relevant factors.
The current details on the number of QPs by sub-sectors is listed below.
Segment Total Number of QPs

Fruits and Vegetables 22

Dairy Products 7

Food Grain Milling 6

Bread and Bakery 6

Meat and Poultry 3

Packaged Foods 3

Fish and Sea Food 1

Soya Food 1

Total 49

Table 196: Details on the QPs which can be merged / rationalised

Source : FICSI

23.2. Approach and Methodology for QP Rationalisation

Feedback conducted a detailed assessment of the current QPs, and recommended some of the QPs
that can be rationalised, following is the detailed approach and methodology that was followed
to arrive at the final list

 Detailed assessment of the current QPs under consideration and comparison of the QPs
that cover the similar subject (e.g., processing of dairy products) and have the same
National Skill Qualification Framework (NSQF) levels.

 Study the job descriptions given in the QPs and also detailed discussions with relevant
Subject Matter Experts (SMEs) to understand the activities unique to each job role.

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 Assessment of all the NOSs given in every QP. The study of NOSs included the study of
Performance Criteria (PC) in each element, Knowledge and Understanding (KU) and
Generic Skills (GS).

23.3. Final list of QPs that can be Rationalised

We established similarity in competencies, knowledge and generic skill requirements between
nine QPs belonging to the same sub-sectors. It was also observed that all the QPs have three
common types of NOS that cover the following areas:

 Preparation and maintenance of the work area and process machineries

 Documentation and record-keeping, and

 Food safety, hygiene and sanitation for processing food products

The differentiating factor among these QPs is often just one or two core NOSs that cover the core
competencies specific to the job role. We recommend that the following QPs be merged on the
basis of similarities the job roles share:

QP NSQF Sub Brief Job Personal Feedback

S.No. QP Name NOS Name
Code Level Sector Description Attributes Remarks

1. FIC/N5009:
Prepare and
A Plant Biscuit
maintain work These QPs are
Production
area and process A Plant Biscuit from the same
Specialist must
machineries for Production sub-sector i.e.,
have the ability
producing Specialist Bread and
to plan,
biscuits in produces Bakery and
organize,
industrial units biscuits in have the same
prioritize,
2. FIC/N5010: industrial units NSQF level of 4.
calculate and
Prepare for as per defined We have
handle
production of SOPs in studied the
pressure. S/he
biscuits in synchronisatio Performance
must possess
industrial units n with rest of Criteria (PCs),
reading,
3. FIC/N5011: the plant/unit Knowledge and
Plant writing and
Bread Produce biscuits by weighing, Understanding
Biscuit FIC/Q5 communication
1 4 and in industrial mixing, (KU) and
Production 003 skills. In
Bakery units kneading, Generic Skills
Specialist addition, the
4. FIC/N5012: rolling/sheetin (GS) given in
individual must
Complete g, cutting, these QPs.
have stamina to
documentation moulding, Basis the study,
be able to stand
and record baking, cooling, we have
for long hours,
keeping related etc. either established
have personal
to production of manually or that most of the
and
biscuits in using core
professional
industrial units machineries competencies
hygiene and an
5. FIC/N9001: following the in these job
understanding
Ensure food defined SOPs of roles are
of food safety
safety, hygiene the plant/unit. similar and
standards and
and sanitation interconnected,
requirements
for processing such as mixing,
food products kneading,

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QP NSQF Sub Brief Job Personal Feedback

S.No. QP Name NOS Name
Code Level Sector Description Attributes Remarks

1. FIC/N5013: moulding,
Prepare and baking, etc.
maintain work A Mixing
area and Technician
machineries for A Mixing must have the
Therefore,
making dough Technician ability to plan,
instead of
used in baked prepares organize,
keeping three
products different types prioritize,
separate QPs,
2. FIC/N5014: of dough used calculate and
we can merge
Prepare for in making handle
these into one
making dough baked products pressure. S/he
QP covering
used in baked by using must possess
these
products various reading,
competencies.
3. FIC/N5015: methods such writing and
Bread Make dough as weighing, communication
Mixing FIC/Q5
2 4 and used in baked mixing, skills. In
Technician 004 The new QP
Bakery products. kneading, addition, the
4. FIC/N5016: fermenting individual must will be titled
Complete following the have stamina to industrial
documentation defined SOPs of be able to stand Baker that will
and record the plant/unit for long hours, be applicable to
keeping related while have personal Industrial
to making dough maintaining and bakery units.
used in baked food safety and professional
products hygiene in the hygiene and an
5. FIC/N9001: work understanding
Ensure food environment. of food safety
safety, hygiene standards and
and sanitation requirements
for processing
food products

1. FIC/N5017: A Baking
Prepare and Technician/Op
maintain work A Baking erative must
area and Technician/Op have the ability
machineries for erative is to plan,
baking products responsible for organize,
in the oven baking of prioritize,
2. FIC/N5018: products, calculate and
Prepare for maintaining handle
baking products their pressure. S/he
in the oven consistency must possess
Baking Bread 3. FIC/N5019: reading,
FIC/Q5 and quality,
3 Technician/ 4 and Bake bakery writing and
005 while meeting
Operative Bakery products in the communication
defined SOPs
oven and leveraging skills. In
4. FIC/N5020: his/her skills to addition, the
Complete operate ovens individual must
documentation in have stamina to
and record synchronisatio be able to stand
keeping related n with proof for long hours,
to baking box/ rest of the have personal
products in the plant/ unit and
oven professional
5. FIC/N9001: hygiene and an
Ensure food understanding
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QP NSQF Sub Brief Job Personal Feedback

S.No. QP Name NOS Name
Code Level Sector Description Attributes Remarks

safety, hygiene of food safety

and sanitation standards and
for processing requirements.
food products

1. FIC/N2005:
Prepare and
maintain work
area and process
machineries for Considering
A Dairy A Dairy
operating dairy 'Milk Powder
Processing Processing
processing Manufacturing
Equipment Equipment
equipment Technician' and
Operator is Operator must
2. FIC/N2006: 'Dairy
responsible for have the ability
Prepare for Processing
operating to plan,
operating dairy Equipment
various types of organize,
process Operator' QPs
dairy prioritize,
machineries and share three
processing calculate,
production of common NOS,
machineries for concentrate
various dairy and both the
producing and handle
Dairy products job role holders
dairy products pressure. The
Processing FIC/Q2 Dairy 3. FIC/N2007: are required to
4 4 such as filter, individual must
Equipment 002 Products Operate dairy operate various
separator, possess
Operator processing equipment in a
homogenizer, reading,
machineries dairy plant, we
pasteurizer, writing and
4. FIC/N2008: can create a
chiller, churner, communication
Complete NOS detailing
clarifier, skills.
documentation the
freezer etc. to In addition, the
and record competencies
filter, separate, individual must
keeping related unique to the
homogenize, have
to operating of job role of a
pasteurize, mechanical
dairy processing Milk Powder
cool, churn, aptitude and
equipment Manufacturing
clarify, freeze trouble
5. FIC/N9001: Technician and
milk shooting skills.
Ensure food include that in
safety, hygiene the Dairy
and sanitation Processing
for processing Equipment
food products Operator QP as
an optional
1. FIC/N2020: A Milk Powder A Milk Powder
NOS while the
Prepare and Manufacturing Manufacturing
other NOSs will
maintain work Technician is Technician
be compulsory
area and process responsible for must have the
NOS.
machineries for production of ability to plan,
production of milk powder organize,
Milk milk through the prioritize,
Powder powder process of calculate, The QPs belong
FIC/Q2 Dairy
5 Manufacturi 4 2. FIC/N2021: filtration, concentrate to the same
006 Products
ng Production of standardization and handle sub-sector and
Technician milk powder , pressure. The have NSQF
3. FIC/N2022: pasteurization, individual must level 4.
Complete homogenizatio possess
documentation n, evaporation reading,
and record and drying by writing and
keeping related operating communication
to production of various skills. In

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QP NSQF Sub Brief Job Personal Feedback

S.No. QP Name NOS Name
Code Level Sector Description Attributes Remarks

milk powder machineries addition, the

4. FIC/N9001: following individual must
Ensure food specifications have
safety, hygiene and standards mechanical
and sanitation of the aptitude and
for processing organisation. trouble
food products This role is shooting skills.
similar to
production of
milk powder in
semi-
automated and
fully automated
units

1. FIC/N0101: These QPs are

Prepare and from the same
maintain work A Squash and A Squash and sub-sector i.e.,
area and process Juice Juice Fruits and
machineries for Processing Processing Vegetables and
squash and juice Technician is Technician have the same
processing responsible for must have the NSQF level of 4.
2. FIC/N0102: preparation of ability to plan,
Prepare for squash and organize, Based on the
production of juice from prioritize, study of PCs,
squash and juice fruits through calculate and KU and GS in
3. FIC/N0103: the process of handle the three QPs,
Squash and Fruits
Produce Squash receiving, pressure. The we have
Juice FIC/Q0 and
6 4 and Juice checking raw individual must established
Processing 101 Vegetable
4. FIC/N0104: material possess that most of the
Technician s
Complete quality, sorting, reading, core
documentation pulping, writing and competencies
and record extracting juice, communication are similar
keeping related pasteurizing, skills. In these job roles
to production of filtering, addition, the and
squash and juice sampling for individual must interconnected,
5. FIC/N9001: quality have stamina such as sorting,
Ensure food analysis, filing, and pulping,
safety, hygiene packaging and professional pasteurizing,
and sanitation storing. hygiene. packaging, etc.
for processing
food products

1. FIC/N0109: A Jam, Jelly and A Jam, Jelly and Therefore,

Prepare and Ketchup Ketchup instead of
maintain work Processing Processing keeping three
area and process Technician is Technician separate QPs
machineries for responsible for must have the (i.e., Squash
Jam, Jelly
Fruits jam, jelly and processing ability to plan, and Juice
and
FIC/Q0 and ketchup fruits and organize, Processing
7 Ketchup 4
103 Vegetable processing vegetables to prioritize, Technician;
Processing
s 2. FIC/N0110: make jam, jelly calculate and Jam, Jelly and
Technician
Prepare for and ketchup by handle Ketchup
production of receiving, pressure. The Processing
jam, jelly and checking raw individual must Technician; and
ketchup material possess Fruit Pulp
3. FIC/N0111: quality, sorting, reading, Processing

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QP NSQF Sub Brief Job Personal Feedback

S.No. QP Name NOS Name
Code Level Sector Description Attributes Remarks

Produce jam, pulping, writing and Technician), we

jelly and ketchup pasteurizing, communication can merge
4. FIC/N0112: cooking, juice skills. In these into one
Complete extracting, addition, the QP covering the
documentation clarifying, individual must competencies
and record filtering, have stamina in separate
keeping related sampling for and NOSs, as
to production of quality professional appropriate.
jam, jelly and analysis, hygiene.
ketchup cooling,
5. FIC/N9001: packaging and
Ensure food storing.
safety, hygiene
and sanitation
for processing
food products

1. FIC/N0120:
Prepare and
A Fruit Pulp
maintain work
Processing
area and process A Fruit Pulp
Technician is
machineries for Processing
responsible for
production of Technician
pulping/produ
fruit pulp must have the
cing fruit pulp
2. FIC/N0121: ability to plan,
through the
Prepare for organize,
process of
production of prioritize,
receiving,
fruit pulp calculate and
ripening,
3. FIC/N0122: handle
checking raw
Fruits Produce fruit pressure. The
Fruit Pulp material
FIC/Q0 and pulp from individual must
8 Processing 4 quality, sorting,
106 Vegetable various fruits possess
Technician washing,
s 4. FIC/N0123: reading,
cutting/slicing,
Complete writing and
deseeding/dest
documentation communication
oning, pulping,
and record skills. In
pre-cooking,
keeping related addition, the
sterilizing,
to production of individual must
aseptic
fruit pulp have stamina
packaging or
5. FIC/N9001: and
canning,
Ensure food professional
sampling for
safety, hygiene hygiene.
quality analysis
and sanitation
and storing
for processing
food products

1. FIC/N1001: A Chief Miller A Chief Miller These 2 QPs

Prepare and manages the must have the cover similar
maintain work milling process ability to plan, competencies
area and process for all types of organize, in supervisory
Food machineries for grains prioritize, roles. The
FIC/Q1
9 Chief Miller 6 Grain grain milling overseeing calculate, competencies
001
Milling 2. FIC/N1002: activities such concentrate include
Prepare for the as handling of and handle overseeing the
milling process various milling pressure. The operations of a
and manage it machineries, individual must grain mill such
3. FIC/N1003: maintenance of possess as smooth

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QP NSQF Sub Brief Job Personal Feedback

S.No. QP Name NOS Name
Code Level Sector Description Attributes Remarks

Complete process reading, functioning of

documentation parameters, writing and machineries at
and record inspection of communication the mill and
keeping related raw material skills. In achieving the
to grain milling and finished addition, the set quality
4. FIC/N9001: goods to individual must standards
Ensure food achieve the have while ensuring
safety, hygiene desired quality mechanical adherence to
and sanitation and quantity of aptitude and the applicable
for processing products. trouble health and
food products shooting skills. safety
5. FIC/N9004: standards.
Manage and lead
a team

1. FIC/N1004: Therefore, the

Prepare and 2 QPs can be
maintain work A Milling merged into
area and process Technician one that will be
machineries for must have the titled Chief
execution of the A Milling ability to plan, Miller with
grain Technician is organize, NSQF level 5.
milling process responsible for prioritize,
2. FIC/N1005: the milling of calculate,
Grain milling all types of concentrate
3. FIC/N1006: grains such as and handle
Complete rice, wheat, pressure. The
Food documentation pulses, etc. to individual must
Milling FIC/Q1
10 5 Grain and record achieve the possess
Technician 002
Milling keeping related desired quality reading,
to execution of and quantity of writing and
the grain milling products while communication
process maintaining skills. In
4. FIC/N9001: food safety and addition, the
Ensure food hygiene in the individual must
safety, hygiene work have
and sanitation environment mechanical
for processing aptitude and
food products trouble
5. FIC/N9004: shooting skills.
Manage and lead
a team

1. FIC/N1007: A Grain Mill A Grain Mill Merging these

Prepare and Operator Operator must 2 QPs, name
maintain work carries out have the ability will be Grain
area and process processes such to plan, mill operator
machineries for as cleaning, de- organize, Level 4
Food operating a stoning, de- prioritize,
Grain Mill FIC/Q1 grain mill calculate,
11 4 Grain husking,
Operator 003 2. FIC/N1008: concentrate
Milling hulling,
Prepare for and handle A study of
polishing and
production of pressure. The Grain Mill
grinding to
products from individual must Operator and
produce milled
various grains possess Pulse
grains and
3. FIC/N1009: reading, Processing
flour(s).
Operate grain writing and Technician QPs

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QP NSQF Sub Brief Job Personal Feedback

S.No. QP Name NOS Name
Code Level Sector Description Attributes Remarks

mill communication has established

4. FIC/N1010: skills. In that these QPs
Complete addition, the cover the same
documentation individual must competencies
and record have such as
keeping related mechanical cleaning, de-
to operating a aptitude and stoning,
grain mill trouble dehiscing,
5. FIC/N9001: shooting skills. polishing
Ensure food grinding etc.
safety, hygiene
and sanitation
for processing
Therefore,
food products
these QPs can
1. FIC/N1011: be merged into
Prepare and one, with
maintain work A Pulse A Pulse separate NOSs
area and process Processing Processing covering grain
machineries for Technician is Technician is milling and
milling pulses responsible for responsible for pulse
2. FIC/N1012: milling various milling various processing.
Prepare for types of pulses types of pulses
production of (red gram, (red gram,
pulses black gram, black gram,
3. FIC/N1013: bengal gram, bengal gram,
Pulse Food Carry out milling green gram, green gram,
FIC/Q1
12 Processing 4 Grain of pulses green peas, green peas,
004
Technician Milling 4. FIC/N1014: etc.) through etc.) through
Complete processes such processes such
documentation as cleaning, de- as cleaning, de-
and record stoning, stoning,
keeping related conditioning, conditioning,
to milling pulses dehusking, dehusking,
5. FIC/N9001: splitting, splitting,
Ensure food sorting, sorting,
safety, hygiene polishing and polishing and
and sanitation grinding. grinding.
for processing
food products

1. FIC/N3008: The individual A meat and These two QPs

Prepare and is responsible poultry share three
maintain work for processor must common NOS
area and process eviscerating, be able to read and both the
machineries for splitting, and write. S/he job holders are
meat & poultry cutting, must possess involved in
Meat and processing trimming and hand eye co- extracting and
FIC/Q3 Meat and 2. FIC/N3009: preparing meat ordination,
13 Poultry 4 processing of
004 Poultry Prepare raw and poultry dexterity, knife
Processor meat using the
material for using knives, techniques, relevant tools
meat & poultry cleavers, meat physical and equipment.
processing saws, etc. to the strength and
3. FIC/N3011: specifications stamina. In
Complete intended for addition, s/he
documentation commercial, must also be Therefore, the
and record industrial, able to lift QPs can be

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QP NSQF Sub Brief Job Personal Feedback

S.No. QP Name NOS Name
Code Level Sector Description Attributes Remarks

keeping related wholesale or heavy weights, merged into

to meat & retail sale. S/he stand for long one.
poultry is expected to hours, possess
processing maintain food good health
4. FIC/N9001: safety and and personal
The common
Ensure food hygiene in the hygiene and
NOSs can be
safety, hygiene work have an
kept as
and sanitation environment understanding
compulsory
for processing of food safety
NOS while meat
food products standards
processing,
1. FIC/N3010:
butchery,
Carry out
poultry
butchery of meat
dressing, offal
2. FIC/N3017: collection and
Carry out utilisation as
poultry dressing electives. Offal
collection and
1. FIC/N3012: utilisation can
Prepare and be covered in a
An Offal
maintain work single NO.
An Offal Collector and
area and process
Collector and Utilizer must be
machineries for
Utilizer is able to read
offal collection
responsible for and write. S/he
and
collecting offal must possess
utilization
from meat and communication
2. FIC/N3013:
poultry and skills, hand eye
Prepare for offal
separating it co-ordination,
collection and
into edible and dexterity, knife
utilization
inedible offal techniques,
3. FIC/N3014:
by the process physical
Carry out offal
Offal of cutting, strength and
FIC/Q3 Meat and collection and
14 Collector 4 trimming, stamina. In
005 Poultry utilization
and Utilizer bleaching, addition, he
4. FIC/N3015:
skinning, must also be
Complete
flushing, etc. able to lift
documentation
S/he is also heavy weights,
and record
responsible for stand for long
keeping related
utilizing hours, possess
to offal
inedible offal to good health
collection and
convert it into and personal
utilization
edible and hygiene and
5. FIC/N9001:
inedible value- have an
Ensure food
added understanding
safety, hygiene
products. of food safety
and sanitation
standards
for processing
food products

Fruits 1. FIC/N7007: A Modified A Modified These two QPs

and Prepare and Atmosphere Atmosphere also share
Modified Vegetable maintain work Storage Storage common NOSs
Atmosphere FIC/Q7 s, area and storage Technician is Technician covering the
15 4
Storage 003 Dairy equipment for responsible for must have the same
Technician Products, modified storage of ability to plan, competencies
Meat and atmosphere various kinds organize, i.e., storage of
Poultry, storage of produce in a prioritize, various dairy

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QP NSQF Sub Brief Job Personal Feedback

S.No. QP Name NOS Name
Code Level Sector Description Attributes Remarks

Fish and 2. FIC/N7008: modified calculate and and meat

Sea Food Store atmosphere in handle products,
agricultural the storage pressure. The agricultural
produce in unit. S/he individual must and
modified carries out possess horticultural
atmosphere processes such reading, produce in a
storage as receiving the writing and controlled
3. FIC/N7009: produce, communication environment.
Complete assessing its skills. In Basis this, we
documentation quality, pre- addition, the can merge the
and record cooling, individual must two QPs.
keeping related creating have stamina
to modified ambient and
atmosphere temperature, professional
Both the QPs
storage pressure and hygiene
are from the
4. FIC/N9003: relative
same sub-
Food safety, humidity in the
sector and have
hygiene and modified
the same NSQF
sanitation for atmosphere
level.
storage storage unit.

A Cold Storage
1. FIC/N7010: Cold Storage Technician The
Prepare and Technician is must have the competencies
maintain work responsible for ability to plan, specific to a
area and handling organize, Cold Storage
refrigeration installation of prioritize, Technician can
equipment refrigeration calculate and be covered in a
2. FIC/N7011: system and handle separate NOS
Handle cold components, pressure. The that can be
storage facility refrigerant individual must kept as an
Fruits
for storing food charging and have a optional NOS.
Cold and
FIC/Q7 3. FIC/N7012: storage of food mechanical
16 Storage 4 Vegetable
004 Complete in the cold aptitude and
Technician s,
documentation storage room must possess
The job holder
and record by maintaining reading,
will also carry
keeping related storage writing and
out minor
to the cold parameters communication
repair and
storage facility such as skills. In
maintenance in
4. FIC/N9003: temperature addition, the
the storage/
Food safety, and relative individual must
cold storage.
hygiene and humidity in have stamina
sanitation for food processing and
storage units. professional
hygiene.

Table 197: Final list of QPs that can be rationalised

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Total number of active QPS post the recommend rationalisation by segment is given below -:

Sector Current Number of QPs Number of QPs post rationalisation

Bread and Bakery 6 3

Dairy Products 7 5

Fish and Sea Food 1 1

Food Grain Milling 6 4

Fruits and Vegetables 22 19

Meat and Poultry 3 2

Packaged Foods 3 3

Soya Food 1 1

Total 49 38

Table 198: Total number of active QPS post the recommend rationalisation by segment
Source: Feedback Analysis
Key Observations with respect to the QP content
Apart from the merging of QPs, it has been observed that existing NOSs need to be revised based on
the latest guidelines of the National Skill Development Corporation (NSDC). Following are the
observations in this regard:

 Many PCs are written in the format of learning outcomes. Learning outcomes are suited
for inclusion in Model Curriculums (MCs) while the competencies are supposed to be
activities that a job holder is supposed to carry out practically.

 There is a large scope of streamlining PCs wherein relevant PCs may be clubbed while
unnecessary PCs may be deleted.

 We need to also identify gaps in competencies and include the missing competencies.
Competencies unique to each job role need to be identified and included in the respective
QPs. In the present form, NOSs and PCs are very similar in all these QPs. This is a common
observation with respect to all the QPs in question.

 In many of the level 5 and above QPs, NOS titles need to be updated to reflect the nature
of the supervisory or managerial job role. Most of the present NOS titles in these QPs seem
to suggest that the supervisor or manager is carrying out level 4 or 3 activities instead of
overseeing or managing them.

 Knowledge and Understanding (KU) section in the QPs have many knowledge
requirements that are no longer accepted by NSDC Standards Team, such as ‘own job role
and responsibilities’ and ‘organisational policies’. KU must include components relevant
to the competencies listed in the respective NOS.

 Generic Skills (GS) largely include core competencies or knowledge requirement that
must be included in the relevant sections i.e., PCs or KU. Generic skills need to be written
as per the latest guidelines from NSDC.
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Chapter 24: Recommendations to

MOFPI
24.1. A 10-year action plan outlining the approach to mitigate the skill
gap and development of relevant skillsets for the future including
effective ways of undertaking skilling activities with public and
private sector involvement
Informal / Vocational Training
Unlike large firms, MSME firms do not have any major training infrastructure or capabilities to
train their employees and face the load of higher attrition levels. They need MOFPI support
immediately.
In the informal / vocational training, MOFPI has a very crucial role to play in developing the
skilling requirements of the industry for the current and in the likely future. The key action
points required to be implemented over the next 10 years is outlined below:
1. MOFPI needs to support creation of ‘MOFPI Authorised Center from Training (MACT)
in FP HUBS
MACT are essentially an employability enhancement initiative taken by MOFPI. These should
be made mandatory for all employees getting into the FP Sector in the near future. The skill
syllabus to be considered by MACT is to train and make candidates JOB READY with a 3 Month
training. This would largely be beneficial for MSME firms as they do not have the requisite
capacity / capability to train employees.
MOFPI needs to devise this program on the lines of the Production Linked Incentive Program
(PLI) Scheme and invite participation from firms to set up & operate these MACT Centers
with a subsidy element based on per student placed (for new students) OR the number of
Workers trained (for existing employees).
MOFPI could also strive to bring this MACT Program under the “National Apprenticeship
Program” Scheme (NAPS) implemented by Directorate General of Training (DGT) and National
Skill Development Corporation (NSDC).
a. MOFPI/FICSI to come out with a 3 Month Certified Training program which
consists of:
i. Common Syllabus and a most urgent requirement for all Sub Sectors
is the Food Safety & Hygienic Work practices. These centers could work
with FSSAI in this area. This needs to be immediately taken up.
ii. The Certification Program also includes Sub-sector wise specific
Syllabus such as Manufacturing process overview, key equipment used,
operations of these key equipment and Cleaning and handling of raw
materials etc.

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iii. An online Library could be created across all subsectors.

iv. This should include a 10-week classroom training along with a 2-week
onsite training in any Local FP unit (apprentice model)
v. Development of skill syllabus to be undertaken FICSI by taking
inputs from the industry experts, food technologist, and senior
members from the industry, food nutrition and science colleges in the
specific FP Hubs for MACT
vi. Curriculum and skill syllabus needs to in local language for the relevant
sub sector of interest in these regions.
vii. FICSI to undertake the development of a special Training Program for
“Trainers” who could be deployed in these MACTs.
viii. Empanelment of industry persons (superannuated) as certified trainers.
ix. Post competition of the Training Program, the individual could be called
as “MOFPI Certified FP Skilled Worker”
x. This course can also be targeted to the existing workers, as a refresher
course to be updated on the latest trends in FP industry
xi. Once MACTs are established, the existing employees in the FP Units
could also be sent here to get a Certified Training from these schools.
b. MOFPI needs to aim to invest and set up these MACTs in most FP Cluster Hubs /
Districts in the country. Our research has estimated 120+ FP Clusters / Districts
in India as shown below:
c. The ideal implementation plan should be as given below:

Immediate 2nd & 3rd 4th to 6th 6th to 10

Year year years
Training Top 25 districts in Top 120 Top 200 New
infrastructure the Country districts in districts in upcoming
to be set up the Country the Country Clusters /
districts
Table 199: MACT : Implementation Plan
Some suggestions for implementation:
i. Local Hiring from areas surrounding FP Hub should be encouraged
rather than migrant labor from far off states for these FP Finishing
Schools.
ii. Need to come up with an incentive-based approach to encourage
more women to join the FP industry in these clusters (Stipend / Job
guarantee / Free training / Safety kit etc.)
d. MOFPI could consider using the FOSTAC courses undertaken by FSSAI included
in this MACT program and the IIFPT-Incubation centre be used as a training
centre for skill development under this program

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2. Skill-gap focus for Large, & MSME firms

Based on discussions with the processing plants and SMEs, Feedback has identified 78 Job roles
from these 11 sub sectors and 14 additional emerging job roles (overall 92 job roles) that will
create significant employment between FY’20 and FY’30. MOFPI and FICSI needs to create
relevant vocational training programmes for these identified job roles. These job roles are spread
between NSQF level 3 & NSQF level 6. Below table enumerates the job roles identified in each sub-
sector.

NSQF Level
Sub-Sector NSQF Level 4 NSQF Level 5 NSQF Level 6
3
1. Oven Operator or Baking
Equipment Operator
Bread & 2. Bread Slice Machine Operator 1. Bakery
Bakery 3. Ingredients Process Mixers Processing Plant 1. R&D Manager
Products Operators Supervisor
4. Flow Wrapping / Flow-Pack
Machine Operator
1. Bulk Milk Cooler Operator
2. Milk Pasteurization Plant
Operator
1. Dairy
1. Machine & 3. Paneer Press Machine Operator 1. R&D Manager
Dairy Processing Plant
Truck 4. Form Fill Seal Machine 2. Inventory
Products Supervisor
Cleaners Operator Manager
2. Data Analyst
5. Container Filling Machine
Operator
6. Ice Cream Manufacturer
1. Defrosting & Washing Machine
Operators
Fish & 1. Shell 1. Fish & Seafood
2. Filleting & Cutting Machine 1. Warehouse
Seafood remover and Processing Plant
Operator Manager
Processing Cleaner Supervisor
3. Squid Pressing Machine
Operator
1. Freeze Drying & Dehydrating
1. Grader, 1. F&V
F&V Equipment Operator 1. Fruit
Sorter & Processing Plant
Processing 2. Bottling / Pouch Plant Operator Technologist
Cleaner Supervisor
3. Jam and Jelly Producer
1. Animal
Attendant 1. Slaughtering Line Operator
2. Meat & 2. Meat Mincer Operator
Meat & 1. Meat & Poultry 1. Veterinarian
Poultry Pre- 3. Thermoforming, Traysealing,
Poultry Processing Unit 2. Storage
Processor Horizontal Flow Pack, Vertical
Processing Supervisor Manager
3. Deboning Flow Pack and Stretch Film
& Slaughter Machine Operator
Butcher
1. Milling machine operator
1. Grain & 2. Flour Packaging Machine
Oilseed Operator
1. Mill
Milling Cleaner & 3. Oil Pouch Packing Machine
Supervisor
Pre- Operator
processor 4. Rice Mill Operator
5. Wheat Flour Mill Operator
1. Coffee Huller Operator 1. Tea & Coffee
Beverages
1. Tea Taster 2. Dryer / Roaster Plant Operator Processing Plant
(Tea & Coffee)
3. Dosing, Filling, Weighing and Supervisor
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NSQF Level
Sub-Sector NSQF Level 4 NSQF Level 5 NSQF Level 6
3
Sealing Machine Operator
4. System Administrator
5. Spray Dryer Operator
6. Freeze Dryer Operator
1. Freeze Drying Machine
Operator
RTE & RTC 1. Ingredient 1. RTE/RTC
2. Pick-Fill-Seal Machine Operator
Products Preparator Plant Supervisor
3. Food Extruder Machine
Operator
1. Soya Milling Machine Operator
1. Soya Seed 2. Soya Nugget Machine Operator
1. Soya
Soya Cleaner & 3. Flour Packaging Machine
Processing Plant
Processing Pre- Operator
Supervisor
Processor 4. Oil Pouch Packing Machine
Operator
1. Grinding & Blending Machine
Operator
2. Pouch Packaging Machine
1. Grader & Operator 1. Spice Plant
Spices
Sorter 3. Steam Sterilisation Machine Supervisor
Operator
4. Cryogenic Grinding Machine
Operator
1. Refrigeration Plant Operator
2. Cold Storage & Refrigeration
Plant Mechanic 1. Cold Storage
Cold Chain
3. Material Handling Equipment Supervisor
Operator
4. Reefer Truck Driver
1. Helper /
1. Food
Common Job Floor Cleaner 1. Food Safety &
Laboratory
Roles / Loader & Hygiene Manager
Assistant
Unloader
Table 200: MACT : Job roles which will create significant Employment across sectors between FY'20 & FY'30
Apart from the above job roles Feedback has also identified 14 New job roles which are likely to
emerge in the Food processing sector in the areas of Industry 4.0, New product development
specialist, Food Fortification, Packaging – Smart packaging & Food labs – Testing. The
details for the same are listed below -:

NSQF
Emerging Area Job Role Brief Description
Level
A Data Analyst - Food Industry is responsible for collecting,
modelling and structuring a variety of data in the food
industry to extract useful information, trends, patterns and
Data Analyst
other necessary metrics that can be converted into insights, to
- Food 5
be used for making better business decisions and market
Industry
Industry 4.0 strategies. The individual uses a variety of data management
tools along with relevant Industry 4.0 and Internet of Things
(IoT) technologies for effective data handling and analysis.
A Food Analytics and Insights Manager is responsible for
Food
6 building and managing business performance dashboards and
Analytics and
reporting on various business issues to relevant stakeholders
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NSQF
Emerging Area Job Role Brief Description
Level
Insights providing appropriate analysis and conclusions. The
Manager individual uses a variety of data science tools for performing
these duties and manages a team of data analysts.
Supply Chain
A Supply Chain Manager is responsible for planning,
Manager -
implementing, and monitoring organisation's overall supply
Traceability 6
chain strategy including development and execution of
and Product
strategies to maximise efficiency and productivity.
Recall
A Factory Automation Engineer is responsible for executing a
Factory range of engineering solutions from single loop control to the
Automation 5 installation and programming of distributed control system,
Engineer such as system integration, turnkey project execution,
process engineering, etc.
A Food Product Development Manager is responsible for
developing variety of food products such as nutraceutical
Food Product products, extruded products, foods for special dietary
Development 6 requirement, nutritional supplements, bakery products,
Manager cereals, beverages, etc. The individual manages the complete
process of product development, from laboratory
experiments to commercial production.
New product A Molecular Gastronomist is responsible for carrying out a
development specific type of cooking in which special tools and techniques
Molecular
specialist 4 are used to produce food non-conventional ways, involving
Gastronomist
the use of equipment such as vacuum chambers and unusual
ingredients that cause food to react in unusual ways.
A Food R&D Specialist works on research and development of
food items to develop new and improve existing food
Food R&D
5 products. This includes processes such as sensory evaluation,
Specialist
recipe optimisation, and other applicable food development
and processing technologies.
A Food Fortification Research Associate is responsible for
Food conducting research to evaluate the efficacy of consumption
Fortification of food items fortified with certain micronutrient such as
4
Research vitamins and minerals in selected age groups of the target
Associate audience. The individual conduct research in coordination
with food scientists.
Food Fortification A Programme Policy Officer - Food Fortification is responsible
for large scale food nutrition and fortification program
Program
implementation. The individual is responsible for leading the
Policy Officer
7 assigned project at different stages of its life cycle including
- Food
planning, execution, monitoring and evaluation. The person
Fortification
manages a team of coordinators and ensures smooth delivery
of food fortification projects.
A Packaging Engineer develops effective designs packaging
that is functional, cost-effective, and fits the project’s brief.
The individual generates ideas and concepts, testing different
Packaging – Smart Packaging
5 designs, working with the relevant teams during the
packaging Engineer
manufacturing process, and reviewing the efficiency of the
final packaging. The person uses innovative and smart
designing technologies for the purpose, such as embedded
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NSQF
Emerging Area Job Role Brief Description
Level
sensor technology to extend product's shelf life, monitor its
freshness, display information on quality, and improve
product and consumer safety.
A Packaging Technologist assists in the process of designing,
developing and manufacturing packaging for a range of food
Packaging products. The individual works in coordination with the
4
Technologist Packaging Engineer and helps in developing new packaging
products as per the prepared briefs, ensuring compliance
with the applicable quality standards.
A Food Lab Analyst is responsible for conducting various
Food Lab standardised tests to determine the chemical, physical, or
4
Analyst microbiological features of a variety of food products to
determine their suitability for human consumption.
A Food Scientist is responsible for conducting research to
develop and test different ingredients and food items, ensuing
Food labs – Testing
they are safe for humans’ consumption. In the process, the
Food individual applies knowledge of life and physical sciences to
5
Scientist create new technologies and methods of food production,
processing, and packaging. The person is also responsible for
ensuring the finished product meets the standards of quality
and safety as per the applicable food laws and regulations.
A Food Technologist is responsible for planning the
production of food and drink products and may work in a
Food wide range of settings, including hotels, factories,
5
Technologist laboratories, etc. The individual is responsible for the safe and
efficient development, modification and manufacture of food
products and processes.
Table 201: New Job roles created by Impact of other key factors
The typical skills required at each level in each of these sub sectors in given in each of the sub
sectors report in the annexure. An example of the same for one sector is shown below here for
easy understanding:

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Bread & Bakery Sector

Figure 206: Bread & Bakery Sector: Skill Sets required across multiple levels in the sector
The typical career progression for each of these levels is show below:
Career Progress Chart

Figure 207: Career Progress Chart

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3. Skill-gap focus for Micro enterprises, Startups and Entrepreneurship firms

Specifically for the Micro enterprises, the Government of India has come up with a major scheme
to uplift and formalize the Micro enterprises in Food Processing, this is called as PM
Formalisation of Micro Food Processing Enterprises Scheme (PM FME Scheme). This is
being set up for providing financial, technical and business support for upgradation of existing
micro food processing enterprises and targeted at nearly 200,000 enterprises
Under this scheme, there is a specific provision for helping the identified Micro enterprises with
the required skills and training. This is part of the ‘Capacity Building & Research’ objectives of
the Scheme.
From the 78 Job Roles identified earlier, not all the job roles will be applicable for Micro
enterprises as they are very small in size and may not have so many roles. But specific job roles
only in each sub sector given above could be used to train these micro enterprises. There
could be certain new Job roles / Skill gaps existing in these Micro enterprises which needs to be
evaluated in detail for each of the Products identified under this Scheme.
If MOFPI / FICSI is able to provide the QP’s for the above Job roles, the same could be used to
address the training requirement of Micro Enterprises as well (specific roles only).
Apart from the above Job roles, most Micro Enterprises, being proprietary run, would also need
some specific skills training such as:

 Entrepreneurship development, essential functions of enterprise operations, marketing,

bookkeeping, registration, FSSAI standards, Udyog Aadhar, GST Registration, general
hygiene, etc.
 Specific training designed for ODOP product, or the product produced by the unit
including operations of necessary machines, hygiene issues, packaging, storage,
procurement, new products development etc. (this could be taken from the Skills
Syllabus of the MACTs as described above)

4. Development of Qualification Packs

a. FICSI currently has 49 nos. of QP’s which are now rationalized to 38 nos.
b. In this report, we have identified 92 number of job roles for which there needs
to be a QP development program.
c. FICSI needs to identify new Job roles and develop QP’s for each Sub Sector once
in 2-3 years to meet the emerging requirements.

5. Industry Labour Portal

a. Trained workers Portal (e.g., FPNaukri.com) to be introduced at the earliest and
all trained workers database needs to be maintained at a District / cluster level
– Need to work towards making this as a ‘One-stop-shop’ for FP Labour /
employees’ recruitment for the industry
b. Industry members could visit the portal and search the required profiles and
connect with them to recruit their employees.

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c. AI based algorithms need to be developed for easier matchmaking and

facilitating selection and employment confirmation
6. FP Sector Manpower requirement planning
a. This report presents the likely Job creation opportunities over the next 10 years
and sets out this requirement at a State level and Sector level. It is estimated that
currently there are 14,61,590 employees in the FP Sector which is likely to
increase to 28,02,848 employees by 2030.
b. We would recommend that a revisit of this sector needs to be undertaken every
5 years to adjust the manpower planning for such a huge Sector with visible
dynamic changes all round.

7. Need to work with the Industry in PPP mode

a. Specifically with the Food Processing Equipment Companies, MOFPI / FICSI
needs to have a tie up and have a pool of resources / QP’s and training programs
to address the Maintenance Training requirements in each Sector.
i. With most medium & small food processing companies having an
automated line, it is important that several small-time repair and
maintenance works are attended without calling the equipment
companies. Most equipment companies are willing to contribute to
designing a course which can address this need and also help in training
the initial batches which can then be replicated. This can help the
companies reduce the down time and overall service costs.
b. MOFPI / FICSI needs to work with select large Companies in each sector and see
if their existing resources – Training methods / systems could be used for helping
MSME firms in the given sectors – For E.g., Suguna Poultry has developed a
comprehensive Training Programs for all their employees on the Farm to
Processing to End Markets value chain and MOFPI / FICSI needs to see if some of
these best practices needs to be taken to smaller MSME players in the Poultry
segment.
c. Automation Equipment OEMs should compulsorily conduct Specific training
programs with Hands On training on their Product application and Operation of
the system.
d. FICSI could work with each Sub-Sector Industry Association on a periodic basis
to assess if there are any other areas of Training which needs to be included for
their Sub-Sectors.

8. Development of Online / Smart Phone based specific Training and Certification

programs for the MSME & Entrepreneurs in Start-up units.
Indian Food processing industry is widespread and has units across the country and even in
smaller towns. Formalized training either by FICSI or any other agency is limited to certain

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towns and cities only. An Online Training and Certification Program can help in widespread
reach in a much shorter time.
Some basic and specific subjects could be taken up for development of these Online / Smart
Phone based training programmes. These could be:
1. Food Safety and Hygiene – Do’s and Don’ts
2. Basic course on Machine operations
3. Basic course on Machine Maintenance
4. Basic course on Packaging etc.
5. Specific entrepreneurship programs in niche areas such as Bakery Craft, Chocolates,
Dairy Cheese / Paneer etc.
For example – Asscom Institute of Bakery Technology & Management is running a Certified
Bakery Science & Technology (BST) Online training course of 126 sessions of 1.5 hours each for
63 days.

9. Government of India should fund prospective companies to implement Industry 4.0

solutions and also provide for upskilling of employees.
Industry 4.0 gives the results based on various sensors installed in the system related to
productivity per shift; idle machine time and idle manpower; etc. which would allow
companies to take corrective measure to increase their productivity. This increased
productivity will also require higher skilled personnel to implement and monitor the
Industry 4.0 solutions.

 Currently the plant automation and advanced technology are being implemented
by the large companies. Certain incentives for small and medium enterprises
will definitely boost the implementation for the benefit of the industry.

 There is a tremendous scope for increase in skilled manpower for these

Industry4.0. Current employees lacking such skills could be ideally upskilled to
retain their employment.

10. Awareness creation

 One of the most common complaints coming out was the lack of awareness of
any training programs for the Sector across the country

 MOFPI / FICSI needs to invest in making the right awareness creation tools such
as advertising in vernacular / local newspapers / sponsoring & participating in
certain sector specific events / seminars and exhibitions and specifically in States
like Tamil Nadu where regional Television Channels have a very high recall rate,
even consider Multimedia advertisements.

 Digital and Social Media tools could also be explored.

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 Information on the ‘Potential’ and ‘Growth prospects’ of the FP sector in India

needs to be communicated more frequently and in the right medium / language
attracting more workers into the sector.

Formal Training
In our formal education system, the Food Processing Sector is hardly covered, and it is now
required to be recognized as a key contributor to a nation’s economy and needs to be formally
included in our education system. There is a pressing need to mainstream and get “Food
Processing” and Information about key Subsectors in our Formal Education systems - 8th
Standard onwards.
Our discussions with various SME’s and the industry in general gives us a sense that it is high
time the Government of India develops manpower from a very early age and shows a career path
to many of our students in the FP sector as the contribution of the FP is immense and likely to
play a far more important role as we grow as a nation. It was also realized that we need to think
about this very differently than our current formal education system to be more industry
friendly than being an academic one. Our logic is explained below:

 The current route to graduation (10+2+3) in Science/Commerce/Humanities

creates a corpus of generally educated candidates who have no specific sectoral
approach from the industry point of view.
o Industry is far from the horizon of the minds of these candidates.
o For the Industry “Employability” of these candidates is critical.
o The current industry need is to have (or create) a corpus of professionally
educated candidates at various levels of employment in the industry without
spending months in training & teaching the essentials of Food Processing.

 We propose a 10+3Y Diploma or 10+4Y graduation course specifically for the Food
processing sector.
o Candidates passing these courses (10+3Y Diploma or 10+4Y Graduation)
Integrated course (refer the table below) will have a very updated understanding
of Food Processing equipment, key processes, and systems.
o They will also have a good idea of their prospects and positions in the industry,
their roles and work expectations.
o Certain universities are already running B VOC courses – this needs to be
strengthened

 With a 3 Month mandatory “Certified Training program”, such B.F.Pr. Graduates

are definitely “Employable” and can be productive on the job within 1 Week of
induction & orientation in the Factory on the job.

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We present below a roadmap for formalizing Food Processing Education in India in the Table below:

Level Overview Syllabus suggestions Methodology

 Conceptual understanding of food  Introduction To food Chain  Visual movies on Food Production
chain, RM conversion & Distribution
 Concept of Sub-Sector  Factory visits
 All conceptual Understating Only
Schools – 8th /  Part of Social Studies Subject / EVS  Gradual increase in intensity from 8th to
9th / 10th 10th at least 10 visits in 3 years to at
 Food Safety, Diseases arising out of
Standards least 1 Visit / Sub Sector (if possible,
unhygienic Food & Process
nearby else whatever is available in the
district)
 NO EXAM
 First 2 Years common syllabus  Covers all 10 subsectors in first 2 years  4 Months / Year in plant work of which
1 month is on field
 3rd Year specialization in 2  Food Science / Chemistry in each subsector
subsectors  6 month / Year classroom study
 Food Processing steps in each sector
-------------------------  Final year focus is on 2 sub sectors only
 Food Processing testing
Diploma – 3  Employed at operator level
years  Food Safety – Common to all sectors
 Can rise up to Sr. Executive (1 line
 HACCEP Fundamentals -Food Preservations
below Manager category)
Techniques
 Food Processing equipment
 Cold chain /Food Preservations
 Food Processing Processes  Covers all 10 subsectors  3 Month/Year In-plant training in first 2
Years
Degree – 4  Innovation  Details of Production / QC / Testing in each
years subsector  6 Months In-plant training + on field
 Engineering concepts
training for Y3 and Y4
 And all others at Diploma level

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Level Overview Syllabus suggestions Methodology

-------------------------  Production Planning / Production analysis / 10 assignment /Year 1 assignment per
Data Analysis / storage / Food Engineering / month on a specific topic related to the
 Starts as an Asst. Manager
Equipment syllabus.
 Can rise up to Regional Manager,
 Food Preservation Technology – Canning /
Branch Manager
Chilling /Fermentation / Pickling etc.
 Food Technology - Research  2 streams: Research and Business  Internship: 6 Months / Year
Specialization Management
 Classroom: 4 Months / Year
 Food Processing - Marketing &  R&D: separate syllabus on Research
 Improvement Project: 1 workable,
Business Development
 Business management: Separate syllabus of Innovative and answers customers’
------------------------- MBA unmet needs
Postgraduate
– 2 years  Starts as Regional Manager
 Branch Manager
 Factory Manager
 Production Manager
 Can go up to Director / GM / VP

Table 202: Roadmap for formalizing Food Processing Education in India

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The entire 10 year action explained above is summarised in this Chart below:

Diploma in Food Employed in FP

Employed as Helpers, Processing MOFPI Industry up to
Loaders, Semi-Skilled Authorised
Operators of Center for Sr. Executive or Asst.
3 year course
Mechanical MHE Training Manager Level
(MACT)
Dip.FPr

Degree Course
SCHOOL Employed from
th Integrated 4 year Executive to Regional
MOFPI Passed 10
th th Course Manager /Branch
Authorised Center for Std. 8 /9
Training (MACT) Manager
/10th Bachelor – Food
Processing

Employed from
On Job
Post Graduate education &
School Asst. Manager to
Executive
Dropouts M FPr-MBA General Manager –
Industry Current Management
th M-FPr- Mfr. Business
unskilled workers after 7 Std. Learning
2 Year PG Course
OR Production /R&D

Figure 208: Summary of the 10-year action plan

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Sub-Sector level Action Points

Bread & Bakery Products
Considering the nature of the industry which is highly fragmented with more than 3,00,000
bakeries which is growing every year, the sector has huge potential for training. In addition,
there is huge requirement of R&D Professional in Bakery Industry. Also, it is to be noted that
more 30,000 Indian Bakery Chefs/Technologists are working in abroad. There are lots of
opportunities of Indian bakers in international market.
Training the Candidates on Multi Functions

 Multiskilling is the key by introducing them to multiple skills required by the industry so
that the employee can be filled in across any functions. Also, at the minimum, people need
to teach the basics of milling and further processing which will develop a much-rounded
skill set in bakery.
Specializations needs to be created in the formal training curriculum

 Currently there are no specialization offered to students to choose their interest area /
career in specific sub-sectors within food processing industry. It is expected that creating
such specializations will create more customized curriculum, training and practical
knowledge for the students and they will be job ready when they join any processing
company.
Visibility of Training Institutes offering technicians.

 With the limited awareness of the institutes offering bread and bakery product training
programs, it is expected that more institutes to be operated across states. Introduction
of more online training programs to make skilling available at a National level
Food Safety related programs

 The food safety may be the first and foremost concept for the Government to give
training to each and every person. It becomes extremely important to sensitize
employees on the importance of maintaining stringent hygiene standards. This is one
area where the government needs to lay a lot of emphasis on.

Dairy Products
Formulation of Council and upgradation in academic qualification

 Formulation of professional council to promote, regulate and standardize Dairy

education in India and maintain register of dairy technologists in the pattern of Council
of Architecture, Veterinary Council of India etc.

 Further, the requirement to have a technical manager with science or technology as

qualification as per FSSAI to be partially modified to degree in dairy technology only.

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Formal training institutes are expected to offer intense practical training / internship.

 Formal training institutes are expected to change the curriculum based on the changing
needs of the industry. Moreover, it is expected that practical training or internship with
the dairy plant should be mandatory process for the graduation completion.
Need for Specialized Training Institutes across every state.

 With the limited awareness of the institutes offering dairy related vocational training
programs, it is expected that more institutes need to be operated across states. Institutes
can tie-up with the co-operative units to co-train the prospective manpower in the
sector. Specialized programs offering training across functions for the semi-skilled or
unskilled employees to be created.
Data Analytics – New jobs on Demand

 Dairy plants and other food processing sector deals with tons of data. These data have to
be used for the benefit of the company in terms of demand forecasting, raw materials
supply forecasting, productivity monitoring and optimize the machine running time,
predictive assessment of market, etc. Industry would need these skills going forward for
their self-growth as well as industry growth
Creating a portal listing of trained manpower

 Dairy plants are facing a major challenge in finding the skilled or semi-skilled employees.
Companies are expecting that FICSI can list down the students got trained for the QPs
generated by FICSI in their portal which can be accessed by the companies.

Fish & Seafood Processing

There are many training institutes on fisheries and aqua culture. But the institutes offering
training programs for the fish and seafood processing is very limited in India. Following are the
key expectations from the industry.
Need for Specialized Training Institutes in Key Clusters

 Specialized training institutes that cater to the needs of the fish and seafood processing
industry should be developed in the key clusters like Veraval, Kochi, Chennai, Ratnagiri,
Kolkata, etc.

 As on now, the fish and seafood processing companies have limited awareness about the
current training infrastructure in the country. There are various companies in the coastal
areas like Kochi, Veraval, Ratnagiri, etc. are ready to offer internship programs to train
the manpower.
Training Programs Focusing Operator Level Functions & Women Employment

 Around 80% of the total manpower perform operator level functions and 80- 90% of the
operator level employees are women employees. Almost 100% of these employees are
unskilled employees and on-the job training are provided to the employees

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 Training programs designed to these stakeholders (Women employees at operator

level), primarily focusing cleaning, sorting, grading, cutting, conditioning, wrapping, etc.
would benefit the industry.
Continuous Training

 Higher attrition among women employment drive for the continuous training support
for the industry. There will be less productivity in the industry for the specific months
every year when the fisheries are not allowed. Processing companies are expecting to
utilize those timelines for the training support for their existing employees.
Offering Practical Training Courses

 Offering certification at the lower level where the course involving practical work
experience in addition to academic study

Fruits & Vegetable Processing

Need for highly trained Fruit technologist & agronomist

 The industry current lacks ‘Fruit technologist’ who can play a major role in developing
new products for the market. Agronomist is also an extremely critical role. An
Agronomist can understand the details on the plant and the pesticide usage but is also
aware of the rules and regulations for the international markets.
Requirement for training on multiple techniques used in F&V processing

 There are multiple technologies that are used in the F&V processing like Freeze drying,
dehydrating, canning, packaging, etc. A trained worker who has the knowledge about all
these techniques along with the basic understanding of the F&V process (sorting,
grading, tip cutting, etc.) would be really helpful for the industry.
Training Programs on Industry 4.0

 The industry is witnessing an increased application of innovative technology to increase

productivity. Artificial intelligence (AI) is being implemented to examine fresh fruits and
vegetables for defects, and accurately predict the exact date of decay. Nanotechnology is
aiding in maintaining the freshness of perishables. Furthermore, grading robots are used
to evaluate the quality of the produce to minimize manual errors. Cold plasma, high-
pressure processing, irradiation, and radio frequency identification (RFID) are
technologies that are mostly used in the fruit and vegetable industry in India.

 With these technologies currently being implemented by the industry, it is important

that existing employees in the sector need upskilling and the freshers needs to be trained
with these technologies.
Visibility of Training Institutes offering technicians.

 Industries are aware of various training programs designed by FICSI for Juice Processing,
Jams/ Pickle / Dehydration / canning / ketchup processing etc. The challenge the
industry face is to source the trained manpower for F&V processing.

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 It is expected that more institutes are to be operated across F&V producing belts
(primarily Maharashtra) and these institutes are expected to have presence in Tier 2
cities for better reach.
Higher Emphasis on ‘Food Safety’ & Hygiene Related Programs

 ‘Food Safety’ should be the first and foremost subject, to be trained for any person getting
employed in the F&V processing. Prospective workers also need to be trained on how to
handle products and the steps involved in food processing.

Meat & Poultry Processing

Modernization of slaughterhouse would require trained manpower
Modernization of municipal slaughterhouse would require trained manpower for respective
operations. Certified capacity building programme should be introduced for veterinarians, meat
inspectors, butchers, etc. Training programmes could be conducted on various topics such as

 Butcher personal hygiene and care

 Meat inspection

 Meat stall management and environmental sanitation

 Care and maintenance of butcher tools

 Equipment hygiene
Introduction of Undergraduate programme and training of women manpower
Industry expects new Undergraduate programs in meat processing technology. Ministry needs
to focus on skill development programs for various job roles. This can help industries absorb
people directly from the institutes without any prior training programmes. Manpower trained
on automation will be a key factor for the development of this sector.
As of now, Women employees have limited role in the Buffalo meat processing. Initiatives needs
to be taken to improve the role of women in this industry. Industry is also working towards
introduction of value-added products in both Meat and poultry segments. These new products
will generate demand and in turn will generate employment for the sector.

Milling (Grains & Oil Seeds)

Training program with specific focus on the milling industry required.

 Within the Milling industry, there is a need to introduce basic courses on crushing, and
refining
o There can be additional courses on oil milling machines and basic functions of
these machines.

 Along with the basic course, there is need to train the millers on food safety along with
the GMP and HACCP practices

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Requirement for providing machine maintenance courses for Millers

 An example of good practice in US is the Association of Operative Millers (AOM) Kansas,

who conduct courses for a week on mill maintenance, quality and operation systems
which can be replicated in India to trained millers who are already employed in milling
industry and those who are interested in it. With most companies having an automated
line, it is important that several small-time repair and maintenance works are attended
without calling the equipment companies. Most equipment companies are willing to
contribute to designing a course which can address this need and help in training the
initial batches which can then be replicated.
Training the Candidates on Latest Technologies

 Candidates across functions are required to know various functionalities (Grain silo,
Milling, R&D, Warehouse operations, etc.). Increased use of automation and control
systems mean that engineering and computer skills needs to be adequate across level of
employees.

 The existing QPs of FICSI focuses on core functions of milling and they need to be updated
with the latest technology in the industry.
Visibility of Training Institutes offering technicians.

 There are very few institutes which are well known in the industry like CFTRI, CSMT
(Choyal School of Milling Technology) which offers technical programs on various
milling technologies. Industry expects more such institutes across the states. Some of the
Machine suppliers are ready to collaborate with the education institutes to offer practical
training at their plant.

 Joint efforts of all the stakeholders (MoFPI/FICSI; Machinery Manufacturers; Millers &
Education Institutes) will reduce the skill gap in the industry.

Beverages (Tea & Coffee)

Large-scale tea and coffee plantations and processors have started relying on unskilled migrant
workers due to unavailability of local workforce for processing. The medium, small and micro
tea and coffee processors currently work on a low level of mechanization and have opportunities
to have better machines that save time. This does not impact manpower requirement but
increases productivity.
Visibility of Training Institutes offering Technicians

 There are limited institutes, that are offering training related to Tea / Coffee Processing.
More training institutes needs to be set up across the Southern region, East & North East
(Tea & Coffee Processing clusters) part of the country. More online training programmes
need to be introduced to make skilling available at the National level.

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Sector Specific Job Roles

 As of now, there is no QP available with FICSI for tea / coffee processing. With the growth
in the sector, there is a scope for introducing specific job roles like Tea Taster, etc. Tea
Tasting is an important component of tea manufacturing and only few institutes across
the country offer a course on that. A relevant QP/NOS can be developed for this since a
considerable number of tea tasters are required in Tea clusters.

 There is also demand for System admins job in Tea or coffee garden offices for processing
of data in applications like FoxPro and other tools.

RTE & RTC Products

Upskilling of existing employees
With tremendous growth potential of the industry, there would be requirement of skilled
workforce at the entry and multiple levels. There are few areas where there are potential for
upskilling people.

 R&D skills

 Technology and Project Management

 Quality and food safety

 Legal and statutory

Practical Training – Mandatory for both formal & In-formal Training

 A program to make students / probable recruits’ industry ready before absorbing them
into the organization. Program to work very closely with industries. Every industry
needs to develop its own plans to work with academic institutes. Curriculum to include
the regulatory requirements as well. This will add value to the recruiting organization.
Need for Basic Operator Training specifically for RTE / RTC industry

 More requirements are coming up in the Electropneumatic and Mechatronic

technologies, which is required for automation. There are skill gaps within the current
work force. FICSI needs to look at new technology-based job roles such as freezing
systems, IQF, spiral freezers, packaging systems, chilling and cooling related like freon,
retort packaging, MATS etc. Need for basic ITI operators trained in the operating and
basic maintenance of the above equipment.
Higher Emphasis on ‘Food Safety’ & Hygiene Related Programs

 ‘Food Safety’ should be the first and foremost subject, to be trained for any person getting
employed in the RTE / RTC sector. It becomes extremely important to sensitize
employees on the importance of maintaining stringent hygiene standards.
Data Analytics – New jobs on Demand

 RTE / RTC sector deals with tons of data. These data have to be used for the benefit of
the company in terms of demand forecasting, raw materials supply forecasting,
productivity monitoring and optimize the machine running time, predictive assessment
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of market, etc. Industry would need these skills going forward for their self-growth as
well as industry growth.
Implementation support for Industry 4.0 and upskilling of employees

 RTE / RTC sector uses lots of automation in the current set up and also invests in new
technologies. Industry needs budgetary support for implementation of industry 4.0 and
upskilling of the existing employees on the latest technologies.

Soya Processing
Importance of Training

 Recruiting skilled manpower is a major challenge for this industry as there are limited
no. of companies. Training plays an important role not only for the fresh candidates, but
also for the existing employees. Industry expects to have a training program specific to
Soya processing and not just as a part of Milling module.
Training for Multi-Functions

 As soya have multi usage applications, the training programs are to be developed for the
Soya Processing and not just for applications like Bakery, Dairy, etc. Multiskilling would
be key so that the employee can be filled in across any function (Processing machinery,
packaging machinery operations, pre-processing, etc.)
Need for Practical Training

 Online training may not help here as the programme needs practical training. There
would be need for vocational institutes / training Centres at the clusters to solve the
manpower crisis of the industry.

Spices
Technology Increases Productivity & Manpower

 Currently the plant automation and advanced technology are being implemented by the
large companies. Certain incentives for small and medium enterprises will definitely
boost the implementation for the benefit of the industry.
Inclusion of curriculum / specialization on spice processing in Formal Education

 Within formal education, there is no specialization for spices and there is no curriculum
focused on spice processing. Processing companies are willing to assist institutes for
framing curriculum. The key expectations among these companies are to identify the
institutes in major states like Kerala to introduce such programs or specializations.
Visibility of In-formal Training Institutes offering Training Programmes for Spice
Industry

 As of now, spice processing technician is the only QP offered by FICSI. The challenge in
the sector is the limited awareness of such programmes or the institutes offering spice
processing technician and related vocational training programmes. There should be an
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effort to showcases the training being offered for the sector and more such institutes to
be operated across key states / clusters.
Higher Emphasis on Food Safety & Hygiene Related Programs

 Prospective workers also need to be trained on how to handle these spices and the steps
involved in food processing. The food safety may be the first and foremost concept for
the Government to give training to each and every person.

Cold Chain (Incl. Logistics)

Institutes offer a wide variety of courses, which includes undergraduate, postgraduate, diploma
and certificate courses in areas, such as supply chain management, warehousing and
transportation that includes a module on Cold Chain.
Need for Specialized Training Institutes focusing on Cold Chain

 Specialized training institutes that can cater to the needs of the Cold Chain industry
should be developed. Current infrastructure covers overall Logistics and Warehouse skill
development and not specialized programs for Cold Chain sector.
Collaboration with Equipment Manufactures and Cold Chain Industries

 Technical courses like refrigeration plant operators, mechanics and courses on new
technologies need to be introduced with combined efforts from equipment
manufacturers and the Cold Chain provides. Curriculum should be co-created with
recommendations from the cold chain service providers, equipment suppliers and other
stakeholders.
Creation of Training Infrastructure focusing on Tier-II cities along with Tier I cities

 Industry is expecting creation of regional training infrastructure covering Tier I and Tier-
II cities. Cold chain infrastructure is being created in tier II cities and the training
institutes growth to be correlated with it
Offering Sandwich Courses

 Offering certification or diploma programs at the lower level where the course involving
practical work experience in addition to academic study
o Example: If an institute offers 1 year program, it can be 6-month classroom
training and 6 months practical training or internship with the large and medium
cold chain service providers.

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Annexure

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Annexure 1: Additional Information on Food

Processing Industries

Over the years agricultural production in India has consistently recorded higher outputs across a
variety of products -:

 Cereals - second largest producer of food grains globally (284.95 million tons)

 Fruits & vegetables - Ranks as the second-largest producer of Fruits and Vegetables (F&V)
in the world (311.7 million tons)

 Milk - largest producer of milk globally (176.35 MMT)

 Meat - largest livestock population in the world (7.7 MT of meat produced annually)

 Poultry - around 95.2 bn eggs annually

 Marine - second largest fish producer in the world (12.60 million metric tons)
The Food Processing sector has been positively impacted due to an abundant supply of raw
materials, an increase in demand for food products. The industry has huge growth potential and
the country's agro-climate zones provide a fertile ground for various plant-based edibles that
cater to indigenous and global consumers.
Types of Food Processing
Food processing encompasses all the steps that food goes through from the time it is harvested
to the time it arrives on consumer’s plate. Processed foods can be classified into three types viz.
Primary, Secondary and Tertiary.
The primary processing includes basic cleaning, grading, and packaging as in case of fruits and
vegetables.
Secondary processing includes alteration of the basic product to a stage just before the final
preparation as in case of milling of paddy to rice.
Tertiary processing leads to a high value-added ready-to eat food like bakery products, instant
foods, health drinks, etc.
Most of the processing that is done in India can be classified as primary processing – done through
rice, sugar, edible oil, and flour mills etc.
Processing level by Sub sector

Level of Processing
Sub-Sectors Components
(Approx.)
Whole milk powder; Skimmed milk powder; Condensed
Dairy 35%
milk; ice cream; butter; ghee; cheese
Meat & Frozen; processed, preserved and canned mutton, beef, 20% Buffalo Meat
Poultry pork, poultry and others 6% Poultry

Fisheries Frozen and canned products mainly in fresh form 8%

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Level of Processing
Sub-Sectors Components
(Approx.)
Fruits and Beverages, Juices, Concentrates, Pulps, Slices, Frozen
Vegetables and dehydrated products, potato wafers and similar 2%
Processing products
Consumer Packed Food; Aerated Soft Drinks; packed drinking
NA
Foods water and alcoholic beverages

Grains & Flour, Bakeries, starch glucose, cornflakes, malted foods,

NA
Cereals vermicelli, malted extracts, grain-based alcohol

Table 203: Processing level by Sub sector

While packaged food is the fastest-growing segment posting a double-digit growth YoY, currently
only ~10% of its Agri output is being processed. Thus, given the high production levels along with
low processing rates, the sector presents huge opportunities.
Gross Value Addition by Food Processing Industries
During the last 5 years ending 2018-19, Food Processing sector has been growing at a Compound
Annual Growth Rate (CAGR) of around 11.62 per cent as compared to around 3.91 per cent in
Agriculture and 8.30 per cent in manufacturing sector at 2011-12 Prices.
There are 18 product categories or sub-sectors under the food processing sector. According to
the latest Annual Survey of Industries (ASI) for 2016-17, there are a total of 39,748 registered
units and 2,459,929 Unincorporated Enterprises in the Food Processing sector in India.

Sub Sector wise GVA (Rs. Cr) & No. of Registered Factories

20000
18000
16000
14000
12000
10000
8000
6000
4000
2000
0
Sugar (1072)

Meat (1010)
Grain mill products (1061)

Starches and starch

Alcohol from fermented

Farinaceous products

Wines (1102)
Dairy products (1050)

Bakery products (1071)

F&V Processing (1030)

Fish & Seafood (1020)

Prepared meals and dishes

Malt liquors and malt

Soft drinks; Mineral waters
Other food products n.e.c

Prepared animal feeds

Veg. & animal oils and fats

Sugar confectionery (1073)

products (1062)

materials (1101)

(1103)

(1074)
(1080)
(1079)

(1040)

(1075)
(1104)

No. of Factories (No.) GVA – Rs Cr

Figure 209: Sub Sector wise GVA (Rs. Cr) & No. of Registered Factories

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

With the widespread of HORECA and retail outlets and efforts to attract investment in cold chains
and food logistics, the food processing industry is expanding sales in every category of processed
foods increased significantly.
Industry sources estimate that over 400 million Indians regularly consume some type of
processed food. Urban areas account for over 75 per cent of sales, as consumers seek convenience
and quality. For higher-value frozen and refrigerated foods, sales are almost exclusively in urban
areas.
Rural areas tend to have lower incomes and a preference for fresh ingredients. Nevertheless, rural
areas are emerging as a market for well-priced, shelf-stable foods. Consumers in developed
markets are more open to the idea of packaged food, which manufacturers often position for
convenience, nutrition, and food safety.
State/UT-wise No. of Registered and Unincorporated Food Processing Units in India

In terms of the geographical spread of the food processing sector, Southern region has the highest
numbers of registered factories with 47% of the total registered factories in food processing
industries (Andhra Pradesh accounting for about 15% followed by Tamil Nadu accounting for
about 13% and Telangana accounting for about 10%)

Region wise share of Registered Food Processing Units (Base = 39,748)

Central North East

6% 4%
East
11%

South
West 47%
13%

North
19%

Figure 210: Region wise share of Registered Food Processing Units

Exports of Processed Foods

Indian agricultural/horticultural and processed foods are exported to more than 100
countries/regions; chief among them is the Middle East, Southeast Asia, SAARC countries, the EU,
and the US. However, India's total agriculture export basket accounts for a little over 2% of world
agriculture trade and Agricultural exports' contribution to India's GDP is also as low as 2%.

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Growth in Indian Agriculture exports (Million MT)

16.0 13.9 13.5

14.0
11.8
12.0
10.0
8.0
6.0 4.1
4.0 2.9 3.6
1.8 1.9 1.9
2.0 1.0 1.1 1.2
0.0
Fresh fruits & Processed fresh fruits & Animal products Cereals
Vegetables vegetables

2016-17 2017-18 2018-19

Figure 211: Growth in Indian Agriculture exports (Million MT)

Export Trend by Food Commodity
Majority of Indian exports are low value, raw or semi-processed and marketed in bulk which are
then processed in other countries, indicating the scope to move up the value chain. The share of
India's high value and value-added agro produce in its agriculture export basket is less than 15%
compared to 25% in the US and 49% in China

Overall Food Exports (INR Cr) and % share on total exports Value

200,000 179,433 173,222 8.0%

160,497
144,893
150,000 6.0%
6.2% 98,721
100,000 5.6% 4.0%
5.0%
50,000 3.8% 3.6% 2.0%
- 0.0%
FY 16 FY 17 FY 18 FY 19 FY 20 (Till Nov)

Total Food % Share of Food in Total Exports

Figure 212: Overall Food Exports (INR Cr) and % share on total exports Value
Employment in Indian Food Processing Industries
Food Processing Industry is one of the major employment intensive segments constituting
12.43% (at 3-digit of NIC classification) of employment generated in all Registered Factory sector
in 2016-17. According to the latest Annual Survey of Industries (ASI) for 2016-17, the total
number of persons engaged in registered food processing sector was 18.54 lakhs. Unregistered
food processing sector supports employment to 51.11 lakh worker as per the NSSO 73rd Round,
2015-16 and constitutes 14.18% of employment in the unregistered manufacturing sector.

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The trend from 2010 – 11 to 2016 – 17, is given in the chart below

Persons Employed in Registered FP Units

19.00 18.54
17.77 17.73 17.65
18.00 17.41
16.89
17.00 16.62

16.00

15.00
2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17
Persons in Lakh
Figure 213: Total number of Persons Employed in Registered & Un - incorporated units in the FP Units
Source: MOFPI Annual report
The overall employment in the Food Processing sector is shown below in the table:

Food Processing % Share of FP

Sector Overall Industry
Industry* Sector

Registered# (2016-17) 18.54 lakh 149.11 lakh 12.43

Un-incorporated
51.11 lakh 360.41 lakh 14.18
(2015-16) **

*: Includes food products and beverage segments

#: Source: Annual Survey of Industries 2016-17
**: Source: NSSO Report No. 582 (73/2.34/2) on Economic Characteristics of Unincorporated Non-Agricultural
Enterprises (Excluding Construction) in India; NSS 73rd Round (July 2015-June 2016)

Table 204: Past trends on the overall employment in the Food Processing sector

Government Initiatives

Food processing sector is seen to have a potential to provide alternate employment opportunities
to rural youth, who are currently dependent on agriculture or moving to urban areas for
employment. Sine a large section of the population is dependent on agriculture and allied sectors,
the income enhancement of such a large section of population is possible only through adding
value in the food chain. Government of India has accorded high priority status to food industry
with an objective to reduce inefficiencies resulting in wastages/ losses by setting up
infrastructure (expect cold storage facilities) and generate huge employment in this sector. Some
key government initiatives and support and discussed in detail below

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Pradhan Mantri Kisan Sampada Yojana

 In February 2020, under the Pradhan Mantri Kisan Sampada Yojana, the Indian Ministry
of Food Processing Industries (MoFPI) sanctioned 39 mega food parks (MFPs) and 298
integrated cold chain projects across the country
o The initiative was introduced to fill the gaps across the value chain in the country,
to facilitate seamless transfer of perishables from production to consumption
areas
o For the creation of backward and forward linkages in the industry, 58 projects
have been approved by the government. Additionally, for the development of
agro-processing clusters, approval for 45 projects across the country has been
granted
o Furthermore, 219 projects, aimed at creating and expanding food processing and
preservation capacities in the country, have also been approved
o Under the Operation Greens scheme included in the Pradhan Mantri Kisan
Sampada Yojana, five projects have been approved by the government and are
currently under operation

 The logistics disruption in the country is being taken care of by leveraging the existing
PM-Gram Sadak Yojana, Sagarmala, Bharatmala and Udaan schemes

Illustrative Mega Food Park

Allow increased control over Provide a touch point for all

procurement operations stake-holders in the value
chain

Feed Mills Silage Fish and Shrimps

Processing
Live Stock Marine Fishing Horticulture
Farming Processing

Export Fresh CC
Produce Mega Primary Farmer
and Value- Food Park Processing CC Producer
added (CPC) Centre Organization
Products
Domestic CC
Sales

Hybrid Solar / Packaging Skill training Finance Digital Waste and

NG / Biomass material and and agri Logistics and Real time farm
Management Services – IT / effluent
gas power machinery Storage Counseling
recycling and Financing ERP management
Plants services

Increased quality control, Prevent wastage by allowing

especially for exports access to greater storage capacity

Figure 214: Illustrative Mega Food Park : Key Stakeholders

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Atmanirbhar Bharat Abhiyan

 In May 2020, a scheme of INR 100 Bn was announced under the Atmanirbhar Bharat
Abhiyan, for the formalization of micro food enterprises. In June 2020, the Prime Minister
Formalization of Micro Food Processing Enterprises (PM-FME) scheme was launched as
a part of the Atmanirbhar Bharat Abhiyan
o The PM-FME scheme, with an outlay of INR 100 Bn, is to be implemented for five
years, from FY 2021 to FY 2025. The scheme is expected to create ~900,000
employment opportunities (skilled and semi-skilled jobs) and generate
investments of around INR 350 Bn

 On 10th June, 2020, under the Atmanirbhar Bharat Abhiyan, the Operations Green
Scheme was extended to all fruits and vegetables (TOTAL) on a pilot basis, for six months.
Previously, the Ministry had formulated the scheme for integrated development of the
Tomato, Onion and Potato (TOP) value chain
Production Linked Incentive Scheme for Food Processing Industry (PLISFPI)

 As a part of Prime Minister’s announcement of Aatmanirbhar Bharat Abhiyan,

Government of India approved a new Central Sector Scheme ‘Production Linked Incentive
Scheme for Food Processing Industry’ for implementation during 2021-22 to 2026-27
with an outlay of Rs. 10,900 crores

 The key objectives of the scheme are the following -:

o Support creation of global food manufacturing champions
o Strengthen select Indian brand of food products for global visibility and wider
acceptance in the international markets.
o Increase employment opportunities of off farm jobs
o Ensuring remunerative prices of farm produce and higher income to farmers.
o Support Food manufacturing entities with stipulated minimum Sales and willing
to make minimum stipulated investment for expansion of processing capacity and
branding.

 Key Target segments

o Ready-to-eat/ready-to-cook food items.
o Marine products
o Processed fruits and vegetables
o Mozzarella cheese
o Innovative/organic products of SMEs including free range such as eggs, poultry
meat and egg products.

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 Key Expected outcomes

Key Outcomes: Estimated Outgo, Sales, Investment, Employment & Exports

Outgo on Incentive (₹ Crore) 10,790

Increase in Sales- 6 Years (₹ Crore) 1,20,267

Incremental Sales in 6th Year (₹ Crore) 33,494

Cumulative additional Investment (₹ Crore) 6,057

Increase in Export Sales- 6 Years (₹ Crore) 27,816

Increase in Employment end of Year-5 (Nos) 2,47,730

Table 205: Key Outcomes - Estimated Outgo, Sales, Investment, Employment & Exports
FDI Equity Inflow to Food Processing Industries
India has significantly improved its rank in World Bank's Ease of Doing Business Survey 2019,
and is ranked 77th, a leap of 23 ranks over last year ranking, among 190 countries assessed by the
World Bank. The continued efforts on improving ease of doing business will in the long run help
boost investor confidence.
Backed by the enabling business environment, FDI inflow into India food processing industry has
been increasing steadily.
The Government of India has permitted 100% foreign direct investment (FDI) in the food
processing industry under the automatic route. 100% FDI is allowed through government-
approved route for trading, including through e-commerce in respect of food products
manufactured or produced in India

 The country had received INR 58.97 Bn of foreign inflow in FY 2018 and an FDI of INR
45.46 Bn in FY 2019

 In FY 2020, the FDI in the Indian food processing sector witnessed a growth of ~44%,
reaching INR 68.45 Bn
o The sector received ~INR 35.17 Bn of foreign inflow in the first half of FY 2020
o In the first quarter of FY 2020, a maximum foreign investment of INR 18.54 Bn
was made in Tamil Nadu and Puducherry
o Maharashtra, Dadra and Nagar Haveli and Daman and Diu received a foreign
inflow of INR 1.90 Bn in Q1 of FY 2020
o A foreign investment of INR 1.78 Bn was made in Delhi and part of Uttar Pradesh
between April and June of FY 2020

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FDI Equity Inflow to Food Processing Industries (INR Cr)

8,000
5,836
6,000 4,866 4,430
4,000 3,312 3,242

2,000
0
FY 2015-16 FY 2016-17 FY 2017-18 FY 2018-19 FY 2019-20 (Till
Sept)

Figure 215: FDI Equity Inflow to Food Processing Industries (INR Cr)
Technology Impact in Food Processing

“Industry 4.0” refers to the digitization of manufacturing and the increasing digital connectivity
of product, process, and factory. This technology allows for greater communication between
machines, and machine-level processing of data allows them to adapt instantly to new production
requirements. It also refers to the connecting of information systems and sharing of data across
the supply chain to improve efficiency.
Food processing companies are likely to benefit from the implementation of Industry 4.0 more
than most industries.

 Quick to Market: The ability of technology connecting the production facility with
distributors implies the product gets to market more quickly.
o This enables for “freshness” to be maintained

 Traceability: Interrelation of various components of the supply chain is likely to enable

end-to-end traceability

 Predicting Demand and Plan the Supply: The data or analytics will help predict
consumer demand and benefit from increased efficiencies.
o This is expected to lead to a reduction in demand-supply gaps
While there are many benefits of Technology in Food Processing Industries, there are few
challenges as mentioned below
Under Development: The technology for linking manufacturing and supply chain is still under
development. It requires collaboration and a high level of trust between diverse businesses at the
production, processing, wholesale, and retail levels. Sharing that much information does not come
naturally to companies. This kind of transparency also requires improvements in Internet
security.
Additional CAPEX: Many food and beverage companies are currently using processing and
packaging equipment that was installed well before the IoT became a reality with a significant
capital overlay. Replacing it may not be an immediate possibility. This manufacturing equipment
may have years of useful service remaining if companies can upgrade the electronics, the drives,
and software.
Skilled Workforce: Another concern for many manufacturers is finding the ideal labour force to
run their transformed facilities.
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Drivers of
Extent of Ease of
Technology in Impact of IoT / Industry 4.0
Impact Implementation
Food Processing
Identification and containment of
Food Safety foodborne illness and recall/loss High Low
through blockchain
Exploring automation and predictive
Automation in Very
maintenance to reduce dependence on Moderate
Manufacturing High
manpower and improve efficiency
FSSAI compliances for label claims,
packaging, freshness, along with
Regulatory Impetus High High
impetus to processing under Make in
India and SAMPADA schemes
Scale-up capacity in-line with demand
Regional to National through predictive analytics and use of
High Moderate
Brands IoT to be able to react to demand
fluctuations
Table 206: Drivers of technology in FPI and extend of impact and ease of implementation
Industry 4.0 offers the opportunity to be prepared and also to benefit from the changing
consumer behaviour while helping overcome the resource limitations from the supply side.
However, a sustainable partnership model is essential between government, private firms and
industry bodies for promoting Industry 4.0.

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Annexure 2: Bibliography

India at a glance, Food and Agriculture Organization of the United Nations (FAO) in India,
http://www.fao.org/india/fao-in-india/india-at-a-glance/en/
MoFPI Annual Report 2020-21,
https://www.mofpi.gov.in/sites/default/files/mofpi_english_annual_report_final_0.pdf
MoFPI Annual Report 2019-20, https://www.mofpi.gov.in/sites/default/files/english_2019-
20_1.pdf
Annual Report 2020-21, National Accounts Division, Central Statistics Office
https://mospi.gov.in/documents/213904/1885585/Printed+Annual+Report+Hindi+2021-
22.pdf/6816d79c-e1e7-a1d9-4385-e9e1190213ee?t=1652348057297
Annual Survey of Industries 2017-18, Central Statistics Office (Industrial Statistics Wing),
http://www.csoisw.gov.in/cms/cms/Files/70.pdf
Annual Survey of Industries 2016-17, Central Statistics Office (Industrial Statistics Wing) -
Ministry of Statistics & P.I., http://microdata.gov.in/nada43/index.php/catalog/145
NSSO Report No. 582 (73/2.34/2) on Economic Characteristics of Unincorporated Non-
Agricultural Enterprises (Excluding Construction) in India; NSSO 73rd Round (July 2015-June
2016), http://www.icssrdataservice.in/datarepository/index.php/catalog/148
Food industry one of the emerging markets in India, Industrial Outlook,
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india/
Annual Report 2014-15, NABARD,
https://www.nabard.org/auth/writereaddata/tender/0609160735NABARD_AR_2014_15_ENG
LISH.pdf
Pradhan Mantri Kisan SAMPADA Yojana, Ministry of Food Processing Industries,
https://www.mofpi.gov.in/Schemes/pradhan-mantri-kisan-sampada-yojana
PMFME, Ministry of Food Processing Industries, https://www.mofpi.gov.in/pmfme/
Production Linked Incentive Scheme for Food Processing Industry, PIB Delhi,
https://pib.gov.in/PressReleasePage.aspx?PRID=1708691
Operation Greens (TOP to TOTAL), Ministry of Food Processing Industries,
https://www.mofpi.gov.in/Aatmanirbhar-Bharat/Operation-Greens-(TOP-to-Total)/about-og-
total
Operational Guidelines for Scheme of Human Resources and Institution -Skill Development
(SHRISD), https://www.mofpi.gov.in/sites/default/files/skill_gudelines_final.pdf
Export Import Data Set, Ministry of Commerce & Industry,
https://tradestat.commerce.gov.in/eidb/default.asp
Capex – List of ongoing and upcoming projects, Centre for Monitoring Indian Economy (CMIE),
https://www.cmie.com/kommon/bin/sr.php?kall=wproducts&tabno=7010&prd=capex&portal
_code=030010060005000000000000000000000000000000000

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Projects Today – List of ongoing and upcoming projects, https://www.projectstoday.com/

Milk Production in India, NDDB, https://www.nddb.coop/information/stats/milkprodindia
FICCI Paper on Development of Dairy Sector in India,
https://ficci.in/spdocument/23304/Development-Dairy-Sector.pdf
Budget 2019-2020, Speech of Nirmala Sitharaman, Minister of Finance,
https://www.indiabudget.gov.in/budget2019-20/doc/Budget_Speech.pdf
Annual Report 2019-2020, The Marine Products Export Development Authority (MPEDA),
https://mpeda.gov.in/?page_id=2365
Seafood Exporters Association of India (SEAI), http://seai.in/filecategory/statistics/
Nivesh Bandhu Portal, Ministry of Food Processing Industries,
https://foodprocessingindia.gov.in/sectors/Fruits-Vegetables
Post-harvest Situation and Losses in India,
https://www.researchgate.net/publication/309177866_Post-
harvest_Situation_and_Losses_in_India
Release of Final Estimates of 2019-20 and First Advance Estimates of 2020-21 of Area and
Production of Horticultural Crops, PIB Delhi,
https://pib.gov.in/PressReleseDetailm.aspx?PRID=1703196
Processed Fruits, Juices & Nuts, APEDA,
http://apeda.gov.in/apedawebsite/SubHead_Products/Other_Processed_Fruits_Vegetables.htm
Poultry Federation of India, https://www.poultryfederation.org/#
Basic Animal Husbandry and Fisheries Statistics 2018, DAHD, https://dahd.nic.in/ahs-
division/basic-animal-husbandry-and-fisheries-statistics-2018
Basic Animal Husbandry Statistics-2019, DAHD, https://dahd.nic.in/circulars/basic-animal-
husbandry-statistics-2019
India the epicenter of global pulses market, Article Miller Magazine, Guruswamy
Chandrashekhar Economist Senior Policy Commentator,
https://millermagazine.com/blog/india-the-epicenter-of-global-pulses-market-3688
Indian Chamber of Food & Agriculture, https://www.icfa.org.in/knowledge-centre.php
The Soybean Processors Association of India, SOPA, https://www.sopa.org/statistics/
Yearly Processing Of Soybean, Production Of Meal & Oil (OCTOBER – SEPTEMBER), SOPA,
http://www.sopa.org/yearly-processing-of-soybean-production-of-meal-oil-october-
september/
Annual Reports, Tea Board India, https://www.teaboard.gov.in/TEABOARDPAGE/MjA=
Analyst / Investor Report, Tata Consumer Products,
https://www.tataconsumer.com/sites/g/files/gfwrlq316/files/2021-
05/investorpresentation.pdf

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Beverages (Tea & Coffee) -923 Units in Tea Manufacturing as per 2018-19 Tea Board Annual
report page 69 -
http://www.teaboard.gov.in/pdf/65th_Annual_Report_2018_19_Eng_pdf874.pdf ; Coffee - 85
Licensed Cofee Curing works as per Jan 2021 India Coffee Board Database -
https://www.indiacoffee.org/Database/DATABASE_Jan2021.pdf
Database on coffee, Market Research & Intelligence Unit Coffee Board,
https://www.indiacoffee.org/Database/DATABASE_Jan2020_web.pdf
International Coffee Organization, https://www.ico.org/new_historical.asp?section=Statistics
Coffee Board of India, https://www.indiacoffee.org/Market_Info.aspx
India Ready-To-Eat Food (RTE) Market Study, 2013-2023,
https://www.globenewswire.com/news-release/2020/01/09/1968244/0/en/india-ready-to-
eat-food-rte-market-study-2013-2023-analysis-by-segment-distribution-channel-and-state-
featuring-profiles-of-leading-players.html
Soya Processing - Soyabean Processing Assoication website has a list of 115 members -
https://www.sopa.org/solvent-extraction-plant-having-refineries
Jawahar Soybean, Jawaharlal Nehru Krishi Vishwa Vidyalaya (JNKVV), Jabalpur (MP),
http://jnkvv.org/JNKVV_RESEARCH/RESEARCH_Crop_Soyabean.aspx
Processing Industries: Entrepreneurship Development Programme website states the no of
Soybean processing units as 198 in India - https://icar.gov.in/content/establishment-soybean-
processing-industries-entrepreneurship-development-programme-0
Annual Report 2019-20, Spices Board India,
http://www.indianspices.com/sites/default/files/Annual%20Report%202019-20.pdf
Number of cold storages in India
https://pib.gov.in/PressReleasePage.aspx?PRID=1658114
Agriculture Times News, https://agritimes.co.in/horticulture/india-has-8186-cold-storages-
facilities-with-a-capacity-of-37-42-million-tonnes
Qualification Pack and National Occupational Standards, FICSI,
https://www.ficsi.in/resources/standards/

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Disclaimer by Consultant

This report is intended for the use of Ministry of Food Processing Industries (MoFPI), Government
of India and is subject to the scope of work and purpose defined therein. We, by means of this
report are not rendering any professional advice or services to any third party.
For purposes of the exercise, we have used information obtained from primary and secondary
information sources, which we believe to be reliable and our assessment is dependent on such
information being complete and accurate in all material respects. We do not accept any
responsibility or liability for any losses occasioned to any party because of our reliance on such
information.
Our procedures did not constitute an audit.
We make no representation or warranty as to the accuracy or completeness of the information
used within this assessment, including any estimates, and shall have no liability for any
representations (expressed or implied) contained in, or for any omission from, this assessment

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Study to assess Human Resource and Skill Requirement in Food Processing Sector from 2021-2030

Ministry of Food Processing Industries,

Panchsheel Bhawan, August Kranti Marg,
Khelgaon, New Delhi-110049

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