1. Global Country Study Report
On
Food & Beverages Industries of Belgium
w.r.t
Business Opportunities In Gujarat & Maharashtra
Submitted to
Institute Code:
759
SHREE H.N.SHUKLA COLLEGE OF MANAGEMENT STUDIES, RAJKOT
Under the Guidance of:
Asst. Prof. Megha Jasani
In Partial Fulfillment of the Requirement of the award for the degree of
Master of Business Administration (MBA)
Offered by:
Gujarat Technological University, Ahmadabad
Prepared by:
Students of
MBA (Semester-III)
ACADEMIC YEAR
2015-2017
Enrollment No. SRN No. Name
157590592105 SRN201675902818 VANVI GAUTAM
157590592106 SRN201675902819 VASOYA KRISHNA
157590592107 SRN201675902820 VEKARIYA DHAVAL
157590592108 SRN201675902821 BHIMANI PRASHANTI
157590592109 SRN201675902822 CHOTALIYA DHARMESH
157590592110 SRN201675902824 DHANKI SAMYAK
2. ii
STUDENT’S DECLARATION
We, following students, hereby declare that the global country study report “FOOD &
BEVERAGES industries of Belgium w.r.t Business Opportunities in Gujarat and Maharashtra”
is a result of our own work and our indebtedness to other work publications, references, if
any, have been duly acknowledged. If we are found guilty of copying any other report or
published information and showing as our original work, or extending plagiarism limit, I
understand that we shall be liable and punishable by GTU, which may include fail in
examination, ‘repeat study and resubmission of the report’ or any other punishment that
GTU may decide.
PLACE: ………………………. DATE: ……………………….
Enrollment No. Name Signature
157590592105 VANVI GAUTAM
157590592106 VASOYA KRISHNA
157590592107 VEKARIYA DHAVAL
157590592108 BHIMANI PRASHANTI
157590592109 CHOTALIYA DHARMESH
157590592110 DHANKI SAMYAK
9. ix
COMPANY DETAILS
NAME SHREE SWAMINARAYANFOODSPVT LTD
ADDRESS OPP. GONDAL BOUNDRI, SURVEY88-P-2,
RAJKOT-BHAVNAGARHIGHWAY, AT-
VIRNAGAR, 360 060. TA.JASDAN,DI. RAJKOT
SUB-SEGMENT NAMKEEN
PRODUCT SWEETS, NAMKEEN
CONTACTPERSON NAME VIPULBHAI M. SULIYA
DESIGNATION MANAGING DIRECTOR
CONTACTDETAILS SHREEHARINAMKIN@GMAIL.COM
DATE OF COMPANY VISIT 06-01-2017TO 16-01-2017
12. xii
PREFACE
Global country study report is basically a study of entire country which enables us to identify
the overall macro & micro environment of any country. This is a study which is generally
carried out in a group of six students. It is a part of our M.B.A study and helps to understand
various factors related to a country and hoe it can affect any industry situated over there.
The global country study report reveals in-depth analysis of Food & Beverages industry of
Belgium and India. The study shows the possibilities of opportunities to improve bilateral
trade between Sweden and India.
The present study covers the work done by total six student’s group of MBA semester 3 of
Shree H.N.Shukla College of Management Studies- Rajkot under the guidance of asst. prof.
Megha Jasani.
This report is prepared as per the curriculum and guidelines of Gujarat technological
university (GTU), Ahmadabad to get the exposure of international market and business.
PLACE: ………………………. DATE: ……………………….
13. xiii
ACKNOWLEDGEMENT
The preparation of the report is our own work, but we have taken help from many persons.
We are thankful to all those persons who helped us in this activity out of this work.
First and foremost we would like to thank our family members, relatives and friends to
helping us throughout.
We would like to thank Asst.Prof. Megha Jasani, for providing all facilities that we require
during the project and also for providing a deep knowledge regarding the project and solved
our queries as and when put forward and to all faculties who extended their support
towards us.
PLACE: ………………………. DATE: ……………………….
14. xiv
SR. NO. PARTICULAR PAGE NO.
1. TITLE PAGE
2. STUDENT’S DECLARATION II
3. REPORT COMPLETION CERTIFICATE III
4. COMPANY/INDUSTRY DETAIL IX
5. PLAGIARISM REPORT X
6. PREFACE XII
7. ACKNOWLEDGEMET XIII
8. EXECUTIVE SUMMERY 1-4
PPR-1
A. ABOUT SELECTED INDUSTRY 5-13
COUNTRY OVERVIEW 6
GEOGRAPHICAL LOCATION & FLAG 7
LANGUAGES & NATIONAL ANTHEM 8
RELIGIONS & CURRENCY & RULING PARTY 8
LATEST DEVELOPMENT AND NEWS 11
B. OVERVIEW OF INDUSTRY 14-32
LIST OF INDUSTRIES 14
GDP OF BELGIUM AND CONTRIBUTION OF INDUSTRIES IN GDP 15
IMPORT AND EXPORT OF BELGIUM 18
MAJOR PLAYER OF INDUSTRY 20
ABOUT FOOD & BEVERAGES 21
NEW POLICY INITIATIVES IN F & B SECTOR IN GUJARAT 25
MAJOR PLAYERS AND SUB SEGMENT IN F & B INDUSTRIES 27
C. ABOUT SELECTED INDUSTRIES AND SECTOR 33-38
EXPORT OF BELGIAN FOOD 34
FOOD AND DRINK SECTOR OF BELGIUM 35
JUSTIFICATION OF INDUSTRY 37
15. xv
PPR-2
A. STEEPLED ANALYSIS OF BELGIUM 39-44
SOCIAL 41
TECHNOLOGICAL 42
ECONOMICAL 42
ENVIRONMENT 43
POLITICAL 43
LEGAL 43
ETHICAL 44
DEMOGRAPHIC 44
B. STEEPLED ANALYSIS OF INDIA / GUJARAT 45-52
SOCIAL 46
TECHNOLOGICAL 47
ECONOMICAL 48
ENVIRONMENT 49
POLITICAL 50
LEGAL 51
ETHICAL 52
DEMOGRAPHIC 52
C. COMPARATIVE ANALYSIS OF STEEPLED BETWEEN INDIA/GUJARAT
AND BELGIUM
53-56
D. SWOT ANALYSIS OF BELGIUM 57-59
STRENGTH 58
WEAKNESS 58
OPPORTUNITY 59
THREATS 59
E. SWOT ANALYSIS OF INDIA / GUJARAT 60-64
STRENGTH 61
WEAKNESS 62
OPPORTUNITY 63
THREATS 64
16. xvi
PPR-3
A. OVERVIEW OF MAHARASHTRA 65-75
POPULATION 68
OFFICIAL LANGUAGE 68
ETHNIC GROUPS 68
NATURAL RESOURCES 69
TRANSPORTATION CONNECTIVITY 70
MAJOR INDUSTRIES 75
B. OVERVIEW OF FOOD AND BEVERAGE INDUSTRY 76-83
GLOBAL FOOD AND BEVERAGE SECTOR 77
INDIAN FOOD AND BEVERAGE SECTOR 77
MAHARASHTRA FOOD AND BEVERAGE SECTOR 78
AGRI EXPORT ZONE IN INDIA 79
CONTRIBUTION OF GDP OF F AND B INDUSTRY 80
MAJOR PLAYERS IN MAHARASHTRA 81
TAXES AND DUTIES 82
BENEFIT BY GOVERNMENT 83
C. SWOT ANALYSIS OF F & B INDUSTRY IN MAHARASHTRA 84-86
STRENGTH 85
WEAKNESS 85
OPPORTUNITY 86
THREATS 86
D. COMPARATIVE ANALYSIS OF BELGIUM, GUJARAT AND
MAHARASHTRA
87-91
9. BIBLOGRAPHY 92
10. REFERENCES 93
17. 1
EXECUTIVE SUMMARY
This project includes all the information about country and industry. This project is
comparison between Belgium food & Beverage industry and Indian/Gujarat food &
Beverage industry. The entire factor like social, technological, political, environmental,
economical, ethical, legal, demographic, through analysis food & Beverage industry in
India/Gujarat and Belgium’s.
Belgium’s food industry is not only driven by a commitment to deliver the very best, but also
by a desire to actively respond to changing customer wants and needs. Increasing health
awareness programme, an aging population, and the resulting demand for health and
wellness products have helped a number of previously niche market actors to become
significant industry competitors. Demand for functional foods alone has produces Belgium
as a European leader, Belgium stands at the forefront of food and beverage market
development as it rises to meet the international challenge of increased demand for safe
and healthy foodstuffs.
Belgium has its own special dish. Butter, cream, brewage and wine are freely use in cookery.
The state is primarily famous for the different things, its waffles, chocolate, brewage &
mussels. Some claim that the frite, or deep-fried potato chip, was invented in Belgium.
Belgian gastronomy is far and wide varied with major provincial variation while also
reflecting the gastronomy of neighboring France, Germany and the Holland. It’s occasionally
said that Belgian food is served in the quantity of German gastronomy but with the quality
of French food. Outside the country, Belgium is paramount for its chocolate, waffles, fries
and beer.
That means the agro-food industry accounts for 2.2% of the Belgian GDP and 8.2% of the
entire Belgian export. Chocolate, bakery products, animal protein, vegetables and fruit
remain at the absolute forefront. The Belgian food & drink industry has a trade balance of
€3.4 billion and a turnover of €46.6 billion (2012). Imports are mainly from France, Holland,
Germany and the UK.
18. 2
Diplomatic relations between India and Belgium were recognized in 1948 and our
bilateral relations are cordial and friendly. In current times, Belgium has accepted the
growing that means of Asia and has emphasized the value of support economic relations
with India. Belgium rank 4th in India’s total exports to EU countries and India’s exports to
Belgium showed an increase of 67.49% at $6.29 billion in 2010-11.
Belgium’s manufacturing industry is varied and well developed. The industry is muscular in
areas such as steel, textiles, chemicals, and food handing out pharmaceuticals,
automobiles, electronics and machinery. The manufacturing industry in Belgium is primarily
concentrated in the heavily occupied Flanders region in the North.
The food processing industry is one of the most important sectors in India considering its
linkage to agriculture and food consumption in an economy of a billion plus population. The
Indian food industry is poised for big growth, increasing its contribution to world food trade
every year. In India, the food segment has emerged as a high-growth and high-profit sector
due to its enormous strong for value addition, particularly within the food processing
industry.
The Indian food business is poised for enormous growth, increasing its contribution to world
food trade each year. In India, the food sector has emerged as a high-growth and high-profit
sector as a result of its vast potential for value addition, particularly within the FPI. The food
business, which is at present valued at US$ 39.71 billion Is anticipated to grow at an CAGR of
11% to US$65.4 billion by 2018. Food and grocery account for around 31% of India’s
consumption basket.
The Government of India has approved the setting up of five numbers of Mega Food Parks
in the states of Bihar, Maharashtra, Himachal Pradesh and Chhattisgarh. The Government
plans to set up 42 such mega food parks across the country in next three to four years.
19. 3
Food processing sector of Gujarat is growing very fast and still there’s vast unexploited
potential for the sector in Gujarat. As per the Associated Chambers of Commerce and
Industry of India (ASSOCHAM) out of the entirety investments worth over INR 829.40 billion
attracted by food processing sector as of December 2014, Gujarat attracted the highest
share at 20 %.
353 Large & Medium Scale new Units with investment of INR 48, 040 MM have been
commenced in Food Processing Sector within the State at the end of 2014. Major
agriculture commodities grown in Gujarat are Groundnuts, Cotton, Soybeans, Maize, Pulses,
Wheat and Rice.
The major fruit crops grown in Gujarat are Banana, Mango, Citrus, Papaya and Sapodilla. In
the year 2013-14 the productivity of fruit crops is expected at 21.18 MT/ Hectare. The major
vegetables grown in Gujarat are Onion, Potato, Brinjal, Tomato, Okra and Cucurbits. In the
year 2013-14, the common productivity of vegetables is estimated at 19.90 MT/Hectare.
In Gujarat’s Vision Document-2015 is set by the Ministry of FPI (Food Processing Industry)
(MOFPI), which envisage trebling the amount of investment by efforts of ministry to bring
private players in the processed food sector by growing the level of processing of
perishables from 6% to 20 %, value adding from 20% to 35 %.
Maharashtra is a bio-diverse state with 9 agro climate zones and varying soil types, suitable
for agriculture development. and largest producer of Seedless Grapes (78%), Banana (75%),
Mandarin Oranges (75%), Onion (63%), Tomatoes (42%). 90% Alphanso mangoes
exported,200 sectioned and 150 productive cooperative sugar mills, 40% turnover of seed
industry in India, fresh vegetables and fruits accounts 30%, and food processed product
almost 50%. Maharashtra has more than 60% of the area under drip irrigation. The state has
presently 6,512 small and medium and 322 large scale food processing units and 58 sugar
projects entailing an investment of INR 5252 crore has been envisaged in the state.
20. 4
The main study of this project are the comparative analysis between Belgium, India, Gujarat,
and Maharashtra of food and beverages industry through the SWOT (Strength, Weakness,
OPPORTUNITIES, Threats) and STEEPLED analysis (Social, Technological, Environmental,
Economical, Political, Legal, Ethical, Demographical),
Through this project we are studied and learning many information regarding food and
beverage industry in Belgium, India, Gujarat, and Maharashtra and also analyze SWOT and
STEEPLED factors.
23. 7
KINGDOM OF BELGIUM
GEOGRAPHICAL LOCATION:
Belgium is a federal state located in Western Europe, neighboring the North Sea. Belgium
shares borders with France, Germany, Luxembourg and the Netherlands. Belgium comprises
the regions of Flanders, Wallonia and Brussels. Belgium’s capital is Brussels city; which is
located in the north-central part of the country.
FLAG:
The flag was adopted in 23rd Jan., 1831 and it’s a tricolor of black, yellow & red
perpendicular stripes. Black, yellow and red is representative of the country's coat of arms
Black presenting the shield;
Yellow presenting the lion, and
Red presenting the lion's claws & tongue.
Flemish
Community
----------------------
A blacklionwith
redclaws and
tongue againsta
yellow
background
French
Community
----------------------
A redcockerel
againsta yellow
background. Itis
alsothe emblem
of the Walloon
Region
German-speaking
Community
----------------------
A redlion
surroundedby
nine blue
cinquefoils
againsta white
background
Brussels-Capital
Region
----------------------
A stiledyellow iris
againsta blue
background
24. 8
LANGUAGES:
According to a 1970 constitutional revision, there are three official languages in Belgium—
French, Dutch, and German. The mainstream of people in the Brussels metropolitan area is
speaking French.
According to 2005,
1. 60% of the total population speak Dutch (Flemish),
2. 40% speak French,
3. less than 1% speak German, and
4. 11% are legally speaking in Dutch and French languages.
So, Dutch, French, German is a National languages of
Belgium.
NATIONAL ANTHEM:
The Brabançonne is the national hymn of Belgium. In the mainly French language, the term
refers to Brabant, accurately Brabantian in English. The untransalated original name is
maintain for the French, Dutch and German words that at a later stage ensured reflecting all
three official languages of the country. According to legend, the Belgium National anthem
was written in September 1830, during the Belgium revolution, by a young revolutionary
called "Jenneval".
Belgium National Anthem:
O dear Belgium, O holy land of our fathers -
Our soul and our hearts are devoted to you!
With blood to spill for you, O fatherland!
We swear with one cry - You shall live!
So gladly bloom in beauty full,
Into what freedom has taught you to be,
and evermore shall sing your sons:
The King, and Law, and Liberty!
Faithful to the word that you may speak boldly,
For King, for Freedom and for Law!
To Law and King and Freedom, hail!
The King, and Law, and Liberty!
25. 9
RELIGIONS:
According to a 2001 Survey and Study of faith conducted by universities within the country,
regarding 47% of the population was nominally Roman Catholic. On the other hand,
different sources have reported that Roman Catholics account for as high as 75% of the
population. The Roman Catholic Church estimates that of its total Belgian membership, only
regarding 10–15% is active participants. Protestants numbered between 125,000 and
140,000. Greek & Russian Orthodox adherents numbered about 70,000.Estimates indicate
that up to 15% of the populations do not follow any faith in any way.
The constitution provides for freedom of faith and this right is mostly respected in practice.
The government gives "recognized" standing to Roman Catholicism, Protestantism, Judaism,
Anglicanism, Islam, and Orthodox Christianity.
CURRENCY and EXCHANGE RATE:
RULING PARTIES:
Political party in Belgium are organized along ethno linguistic lines, with each group in
Flanders having its Walloon counterpart. The main political parties and executive available
in Belgium is:
OFFICE NAME PARTY SINCE
KING Philippe N/A 21/07/2013
PRIME MINISTER Charles Michel Reformist Movement 11/10/2014
1 EURO
75.18 INDIAN RUPEE
26. 10
The major political alliance is:
Christian Democratic and Flemish (CDandV)
Groen.
Libertarian, Direct, Democratic (LDD)
New Flemish Alliance (N-VA)
Open Flemish Liberals and Democrats (Open Vld)
Socialist Party – Differently (sp.a)
Vlaams Belang
In Belgium, all essential political parties are either Dutch-speaking (Flemish) or French-
speaking, aside from a few minor German-speaking parties. Political parties are thus
organized along community lines, especially for the two main communities. There are no
representative parties active in both communities. Even in Brussels, all parties presenting
candidates are either exclusively Dutch or French speaking.
Another important attribute of Belgian national politics is the highly centralized nature of
decision making. Important decisions require both a national majority (2/3 for constitutional
changes), as well as majorities in the two main language groups.
27. 11
LATEST DEVELOPMENT AND NEWS OF BELGIUM
1. India-Belgium Joint Statement during the visit of Prime Minister to Belgium in March 30, 2016.
There are joint collaboration between India andBelgium:
Bilateral relations
Security Cooperation
Economic cooperation
Energy, Ports and Information Technology
2. The Malaysian company sees Belgium as the ideal country to provide Europe with its
tailored solutions for the manufacturing industry.
3. Chinese investments in Belgium By connect with the Port of Antwerp, the Industrial
and Commercial Bank of China will facilitate inform potential Chinese investors on the port’s
strengths and opportunities. Additionally, the port’s business activities also will be
promoted via ICBC’s shopper information.
4. Belgium remains attractive for investors :
In response to the “Belgium bashing” of recent weeks, 13 foreign Chambers of
Commerce in Belgium declares in an open letter that Belgium remains an attractive
place for investors.
As representatives of the international trade community in Belgium, which directly
employs some 7lakhs people in the country, these 13 Chambers of Commerce,
representing more than 1,000 companies, have also declared that 16 "Belgium
continues to be a safe place for developing commercial activities and is an best place to
live".
5. Belgian technology attracts interesting investors :
In the European ranking, Belgium takes a distinguished
5th place according to the amount of deals per country. With 8
tech-deals landed in January, our country performs improved
than the Netherlands, Italy, Kingdom of Denmark and Finland.
Belgium can shortly be a prime tier player within the international investment
market. Only major parties, such as UK and France, closed a lot of deals in January.
So as to be ranked, Companies ought to raise a minimum of 1 MM Euros. In 2014,
Belgium landed 8th place with more than EUR 232 MM.
28. 12
6. New drone test and business center :
In a world initial, local invest company
LRM and the town of Sint-Truiden are
establishing a check and business center for
drones within the province of Limburg: Drone
Port. The set up are situated on a former
military airport in Brustem.
7. The Arlon-based company
Ferrero Ardennes has just simply
declared a €21 MM investment in
a new production line and the
creation of fifty jobs in 2017.
8. Financial technology (fintech) ecosystem,
Eggsplore, has inaugurated its 800m2 offices in
Diegem, close to Brussels. “Within a year, we
hope to open a 4,000m2 hub,” explains
general executive Wim De Waele.
9. Syngenta, the Swiss-based parent company of biotech firm Devgen (Belgium), has
been acquired by the Chinese ChemChina cluster. At USD 43 billion, it’s the largest foreign
acquisition ever by a Chinese company.
29. 13
10. Lifetime Achievement Trophy for Volvo Cars:
On 24 February, Swedish company Volvo Cars,
owned by Chinese Zhejiang Geely Holding cluster since
2010, was declared winner of the third Lifetime
Achievement Trophy. The Lifetime Achievement Trophy
event is intended by Flanders Investment and Trade (FIT) to
reward foreign investors for their current promise to the
Flanders region (northern a part of Belgium).
11. Lidl invests in Belgium: more than 100 jobs in the
pipeline :
The initial stone of a brand new distribution centre
for the corporate Lidl has been order in Marche-en-
Famenne. This 44,000 sq. logistics platform, the company’s
largest in Kingdom of Belgium, will make ensure the
creation of more than 100 direct jobs.
Out of the 28 candidate regions, the European
Commission elected Wallonia among the six which it’ll
support additional actively so as to develop inexperienced
chemistry, circular economy and biomass projects.
12. Car assembly continues in Brussels-Capital Region :
Audi has declared the company’s intention, from 2018, to dedicate its assembly line
in western Brussels, presently creating the A1 model, to the assembly of the company’s first
fully electric SUV, the “e-tronquattro concept”.
The company can benefit from a Belgian Government package of support measures.
Audi chief executive Rupert Stadler has gone on record paying tribute to the Brussels
workforce in these words: “What I show for personally could be high level of productivity
and human commitment,” he said. “and this context… I find in Belgium.”
30. 14
Value added Logistics
Chemicals
Life sciences
Agro food
ICT – Software development
Aeronautics
Nuclear equipment and services
Renewable energies
Lifestyle - Textile, woodworking and furniture industry
Lifestyle - Fashion
Lifestyle - Home and Design
Diamonds
Industrial Automation
Mechatronics
Automotive
Building and engineering
Creative Industry
32. 16
69280
69830
70715
72265
67500
68000
68500
69000
69500
70000
70500
71000
71500
72000
72500
2012 2013 2014 2015
Wholesale and retail trade/ transport/
accomodation and food service
activities(MILLION EURO)
14964
14565
14827
15492
14000
14200
14400
14600
14800
15000
15200
15400
15600
2012 2013 2014 2015
Information and communication(MILLION
EURO)
21896
21299
22129
22653
20500
21000
21500
22000
22500
23000
2012 2013 2014 2015
Financial and insurance activities(MILLION
EURO)
30059
30457
30945
31550
29000
29500
30000
30500
31000
31500
32000
2012 2013 2014 2015
Real estate activities (MILLION EURO)
44645
46925
48601
50910
40000
42000
44000
46000
48000
50000
52000
2012 2013 2014 2015
Professional and scientific and technical activities plus administrative and support service
activities (MILLION EURO)
33. 17
51344
52857
53852
54630
49000
50000
51000
52000
53000
54000
55000
2012 2013 2014 2015
Other community and social and personal
service activities(MILLION EURO)
25859
26683
27165
27752
24500
25000
25500
26000
26500
27000
27500
28000
2012 2013 2014 2015
Other community and social and personal
service activities(MILLION EURO)
7723
7863
8047
8430
7200
7400
7600
7800
8000
8200
8400
8600
2012 2013 2014 2015
Arts and entertainment and recreation/ other service activities/ activities of
household and extra-territorial organizations and bodies(MILLION EURO)
34. 18
EXPORT-IMPORT STATISTICS
BELGIUMEXPORTS
Exports in Belgium increased to 29641.60 EUR MM in June from 28895.60 EUR MM in May
of 2016. Exports in Belgium avg. 20545.68 EUR MM from 1993 until 2016, reaching an all
time high of 33012.20 EUR MM in June of 2015 and a record low of 7331.30 EUR MM in
August of 1993. Exports in Belgium are reported by the National Bank of Belgium.
Foreign trade accounts for around 70% of Belgium’s economy. About 80% of Belgium's trade
is with EU member states. The major export commodity in Belgium is the automobile,
medicament mixtures put in dosage, and not mounted or set diamonds. Belgium’s largest
exports markets are European Union and United Sates.
31120.7
26736.7
30827.8
31596.8
29210.4
28994.7
28098
29645.4
30837.3
29015.3 28895.6
29641.6
Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15 Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16
EURO MILLION
EURO MILLION
35. 19
BELGIUMIMPORTS
Imports in Belgium increased to 28129.30 EUR MM in June from 25943.10 EUR MM in May
of 2016. Imports in Belgium avg. 19503.47 EUR MM from 1993 until 2016, reaching an all
time high of 31559.90 EUR MM in March of 2012 and a record low of 6975.70 EUR MM in
July of 1993. Imports in Belgium are reported by the National Bank of Belgium.
Belgium imports mainly machinery & equipment, chemicals, diamonds, pharmaceuticals,
foods, transportation equipment & oil products. It major import partners are: EU members,
United States and China.
28819.3
26221.2
28712.7
29857.1
28246.8
27670.4
25829
27801.8
28466
27129.8
25943.1
28129.3
Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15 Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16
EURO MILLION
EURO MILLION
36. 20
COMPANY LOGO INDUSTRY COMPANY COUNTRY MARKET SHARE
Food
&
Beverage
Anheuser-
Busch InBev
Belgium 40%
Financial
Services
KBC Group Belgium 21%
Retail Delhaize
Group
Belgium 20%
Media
&
Communi
cations
Belgacom Belgium 43.1%
Retail Colruyt Belgium 31.5
Steel Bekaert Belgium 30%
37. 21
SCOPE AND DEFINITION OF FOOD PROCESSING SECTOR IN INDIA
FPI, which typically divided in to two distinct processes,
1. Primary Process
2. Secondary Process.
Primary process is whatever the raw agricultural manufacture like Milk, Meat and Fish is
transformed to commodities fit for human utilization by simply cleaning, grading, sorting
and packing, without changing the physical properties of produce.
The secondary processing usually deals with high level of processing wherever new or
modified merchandise is manufactured and essentially involve modify in physical
properties of manufacture.
Normally, primary processing is distributed at farm level and secondary at factory level on
big scale. Growth of Indian FOOD & BEVERAGES Sector may be attributed to the ever
changing demographics, increase in disposable incomes, urbanization and growth of
organized retail.
India has been consuming consumer products from multinationals for several decades now
and with the growing young population who is well educated and travelled across the
globe; the tastes and the decision has been changing. Food processing is designated as a
priority sector in India. National Food Processing Policy aims to increase the level of food
processing from 10% in 2010 to 25% in 2025.
India is seeing remarkable growth in all segment of Food Processing like Shorting Grading
and sharpening of Grains and Pulses, Processing of Spices, Floor Mills, Oil, Oil cakes, Cattle
Feed, Sugar and Confectionaries Manufacturing, Ready-to-eat food products, Semi
Processed Food Products, Quick Serve Restaurants and Dining Restaurants.
Accounting for about 32% of the country's total food market, the FPI is one of the largest
industries in India and is ranked fifth in terms of production, consumption, export and
expected growth. The Indian food industry stood around US$ 39.03 billion in 2013 and is
estimated to grow at a rate of 11% to touch US$ 64.31 billion by 2018.
38. 22
Indian agricultural and processed food exports during April-May 2014 stood at US$
3,813.63 MM, according to data released by the Agricultural and Processed Food Products
Export Development Authority (APEDA)
The Indian dairy industry has grown considerably post the white revolution and reports
suggest that with current growth rate of approximately 3 %-4 %, It’s thought to grow to 185
MM tone and become a US$ 24 billion organized industry by 2020 and US$ 140 billion
overall including the unorganized sector.
39. 23
FOOD PROCESSING SECTOR
OVERVIEW
IN
GUJARAT
Food processing sector of Gujarat is growing very fast and still there’s vast unexploited
potential for the sector in Gujarat. As per the Associated Chambers of Commerce and
Industry of India (ASSOCHAM) out of the entirety investments worth over INR 829.40 billion
attracted by food processing sector as of December 2014, Gujarat attracted the highest
share at 20 %.
353 Large & Medium Scale new Units with investment of INR 48, 040 MM have been
commenced in Food Processing Sector within the State at the end of 2014. Major
agriculture commodities grown in Gujarat are Groundnuts, Cotton, Soybeans, Maize, Pulses,
Wheat and Rice.
The major fruit crops grown in Gujarat are Banana, Mango, Citrus, Papaya and Sapodilla. In
the year 2013-14 the productivity of fruit crops is expected at 21.18 MT/ Hectare.
The major vegetables grown in Gujarat are Onion, Potato, Brinjal, Tomato, Okra and
Cucurbits. In the year 2013-14, the common productivity of vegetables is estimated at 19.90
MT/Hectare
40. 24
VARIOUS GROWTH DRIVERS FOR FOOD PROCESSING SECTOR IN
GUJARAT ARE:
Good Agriculture Resources of Gujarat.
Contract farming is turning into success story instead of just being a concept.
Entrepreneurship mindset of people of Gujarat.
Increasing disposable income of people.
Majority of the population is of youth and eating out is their favorite celebration way.
Increasing trend of food chains.
Trend of having centralized kitchen in food chains.
Subsidy and Incentive schemes provided by Ministry of Food Processing, Government of India
is encouraging developers to invest in best technologies from all over the world.
Good Rail and Road connectivity with hinterland area bringing cost effective opportunities for
procurement and trading into domestic market.
Better access to world seaports and airports brings opportunities for trading into
international market.
41. 25
NEW POLICY INITIATIVES
IN
FOOD PROCESSING SECTOR
IN
GUJARAT
Vision Document-2015 is set by the Ministry of FPI (Food Processing Industry) (MOFPI),
which envisage trebling the amount of investment by efforts of ministry to bring private
players in the processed food sector by growing the level of processing of perishables from
6% to 20 %, value adding from 20% to 35 %.
Priority status has been given to Food Processing sector in the Gujarat Industrial policy
2015.
Ministry of Food Processing Industries has introduced a plan for human resource
development (HRD) within the food-processing sector. The HRD plan is being enforced
through State Governments under the National Mission on Food Processing. The plan has
the following four components:
Creation of infrastructure facilities for degree/diploma courses in food processing sector
Entrepreneurship Development Program (EDP)
Food Processing Training centers (FPTC)
Training at recognized institutions at State/National level
Anand Agricultural University, has introduced various Bachelor and Master Programs for
food processing and Technology, to provide skilled human resource to provide the sector
efficiently.
Scheme for Technology Up gradation / Establishment/ innovation for Food Processing
Industries
Objective of this system is to raise the level of processing, reduction of wastage, value
addition, improve the income of farmers in addition to raise exports so resulting in overall
economic development.
42. 26
MEGA FOOD PARK SCHEME
The Scheme of Mega Food Park aims at providing a mechanism to link agricultural
production to the market by bringing together farmers, processors and retailers in order to
make sure maximizing value addition, minimizing wastages, increasing farmers’ income and
creating employment opportunities particularly in rural sector.
The Mega Food Park Scheme is based on “Cluster” approach and envisages a well-defined
agro/horticultural-processing sector containing state-of-the art processing facilities with
support infrastructure and entrenched supply chain.
This food Park can provide enabling infrastructure and mechanisms to make stronger the
Agricultural value chain, bring Farmers, Food Processors and the End Consumers together
such as Wholesalers, Retailers and Exporters.
43. 27
MAJOR PLAYERS OF SELECTED INDUSTRY and ITS SUB-SEGMENTS WITH THEIR
MARKET SHARE, SUB SEGMENTS OF F & B INDUSTRIES
FOOD
1. PACKAGED FOOD INDUSTRY
The packaged food industry include of baked goods, convenience food, dairy, and
confectionaries. Biscuits (cookies) are one among the foremost baked goods in India.
India-based Parle is a leader in this category with its biscuit brand Parle-G, An Indian
favorite.
One more India-based company Britannia Industries Ltd. specializes in bakery goods
and dairy products.
2. Convenience Food Segment
The convenience food sector contains frozen meals, packaged snacks, and ready-to-
cook foods.
India-based Mother Dairy’s Safal Fruits and Vegetables is that most prevailing frozen
food product.
Another Indian company MTR Foods make specialisty in ready-to-eat foods
permiting working middle-class consumers to conveniently restructure traditional
Indian dishes.
Prominent international brands in this segment include
Nestle’s Maggi instant noodles and ready-to-eat meals,
PepsiCo’s Lay’s and Kurkure snacks, and
HUL’s Kissan condiments, juices, and jams.
India is the major producer and shopper of milk within the world. Native vendors
contribute to the greater part of the dairy segment. India-based Amul provides milk-
based product like Drawn Butter (ghee), an ingredient used in conventional Indian
meals. Nestle is a popular choice for milk substitutes, buttermilk, and probiotic
yogurt.
44. 28
3. CONFECTIONARY SEGMENT
The confectionary sector comprises desserts and sweets.
Chicago-based Mondelez’s Cadbury chocolate is incredibly in India.
India-based Haldiram’s produces Indian desserts, snacks, and ice-cream.
BEVERAGE
Tea is the most ordinary hot beverage in India, especially in northern, western and
eastern states.
HUL. Leads this sector with its Brooke Bond Red Label, Brooke Bond 3 Roses, Brooke
Bond TajMahal, Brooke Bond Taaza, and Lipton tea brands.
TATA Global Beverage’s Tetley tea is also popular. The population in southern India
has traditionally preferred coffee, both brewed and instant, containing coffee
blended with chicory.
Cold drinks like soft and fruit drinks are becoming more common in the
country. Coca-cola and PepsiCo govern this group.
Packaged water is progressively more common as the Indian population does not
trust the quality of municipal water.
ParleAgro’s Bisleri, PepsiCo’s Aquafinaand
Coca-Cola’s Kinley, and
Tata’s Himalaya is the most familiar brands. Hundreds, if not thousands of small
bottlers also sell water, some of whom are of questioning quality.
45. 29
MAJOR COMPANIES ACTIVE IN INDIA AND GUJARAT
1. BALAJI WAFERS PVT. LTD.
Balaji Wafers begin as a micro-retail enterprise in 1974, managed by the Virani brothers at
Astron Cinema, Rajkot, and Gujarat. By 1982, stimulate by the initiative of Virani brothers,
this grew to a home-based manufacturing business enterprise. A decade later, the brothers
came upon an international standard automatic plant in Gujarat, with steps to increase
capacity and quality. In 2000, Balaji Wafers installed its 1st fully automatic plant. By 2014,
Balaji Wafers captured a 70% market share in snacks bazaar. Today, the company employs >
1800 staff in their Rajkot and Valsad manufacturing facilities. Balaji has the capacity to
manufacture 1 lakhs kg of potato wafers, along with 5 lakhs kg of savouries per day.
2. MCCAIN FOODS (INDIA)
McCain Foods Ltd. is world’s leading producer of French fries and Potato specialties.
McCain partnered with McDonald's to work with farmers in Gujarat to cooperate with
agronomists and field assistants to demonstrate the best practices – right from healthier
agronomy techniques like irrigation system, sowing seed treatments, planting methods,
fertilizer application programmers and better storage methods for the produce. As a result
of such dedication and investment in Gujarat McCain came out as a biggest success in food
processing sector of Gujarat.
Since 1998, McCain has been occupied in agriculture R&D and development of frozen food
market in India and subcontinent countries. McCain products are used by principal fast food
chains, hotels, restaurants, catering companies and are popular for in-home consumption.
3. ITC
ITC's Branded Packaged Foods business is one amongst the quickest growing foods
businesses in India, driven by the market standing and consumer franchise of its popular
brands - Aashirvaad, Sunfeast, Bingo!, Yippee!, Kitchens of India, B Natural, mint-o,
Candyman and Gum On. The Foods business is today signify in multiple categories in the
market - Staples, Spices, Ready-to-Eat, Snack Foods, Bakery and Confectionery and the
newly introduced Juices and Beverages.
46. 30
4. DSM NUTRITION PRODUCTS INDIA PVT. LTD.
DSM has its Fortitech Premixes plant in Vadodara, Gujarat. The plant is spread across 10,000
sq. mt. and will be one-stop source for food, beverage and pharmaceutical manufacturers
looking for enrichment as a way to differentiate their products from their competition.
5. CAPITAL FOODS LTD
Capital Foods principal food processing company in India based in Mumbai. Major
Processing facilities of capital foods are located in kandla and Vapi of Gujarat. Kandla plant
is biggest ready meal plant of India with one lakhs sq. ft. area. Various brands of capital
foods are Ching's Secret and Smith-and-Jones.
6. HYFUN FOODS PVT. LTD.
This is a new food processing company that is all set to begin production. The machinery has
been supplied by Florigo Frying Equipment, Holland. HyFun Foods has Come upon an
Integrated Cold Chain Project with Individually Quick Frozen [IQF] facilities for Frozen French
Fries and Frozen Potato Snacks. The Products are manufactured as per International
standards. It’s an in-house sub-zero cold storage capacity for 725748 kg of finished
products.
7. VIMAL AGRO PRODUCTS PVT. LTD.
A state-of-the-art set up at Bardoli, Gujarat the company manufactures and exports over 80
different food products variety from Canned Vegetables, Fruit Pulp and Slices, Pickles,
Chutney, Papads and Ready-to-Eat Foods. With over two decades of expertise and
experience company supplies their products to the retail sectors in USA, Canada, UK,
Australia, UAE and many other countries under the brand names VIMAL, SWAD and BIG
PANTRY.
47. 31
8. GLOBAL GOURMET PVT. LTD.
It’s an Initiative of Jindal Agro Processing Pvt Ltd with the goal to cater authentic Indian
recipes across the world. With core ability and a magnificent bequest in the gastronomic
domain, JA partners well-known international brands through the private label route to
supply quality food products within the totally different classes of flat breads, breakfast
foods, snacks, curries and dinners. We’re equipped with state-of-art infrastructure,
engaging most up-to-date processing technology to offer an assortment of gourmet ready-
to-eat, frozen foods.
9. GUJARAT AGRO INFRASTRUCTURE MEGA FOOD PARK
Gujarat Agro Infrastructure Mega Food Park is an industrial estate focused exclusively at
the food processing sector. They provide enabling infrastructure and mechanisms to
strengthen the Agricultural value chain, bringing together Farmers, Food Processors and
the End Consumers such as Wholesalers, Retailers and Exporters. This project is being
promoted by Urja Group, AdaniWilmar Ltd and Jindal Agro Processing Pvt. ltd.
48. 32
CONTRIBUTION OF FOOD & BEVERAGES INDUSTRY IN NATION GDP
The Indian food business is poised for enormous growth, increasing its contribution to world
food trade each year. In India, the food sector has emerged as a high-growth and high-profit
sector as a result of its vast potential for value addition, particularly within the FPI.
The food business, which is at present valued at US$ 39.71 billion Is anticipated to grow at
an CAGR of 11% to US$65.4 billion by 2018. Food and grocery account for around 31% of
India’s consumption basket.
The Indian food and grocery bazaar is the world’s 6th largest, with retail contributing 70% of
the sales. Food has also been one of the leading segments in India's retail sector, which was
valued at US$ 490 billion in ‘13. The Indian food retail market is expected to reach Rs 61 lakh
crore (US$ 894.98 billion) by ‘20.
The Indian FPI accounts for 32% of the country’s total food market, one of the largest
industries in India and is ranked 5th in terms of production, consumption, export and
expected growth. It contributes around 14% of manufacturing GDP, 13% of India’s exports
and 6% of total industrial investment. Indian food service industry is expected to reach US$
78 billion by 2018.The Indian gourmet food market is currently valued at US$ 1.3 billion and
is growing at a CAGR of 20 %. India's macrobiotic food market is expected to increase by
three times by 2020
The online food ordering business in India is in its nascent stage, but witnessing exponential
growth. The organized food business in India is worth US$ 48 billion, of which food delivery
is valued at US$ 15 billion. With online food delivery players like FoodPanda,
Zomato,TinyOwl and Swiggy building scale through partnerships, the organized food
business has a huge potential and a promising future.
49. 33
OVERVIEW OF INDUSTRY
Belgium has its own special dish. Butter, cream, brewage and wine are freely use in cookery.
The state is primarily famous for the different things, its waffles, chocolate, brewage &
mussels. Some claim that the frite, or deep-fried potato chip, was invented in Belgium.
Restaurant bills forever take account of drinks, unless they have been taken at the bar
separately. In the latter case, this is settled OTC The majority of cafes having licenses to
serve spirits. Beers and wines are freely available in all places and no licensing hours.
Belgian gastronomy is far and wide varied with major provincial variation while also
reflecting the gastronomy of neighboring France, Germany and the Holland. It’s occasionally
said that Belgian food is served in the quantity of German gastronomy but with the quality
of French food. Outside the country, Belgium is paramount for its chocolate, waffles, fries
and beer.
Though Belgium has loads of distinctive national dishes, many internationally popular foods
like hamburgers and Pasta are also popular in Belgium, and most of what Belgians eat is also
eaten in neighboring countries. 'Belgian gastronomy therefore usually refers to dishes of
Belgian origin, or those considered typically Belgian.
50. 34
EXPORT OF BELGAIN FOOD
Between 2000-2014 the trade in Belgian agro-food products has increased by 86.1% and
quite doubled with countries outside of the EU. This is shown by a study carried out by the
FPS Economy.
That means the agro-food industry accounts for 2.2% of the Belgian GDP and 8.2% of the
entire Belgian export. Chocolate, bakery products, animal protein, vegetables and fruit
remain at the absolute forefront.
Belgium's key trade partners within the EU are the neighboring countries. Outside the EU
exports go to the United States, Russia and Algeria.
For the export there are five important sectors within the agro-food industry which
collectively account for 76.4% of the total export of the agro-food industry.
These are the sectors
Chocolate, sugar and additional foods (22.3%)
Fruits and vegetables (18.8%)
Meat (14.9%)
Dairy products (11.4%) and
Drinks (9%)
51. 35
FOOD AND DRINK SECTOR OF BELGUIM
The Belgian food & drink industry has a trade balance of €3.4 billion and a turnover of €46.6
billion (2012). Imports are mainly from France, Holland, Germany and the UK.
Market overview
As a result of its sturdy gastronomic tradition & cultural diversity, Belgium is frequently used
by large company as a test market for food products. With the EU market permitting free
movement of products, there’s an enhance in the availability of new products on the
Belgian market. Labels in different languages have become the norm and it’s now obligatory
to have labels in both official languages i.e. Dutch and French.
The food & drink market is driven by demand from the consumer to the distributor to the
manufacturer. This is an indication that Belgium is a mature market.
The distribution sector is exceptionally powerful in Belgium. It ought to be noted that
roughly 60% of all purchase are made at hypermarkets and supermarkets; if we add to this
the smaller supermarkets and corner supermarkets then we reach almost 100%. The three
largest players are Colruyt, Delhaize and Carrefour groups; together they account for 70% of
the market.
Since 2008, household spend on food & drink has remained stable. In 2010 a Belgian
household spent on average €5,315 on food & drink. The main categories are fresh meat
(mainly beef), sandwich meats, prepared meals and biscuits. A traditional Belgian meal still
consists of meat, vegetables and potatoes.
52. 36
KEY OPPORTUNITIES
There is a growing interest, and hence opportunities, in the following sectors:
Convenience foods. Snacks, especially food available at petrol stations for example,
for eating on the go.
Exotic ethnic foods.
Healthy foods such as, gluten free, lactose free and organic products.
SECTORS OFFERING GOOD OPPORTUNITIES AT PRESENT INCLUDE:
SNACKS AND CONVENIENCE FOODS
This is a market segment which is growing faster than predicted. The trend is attributed
to the growing number of single households, both amongst the elderly and younger age
groups and as a result of the changing eating habits of families.
For example, it’s not unusual that in a family with children every member of the
household wants to eat something different and so, Belgians resort to prepared meals.
Additionally, changes in lifestyle and new retail formats contribute to the increase in this
phenomenon. However, Belgian consumers still demand healthy options and the fast
food industry is making clear efforts to offer healthier alternatives.
ORGANIC PRODUCTS
The organic food market continues to grow. Organic food is more popular with the 35-65
age group, women and people on higher income. Belgium currently imports more than
50% of the organic food it consumes. This is expected to increase as demand for
prepared meals and a more diverse range of products rises.
The most popular products are bread, vegetable coffee, dairy and fruit. But the market
share is highest with meat replacement products, soya tea and eggs. Organic food is
mostly eaten at home.
ETHNIC FOODS
Belgians travel widely and are hence influenced by foreign cuisine. The demand for
ethnic food has increased dramatically over the last years, but seems to have reached its
peak at the moment. However, there still seems to be room for specialty products
offering a little something more. Belgian chefs in top restaurants are showing keen
interest in ethnic products and use them in their preparations.
53. 37
JUSTIFICATION OF INDUSTRY
Diplomatic relations between India and Belgium were recognized in 1948 and our
bilateral relations are cordial and friendly. In current times, Belgium has accepted the
growing that means of Asia and has emphasized the value of support economic relations
with India.
Belgium rank 4th in India’s total exports to EU countries and India’s exports to Belgium
showed an increase of 67.49% at $6.29 billion in 2010-11.
Belgium’s manufacturing industry is varied and well developed. The industry is muscular in
areas such as steel, textiles, chemicals, and food handing out pharmaceuticals,
automobiles, electronics and machinery. The manufacturing industry in Belgium is primarily
concentrated in the heavily occupied Flanders region in the North
Agricultural: The agricultural sector has been reduction but is large enough that Belgium
can meet most of its own demand for sugar, eggs, butter and meat. Belgium is also a net
exporter of vegetables and horticultural produce. Other agricultural products that Belgium
produces are cereals, wheat, maize and potatoes.
This incisive report provides expert analysis for Alcoholic Drinks, Beer, Confectionery, Dairy,
food stuff, Juices, Milk, Savory Snacks, Soft Drinks, Spirits and wine data on value, volume
and segmentation provide textual analysis of the industry's projection Incorporates in-
depth five forces aggressive environment analysis and scorecards include five-year
forecasts for Alcoholic Drinks, Beer, Confectionery , Dairy, Frozen Food, Juices, Milk, Savory
Snacks, Soft Drinks ,Spirit sand Wine. The Belgian alcoholic drinks market generated total
revenues of $11.2 billion in2009, representing a compound annual rate of change (CARC)
of -0.8% for the period spanning 2005-2009
54. 38
AGRICULTURE AND FOOD INDUSTRY IN INDIA AND BELGIUM
INDIA
India's rural culture and varied regional climate have created major contribution to the
worldwide food basket. Indian curries, mangoes, snacks and spices are best-known for their
exceptional quality worldwide. Internationally, India holds the top position in the following
food segments:
India is the leading producer of milk within the world (127.9 MM tonnes) that is 16.43%
share of total milk production in the world.
It’s the leading producer of mangoes within world (15.03 MM tonnes) contributing
40.48% of the world’s total mango production.
It’s also the leading producer of bananas (30.28 MM tonnes)
It occupies the 2nd position in fruit (81.28 MM tonnes ) and vegetable production
(162.19 MM tonnes)
It’s the 2nd largest producer of fish in the world (over 9 MM tonnes)
The exports of agriculture products have touched US$ 30.11 billion within the period Apr
2014- Mar 2015. Exports of processed fruits and juices and processed vegetables touched
US$ 0.87 billion, fresh fruits & vegetables showed US$ 1.26 billion, Buffalo meat at US$ 4.7
billion, and spices registered US$ 2.42 billion amount of exports within the same period of
Apr 2014- Mar 2015.
BELGIUM
There is conjointly a noteworthy dairy industry and Belgium is self-sufficient in eggs, butter,
and milk. In 1997, the nation produced 3.2 MM tons of milk, 3.97 MM eggs, and 1.75 lakhs
tons of butter. Belgium also produces a range of specialty cheeses. Currently, fishing is
mainly done for domestic consumption. In 2000, the nation exported $193 MM worth of
fish, but it imported $833 MM worth. The majority of imported fish came from the United
States and included lobster, salmon, and prepared seafood meals.
While the state is a net importer of wood products, it does have a significant timber
industry. In 2000, the timber industry was worth $9.9 billion. Total exports were $991 MM
while imports were $3.5 billion. The United States supplied some 50% of Belgium's softwood
and plywood needs.
57. 41
S - SOCIAL
o The Belgian public is also well-known for his/her
national gastronomy: chocolate, biscuits, pralines,
and a huge variety of beers. Invented by Belgian
monks, brewage is the national drink, and also the
quality and persist of the country's frothy brews is
unrivalled. Belgium is consequently ranked among the
countries prominent for their modern ‘haute cuisine’.
Belgium enjoys an exceptional gastronomic
reputation on the international stage.
o Belgians cook their food with the skillfulness of the
French but serve up it in generous German size
portions.
o Bread & potatoes are the habitual staple foods
o National drink is beer, but wine is imported in large quantities.
o Immigration has ensure a diversity of "ethnic" restaurant and is slowly but surely shifting
the eating habits of the residents in culturally mixed areas
o Mostly, a Flemish, Dutch, French and German speaking Population
o Vegetarian will find ltd options Traditional gastronomical delights are beer and waffles.
Belgiumis famous for the variety of chocolates. With active night life culture, night clubs
café and restaurants have enlarged investment opportunity.
o Belgium, the marketplace for food product has changed significantly over the previous
couple of years. In part, this is often as a result of changes in household and usual
consumption patterns, as an example, breakfasts are at the present being taken away
from home and snacking on the road is more commonplace. Additionally, in Belgium,
there is a growing ageing population; both partners in a household work and Belgians
are travelling more extensively.
58. 42
T - TECHNOLOGICAL
o Various technologies ranging from the
production, preparation processing &
packaging storing.
o Food Biotechnologies is Flanders is the
origin of plant biotechnology.
o Technological change (biotechnology, ICTs,
robotics and sensor technology, e-
business).
o “Food for life” is European technology platform (ETP) for the agro-food industry. This
means plans for the needs & requirements of the industry in the area of R&D. The EU
commission facilitates the establishments of such schemes for the promotion of
innovation in Europe.
E - ECONOMICAL
o Imports are primarily from European
country.
o Exports continue to play a vital role in
the F&B industry, and reached 52% of
the total industry turnover in 2012.
o Flanders, 15% In the Walloon part and
2% in Brussels. 52.1% of that turnover or
€ 24.3 billion is export.
o The Belgian food & drink industry has a upbeat balance of trade of € 3.4 billion.
o The EU is significant export market, but exports to third countries are on the rise.
o The added value amounts to € 6.7 billion; investments to € 1.3 billion.
o Employment is steady and even to some extent increasing and amounts to 89.372
employees. (estimated figures for 2012) Turnover € 46,589 MM.
o Turnover in Belgium € 22,330 MM Turnover export € 24,259 MM, Export ratio 52.1%,
Investments € 1,280 MM, Employment 89,372, Employers 4,768.
59. 43
E - ENVIRONMENTAL
o About 1/4TH of Belgium’s land area is
agricultural and underneath permanent
cultivation; more than 1/5TH comprise
meadows and pastures.
o Major crops are sugar beets, chicory, flax,
cereal grains, and potatoes.
o The cultivation of fruits, vegetables, and decorative plants also is important, particularly
in Flanders.
o However, agricultural activity in Belgium center first and foremost on livestock; dairy
and meat products constitute more than 2/3rd of the total farm value.
o Forage crops, barley, oats, potatoes, and even wheat are grown everywhere, but
particularly in the southeast.
P - POLITICAL
o In Belgium, food chain safety is the
accountability of the Ministry of Health,
with an internal division of labor between
the Federal Public Service for Health, Food
Chain Safety and Environment (FPS Health)
and the Federal Agency for the Safety of the Food Chain (FASFC).
o The Belgian scientific community, economic operators and other Belgian operators give
the EU their precious opinions on the often complex issues concerned.
L - LEGAL
o Food Standard Agency The Belgian food safety agency AFSCA
o Food Safety Act 1990—for safety and mentions the liable penalties in case of violate
EFSAL incensing Laws regulating the packaging and labeling Labels in different languages
have become the rule and It’s now obligatory to have labels in both official languages i.e.
Dutch and French.
60. 44
E - ETHICAL
o The Belgian self‐regulatory organization will still be in charge of handle complaints with
regard to the self‐regulatory code on food advertising in place since 2005.
o Corporate codes of conduct are a policy statement of individual company.
o Ethics on HR, Production, skills on knowledge etc.
o European Commission – code of ethical conduct.
o Belgium have stringent rules for the health claims done in the advertising
D - DEMOGRAPHIC
o Urban residents 97% of total population
(2010).
o Belgium has a population of around 10.5
MM and continues to grow, largely due to
immigration (a key contributor to
diversification in the domestic food sector).
o Within Western Europe countries, with
income distribution being comparatively
equal in the country.
o Health and wellness carry on to be a
growing main concern for consumers, with
increasing demand for healthy products,
beside with interest in ethical goods.
62. 46
S - SOCIAL
o India has a population of more than 1.2 billion people with about 70% between the ages
of 15 and 65. So, there are structures with %ages according to age. These structures
include varying flexibility, in education, work attitudes, income distribution, and so on
o India gastronomy or Indian foods encompass a spacious diversity of regional gastronomy
native to India.
o Given the range of diversity in soil type, climate and occupation, this gastronomy vary
significantly from each other and use locally available spices, herbs, vegetables and
fruits.
o Indian food is also greatly influenced by religious and cultural choice and traditions. The
developments of this gastronomy have been shaped by Dharmic viewpoint, and in
particular by vegetarianism, which is a growing dietetic trend in Indian society.
o There has also been Central Asian influence on North Indian gastronomy from the years
of Mughal rule. Indian gastronomy has been and is still evolving, as a result of the
nation’s cultural exchanges with other societies.
o Growth in the size of Indian household in the middle to very wealthy class which will
result in the Indian household consumption to doubling-up by 2015.
o An increase in the youth population in the country a growing migration of population
from rural to urban India.
63. 47
T - TECHNOLOGICAL
o Automation products and systems, Ultra high temperature (UHT) processing and aseptic
packaging, Super heated water spray sterilizer, Membrane processing, Horticulture
(fruits, vegetable, spices, flowers), Thermal processing methods, Drying/Dehydration,
Chemical preservation.
o Automation and Computerization in diverse operations like inventory management,
billing and payment system as well comprise new developed barcode system, MIS and in
addition online payment system.
o Emerging technology creates a great value chain between the stakeholders and
moreover provides up-to-date information which improves supply chain and
transportation.
o At the present day finest example of technological advancement is the e- trading where
the entire channel connect like producer to consumer, in F & B industries food panda for
hotel, big basket for the fresh vegetable provider.
64. 48
E - ECONOMICAL
o As per the industrial reform policies 1991, reduction in industrial licensing, liberalization
of foreign capital, formation of FIBP and so on, has resulted in a constant improvement
of India’s economic environment. The Indian F & B market to be expanding rapidly and is
projected to grow up at a CAGR of 9% during 2009-13 and achieve Rs. 27,220 bn ($580
bn) by 2013.
o In 2012-13, developments of manufacturing sector have decelerated significantly. On
the other hand, as per the Index of Industrial Production (IIP), FPI has performed better
than manufacturing sector; while FPI grew at 2.6% Contribution to GDP of FPI sector has
increased to Rs. 78,094 Crore in 2011-12.
o FDI is permitted for all the processed food products up to 100% on automatic route
except for items reserved for Micro and Small Enterprises (MSEs). The Indian beverage
industry faces in excess of supply in segment like coffee and tea. However, more than
50% of the market share is in unpacked or loose form.
o The major players in this segment are Nestlé, HUL and Tata Tea.
o Market Potential :
Processed food – High
Milk and dairy – High
Beverages: Tea, coffee-high
Wine –low
Fish and seafood –Low
65. 49
E - ENVIRONMENTAL
o Internationally, India have the leading irrigated area under cultivation 46 out of 60 soil
types are present in India.
o Ample supply of fresh water for human, plant and animal consumption.
o Over 1,350 landing centers and 3,300 villages from 13 states engaged in fishing as their
secondary activity.
o It has a balanced bio-diversity.
o In India, there is easy access to domestic animals such as cows, buffaloes, goats, chicken,
lamb, sheep, fish, etc.
o India has over 26 types of climatic conditions, which provides a competitive edge for
naturally cultivating a large variety of farm produce.
o Climate change and water scarcity increase price.
66. 50
P - POLITICAL
o The political environment is to a great extent influenced by factors such as government’s
policies, politician’s interests, and the ideology of several political parties.
o Due to the importance of the food industry for India, the government has a high
participation in the overall food industry in the form of assistance and regulations.
o The government’s interference in ‘marketing and sale’ of food products revolves around
information sharing and support in terms of production procurement and pricing of
products.
o The government’s intervention in ‘processing’ of food products is targeted towards
providing assistance and undertaking initiatives to develop the processing capabilities.
o Food security bill—to give food subsidies.
o The government plans to open 30 mega food parks by the end of the 11th Five Year Plan
(2007-2012).
o Food processing industries have been put in the list of priority sectors for bank lending.
o Excise duty on aerated drinks ready-to-eat packaged foods and instant food mixes Fruit
and vegetable processing units have been completely exempted from paying excise duty
FDI Policies sector wise.
67. 51
L - LEGAL
o Regulatory Body: Food Safety and Standards Authority of India (FSSAI).
o The Act brought into force in place of the PFA is the Food Safety and Standards Act, 2006
that overrides all other food related laws.
o It specifically repealed eight laws which were in operation prior to the enforcement of
FSSA.
o Key FSA Regulation
Packaging And Labeling
Signage And Customer Notices
Licensing Registration And Health And Sanitary Permits
Prevention Of Food Adulteration Act
Standards Of Weights And Measures Act
Various Food Products Orders
Other Licenses
o Banned items include Meat and beef and other animal related items are banned in India.
o High taxes make imported wines and those produced outside of a particular state
significantly more expensive.
68. 52
E - ETHICAL
o Industry (CII) released a Code of Business Ethics to its members (more than 8000
member companies), aiming to reduce corruption and ensure transparency among The
Federation of Indian Chambers of Commerce and Industry (FICCI) have also adopted a
similar stand. When it comes to ethics in business media advertisement and publicity is
under the control of ministry of information and broadcasting and advertising standard
council of India (ASCI).
o Key ethical players: ITC, PepsiCo, Hindustan lever
D - DEMOGRAPHIC
o Rising Income: rise in demand of value added products.
o Urbanization: leading to higher consumption of processed, packaged, branded and Value
added F & B products.
o Diet diversification: localization of globalised products or services and has caused
international food products to be adapted to suit Indian consumers.
o Meal portions and timings: convenient products and snacks.
o There are varying the people’s timing for taking a meal cause of that taste and eatable
food habits changing.
o Women in the workforce and Special festivals: chocolates, almonds and other dried
nuts.
70. 54
INDIA/GUJRAT BELGIUM
S
O
C
I
A
L
1. Wide verity of Indian food and cookery.
2. Demographic trend and lifestyle patterns
3. Indian food is also heavily influenced by
religious and cultural choices and traditions.
4. Changing Lifestyle
5. Demand for processed food rising with
growing disposable income, urbanization, young
population nuclear family.
1. Excellent gastronomic reputation on the
international stage.
2. Belgians cook their food with the finesse of
the French, but serve it in generous German
size portions!
3. Bread and potato are traditional food and
beer is national drink but widely consumption
of wine.
4. Delicious filled chocolates invented in
Brussels in 1912 by Jean Neuhaus, the son of
a Swiss pharmacist
5. Additionally, in Belgium, there is a growing
ageing population; both partners in a
household work and Belgians are travelling
more extensively.
T
E
C
H
N
O
L
O
G
I
C
A
L
1. Automation products and systems, Ultra high
temperature (UHT) processing and aseptic
packaging.
2. Computerization in various operations
3. Create the great value chain between the
stakeholders.
4. Technological advancement in the e- trading.
1. Range technologies used at various level.
2. Birthplace of plant Biotechnology.
3. Technological change.
71. 55
E
C
O
N
O
M
I
C
A
L
1. F & Bs market is expanding rapidly
2.FDI is 100% permitted in processed food
products
3. India enjoys the higher portion tea and coffee
export.
4. Reductions in industrial licensing after
reforms of 1991.
1. Belgian food and drink
Industry has a positive trade
Balance
2. Turnover in Belgium € 22,330 MM
Turnover export € 24,259 MM, Export
ratio 52,1%,
Investments € 1,280 MM, Employment
89,372,
Employers 4,768
3. Export in EU and also third party countries.
E
N
V
I
R
O
N
M
E
N
T
A
L
1. Largest cultivating soil/land.
2. Plentiful source of water supply.
3. Fishing is secondary activity.
4. Easy access and large amount of livestock.
5. Price change cause of climate change.
1. Largest area under permanent agriculture
cultivation.
2. Major crops are sugar beets, chicory, flax,
cereal grains, and potatoes.
3. The cultivation of fruits, vegetables, and
ornamental plants also is important,
particularly in Flanders.
4. However, agricultural activity in Belgium
centers primarily on livestock; dairy and meat
products constitute more than two-thirds of
the total farm value.
P
O
L
I
T
I
C
A
L
1. Government policy influenced by political
parties.
2. High involvement of government in food
industry
3. Food securities bill- to give subsidies.
4. Mega food parks.
5. Put under the priority for banking lending by
government.
1. Food chain safety is the
Responsibility of the Ministry of
Health
2. The Belgian scientific community, economic
operators and other Belgian operators give
the EU their valuable opinions on the often
complex issues concerned.
72. 56
L
E
G
A
L
1. Food Safety and Standards Authority of India
is Regulatory.
2. High tax rates on import of wine and beer.
3. Meat and beef are banned and some strike
rule and regulation.
1. Food standard agency the Belgian food
safety AFSCA
2. Food safety act 1990 – for safety and
mention the liable penalties in case of breach
of law regulating the packaging and labeling.
It’s obligatory to have labels in both official
languages i.e. Dutch and French
E
T
H
I
C
A
L
CII is released a code of business ethics to its
member, aiming to reduce corruption and
ensure transparency among the federation of
Indian chambers of commerce and industries.
Key ethical players: ITC, pepsico, HUL
The Belgian self regulatory organization will
still be in charge of handling complaints with
regard to the self-regulatory code on the food
advertising in place since 2005.
Belgium has stringent rules for the health
claims done in the advertising.
D
E
M
O
G
R
A
P
H
I
C
1. Rising income
2. Urbanization
3. Diet diversification
4. Meal portions and timing
5. Special festival
1. Urban population higher
2. Elderly populated country
3. High income consumer market
4. Healthy and wellness to be continue
growing
74. 58
S - STRENGTH
o Since consumers in the home market are demanding, thanks to our food culture, Belgian
food products are considered as high quality.
o The Belgian food industry is well located in a dense Western European market (major
export countries) and at the centre of a logistics hub in the EU. This geographical
location, close to major ports, roads and railways, facilitates exports to a large extent.
o The Belgian food industry produces products with high added value, which is especially
important for the strong Belgian position in export markets. Remember that the Belgian
food industry export quota is only slightly below 50%.
W - WEAKNESS
o The value of the sector in terms of added value and job creation (also of low-skilled
labor) is inadequately publicized at governmental level. Although the food industry is
one of the best performing industries, it’s not recognized as such by most stakeholders.
Unknown means reviled and ignored in the political decision-making process.
o The high level of quality and food safety measures makes the total cost of quality and
thus the total cost of the product high. If the added value of products becomes too low
in relation to the high cost of quality (especially for labor-intensive products), this could
even become a threat in the future.
o The Belgian food industry has a relatively small share of big companies (e.g. in
comparison with NL) with their decision centers in Belgium. This puts the Belgian food
industry in a weak position when de- or relocali-sation decisions have to be taken.
75. 59
O- OPPORTUNITIES
o Given the high quality and value of Belgian food products and the annual increase in the
export rate, there is potential to increase exports even further. Although exports to
neighboring countries will remain very important, broadening the scope to include new
markets (Eastern Europe, BRIC) could help to diversify the export portfolio. The world
population is expected to rise to 8 billion in 2030 and 9 billion in 2050.
o Significant knowledge has been developed by FASFC on the issue of food safety. This is a
valuable asset that can be used for export promotion. (See Danish model where food
quality monitoring institute is embedded in ministry of economic affairs and is involved
in export promotion.)
o (International) brands are becoming more and more profitable. The Belgian food
industry could do even more to improve international awareness.
T- THREATS
o Labor costs in Belgium are among the highest in the European Union, which erodes the
competitive position of the Belgian food industry. Producers of products with low added
value (such as private label) are particularly affected. It seems that recently the gap in
labor costs between Belgium and neighboring countries has been widening again.
o Access to raw materials will become scarce in the future, especially for SMEs. Big
multinational companies have higher purchasing power or can internalize raw material
supplies more easily. However, if scarcity increases in the food industry, input prices will
definitely continue to rise.
o Emphasis on price reductions at the expense of quality could severely harm the image of
Belgian food.
77. 61
S - STRENGTHS
o India called most younger country where the 50% of population is bellow the age of 25
and also the rising the income per capita and consumption pattern change and also the
technological development like increasing the consumption rate an also industrial
development of country. For e.g. there are manufacturer in Gujarat like balaji, Avadh,
Gopal Manpasand, Samrat, amul, mahi, sumul etc.
o India is also called festive friendly country where the many festival celebrated so it’s
called “Evolved eating culture” where people are gourmet mind set they need always
need some new taste.
o India is the country where the huge natural resources available and where the easily raw
material are available.
o In Gujarat, more than 30,000 food processing units are operating and which providing an
employment to more than 1 MM people.
o Gujarat provide better infrastructure which need like water supply, transportation
facilities, storage facilities (cold storage, ware housing)
o Gujarat have the large marine line which covers above 1600 km which provide large
fishery work, clear the route for import and export and also provide facilities like larger
ports and storage houses.
78. 62
W - WEAKNESS
o F & Bs industry are fast growing industry in India. F & B need a proper infrastructure for
the storage and transport facilities which not provided or developed as a concern of
growth of industries.
o F & B are directly concern with the customer’s health so there must need some quality
control standards accordance of international standards which is not adequate.
o There are Inefficient supply may concern because of the large number of intermediaries
in supply chain.
o F & B industries called high demand and supply of products so it’s requires high Working
capital for day to day transaction.
o Raw material availability is may be weakness because off seasonality of raw material
availability.
o Higher the competition need the higher the research and development so It’s costly and
some time not possible for small business.
o There should require different licensing for establishment of business or renew the
licensing which may take several time so It’s time consuming.
79. 63
O - OPPORTUNITIES
o Large crop and material base offering a vast potential for agro processing activities
o Setting of SEZ/AEZ and food parks for providing added incentive to develop Greenfield
projects
o Growth of Indian economy and improved lifestyle of Indian changing consumption
patterns will provide opportunities for premium products.
o Integration of development in contemporary technologies such as electronics, material
science, bio-technology etc. offer vast scope for rapid improvement and progress
o Opening of global markets may lead to export of our developed technologies and
facilitate generation of additional income and employment opportunities.
o There are also many unexplored segments such as cake and Rusk and many more
products which open the way for new business.
80. 64
T - THREATS
o Indian people are stuck with the there route beliefs and cultural values and it becomes
an threats that people gave priority to cultural fresh foods or say that “home made
products”
o In this competitive era the entry of new firm may be difficult and faces more challenges
opposite of large scale or MNC firms are already working with high level of technologies
and instrument and also with lower cost and best quality products and also having their
R&D department.
o In India there are multi layer tax system provide more rigidity like central tax and state
authority taxes are need more paper work and time taking process for new licensing.
o One point also make threat of carrying and storage cost of material because of
seasonality, need to store in advance for long term production and also fear of wastage
of material so it must needed a proper infrastructure with be costly and some time loss
bearing for the firm.
83. 67
OVERVIEW OF MAHARASHTRA
Maharashtra is situated in the western part of the county and 3rd largest state and stands
2nd in population among all Indian states. and border area connect with on west side
Arabian Sea, northwest side Gujarat, north side Madhya Pradesh, south side Karnataka, east
side Chhattisgarh and Telangana, this state covers 3,07,713 sq km area in India.
India’s financial capital Mumbai is the capital of Maharashtra and Nagpur is the auxiliary
capital of state. It’s also the known as the wealthiest state of India, it also contribute about
15% in industrial output of the country and around 14% of its GDP.
The state has several wildlife sanctuaries, national park and patronizes project tiger which is
an attempt to preserve the endangered species like the Bengal tiger, only to conserve the
boi-heritage of the country.
Maharashtra has a tropical monsoon climate and annual rainfall is 400 mm – 6000 mm
annually, with konkan are receiving the maximum rainfall in the state. Avg. temperature
varies between 25-27 degree Celsius in a year.
With 6 administrative districts and 5 main regions, Maharashtra has 19 Rajya Sabha or
Upper House seats and 48 Lok Sabha or Lower House seats.
FACTS ON MAHARASHTRA
Official website www.maharashtra.gov.in
Date of formation May 1 1960
Area 307,713 sq km
Density 365/km2
Population[2011] 112,374,333
Males [2011] 58,243,056
Females [2011] 54,131,277
No. of District 36
Capital Mumbai
Rivers Godavari, Penganga, Bhīma, Parvara, Mula
Forest and National park Tadoba, Nagzira, Gugamal
Languages Marathi, English, Konkani
State animal and Bird Indian giant squirrel and yellow-footed green pigeon
State tree and flower Mango and Lagerstroemia
Literacy rate[2011] 79.85%
Chief Minster Devendra Fadnvis
Governor Chennamaneni Vidyasagar Rao
Assembly constituency 288
Parliamentary constituency 48
84. 68
POPULATION OF THE MAHARASHTRA
The population of Maharashtra is to be over 12.13 crore in 2016. Each year the state adds
more than 1.5 MM people to its ever growing population. Total number of people living in
Maharashtra in 2015 was 11.95 crore. The state is home to large proportion 96.8 MM Hindu
followers in India.
More than half of the population is rural and lives in villages. The urban-rural ratio has been
changing since the 20th century. Mumbai is the largest city and also most populous
metropolis city in India. Nagpur, Pune, and Solapur and mughal city of Aurangabad are the
other major cities.
OFFICIAL LANGUAGE OF MAHARASHTRA
Marathi the official state and also mother tongue language is spoken by 42% of the
population. Being cosmopolitan city other languages spoken by the people in the state are
Guajarati, Hindi, English, Telugu, Kannada, Sindhi, Urdu, Bengali, Malayalam, and and
English. There are also many local languages, including Konkani in the west coast and Gondi,
Varhadi, and Mundari in the western and northern forests.
ETHNIC GROUP OF MAHARASHTRA
The Marathi people are an ethnic group of India that inhabits the Maharashtra region and as
well as some border district such as Belgaon and Karwar of Karnatak and Nadgaon of Goa
states in western india.
Maharashtra’s religious diversity reflects that of India as a whole. Muslims, Buddhists and
many Christians, Jewish, Parsi group have settled mostly in urban areas. Parsis live mainly in
Mumbai. Other religious minorities include Jainas and sikhs whose small communities are
widespread.
85. 69
NATURAL RESOURSES OF MAHARASHRTA
FOREST:- Forest comprising only 17% of the state
area covers the eastern region and the sahyadri
range, while open scrub jungle dots the plateau. If
Maharashtra represented the maha kantara in the
historic past, today little of it’s lest; vast section have
been denuded and stripped of the vegetal cover.
SOILS:- The underlying layer of basalts has been
responsible for the presence of residual soils in almost the entire area of the Maharashtra. A
variety of residual soils can be found in the state, depending on the availability of rainfall
and nearby water bodies.
Minerals:- The mineral rich belts of the state are formed by the districts of
Gadchiroli,Nagpur, Chandrapur and Bhandara. These districts lie outside the basalt zone,
whose boundaries are formed by Sindhudurg, Vidarbha and Kolhapur. Coal, Iron Ore,
Manganese and Limestone are some of the most important minerals found in the mineral
rich zones of Maharashtra.
SR. NO. MINERAL RESERVES
1. Coal
2. Limestone
3. Manganese ore
4. Iron ore
5. Kyanite – Sillimanite
6. Pyrophyllite
7. Bauxite
8. Silica sand and sea sand
9. Clay
10. Baryte
11. Graphite
12. Limonite
13. Fluorite
14. Copper ore
15. Chromite
16. Dolomite
17. Vanadium ore
18. Tungstone ore
19. Zinc ore
20. Feldspar
21. Quartz
22. Soapstone
23. Agate
24. Granite
86. 70
TRANSPORATION CONNECTIVITY OF GUJRAT WITH MAHARASHTRA STATE
Transport is an important part of India’s economy but It’s poor in comparison with
international standards. Since the economic liberalization of the 1990’s, infrastructure
development has progressed rapidly; today there is a variety of modes of transport by
land, water and air.
Traditional means of transportation are used by Indian people like walking, palanquin,
hand-pulled rickshaw, bullock cart and horse carriage, bicycles, cycle rickshaw.
In India largely public transport is used in which land based we include the roadways and
railways. Also there are wide diversification seen between modern and traditional
transportation vehicle usage like in villages now a day used a bullock cart and other
traditional means where there are some city like Mumbai, Delhi, Chennai, Kolkata,
Bangalore, Hyderabad and Pune having been using computer base rail transportation
(metro) and many other mega city are providing bus services like BRTS in Gujarat’s
Rajkot and other city.
MEANS OF MODERN Land TRANSPOTATION
MEANS OF MODERN LAND
TRANSPOTATION
Public Road Transport
Bus
BRTS
[Bus Rapid Transit System]
Auto Rickshow
E Rickshaw
Urban Rail Transport
Suburban Rail
Urban Mass Rapid Transit
Monorail
Light Rail
Tram
87. 71
PHYSICAL INFRASTRUCTURE - ROAD
Maharashtra is well connected to its six neighboring states and other parts of India
through 18 national highways. The 94.5 km long Mumbai-Pune expressway is India’s 1st
six-lane, concrete, high speed, tolled expressway, which connects the state capital and
financial hub, Mumbai with the neighboring industrial hub Pune.
PHYSICAL INFRASTRUCTURE - RAILWAYS
The rail traffic in Gujarat mainly falls under the following divisions of western railway:
Vadodara, Rajkot, Bhavnagar, Ratlam, Mumbai, and Ahmadabad.
As of July 2015 an investment of US$16.58 billion for the construction of bullet trains
between Mumbai and Ahmadabad. Construction of this project is expected to start by
2017.
TYPES OF ROAD LENGTH(KM)(GJ) LENGTH(KM)(MH)
National Highways 5,016 7,047.19
State Highways 19,761 33,963
Major District Roads 20,641 50,232
Other District Roads 10,493 52,761
Village Roads 21,119 1,14,557
88. 72
PHYSICAL INFRASTRUCTURE - AIRPORTS
GUJARAT
The Gujarat has 18 domestic airports (the highest in any state) and one international
airport. Out of these, 9 are under airport authority of india, 2 in daman and Diu, 3 under
state government, 3 under Indian air force, while 2 are private airports.
These are domestic airports at Bhavnagar, Bhuj, Jamnagar, Kandla, Keshod, Deesa,
Porbandar, Rajkot, Surat, Vadodara, Mundraand Palanpur.
MAHARASTRA
There are 7 domestic and 4 international airports functioning in Maharashtra. Domestic
flights operate from Mumbai, Pune, Nagpur, Aurangabad, Kolhapur, Juhu, and Nandeed.
Whereas international flights operate from Mumbai, Nagpur, Pune and Aurangabad.
Mumbai is one of the busiest airports in India. To reduce congestion at the Mumbai
international airport, an idea for a new airport has been proposed at navi Mumbai.
89. 73
PHYSICAL INFRASTRUCTURE – PORTS
Gujarat has 42 ports, including major port at kandla and 41 minor ports along 1600 km
coastline. 1st state in India to take up port privatization.
GMB, which manages 41 non-major ports has developed port privatization model such
as private/joint sector port, private jetties, captive jetties and GMB jetties.
90. 74
MAHARASHTRA
Along the coast line of 720 km, there are two principal ports:Mumbai port trust
(Mbpt)Jawaharlal Nehru Port Trust (JNPT)
In addition, there are 53 minor ports.
During 2014-15, traffic handled at the two major port in Maharashtra was recorded at
1,254.62 lakh tones, of which JNPT accounted for 638.02 lakh tones and MbPT 616.60
lakh tones of port traffic.
91. 75
MAJOR INDUSTRIES
Pharmaceuticals Biotechnology IT & ITeS
Electronics Engineering Auto& auto
components
Oil & gas Food& agro Processing Gems& jewellery
Banking,financial
services&
insurance(BFSI)
Textiles
93. 77
OVERVIEW OF FOOD & BEVERAGES INDUSTRY IN MAHARASHTRA
1. GLOBAL FOOD & BEVERAGES SECTOR
Global share of demand F & B is increasing in emerging regions thus driving continued
globalization.
Asia Pacific region with 32% of F & B retail sales stood as a reigning leader.
The estimated value of global the global processed food industry was US$4.2 trillion in
2008-09.
European union, US and Japan accounted for the more than 60% of the total global
processed food retail sales. Although the China and India are growing substantially.
Major players in the industry include Altria group, PepsiCo, Coca-Cola, British American
Tobacco, and Cadbury.
2. INDIAN FOOD &BEVERAGES SECTOR
India is World’s largest spice producer, consumer, and exporter. World’s largest milk,
pulses, and tea producing nation. World’s 2nd largest fruit and vegetable producing
nation. World’s 2nd largest biscuits manufacturing nation. World’s 5th largest poultry
producing nation. World’s 3rd largest marine landing nation World’s 6th largest bovine
meat exporter.
Food and safety Bill, Creation of Food safety and Standards Authority of India (FSSAI),
Scheme for Mega food Park and SME Cluster, Agro Export Zone are major initiatives
from gov. of India.
Among the fastest growing segments in India; it includes packaged foods, aerated soft
Drinks, Packaged drinking water, Alcoholic Beverages.
The FPI is one of the largest industries in India and ranked 5th in terms of production,
Consumption, and Exports. Food processing sector is expected to reach US$ 258 billion
in FY15.
In FY15, FPI constituted 14% to India’s GDP through manufacturing
94. 78
3. MAHARASHTRAFOOD &BEVERAGES SECTOR
Maharashtra is a bio-diverse state with 9 agro climate zones and varying soil types,
suitable for agriculture development. and largest producer of Seedless Grapes (78%),
Banana (75%), Mandarin Oranges (75%), Onion (63%), Tomatoes (42%). 90% Alphanso
mangoes exported,200 sectioned and 150 productive cooperative sugar mills, 40%
turnover of seed industry in India, fresh vegetables and fruits accounts 30%, and food
processed product almost 50%.
Maharashtra has more than 60% of the area under drip irrigation
The state has presently 6,512 small and medium and 322 large scale food processing
units.
58 sugar projects entailing an investment of INR 5252 crore has been envisaged in the
state.
96. 80
CONTRIBUTION OF FPI TO INDIA’S GDP
Contribution of FPI to India’s GDP
Through Manufacturing (FY15)
14%
86%
Contribution of food processingindustry to
India’s GDP through manufacturing (FY15)
food processing
others
97. 81
MAJOR PLAYER IN MAHARASHTRA
Hindustan Unilever
Ltd (HUL)
Marico Mondelez India
Foods Ltd
Al Kabeer
ParleProducts Pvt
Ltd
Girnar Godrej Industries
Ltd (GIL)
AllanasonsLimited
Bisleri International
Pvt Ltd
Capital Foods Godrej Tyson Foods Mahanand Dairy
IVP Limited Blue Bird Foods Foods and Inns Ltd Liberty Oil MillsLtd
The Ravalgaon
Sugar Farm Ltd
ADF Foods Ltd Badshah Haldiram's
Fortune Gourmet
Specialities PvtLtd
Raj Oil Mills Ltd
(ROML)
98. 82
TAXES AND DUTIES OF MAHARASHTRA
1. INCOME TAX ACT, 1961:-
Income tax is allowed, 100% of profit for 5 years and 25% of profits for the next 5
years, for new industries to process, preserve and package fruits and vegetables.
2. CUSTOM DUTY:-
Custom duty on import of food processing and packing is chargeable in the range
from 7.5%to 10%.Custom duty on import of various type of alcohol ranges from
100% to 150% of the transaction value of imported alcohol, that is, the price
actually paid or payable for the goods when sold for export to India for delivery
that time and place of import. Cigarettes have a custom duty rate of 100%. Both
cigarettes and alcohol are subject to additional custom duty and educational
cess. Custom duties on tobacco stand at Rs. 70 per kg.
3. SERVICE TAX:-
The effective rate of service tax is 14% (including education cess).
4. CENVAT:-
In the excise duty is 12% on the industry plus applicable cess.
Excise duty has increased for certain other items such as mineral water, aerated
water, etc. to 18% from the existing 12%.
5. GST:- 10%
Central GST (CGST) which will be levied by centre.- 5%
State GST (SGST) which will be levied by state.- 5%
Integrated GST (IGST) which will be levied by central government on interstate
supply of goods and services.
99. 83
BENEFIT GIVEN BY GOVERNMET
KEY BENEFITS
Reimbursement of 25% of the net VAT paid subject to financial ceilings and for
periods which differ depending on the location on and investment level.
Reimbursement to 50% of the net VAT paid instead of 25%.
5% interest subsidy on term loans for fixed capital investment for 5 year.
Support to MSE-CDP cluster in backward areas of Maharashtra of the extent of
10% of the project cost in addition to central funding.
Taken the initiative of establishing end to end projects in the field of agriculture.
Agriculture marketing and food processing sectors with the help of word bank,
IFAD (international fund for agricultural development)
POLICY AND REGULATORYSUPPORT
101. 85
S - STRENGTHS
One of the major horticulture state in India with more than 13.66 lakh hectares under
horticulture and 4 lakh hectares under vegetables.
90% alphanso mangoes exported,200 sectioned and 150 productive cooperative suger
mills, 40% turnover of seed industry in india, fresh vegetables and fruits accounts 30%,
and food processed product almost 50%.
Maharashtra has eight agri export zones spread across the state for grapes wine,
Mangoes, Kesar Mangoes, flowers, onion, pomegranate, banana and oranges. It has also
additional five crop cluster for cashew, sapota, sweet orange,Fig, custard apple.
Other points create strength
Highest FDI in the country cause of financial hub(Mumbai) of India.
Single window clearance Mechanism
World wide connectivity cause of large number of international airport and port and also
greater connectivity with its neighbor states via road, rail.
Given the dearth of industrial land with basic infrastructure facilities at affordable prices
in Mumbai, pune,and other developed areas of the state.
Industries setting up units in the region would be able to benefit owing to the availability
of adequate electricity in Maharashtra.
Presence of several educational institutes in the region ensures adequate availability of
fresh talent in the region.
W - WEAKNESS
Maharashtra has been unable to attract industries like Automobiles and Pharmaceuticals
that have considerable vender-development possibilities.
The dearth of value-adding industries and employment opportunities has hindered
Maharashtra’s further economic development.
Skilled labors are transferred to the large city of Maharashtra and other states.
High taxation compare to the other states in Maharashtra under the different schemes
which some time not understand or rigid.
102. 86
O - OPPORTUNITIES
Improving road, rail, and air connectivity: the state has well developed social,
physical, and industrial infrastructure. Apart from four international and seven
domestic airports, state have two major and 53 minor ports. It also have well
developed power supply grid.
The government of Maharashtra provides single-window clearance to all units to
reduce the average time required for establishment of such units and issue various
clearances required for setting up of industries at a single point.
The state government has considered for establishing of food parks on the line of
industrial colony.
The state government has appointed MAIDC as establish Food Park at orange city,
five star zone of MIDC, Nagpur under centrally sponsored scheme. Orange city Food
Park is the brainchild of MAIDC and MIDC.
T - THREATS
Aggressive policies of neighboring states have elevated their position in the industry
value chain.
MNC’s and large Group of companies in Maharashtra like HUL, Godrej, Bisleri, so
these companies are well developed and have brand loyalty among the market.
New business entrance need high amount of capital for install modern plant where
as well as face to strategies adopted by other establish local, national and
multinational brand.
104. 88
COMPARATIVE ANALYSIS OF BELGIUM, GUJARAT & MAHARASHTRA
BELGIUM GUJARAT MAHARASHTRA
F
O
O
D
&
B
E
V
E
R
A
G
E
S
Alpro
AB InBev
Cavalier Chocolate
Guylian
Spa(Spadel Group)
Amul
Parle Products Pvt Ltd
Vadilal
Rasna
Balaji Wafers Pvt. ltd.
Global Gourmet Pvt. Ltd.
Gujarat Agro Infrastructure
Mega Food Park
Vimal Agro Products Pvt Ltd
Hyfun Foods Pvt. Ltd.
Hindustan Unilever Ltd (HUL)
Marico
Mondelez India Foods Ltd
Al Kabeer
Girnar
Godrej Industries Ltd (GIL)
Allanasons Ltd
Bisleri International Pvt Ltd
Capital Foods
Haldiram's
M
A
J
O
R
I
N
D
U
S
T
R
I
E
S
Value added Logistics
Chemicals
Life sciences
Agro food
ICT – Software development
Aeronautics
Nuclear equipment and services
Renewable energies
Textile
Diamonds
Industrial Automation
Automotive
Building and engineering
Agro andFood Processing
Dairy
Chemicals and Petrochemicals
Textiles and apparels
Engineering and auto
Gems and jewellery
Oil and gas
Pharmaceuticals
Biotechnology
IT
Minerals
Ports
Power
Tourism
Pharmaceuticals
Biotechnology
IT and ITeS
Electronics
Engineering
Auto and auto components
Oil and gas
Food and agro processing
Gems and jewellery
Banking, financial services and
insurance (BFSI)
Textiles
105. 89
A
V
A
I
L
A
B
I
L
I
T
Y
O
F
M
A
T
E
R
I
A
L
Main Crops Are
Barley,
Corn,
Potatoes,
Sugar Beets,
Wheat,
Assorted Fruits
Vegetable.
Bananas are imported from
Caribbean and then export
throughout Europe.
65% production from livestocks.
Major crops
castor seeds,
Fennel,
Isabgul,
Cotton
Ground nuts,
Soybeans
Wheat,
Rise.
Major Fruit Crops are
banana,
Mango,
Citrus,
Papaya
Sapota
Major vegetables are
Onion,
Potato,
Okra,
Cucurbits.
Also include animal husbandry
Key agri products
Sugarcane,
cotton,
soya bean,
banana,
jowar,
rice,
groundnut,
Sunflower seed,
wheat,
Maize,
Seedless grapes,
Banana,
Mandarin Orange,
Onion,
Tomatoes,
Alphanso Mangoes.
Also include animal husbandry
K
E
Y
S
E
G
M
E
N
T
O
F
I
N
D
U
S
T
R
Y
Fruit and vegetables
Meat Processing
Dairy and dairy Processing
Fisheries
Grain Processing
Consumer Foods
Fruit and vegetables
Meat Processing
Dairy and dairy Processing
Fisheries
Grain Processing
Consumer Foods
Fruit and vegetables
Meat Processing
Dairy and dairy Processing
Fisheries
Grain Processing
Consumer Foods
106. 90
G
D
P
1.348 % 12.10% 13.5%
L
A
N
G
U
A
G
E
Dutch
French
German
English
Gujrati
Hindi
English
Marathi
Hindi
English
O
P
P
O
R
T
U
N
I
T
Y
Market Growth
Innovation in product
Export possibility of Fisheries,
Processed Meat and Fruit and
Vegetables.
Large and growing domestic
market
Special Economic Zones (SEZ)
Strong infrastructure and
channel development projects.
Abundant natural resources
Newer technology based
projects
Contract farming
Value adding processing and
R&D and Development of food
parks
Agricultural/horticultural
infrastructure projects
Export-oriented processing.
Private public partnership(PPP)
Vibrant Gujarat also there for
making new trade opportunity.
Large and growing domestic
market
Strong infrastructure and
channel development
projects.
Abundant natural resources
Newer technology based
projects
Contract farming
Value adding processing and
R&D and Development of
food parks
Agricultural/horticultural
infrastructure projects
Export-oriented processing.
Private public
partnership(PPP)
107. 91
I
N
V
E
S
T
M
E
N
T
1. Total food and drinks exports
amounts to € 23.9 billion.
2. Belgian food and drink
industry has a positive balance of
€ 3.8 billion.
3. Investments € 1,427 MM
1. Investment of US$ 8.29 MM
for construction of new
godowns.
2. Allocated US$ 6.56 MM to
assist farmers to cultivate of
different food crops include
pulses and sugarcane.
3. Provision of US$ 99.7 MM
for the development of
agriculture and allied sectors
under the Rashtriya Krishi
Vikas Yojana.
4. Allocation of US$ 73.02 MM
for the development of animal
husbandry and dairy sectors.
1. Sugar and processed food
industries approved
investment proposal for US$
8.18 billion.
2. Vidarbha industry
association for guiding new
companies.
