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GST rate-cut helped food processing industry increase market access: APEDA

Published: Jan 09, 2026

By TIOLCorplaws News Service

NEW DELHI, JAN 09, 2026: CHIRAG Paswan, Minister of Food Processing Industries, Government of India inaugurated Indusfood 2026 at Expo Mart, Greater Noida, on 8th January 2026. Indusfood is Asia's premier food and beverage tradeshow. This is the biggest edition of the show yet covering a total area of 120,000 square meters. Abhishek Dev, Chairman APEDA, Mr. Mohit Singla, Chairman, Trade Promotion Council of India, Mr. Jens Wolfgang Michel, CEO, Abu Dhabi Food Hub (KEZAD), Mr. Ashish Kumar Agrawal, Managing Director of Bhikharam Chandmal, etc. were present on the occasion besides industry leaders, buyers, exhibitors and members of the global F&B ecosystem.

Delivering his inaugural address, Paswan said, "I am here to support and motivate you all. The mere fact that Government of India has a separate Ministry for the food processing sector underlines the importance accorded to the sector. We are trying to be bridge between the government and industry." Minister congratulated TPCI for organizing the 9th successful edition of Indusfood and providing big platform to the industry.

Food Processing Minister further appealed that, "Now that we are food surplus, we all need to convert this volume into value. We all know the strength of the sector and the untapped potential of India to be the global food basket; the need is to now channelize the resources." He said that his ministry is supporting more and more entrepreneurs to enter this field.

Schemes like PM Formalization of Micro Food Processing Enterprises (PMFME), Pradhan  antri Kisan SAMPADA Yojana (PMKSY), National Institute of Food Technology Entrepreneurship and Management, etc. are helping both farmers and the industry. He also said that National Institute of Food Technology Entrepreneurship and Management scope will be extended to cover more states.

He said that, "Government is behind the food processing industry with unwavering support and will do anything for a supportive policy matter, such as ease of doing business." The Minister informed that he took high GST rate on the food processing sector which got addressed through GST reforms and GST were reduced to lowest slab either to 5% or 0, which apparently helped create greater market access for the sector.

Minister during his address appealed to all brands to open their R&D centers in India. India has huge diversity and has immense potential to introduce new variety on the global food platter.

The Agricultural and Processed Food Products Export Development Authority (APEDA) has

launched an initiative to support agri-food and agri-tech startups, aimed at promoting innovation and creating new export opportunities for young entrepreneurs.

APEDA Chairman Abhishek Dev said the initiative - BHARATI, which stands for Bharat's Hub for Agritech, Resilience, Advancement and Incubation for Export Enablement, has been designed to empower agri sector startups.

At the inauguration, the Chairman of the Trade Promotion Council of India highlighted the scale of Indusfood 2026, bringing together over 2,200 exhibitors from 30+ countries across 125,000 sq. metres, with 15,000+ buyers from more than 120 countries, integrating the entire F&B value chain in one ecosystem. The event also introduced two new pavilions-Pet Food & Animal Nutrition and Cookware & Kitchenware-reflecting emerging global demand driven by lifestyle shifts, wellness, premiumization, and sustainability.

In partnership with IFCA, TPCI is hosting the World Culinary Heritage Conference 2026 and over 40 knowledge events featuring 150+ speakers on investment, exports, regulations, AI, automation, and food ecosystems. The CEO of Abu Dhabi Food Hub emphasized India-UAE synergies, sustainable trade practices, and announced an MoU with TPCI for the India-UAE Food Corridor. India's F&B exports stood at USD 47.3 billion in 2024-25 with strong growth, while processed food exports reached USD 7.9 billion, led by cocoa and related products.

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