AN ANALYSIS OF VALUE ADDITION IN AGRO PRODUCTS AND ITS IMPACT ON THE EXPORT POTENTIALS OF INDIA

The agriculture and agro based processing industries were a key solution area of our problems relating to insuffiency of food and value added food products in India. It attracts foreign reserve and domestic utilities of food products which creates standard of living of the people. Export plays a significant role in the economic development of a country by enabling national income through the effects of foreign trade multiplier. India witnessed self sufficiency in food production only during the decade of eighties. Agro processing sector is one of the largest sectors in India in terms of production, growth, consumption, and export of value added agro products. The diverse agro- climatic zones make it possible to grow almost all varieties of fresh fruits and green vegetables in India. The fruit and vegetable processing industry in India is highly decentralized having wide capacities. It is envisaged that India should be the food factory of the world so as to generate income, employment and foreign exchange in a big way, through significant increase in level of processing and achieve higher growth through value addition.