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Indian food exports to Gulf touch $ 3bn

Indian food exports to the Gulf region is expected to get a boost with India's high-profile presence at the 'Gulfood 2007', one of the biggest food and hospitality trade shows in the world held from February 19 to 22, 2007 in Dubai. 'Gulfood 2007' is expected to witness India's largest ever representation. Indian food exports to the countries of the region are worth an estimated US$ 3 billion a year, with agricultural and processed food exports to the UAE alone accounting for more than US$ 273 million. According to an Indian embassy official in Bahrain, total annual trade between India and the Gulf Cooperation Council (GCC) currently exceeds US$ 15 billion, representing 15 per cent of India's total foreign trade.

Bahrain imported BD 7.06 million worth of food products from India in 2005-06. The other imports were mainly textiles and readymade articles, including confectionery items and meat. Bahrain and the rest of the Gulf region have always relied on imported food products and India is a major supplier. He said the Middle East was a target market for more than three-quarters of India's main export products, including fresh fruit and vegetables, meats including sheep and goat, confectionery and dairy items.

Norway Orkla buys India's MTR for $ 100 mn

Norway's Orkla has bought India's MTR Foods for US$ 100 million. Bangalore-based MTR Foods, which makes spices and ready-to-eat foods, has been pursued by local firms as well as foreign firms, as the demand for packaged foods grows on the back of the rapidly-expanding retail market. Singapore-based private equity firm Aquarius and JP Morgan Partners, who together held more than 40 per cent in the family-owned company, have also sold their stakes to Orkla.

Pune emerging hub for food processing

Apart from automobiles, IT and ITeS, Pune is emerging as a thriving hub of food-processing units. Apart from a vibrant domestic market, food products of every kind are being exported from here across the world. The Mahratta Chamber of Commerce, Industries & Agriculture (MCCIA) released the first study on the sector, in Pune sector which said there were 1,700 food processing units registered in Pune district. Out of this the chamber was able to carry a survey of 450 units which accounted for a turnover of Rs 1,800 crore employing 30,000 people and employing plant and machinery worth Rs 300 crore.

Manasi Phadke, economist and economic advisor at MCCIA Phadke, said, "The unorganised sector would be having double the number of units and almost Rs 1,800 crore in turnover." Spices accounted for 33 per cent of the business, bakery and confectionary for 18 per cent while dairy for 15 per cent. Around 40 units were exporting food products worth Rs 150 crore. Around 80 per cent of the units were micro units while there were 10 large units. The large units accounted for Rs 1,000 crore turnover.

Kerala to set up spices park

Kerala State Industrial Infrastructure Development Corporation (Kinfra) and the Spices Board will jointly set up a Rs 40-crore spices processing facility in Idukki district. The joint venture, which will set up the spices products industrial park, will have 50:50 equity participation by both parties. Land will form a major portion of Kinfra's equity, while the Spices Board will bring in cash and technology support. An MoU in this regard will be signed between Kinfra and the Spices Board in the presence of Union minister of state for commerce Jairam Ramesh. Meanwhile, the Centre is actively considering the Spices Board's proposal for a separate company to market branded spices.