Budget 2016: 100% FDI in food retail will enrich farmers, says Harsimrat Kaur Badal

NEW DELHI: The policy of allowing 100% foreign direct investment in the marketing of food products produced and manufactured in India, proposed in the budget, will provide impetus to the sector, benefit farmers and create vast employment opportunities, food processing industries minister Harsimrat Kaur Badal said.

“This step will lead to creation of swadeshi infrastructure with videshi money,” she said.

Farmers will get remunerative prices for their produce and benefit from the transfer of technology and modern agricultural practices, which are required for large-scale production to meet the requirements of organised marketing, the minister said.


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The creation of a unified agriculture marketing eplatform proposed in the budget will bring 585 regulated wholesale markets in the country to the doorstep of farmers.

“This, coupled with 100% FDI in marketing of food products produced and manufactured in India, would result in big buyers reaching out to farmers for their agri-horti produce,” the minister said.

Foreign investment is targeted to bring in higher efficiencies in the food processing industry and trade and is expected to make Indian food products more competitive in international markets. The budget of the food ministry has been enhanced by 21% against an overall increase of 11% for the Government of India as a whole, Badal said.