The Indian food processing industry accounts for 32 percent of the country’s total food market. It contributes around 8.80 and 8.39 percent of Gross Value Added (GVA) in Manufacturing and Agriculture respectively, 13 percent to India’s exports and is 6 percent of total industrial investment.

Factors contributing to its growth of the food processing industry

• Strong domestic demand: India has one of the largest working populations in the world and, with a rise in disposable income, this segment of the population is also becoming the biggest consumer of processed foods in the country.
• Supply side advantages: High level of agricultural production – large livestock base, wide variety of crops, inland water bodies and a long coastline, that help increase marine production.
• Export opportunities: Proximity to key export destinations, greater integration with the global economy.
• Proactive government policy and support: It encourages collaborative farming and integration with cultivators, especially FPOs/Cooperatives for the benefit of industry and farmers.

It is said that due to its immense potential in value addition, the food-processing sector can address the woes of the farmers and double farmer’s income as highlighted below

• The food processing sector links agriculture, manufacturing sector and final consumers; and adds significant value to agriculture produce through processing technologies. The added value, when it flows back to farmers via the value chain along with the value realised through wastage prevention, can add significantly to farmers’ income.
• The sector has also grown at a faster CAGR of 9.5 percent as compared to agriculture’s fiveyear CAGR of 3.4 percent. According to KPMG, this sector will reach USD 535 billion by 2025 at a CAGR of 15 percent, which indicates significant potential for increasing farmers’ income through processing. The sector also aims to add 9 million jobs by 2024.
• It will help reduce post-harvest losses through efficient storage and transportation. The postharvest/in transit wastage accounts for approximately 40 percent of the total food wastage in India compared to 28 percent globally and results in significant erosion of farmer income. The impact is more so in high-value crops, such as fruits and vegetables, keeping farmers away from reaping benefits.
• Farmers engaged in the production of low-value crops can add value and increase household income through primary and secondary processing creating higher value products.

In this regard, the government has come up with several schemes like PM KISAN Sampada Yojana and Pradhan Mantri Formalisation of Micro Food Processing Enterprises Scheme (PM-FME Scheme). Food processing has the potential to lift millions of Indians out of poverty and malnutrition. Therefore, the government must provide developmental support to small-scale enterprises along with attracting big-ticket domestic and foreign investments.

India’s healthcare system is characterised by a three-tier structure of primary, secondary and tertiary care services. In India, the delivery of primary health care (PHC) is delivered to the rural population through sub-centres, primary health centers (PHCs), and community health centers (CHCs), secondary care is delivered through district and sub-district hospitals and tertiary care is extended at regional/central level institutions or super specialty hospitals. Despite an elaborate structure, India’s healthcare infrastructure is insufficient to cater to the needs of India’s vast population. As per studies, India has roughly 20 health workers per 10,000 population, as against the WHO recommended average of 2.5 medical staff per 1,000 people. Though healthcare needs at all the levels have to be catered to, it is primary healthcare that needs urgent attention as the PHC is the most inclusive, equitable, cost-effective and efficient approach to enhancing people’s physical and mental health, as well as social well-being. Evidence of wide-ranging impacts of investment in PHCs continues to grow around the world, particularly in times of the COVID-19 pandemic. In this context, there is a need to improve primary health care as a public good. A public good is a good that is non-excludable and non-rivalrous, where no one can be excluded from its use and where the use by one does not diminish the availability of the good to others. Improving primary health care as a public good would help in the following:

• Equitable access to healthcare: Investment in primary healthcare will improve equity and access to healthcare, healthcare performance, accountability of health systems, and health outcomes. The PHC is also critical to making health systems more resilient to situations of crisis and being more proactive in detecting early signs of epidemics. Further, strengthening of PHCs will lead to early response during surges in demand for services.
• Manage patient load: Even prior to the outbreak of the COVID-19 pandemic, primary healthcare facilities felt the strain of unmanageable patient load and shortage of healthcare workers. Besides the existing 46 per cent shortfall of doctors in PHCs, 74 per cent of the current graduate doctors reside in urban India leaving a large chunk of the rural population underserved.
  • Also, proper training of PHC workers should be regularly carried out. In addition, there is a need to upgrade the role of the Accredited Social Health Activists (ASHAs) and Urban Social Health Activist workers by training them to meet the growing healthcare demands.
• Ensure health for all: The National Health Policy (NHP), 2017 highlights the ‘Health for All’ approach to provide assured healthcare for all at an affordable cost. Strengthening of PHCs is a step forward in this direction.
• Reduce out-of-pocket expenditure: Out-of-pocket expenses account for about 62.6% of total health expenditure in India. It is one-of-the highest in the world, contributing directly to the high incidence of catastrophic expenditures and poverty. Further, approximately 60% of inpatient and 70% of outpatient treatments are provided by the private sector.
• Meeting SDGs: Primary healthcare is the basis of the health Infrastructure of the country. An adequate health infrastructure can help India achieve health-related Sustainable Development Goals (SDGs).

Thus, it is important to upgrade and expand the PHCs. In this context, India’s National Health Policy (2017) commits the government to invest a major proportion (>2/3rds) of resources to PHCs through Health and Wellness Centers. Also, the Fifteenth Finance Commission has recommended grants aggregating Rs. 70,000 crores, over a period of five years (2021-2026) through local governments, for strengthening the healthcare system at the primary healthcare level.

Urbanisation means a population shift from rural settlement to urban settlement. It can also be linked with the level of development, as more urban areas indicate more development. In India, a major increase in urban population can be seen after 1991, as the period witnessed rapid development. According to the UN projections, Indian cities are estimated to house 870 million people by 2050 from a population of 377 million in 2011. India’s ambition of becoming a five trillion-dollar economy by 2025 and a 10 trillion-dollar economy by 2030 is centered on its cities. Despite their critical role, cities in India face several challenges like inadequate affordable housing, proliferation of slums, problems of water supply and drainage, solid waste management etc. As India urbanises, it must ensure that not only are the above-mentioned challenges addressed, but also greater needs necessitated by the growing population are accommodated. In 2011-12, estimates by a high-powered expert committee indicated the need for investing nearly Rs 39-60 lakh crore in urban infrastructure in the next 30 years, going well beyond the range of public budgetary support. This necessitates a well-thought-out urbanisation policy to guide the planning and management of cities.

In this regard, a new urbanisation policy must address the following:

• Size and density: A proper balance between agglomeration economies, manageability, density and distance will hold the key in determining the right size for our cities. Large cities offer agglomeration economies but are complex to manage and are vulnerable to the spread of diseases. Decentralised urbanisation where multiple cities are clustered into growth regions can be employed.
• Finance: There is a need to tap resources other than solely relying on public budget. In this context, capital markets offer a solution. However, basic services must be priced in a manner that allows a reasonable return on investments. Other solutions could include monetising land assets, efficient service delivery through the private sector and improving property tax collections.
• Planned urban development: The policy must focus on efficient yet sustainable urban planning instead of prioritising construction. The decision on infrastructure development must not be taken in isolation.
• Rural-urban linkages: There are strong economic linkages between cities and their rural hinterland and also between multiple cities in a region and peri-urban areas. An estimated 180 million rural people live next to India’s 70 largest urban centres. Thus, the planning boundary must not be limited to a city’s political and administrative boundary but should encompass regional linkages. The land use plan for a city should not be divorced from a regional economic plan but should be guided by it.
• Climate change: Building resilience to mitigate the negative impacts of climate change will also be critical to urban planning. The urbanisation policy must guide cities into a low-carbon growth path. Energy-efficient buildings, clean energy, water harvesting, segregation of waste, electric mobility, public transport etc. are sustainable practices that need to be mainstreamed into urban planning.
• Adaptation to change: Developments in technology that make it easier to work remotely are likely to change work culture, its associated travel patterns and the need for transport infrastructure. Travel patterns are getting limited to shorter distances, requiring more non-motorised transport infrastructure rather than high-speed systems better suited to longer trips. An urbanisation policy should take cognisance of future mobility patterns.

A sound urbanisation policy should accommodate and enable India’s growth ambitions and also assure its residents of a good quality of life in a sustainable manner. It should also incorporate factors relating to how the growing urban population lives, works, and plays in India’s cities of the future. In the context of rapidly urbanising India, there should be no delay in conceiving and implementing such a policy.

Agriculture has been the backbone of India’s economy for centuries, and it continues to play a vital role in the country’s economic development. The sector’s significance and contribution to the GDP have evolved over the decades, influenced by various factors such as technological advancements, government policies, and changing consumer preferences.

Significance of Agriculture in India’s Economy:

1. Employment: Agriculture is the largest employer in India, providing employment to around 54% of the workforce (approximately 263 million people).
2. Food Security: India is self-sufficient in food production, producing a significant portion of the food consumed domestically.
3. Economic Growth: Agriculture contributes around 18% to India’s GDP, making it a crucial sector for economic growth.
4. Rural Development: Agriculture is critical for rural development, as it provides income opportunities and social services to rural communities.

Contribution to GDP:

1. Historical Context: In the 1950s and 1960s, agriculture contributed around 50% to India’s GDP.
2. Post-Green Revolution (1970s-1980s): With the introduction of high-yielding varieties of crops and irrigation facilities, agricultural productivity increased, and its contribution to GDP rose to around 35%.
3. 1990s-2000s: The liberalization of the economy led to increased competition and specialization, causing agricultural growth rates to slow down. Its contribution to GDP dropped to around 20%.
4. 2010s-present: The agricultural sector has experienced a moderate growth rate, with its contribution to GDP stabilizing around 18%.

Cropping patterns refer to the arrangement of crops in a field or farm, which can have significant benefits for farmers, the environment, and the community. Here are some of the benefits of cropping patterns:

1. Increased yields: Crop rotation and intercropping can increase yields by reducing soil erosion, improving soil fertility, and controlling pests and diseases.
2. Soil conservation: Cropping patterns can help reduce soil erosion by minimizing bare soil exposure, retaining soil moisture, and promoting soil biota.
3. Improved soil health: Crop rotation and organic amendments can improve soil structure, increase organic matter, and enhance nutrient cycling, leading to healthier soils.
4. Biodiversity conservation: Diversified cropping patterns can conserve biodiversity by providing habitats for beneficial insects, pollinators, and wildlife.
5. Pest and disease management: Cropping patterns can reduce pest and disease pressure by breaking disease cycles, promoting beneficial insects, and creating physical barriers.
6. Water conservation: Efficient irrigation practices and crop selection can reduce water usage, conserving this valuable resource.
7. Climate change mitigation: Cropping patterns can help mitigate climate change by sequestering carbon in soils, reducing greenhouse gas emissions, and promoting climate-resilient crops.
8. Farm income diversification: Diversified cropping patterns can provide multiple income streams for farmers, reducing dependence on a single crop or market.
9. Food security: By producing a diverse range of crops, farmers can provide a more stable food supply, improving food security for local communities.
10. Rural development: Cropping patterns can contribute to rural development by creating jobs, improving rural livelihoods, and enhancing community resilience.
11. Nutritional benefits: Diversified cropping patterns can provide a broader range of nutrients to consumers, improving public health and nutrition.
12. Ecological services: Cropping patterns can provide ecological services like pollination, pest control, and climate regulation, supporting ecosystem health.