KAPPEC highlights Karnataka’s growing food processing sector, driven by technology, millet processing, and rural employment generation.
Karnataka has strengthened its position as a leading food processing destination in India by supporting more than 10,500 micro food processing units across the state, generating employment for an estimated 80,000 to one lakh people. The achievement was highlighted by the Karnataka Agro Processing and Export Corporation (KAPPEC) during a conference focused on the future of agro-food processing and technological innovation.
The state’s food processing ecosystem has expanded significantly through initiatives aimed at promoting value addition in agriculture and supporting small-scale entrepreneurs. Programs such as the Prime Minister’s Formalisation of Micro Food Processing Enterprises (PMFME) scheme have enabled micro and small businesses to modernize operations, improve productivity, and strengthen market access.
Karnataka has also emerged as a major hub for millet processing, with more than 3,500 units engaged in the production and processing of millet-based products. Industry experts at the conference noted that the growing adoption of artificial intelligence (AI), automation, and robotics is expected to enhance operational efficiency while opening new opportunities for innovation across the sector.
The event brought together policymakers, technology providers, food processors, researchers, and entrepreneurs to discuss strategies for transforming India’s agro-food processing industry. Key discussions focused on improving processing efficiency, reducing post-harvest losses, strengthening traceability systems, and increasing the value of agricultural produce.
Experts highlighted the vast growth potential of India’s food processing sector, which is currently valued at more than $300 billion. Despite being one of the world’s largest agricultural producers, only a small portion of India’s agricultural output undergoes processing, leaving significant room for expansion, export growth, and job creation.
The conference also emphasized the importance of developing healthier food products, sustainable packaging solutions, and innovative processing technologies to meet evolving consumer preferences. Millet-based foods, nutraceutical products, and environmentally friendly packaging were identified as promising growth areas for the coming years.
Reducing food wastage remains a critical challenge for the sector. With India producing approximately 350 million tonnes of foodgrains annually, industry leaders stressed the need for advanced processing technologies and smart supply chain systems to minimize losses and improve resource utilization.
The event concluded with the release of a white paper on AI and automation in agro-food processing. The report outlined how emerging technologies can enhance quality control, traceability, market connectivity, and farmer payments while ensuring that the benefits of modernization reach all stakeholders in the agricultural value chain.