Duty reduction on food processing machinery is a welcome move: Ravichandran Purushothaman

The Union Budget 2014 is well-rounded and encourages inclusive-growth. Both aspects of food security and food safety have been touched upon to some extent. If the farmer centric allocations come through, it will be a growth driver for other industries. While the scheme for rural integrated infrastructure development will help improve the supply chains that exist in the country, the move to incentivise expansion of processing capacity through reduction in excise duty on specified food processing and packaging machinery is a welcome move.
 
With regard to food safety, increasing investment in scientific warehousing to Rs 5000 crore is a very positive step which will not only reduce wastage but will also help in bringing down inflation. Investment should also be done with an integral approach with right technology and sustainable practices that are energy efficient.
 
Standards play a major role here as it’s important to have global best practices when borders are shrinking. Engaging with states on APMC Act will help ease perishable inflation challenges in economy. More attention could have been given on setting up cold chain infrastructure across the country like road transport.
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Ravichandran Purushothaman is the Chairman, CII Chennai Chapter, and President, Danfoss India