Showing posts with label GOI. Show all posts
Showing posts with label GOI. Show all posts

Monday, August 24, 2015

Banning sale of of Junk foods near schools-Is any one serious?

In India if no decision is to be taken on any issue, especially at government level, the most effectively used strategy is to "set up" a committee which guarantees that the issue is buried at least for some time! Most recent case is the "decision" by the Women and Child Development Ministry of Government of India (GOI) to "consider" banning junk foods near schools constitutes an excellent one to illustrate this point. It was about 5 years ago that Uday Foundation, an NGO approached Delhi High Court (D-HC) pleading to impose a ban on sale of junk foods near schools where kids, with pocketful of money liberally provided by parents, buy unhealthy foods affecting their health in the long run. It was indeed a noble effort by this Foundation to help the nation to protect its budding citizens from the harmful effects of so called junk foods and they deserve our gratitude for this visionary move.to focus attention on this much neglected area. Looking back the D-HC, progressive as it is, allowed the appeal in December 2010, asking the central government to respond suitably to address this issue.

What is a junk food? Unfortunately there is no consensus on this much debated subject though food industry considers all the products manufactured by it are foods providing at least calories and/or proteins and/or other nutrients required by human beings. They further aver that the products made by it are as per safety norms prescribed by the appropriate authorities vested with strong powers. May be the industry has a point in that all foods which conform to national quality and safety norms are edible and serve the purpose of satiating hunger. Besides the industry is selling products which are accepted by the consumers on their own volition with no compulsion or external pressure. Implications of fat, that too saturated fats, in many life style diseases like CVD, obesity, blood pressure etc and unveiling the role of dietary fiber in diseases related to gastrointestinal tract created a great awareness about the importance of balanced foods and physical exercise leading to the campaign by consumers and consumer organizations against the food industry to change the product portfolio to shun products which according to them are unhealthy. It is generally understood that consuming regularly foods with "empty" calories (nil or low nutrient density) is not good for health and this can severely affect growing children in terms of starving them of vitally needed nutrients at the most critical stage of their development. That is how the junki food concept arose originally in wealthy countries like the US where more than 35% of the population is considered obese as measured by the Body Mass Index (BMI) yardstick.

Whether it is the desire to ape the West or due to genuine concern, in India also the issue regarding junk foods was raised from time to time with neither the social organizations nor the government giving serious attention. Though a segment of the consumer community was worried about the long term impact of not restraining food industry to churn out unhealthy foods, targeted especially at the most vulnerable group of children. The topicality of the subject can be gauged by the fact that even to day many countries are finding it difficult to address this problem with total satisfaction to all the stakeholders. The problem became acute with the explosive growth of electronic media and kids became more vulnerable to commercial advertisements promoting these so called junk foods and to add to this the proportion of the commercials to the actual content of the programs is continuously increasing. Unfortunately many parents find it difficult to resist demands by their wards to buy these patently unhealthy food products which do provide fantastic eating pleasure making it addictive. Foods which are so appealing and irresistible are invariably rich in sugar, fat or salt while healthy foods with low levels of these ingredients, rich in fiber are unappealing to most of them. It is conceded that promoting eating of fruits or vegetables in place of fried or baked snacks is a near impossible task.   

Though scores of seminars and workshops have been organized from time to time to discuss this issue, nothing concrete emerged during the last 3 decades. It was left to a young voluntary organization, Uday Foundation devoted to helping promote the cause of distressed children to rake up this issue in the year 2010 approaching D-HC which resulted in the directive given by D-HC to the Central Government to ban junk foods near the vicinity of schools. After debating the issue for almost 2 years , the court issued another order in Jan 2012 asking the Health Ministry to take action to ban sale of junk foods within 6 months. Shamelessly the GOI after sitting on the issue for almost 8 months, "informed" the court that the task of laying down guidelines had been entrusted to its toothless agency pompously called Food Safety and Standards Authority of India (FSSAI). Nothing happened till April 2013 till D-HC gave another 3 months for GOI to complete the work by July 2013. In Sept 2013 the Court again asked GOI to put in place necessary guidelines for banning junk food sale near schools. Still nothing happened and to add to the delay the industry filed objection to any such ban in Oct 2013 which was over ruled by D-HC. It is against this background that GOI set up an expert group in March 2014 to consider the issue. Alas this group only"recommended" regulation of sale of junk foods. Subsequently another expert committee deliberated the issue and came up with some guidelines in August 2015.    

This high-level committee set up by the Women & Child Welfare Ministry suggested to impose a ban by street vendors within 200 meters of a school. It also wanted the civic authorities not to issue licences to shops and restaurants selling food to uniformed children within 200 meters of a school. Unfortunately the onus of determining what constitutes a junk food was put back to the GOI. It wanted GOI to decide about a comprehensive definition of junk food in the context of children. It is reported to have further suggested that a list should be drawn of "desirable" food items to be offered in school canteens as well as labelling of pre-packaged food, stating clearly as "unfit" for infant/children/pregnant and lactating mothers or persons with specific ailments".  It further claimed that it reviewed the prevalent practices of regulation of junk food in 23 countries and suggested establishment and management of school canteens besides bringing about comprehensive advertisement/promotion campaign to be undertaken jointly by different stakeholder Ministries. The Ministry had constituted the committee under the Chairmanship of Director, National Institute of Nutrition, Hyderabad, to look into matters relating to availability of junk food at various places accessible to children.The committee included representatives from Niti Aayog, Ministry of Health and Family Welfare, Department of AYUSH, Ministry of Human Resource Development, Bureau of Indian Standards, food regulator FSSAI, National Institute of Public Cooperation & Child Development, Indian Council of Medical Research and independent experts in the field of nutrition and clinical psychology/behavioural science.

Now there is some thing to go on regarding this issue, but it is not clear how long the GOI will take to legislate on this important issue. One must remember that India does not lack laws with teeth on the statute books but the country fails miserably in administering these laws to achieve the intended purpose. Whether it is lack of funds or lack of seriousness, it is difficult to understand. It is understandable that being a federal governing system, GOI has to depend on local authorities to implement national regulations and in this case also passing legislation to ban junk foods is not going to help unless adequate monitoring system is put in place to enforce its provisions. Probably putting in place a ban on sale of junk foods may be a beginning which will at least deter a few vendors from selling them near the schools. Ultimately an acute awareness about the dangers of junk foods among the kids as well as the school authorities can contribute much to eradicate this evil. 

V.H.POTTY
http://vhpotty.blogspot.com
http://foodtechupdates.blogspot.com

Monday, November 24, 2014

"FOODPOLIS" in South Korea-India is still at the "Food Park stage!

India is considered a super power when it comes to production of agricultural, horticultural, plantation crops, sugarcane, milk and livestock during the last one decade. But when it comes to processing of most of these materials originating from its backyard, the country does not acquit itself creditably well, with most of the raw materials undergoing only primary processing with very little value addition. While most developed nations process their raw materials to the extent of 60-80%, India does not even process 20% of its field crops into high value products. Probably conservative dietary habits, predominance of poverty and low purchasing power may be inhibiting the development of food processing sector to the desired extent. Added to this a disorganized farm front, poor infrastructure, shortage of power and water, scarcity of farm labor and semi literate farmers worsen the problem further.

Food industry in India always claim that it cannot realize its full potential in contributing much more to the economy because of difficulties in accessing good quality raw materials near their processing facilities. This is a fairly argued stand and the major reason is the tendency of the industry to concentrate in and around urban areas in stead of setting up their shop near the growing area. Besides a typical farmer holds only about 2 acres of land and this size may not be an economically viable one making the farmer surviving with hand to mouth existence. There is no place for quality parameters for the produce they grow and most of these crops raised are intended for table consumption. The existing land acquisition regulations do not permit the purchase of agricultural land by any one but another agriculturist with annual income less than Rs 2 lakh! What an anachronism in a country which aspires to become a global economic power challenging others like USA, China etc! With the new government in office during the last 6 months, nothing seems to have changed much from what has been in vogue as far as land acquisition is concerned. Unless big players with processing experience and deep purse are allowed to set up large mechanized farms or organize large agricultural cooperatives, nothing much can be expected in boosting food industry development in the country.

Major processors, most of them foreign players, have realized the need for backward integration with the farms and have made their own arrangements for ensuring adequate supply of raw materials of right quality through prior arrangements with farmers near their facilities. It is not that Indian policy makers are not aware of this reality but some how they never bothered so far to set right the situation when it comes to linking producer with the processor. One has to look at the thriving sugar industry in the country which is fortunate in getting enacted appropriate laws to compel growers of sugar cane to surrender their crops at a predetermined government decided price, euphorically called Minimum Support Price (MSP), supposed to be for protecting the interest of the growers. The result is there for all to see and to day India is the top producer of raw sugar in the world. This has happened in spite of bad facilities for transporting the sugar cane to the crushing plants, often involving long distances of transportation! 

Assuming that Governments at the center as well as at the state levels do nothing to improve the situation there are still millions of entrepreneurs who are willing to get into the food industry taking their own risk and it is already happening at the ground level. It appears more than 75% of the food market is controlled by players in the so called unorganized sector though every Tom, Dick and Harry who is some body in the international food manufacturing scenario has operations in India also, not able to obliterate these small scale players! The so called free economy favoring a capitalistic society ushered into the country during early nineteen nineties did reduce the predominance of agriculture over other sectors but it did not douse the entrepreneurial spirits among domestic population with the industry registering impressive growth rates during the last two decades. It is true that Government of India (GoI) wanted to encourage growth of food industry and even set up a dedicated ministry to "oversee" its development as best as it could see. Unfortunately its vision was not far sighted and probably it thought creating a "ministry" would automatically facilitate the development without any cohesive and realistic thinking and inputs. One such "brainer" was the "Food Parks" concept lifted from the examples in the UK, China and other countries which is being tom tommed as its star program for the last 15 years..

In stead of a holistic approach, GoI thought disbursing funds as subsidies through the "ministry"would help industry to prosper! Alas, see what has happened, or rather what has not happened. After earmarking huge funds to set up such "parks", only 2 out of the 40 and odd "parks" sanctioned since 2000 are able to show some thing as a positive outcome so far. In stead of providing facilities like water supply, uninterrupted power, world class roads, reliable communication net work, helpful policy support GoI thrust the responsibility on private players many of whom were interested only in the land which was becoming "hot cakes" as an investment attraction in the country. In contrast the whole world is looking with envy the initiative in a country like Korea which is setting up world's largest food cluster in Iksan on its south west coast with easy access to China and Japan. The incentives being doled out are mind boggling while making their offer of providing sites within this cluster, aptly called "Foodpolis" because of its mega size. 

Foodpolis will possess a number of clear advantages to investors, It appears some 60 cities with a population of 1 million or more are located within a two-hour flight from the site of this project. The complex itself is very close to Korea's major airports and seaports, and the country's highways and high-speed KTX trains capable of high speed mobility. Tariff rates have been lowered significantly following Korea's implementation of free trade agreements with 47 different countries, including two major accords with the European Union and the United States. Foodpolis is also being established with a comprehensive support network that will include three state-funded research centers, including the Food Functionality Evaluation Center, Food Quality and Safety Center and Food Packaging Center. R&D will also be closely aligned with food institutes nationwide. In addition, firms locating in the cluster are eligible to receive a variety of incentives and benefits, including lowered tax rates and property rental fees, cheap utility charges and even state subsidies. The government plans exemptions on corporate income tax for the first three years, and a 50 percent reduction in the following two. Companies can also avoid property taxes for 15 years and, in some cases, receive rent exemptions from 50 to 100 percent for 50 years, with the potential to extend for an additional 50 years.

When construction is complete in 2015, Foodpolis probably may be one of the best places in the world for food processing and packaging companies to set up their base with hopes of finding markets anywhere in the Asia Pacific region. The basic concept of this cluster is to create an optimum business and research environment for global food companies. It's a mini city tailored for the food industry and will be a combination of information technology, culture and food science. The entire system is expected to be friendly to all investors regardless of their nationalities. According to those promoting Foodpolis great care has been taken, while designing the complex, to foster the food industry into the next growth engine for not only South Korea, but also the entire Asian continent. The cluster is expected to create thousands of jobs and a huge amount of added value for the regional economy. a conservative estimate puts the probable number of participants at about 166 including 70 global players and 20 research centers, resulting an estimated out put valued at $ 60 billion. 

It is time GoI considers emulating Korea in its vision and promote at least 5 such "Foodpolis" in the eastern  (Kolkatta and Vizhag linked), southern (Chennai and Kochi linked)  and western (Mangalore, Goa and Mumbai linked) regions with appropriate road infrastructure linking the agricultural, horticultural, plantation products and livestock generating areas for fast transportation for raw materials as well as for export through the port facilities on the coast. If necessary the country must take Korea's expertise and experience into reckoning, for joint development within the next 5 years. Will this happen? Let us hope for the best for the sake of this country!  

V.H.POTTY
http://vhpotty.blogspot.com/
http://foodtechupdates.blogspot.com



Sunday, April 21, 2013

EMPOWERMENT OF THE WORK FORCE-A LAUDABLE SCHEME OF IMMENSE RELEVANCE IN INDIA

Food industry in India is so widely scattered that except for a few large manufacturers, most others function under anonymity with least exposure to development organizations wishing to help them. Also true is the fact that majority of food industry is confined to the micro and small scale sector eking out a living through their low production base. Whether it is technology, finance or policy support they are the orphans of the food sector but still they survive just because of their extra ordinary sense of entrepreneurship, persistence and perseverance and limited ambition. On hand this may sound dismal but looking from a positive angle, this sector of industry provides the greatest potential for national economical growth provided there is a revisit on the part of the government regarding their precise needs and desirable ways they can be addressed.

Food industry in India is in an unfortunate situation as there is no agency in the country which can provide new entrepreneurs with the most critical input for organizing production, viz the technological means. Of course on paper there are several public funded technological organizations funded by the state and central governments including universities supposed to be doing R & D in food processing and allied activities but the ground reality is that not even a single such institution is of any use under the prevailing conditions, most of them unwilling to entertain small entrepreneurs for providing the critical requirement of process technology and project conception. It is a contradiction that the very industry these institutions want to court, viz the large scale manufacturers are least interested in buying any technology from them due to a number of reasons, least of which is the unreliability and lack of confidentiality so necessary in a competitive market place. Khadi and Village Industry Commission and its state Boards have become irrelevant long back after the shift of government priority from small industries to mega players, both domestic as well as international.

Assuming that an entrepreneur is able to access to the needed technology, the next important input is trained personnel and the most practical route is to pinch one of the experienced personnel from his competitor. To day's food technology training programs in the country are tuning out elites for the benefit of large industry where remuneration varies from Rs 20,000 to 50,000 for a food technologist coming out of the university with very little skill and resources needed to manage a processing unit. Of course those fully "trained" technologists are put through the production drill and skills are horned further by the employers. Can a small industry in food processing afford such graduates at such high costs? For argument sake it can be said that food related courses are now being offered in almost all universities with varying syllabus but having no facilities for real hands-on training that is so vital to inject the practical skills. There used to be some Industry Training Institutes where food technology courses were being offered conferring a diploma degree but it is not known whether these course are still an option for those aspiring to enter food industry.

It is not that government is not aware of the need for skilled people to work in various sectors because according Indian Government's own projections the country may need about 5 million such personnel to work on the shop floors of different industrial units. Probably this realization has persuaded the government to launch its much thought out Vocational Training Centers (VTP) under its Modular Employable Program (MES) scheme which has proved to be a popular skill upgrading tool. According to the web site of the Ministry of Labor and Employment there are about 7125 such VTP units spread across the country in more than 1400 skill categories. The budget provision which was a meager Rs 220 crore last year was increased to Rs 700 crore this year. Though many semi skilled workers undergoing the training do get jobs with out such training, with the certificate of training provided, their skill level is supposed to be upgraded, attracting better quality employment by the industry concerned.

In spite of all the draw backs associated with all government schemes, this particular one, VTP deserves full appreciation because it fulfills a need and increases the employability of those with no formal education or very little education. It is not known whether food processing is in the list of skills for which VTPs are in existence. Even if exists it might be relatively few in number and therefore government must consider including all vocations associated with handling and processing of foods. If the main stream food industry can be roped in for in-plant training facilities for these skill upgraded personnel there is nothing like that! Small scale food processing units in this country, millions in number, will be ever grateful for such a change in the existing MES program.
  
V.H.POTTY
http://vhpotty.blogspot.com/
http://foodtechupdates.blogspot.com
   

Monday, April 8, 2013

TECHNOLOGY STARVATION-THE GROWTH CONSTRAINT FOR FOOD SECTOR

Encouraging establishment of food industries is always a daunting task. Even under the best of conditions, an industry will sprout only if there is adequate entrepreneurship among people. India is not a country with dearth of entrepreneurs having necessary motivation and drive and still the food processing sector lags behind with only those with deep pockets succeeding in establishing viable processing units, that too in some parts of the country. Naturally the question that begs for an answer is why this sorry situation in the country?

It is known that for viable industries to come up, it requires existence of a multifaceted environment which is a pre-requisite. While entrepreneurship is necessary among the people, other inputs like technical support, policy support, marketing experience and financial strength are absolutely necessary. If Indian past is considered Indians are entrepreneur-wise a capable people and the vast number of micro enterprises in sectors like food processing working across the country even without any prop from the government, though not most efficiently,  is a standing testimony to this truth. It is another matter that after unleashing the forces of economic liberalization or promoting capitalism since last two decades, big industrial players seem to be destroying the smaller players for getting market dominance. Where is the much cherished Khadi and Village Industries Commission supported manufacturing enterprises to day? Practically vanished. Why?

Reasons are not far to seek. First and foremost the food entrepreneurship is being smothered in the country due to technology starvation as new entrepreneurs brimming with business ideas have no where to go to seek the basic need of a venture, viz the manufacturing technology for establishing a viable production unit. Though there are more than 800 District Industry Centers (DICs) in practically every district in the country, they have been neglected, especially during the last two decades with most of them languishing as non-functional entities. Another equally important issue is the government support, rather lack of it at present, that is vital for success of any industry. Whether it is Ministry of Food Processing Industry (MFPI) in New Delhi or the State Food Industry Departments, the typical "Babu" approach and an inertia laden mindset, very little ground level help is forth coming to propel the entrepreneurial community. Added to this the draconian measures under the new heavily bureaucratized show piece of GOI viz The Food Safety and Standards Authority (FSSAI) have a chilling impact on new entrepreneurs.

What is tragic is that with a special purpose vehicle (SPV) like MFPI set up by the GOI as early as 1989-90 and with vast funds available at its disposal for bringing in a revolution in the food processing sector, it has unfortunately become a tightfisted book keeper. Those who sought funds from MFPI know the back breaking job of actually realizing the grant due to time consuming procedures and bureaucratic interference. Though MFPI is to be lauded for some of its schemes which appear excellent at least on paper, the fact that it is not able to disburse the budgeted funds fully year after year tells the real story. For example who can find fault with its much acclaimed National Mission for Food Processing (NMFP) where in it can extent up to Rs 10 crore for new enterprises setting up cold chains and cold storage units as a subsidy? Still why not much enthusiasm is seen among the prospective entrepreneurs in tapping this source of funding?

As said earlier money alone cannot sustain an industry. What is critical is technology without which entrepreneurs cannot even plan a project in food processing. For multinational companies they have the wherewithal to access technology from their own parent companies or from global sources by investing large sums of money. What about the micro enterprises and small companies? Where will they go? The domestic technology sources supported by public funds do not even allow these "chota" people even entering their "palaces" or "ivory towers", let alone help them with technologies and technical inputs. There are no incubation centers in food sector in India unlike in many other countries as GOI did not bother to finance such centers in Universities or industry corridors during the last several decades of neglect of this vital sector.

It is time that GOI wakes up to this reality and do some introspection regarding the lacunae in the system. Opening a NIFTEM or calling other existing moribund public funded R & D organizations by other fancy names does not solve the problem. There has to be a vibrant technology generating system that will ensure continuous development of efficient small scale technologies for new industries as well for the existing industry for upgrading their operations which can only revive the food entrepreneurship in India.    

V.H.POTTY
http://vhpotty.blogspot.com/
http://foodtechupdates.blogspot.com

Friday, December 16, 2011

FDI IN RETAIL SECTOR-THE HOB-SON'S CHOICE FOR GOI!

Government of India seems to be on the back foot while defending its sudden decision to allow foreign direct investment in the retail business with a hope to attract some of the global retail chains so that the rapid slide in Rupee's value could be stemmed. While there is considerable opposition to the move, some genuine and others political, there is no denying the fact that the decision was not timely and such a decision could have been taken after in-depth consideration of the impact of foreign retailing giants establishing their foot prints in the country. No doubt there are significant advantages as well as disadvantages for the country and a final decision can be taken only after the risk-benefit aspects are fully studied.

Look at the position taken by GOI as reflected by the grand statement by the Commerce Minister extolling the virtues of opening the retail sector to foreign direct investment through a series of glittering advertisements in almost all news papers immediately after the announcement. It gives a rosy picture to the citizens about the advantages of major global retail giants coming to India. However a close look at the ground reality will tell a different story.There appears to be a goof up regarding the number of towns, each with more than a million population eligible for setting up shop by the MNC retail chains and now it turns out that in stead of 53 cities mentioned by the minister, only 46 urban entities exist in the country that are eligible to attract FDI! Besides 25 of the above are under the administrative control of non-UPA governments which are hostile to the new policy leaving only 21 urban entities available to foreign companies to invest. The opposition party BJP is so hostile to the policy that one of its senior members from Uttar Pradesh even threatened to firebomb the foreign controlled super markets if established in that state!

Keeping aside the politics those who are stake holders in this development must introspect regarding the outcome of this policy under which global giants like the Wal-Mart, Tesco and others interested can set up modern state of the art super markets in some states in the country. A moot question is whether these MNCs will be interested in entering India under such a hostile environment and whether the potential business volume can justify huge investments in the area. Also to be pondered by these companies is how any one can manage access to agricultural and horticultural produce from the distant hinterlands of the country where average holding of a grower is hardly two acres. There are at least 200 million farmer families who need to be approached and linkage established for a cooperative partnership can only ensure regular supplies to the super markets. Is this not a mega nightmare that can haunt any investor? If GOI is to be believed these MNCs would invest 100 million dollars for back end operations like procurement, sorting, cold storage, refrigerated transportation etc and also would buy 30% of their product portfolio from SMEs though this provision does not apply to food products. But who will invest on the power generation, water accessing, roads and bridges and other accessory infrastructure so vital for protecting the quality and nutrition of the food handled by them? 

The claim that the new "policy" would generate 10 million jobs in 3 years seems to be a pipe dream and on the contrary with automated handling machines with capacity to be used by these giant companies, likelihood of some unemployment cannot be ruled out. Allowing for an attrition of 10% of the small traders, it is to be expected that about a million families will be adversely affected forcing them to seek their fortunes elsewhere. The earlier policy of allowing MNCs into wholesale sector was indeed sound because these outlets serve the small traders admirably well and many traders operating in far away areas, at considerable distances from major towns and cities use these "cash and carry" business organizations to procure their requirements for selling at a higher price locally, eking out a decent living. Even allowing 100% FDI in single brand retail may be acceptable because it can again serve as a feeder to thousands of small retailers operating in distant places.  

It is claimed that under the new FDI policy in retail, farmers would get a better price for their produce as there might not be middle men in such transactions between the Retailer and the Farmer but if the experience in other countries is seen such a dream may be transient till the competition from the local players is killed during the first few years. What prevents the MNCs from accessing materials from out side the country where they are cheaper and shun the local suppliers in the long run? China is a predatory country that can out price suppliers from any part of the world and some of the large retail players have established and cozy presence in this country. Under such a scenario can the farmers in the country expect higher prices to their commodities? If some of the large farmers in Punjab are to be believed entry of PepsiCo two decades ago has improved their productivity and profits very significantly but it must be borne in mind that PepsiCo is not known for its retailing business, being best in manufacturing processed food products of global repute. Will the retail MNCs provide support to the farmers the same way as PepsiCo has done for tomato and orange or ITC has done for wheat in Madhya Pradesh? Doubtful!

As for consumers there might be some initial advantages because of the ability of MNC retailers to practice predatory pricing for pushing out the local traders and domestic organized retail chains for establishing their supremacy in the market. The variable pricing practices in vogue in many developed countries cannot be repeated in India as the Maximum Retail Prices (MRP) have to be printed on the label as per Indian law. The usual strategy of a product being priced differently from shop to shop and for varying prices in the same shop over a period of time, for cross subsidization, cannot be deployed in this country because of the MRP provision. History is replete with examples as to the long term endurance of MNCs, sustaining losses for more than a decade, eventually able to recover their losses by extinguishing the competition. A look at the experience of Indian companies like Fortune group or Reliance group in retailing during the last 5 years will tell a different story and some of them have not been able to reach even 10% of their targeted volume of business with accumulated losses estimated at billions of rupees during this period. Domestic retailing giants have not been able to capture even 5% of the retail market which is predominated by more than 8 million small traders even to day.

There are some apprehensions that the unorganized sector of retailing might suffer if FDI is allowed but if the history of Indian retail industry is examined one can see the role played by them in making the life of Indian families comfortable through their friendly service in contrast to the "mechanical" or 'Robot" like service offered by super markets. Indian traders, most of them, thrive because of the confidence they enjoy from their customers and friendly service provided. It is inexcusable on the part of GOI not to have done a scientific study regarding the impact of large retail chains on small traders during the last few years from which valuable lessons could have been learned before formulating the new FDI policy. There is a feeling, not supported by any data, that Indian families are returning to their familiar "mom and pop" stores in increasing numbers after the initial euphoria of shopping experience in large super markets has declined. The reason for this, if true, must be found by field studies which only can bring out the ground realities.   

Whether the FDI policy on retail has been rolled back or suspended or on hold, the ability of the Central Government to clear the same is doubtful because of the "coalition dharma" to which most policy failures are attributed. Political survival seems to be more paramount than the interest of the country and if and when the policy is resurrected the country must  ask hard questions regarding various uncertainties cited above. Assuming that the doors are opened for retail FDI eventually, another million dollar question is how many major players will actually enter the country against the pre-conditions imposed and restricted areas of operation available to them. Any how the road ahead for the foreign companies may not be as smooth as they hope for and it may take years, if not decades, before they can establish any sizable presence on Indian soil!

V.H.POTTY
http://vhpotty.blogspot.com/
http://foodtechupdates.blogspot.com

Sunday, October 2, 2011

WELFARE OF TEEN AGE FEMALES-A NEW GOI INITIATIVE

Agreed, lately India has attained notoriety with many scams under investigation but India is also a land of schemes where there are hundreds of programs funded by the governments at the Center as well as in various States. All government schemes have the avowed objective of uplifting the status of the citizens, especially the poor and down trodden ones with no hope for a secure future. Of course whether the money, in billions of rupees booked to the public exchequer, really reaches the beneficiaries is a matter of speculation though the estimated diversion or looting of the resources may be any where from 40-100% of the budgeted amount! Social activists still take heart from the fact that at least some are benefited to some extent, believing in the old adage that "some thing is better than nothing" ! A pitiable state of affairs where decent citizens are forced to condone misappropriation of public funds having no other option but to acquicise! ,

Here is the latest Scheme under the centrally sponsored projects under the banner of "Sabala" which appears to be thought of with noble intention, viz helping females between the age of 11 and 18 to develop into responsible future women with multiple skills and good health. As a first step the scheme is expected to be launched as a pilot trail in 100 districts across the country with a budget of Rs 1000 crore for the current financial year 2011-2012. Once the concept of this scheme is proved to be effective GOI is expected to provide adequate funds to spread the same through out the country. Though details about the program are not yet available, one must admire the intention behind this action because nutrition needs of females change dramatically during this period of growth when they attain puberty and under nutrition and anemia are rampant among this vulnerable group. Added to this the country is in an unenviable position with one out of four girls dropping out of the school during early stages of education and child marriages are very common in many states. The Scheme is all the more praise worthy considering that many families shun girl child if they can help and ultra sound screening to day is common for determining the sex of the child during early periods of pregnancy with temptation for abortion very high.

Sabala scheme, besides its emphasis on health and nutrition, also envisages development of the girls into a responsible woman with focus on upgrading the skill level to equip them with earning capability and improving the home environment with better welfare activities, family health and hygiene. While 100% of girls dropping out of the school between the age 11 and 15 will only be covered, those between 15 and 18 are expected to be fully covered. It is not clear why such a distinction is made though it might be due to the fact this age group is vulnerable to early child bearing with its attendant undesirable consequences in the long run. Considered from any angle this is a gigantic scheme with vast resources being pumped in and extra precaution, better management practices and close monitoring can only achieve even a fraction of the targets set for the scheme.

It is interesting that GOI is willing to shoulder 100% of the expenditure on non- nutrition component of the program but wants the States to share 50% of the expenditure on the food component. Whether health and nutrition will suffer because of the reluctance and economic weakness of the States, that some of them may default on their commitments to share the expenditure on this count is a valid concern. The ceiling limit of Rs 5 for the food component for each beneficiary may be too small to deliver any meaningful food qualitatively and quantitatively and like the mid-day meal program Sabala scheme may also suffer to achieve any tangible result. It is not realized by GOI that good nutrition cannot be envisaged with just food grains but inclusion of pulses, fruits and vegetables in the menu is a must to raise the health status of the beneficiaries. Depending on Anganwadis to deliver the food service also may be fraught with many uncertainties and whether the girls will queue up for cooked foods of indifferent quality in these feeding centers remains to be seen.

A strategy based on ready to eat foods with extended storage life should have been conceived in stead of hot cooked foods served every day at feeding centers. There will be opposition from vested interests because manufacture and distribution of pre-packed RTE foods will have far lesser scope for pilferage and misappropriation of scheme funds by those managing the same. Fortifying cereal based food preparation with proteins, vitamins and minerals as is being done in some food products supplied for applied nutrition programs may not be the best way to deliver "nutrition" and this should have dawned on the planners who came out with the Sabala scheme from past experiences. Food scientists will confirm that Milk and or egg can be the best nutritious source and it must be left to the food technologists to come up with shelf stable products requiring no cooking for such mass distribution programs. If the cost is higher there is no alternative but to increase the outgo on the food component to meet the need.

V.H.POTTY
http://vhpotty.blogspot.com/
http://foodtechupdates.blogspot.com

Sunday, August 28, 2011

WAH! WHAT SENTIMENTS ON JUNK FOODS!- THE COURT IS BOWLED!

Babus in Indian Government have been forced by the judiciary to spell out the policy about selling "junk" foods near the schools in the country! In response to a PIL petition in the Delhi High Court the honorable judges sought the views of the Ministry of Health Family Welfare on this issue and of course as expected the court was provided with a "beautiful piece" of report which only Babus that run the ministry can do! No wonder GOI depends so heavily on these Babus to "govern", with really no governing!

From where the GOI got the idea of selling dal, roti and nutritional foods in the schools is not clear. Probably credit must go to the Babus for keeping themselves abreast of developments in the US where there is a powerful movement for banning junk foods in the school canteens because of the perception that the dangerous epidemic of obesity rampaging that country is due to consumption of such junk foods. Sure the US government knows fully well about what it is talking about and the predominance of processed foods in the diets of Americans is the root cause of the problem. While an average American depends on industry made foods to the extent of 80% in the daily diet, the corresponding figure is less than 10% in India. What junk foods are the Babus in India talking about? How many schools in this country has canteens like the ones American School system has? It is unfortunate that GOI has filed an affidavit containing lot of platitudes confusing the judiciary and the problem remains as they were before.

What does any one mean by calling an edible product "junk food"? If foods rich in calories, sugar or fat are called "junk foods", probably more than 75% of foods made by Indian food industry will come under this category. What is left for selling in the country? It is true that foods children eat during their early growing stages invariably decide the dietary pattern through out the life and therefore much thought has to be given when it comes to their exposure to various types of food. Parents have much more responsibility in "habit forming" vis-a-vis their kids and it is sheer callousness to shift this responsibility to the school under one pretext or the other. While residential schools have the onus to be more careful in providing a balanced menu, where does an ordinary school come into the picture in this "high decibel debate"? Millions of schools attended by a vast majority of children in the country have no role to play in this junk food controversy. Pupils generally take their own food to the school in their own "Tiffin Box" and it is natural and logical to expect that parents must be sending the most nutritious food to their children. It is amusing to read the affidavit filed by the Health Ministry with the court which is reproduced below verbatim as gleaned out from News Papers.

"The Centre has asked state governments to ban sale of junk food and carbonated soft drinks on school premises and withdraw all such items that lead to unhealthy eating from canteens. The ministry said this while responding to a PIL filed by an NGO in the Delhi High Court seeking ban on the sale of junk food and carbonated drinks within a 1,500 feet radius of schools. The MoHFW said in an affidavit that it is against sale of junk food in educational institutions and the states have been advised to keep them out of reach of students as far as possible.Though junk food is not defined under the Prevention of Food Adulteration Act, the ministry said that any food that has poor nutritional value is considered unhealthy. Any food item that has empty calories and is responsible for obesity, cavity, diabetes and heart diseases cannot be considered good for the consumption of children, the ministry said. Studies have indicated a correlation between consumption of food with empty calories and chronic degenerative diseases as well as hypertension, obesity, cardiovascular problems and glucose intolerance, the ministry added".

Plenty of platitudes and sentiments expressed through empty words having no intention to do any thing! Most of the above lines are taken from standard pieces of information on junk foods in the Internet with least relevance to India, probably to confuse the judiciary and to create an impression that the Babus are 'knowledgeable" on the subject. After the above episode one is left wondering whether the education authorities are really capable of protecting the health of school going kids because a more serious problem posing danger and not receiving attention due to it, does not come from junk foods from the organized food industry. The real culprits are thousands of street hawkers who congregate near schools at important timings when the schools start or have recesses and a range of items like frozen ice, colored drinks, fried snacks, cut fruits etc are sold openly under most unhygienic conditions with potential to ruin their health. With many dotting parents showering their children with liberal "pocket money" without being serious about monitoring as to how the money is spent, there is disaster waiting to happen through these street hawkers and sadly most civic authorities in the country either do not bother about controlling them or close their eyes not wanting to see the ugly scenario around the schools. Of course FSSAI has absolutely no clue regarding this sorry situation across the length and breadth of the country!

V.H.POTTY
http://vhpotty.blogspot.com/
http://foodtechupdates.blogspot.com