India opens F&B sector to 100% foreign investment, ownership

India has officially opened its food and beverage sector to 100 per cent foreign investment, allowing full foreign ownership and management of such enterprises, Minister of Commerce and Industry Piyush Goyal announced.

Goyal emphasised that the government would facilitate “speedy and easy” work permits for those wishing to invest or set up food and beverage businesses in the country. The announcement marks a significant shift in India’s approach to attracting foreign capital in the food and beverage industry.

In addition, the minister set an ambitious target of $100bn in combined exports from the food and beverage, agriculture, and marine products industries within the next five years, signaling the country’s focus on boosting its export-driven growth.

“We are looking to make farming processes more sustainable, promote organic farming, and push organic food products,” Goyal stated.

He also emphasised that the Ministry of Commerce and Industry is prioritising sustainability in the food industry, including easing certification processes for organic food while maintaining their authenticity and traceability.

Indian exports hit $50bn in 2024

India’s exports in the food, beverage, agricultural, and marine products sectors totalled $50bn in the previous year, according to the minister.

Goyal praised the efforts of the Agricultural and Processed Food Products Export Development Authority and the Marine Products Export Development Authority for contributing to this success.

The new policy changes are expected to further bolster India’s position as a growing hub for food and beverage exports while promoting the sustainable growth of its agriculture and food industries.