The Hindu Business Line : Centre plans stringent norms for food products

EVEN as there is expected to be a uniform standardisation of packaged water and soft drinks following the Joint Parliamentary Committee (JPC) report on pesticides in soft drinks in Parliament next week, the Government has initiated moves to extend the exercise to all categories of food products.

As part of the initiative, the Centre has begun discussions with State governments to amend the Prevention of Food Adulteration Act (PFA Act), Government sources told Business Line. The objective is to put in place stringent quality standards for diverse food categories. For this, State governments' involvement is imperative since food processing falls under the concurrent list in the Constitution, according to official sources.

Initial discussions between the Ministries of Health and Food Processing Industries have already taken place, and further discussions will be held in due course.

According to Ministry sources, the long-term implications of this exercise would be to replace the Central Committee of Food Standards (CCFS) by an autonomous body governing food safety standards. "Setting stringent quality standards across all food products is engaging the attention of the Government on a priority basis," the official said.

According to a McKinsey & Company report on the Food & Agriculture Integrated Development Action (FAIDA) plan, the pace of growth within the food industry is dependent on Government initiatives. Besides, State governments should also offer a single-window clearance for investments in the food sector and work with the industry on increasing consumer awareness about processed foods, the McKinsey report recommends.

While India is the third largest food producer in the world, the report projects that the food market has the potential to touch Rs 5,00,000 crore by 2005, and value-added foods could touch Rs 2,50,000 crore.

While the largest opportunities present themselves in basic foods (such as packaged milk and poultry), the FAIDA report indicates that the Government needs to create a suitable environment to fix infrastructure and market systems, rationalise laws to encourage innovation and investment and reduce its interference.

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