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Why Isn’t Food Processing the Star of Start-ups? India’s Agri Wealth Needs Innovation, But Entrepreneurs Seem Hesitant.

Hello Kisan Feb 05, 2025

India, one of the world’s largest producers of fruits, vegetables,and grains, ironically sees limited entrepreneurial interest in food processingstartups. Despite government schemes like PMFME (Prime Minister’s Formalizationof Micro Food Processing Enterprises) and abundant agricultural output, thissector lags behind others like IT or e-commerce in startup ventures.

The challenges? Highinitial investment, complex regulatory requirements, fragmented supply chains,and limited cold storage infrastructure often deter young entrepreneurs.Additionally, lack of awareness about value addition and potential profitsfurther stifles growth.