Processed food firms seek to exploit Russian market

Tuesday, 01 October 2002, 19:30 IST
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MOSCOW: India's agricultural and processed food industry has chalked out an ambitious strategy to tap the huge potential of the Russian market as part of plans to boost exports. Most of the leading Indian companies, who were here to participate in the weeklong international food exhibition that ended here Sunday, have decided to set up their offices to explore business opportunities. More than 35 Indian exporters took part in the food show under the banner of Confederation of Indian food trade and Industry (CIFTI) and Agricultural and Processed Food Products Export Development Authority (APEDA). Indian companies are also planning to enter into agreement with their Russian counterparts for setting up joint ventures in food processing and packaging industry. "The response to the Indian stall that was set up in the main center of the exhibition hall was really beyond our expectation," H.C. Jayal, director, ministry of commerce, and head of the Indian delegation, said. "Our participants have signed contracts running into hundreds of thousands of dollars for supplying agricultural and processed food products from India," he said. Almost all the companies have received large-scale enquiries that may result in export of products such as rice, spices, concentrates, pulp, frozen vegetables, dry fruits, cashew to Russia, Jayal added. The annual Indian export of food-products to Russia, estimated at around $5 million, constitutes a small fraction of India's total export of food products worth $2 billion. "This is a result of lack of information about India's food industry. Participation by Indian companies in such exhibitions would no doubt create awareness about Indian industry and bolster trade to Russia," Jayal said. Some of the Indian companies are also exploring the possibility of establishing ties with Russian companies for purchasing technology in agro-sector. One company is reported to have struck deal for buying technology for processing potato.
Source: IANS
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