India staring at biggest opportunity for food value addition: Former CMD, Nestle India
India’s food sector is at a crucial inflection point: while the value of the industry has already crossed $300 billion and is projected to reach $535 billion by 2026, the country still processes only about 10% of its agricultural output compared to 80% in advanced economies, lamented Suresh Naryanan, former chairman and managing director, Nestle India here on Tuesday.
Speaking at the ‘Reimagining Agro-Food Processing: The AI & Robotics Revolution’ conference organized by the Bangalore Chamber of Industry and Commerce (BCIC) in the city, he said this gap of 90% represents India’s biggest opportunity for value addition, job creation and rural prosperity.
According to Mr Naryanan, with strong government support through budgetary allocations of ₹4,064 crore, the PLI scheme and over ₹9,227 crore in private investment, the foundations for growth were already in place.
Speaking on the occasion, CN Shiva Prakash, MD, Karnataka State Agricultural Produce Processing and Export Corporation Limited (KAPPEC), also Director, Karnataka State Coir Development Corporation, said that Karnataka has become a major force in micro food processing with more than 10,500 micro food units being funded and subsidized almost across the state1.
The state has built a strong food processing ecosystem under the Prime Minister’s Micro Food Enterprises (PMFME) Formalization Scheme with special focus on millet-based industries, he said.
Highlighting the push for millets in Karnataka, Mr. Prakash said, “The state alone has more than 3,500 millet production and processing units, making it one of the strongest millet processing ecosystems in the country. These units are supported by subsidies of up to 50% of the capital investment, which is limited to ₹15,000 MEMF. 15%, making it a highly attractive model for entrepreneurs.”
Prashant Gokhale, President of BCIC, emphasized that India must move beyond food self-sufficiency and position itself as a global food power, especially in these times of geopolitical uncertainty.
“Today India produces almost 350 million tons of food grains and has achieved self-sufficiency for 1.5 billion people. But the next big question is: why stop at self-sufficiency and why not produce food for the world. We still lose almost 30% of our production to waste, which is almost 100 million tons of additional food products and we can significantly reduce food potential, advanced artificial intelligence, robots we can significantly reduce global food security,” he said.
The one-day conclave brought together policymakers, industry leaders, agri-entrepreneurs, technology experts and researchers to discuss the role of artificial intelligence, robotics, automation and innovation in transforming India’s agri-food ecosystem while ensuring inclusive growth for farmers and rural communities.
Published – 24 Jun 2026 0:36 IST