India having encouragingly grown from a level of scarcity to surplus has enabled to create economic liberalization paving way to rapid industrialization where a good many investors find new opportunities in the market.
Studies show that India is the second largest producer of fruits and vegetables .Its processing level is estimated to be around 2 %, as compared to about 80 % in Malaysia, 30% in Thailand, and 60-70% in UK and USA. A strong and dynamic food processing industry is important for diversification and commercialization of agriculture. It ensures value addition to the agricultural products, generates employment, enhances income of farmers and creates surplus for export of agro foods. It is assessed that both processed food exports and value-added agricultural produce will grow faster in the coming years enabling food-processing industry in India to earn profits in leaps and bounds over the next five years. Food processing covers a spectrum of products from sub-sector comprising agriculture, horticulture, plantation, animal husbandry and fisheries. India has abundant availability of a wide variety of crops, fruits, vegetables, flowers, livestock and seafood. Diverse climatic conditions and a long coastline have contributed to India's position as a leading food producer. While India has an abundant supply of food, the food processing industry is still nascent: only two per cent of fruit and vegetables; and 15 per cent of milk produced are processed.
Despite these low volumes, the processed food industry ranks fifth in size in the country, representing 6.3 per cent of GDP. It accounts for 13 per cent of the country's exports and 6 per cent of total industrial investment. The industry is estimated to grow at 9-12 per cent, on the basis of an estimated GDP growth rate of 6-8 per cent, during the tenth five-year plan period. Value addition of food products is expected to increase from the current 8 per cent to 35 per cent by the end of 2025. Fruit and vegetable processing, which is currently around 2 per cent of total production will increase to 10 per cent by 2010 and to 25 per cent by 2025.
The industry size is estimated at US$ 70 billion, including US$ 22 billion of value added products.
The sector has been attracting FDI across different categories
BACKGROUND OF THE COMPANY
The history of MTR Foods dates back to 1924, when the Maiya family started a small restaurant in Bangalore. In 1951 the restaurant came to be known as Mavalli Tiffin Room. It was by now famous for the owner's passion for perfection and the superb quality of its south Indian cuisine. The legacy of purity and perfection continues at the eatery, now called simply, MTR Restaurant.
Today, MTR Foods Limited, under the stewardship of Mr. P Sadananda Maiya, the Chairman & Managing Director is a well known, Since the 1970s, MTR has expanded and diversified, with MTR Department Stores opened next to the restaurant. "MAVALLI TIFFIN ROOMS" (as the Restaurant was named) started by offering wholesome, clean/hygienic and delicious breakfast and snacks with absolute cleanliness and service. The house later extended its activities to catering services.
Now the MTR hotel and the foods division are completely separate entities.In 2001 MTR Foods was exporting long shelf life ready-to-eat pre-packaged food to the United States, Singapore and Gulf countries, Australia, New Zealand and Canada; and planning on exporting to the United Kingdom "where Indian food sells like hot cake". In 2004, MTR co-sponsored a three-day food festival in Delhi, with MTR chefs giving live cooking demonstrations diversified foods company, with an exhaustive product line that includes spices, instant mixes, ready-to-eat foods, vermicelli and ice creams. The MTR brand is trusted for its recipe expertise, the choicest ingredients and the quality, taste and purity of its products. An ISO 9002 company, it has recently received the coveted HACCP...
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