The World Bank Group has highlighted that transforming food systems beyond the farm can unlock significant opportunities for employment, investment, economic growth and poverty reduction in South Asia. The region’s agriculture sector is valued at over USD 700 billion annually and employs nearly 43 per cent of the workforce.
However, despite its scale, agriculture contributes only around 16 per cent of the region’s GDP. More than 30 per cent of food produced in South Asia is lost or wasted every year, enough to feed nearly 300 million people.
Experts at the South Asian Policy Leadership for Improved Nutrition and Growth (Sapling) high-level policy dialogue emphasised that the next phase of agricultural transformation lies not merely in increasing production but in expanding food processing, storage, logistics, marketing and value addition. These activities can create millions of productive jobs while reducing food losses and increasing farmers’ incomes.
The Ministry of Food Processing Industries (MoFPI) said that in India, food grain production has increased from 51 million tonne in 1950-51 to more than 330 million tonne today. Processed food exports have also more than doubled over the past decade, rising from approximately USD 4.9 billion to over USD 10 billion.
The food processing sector currently contributes around 9 per cent of manufacturing value added and nearly 13 per cent of India’s exports. The ministry added that South Asia possesses strong fundamentals to emerge as a global leader in food systems. Rapid urbanisation, a growing middle class, rich agro-biodiversity and rising demand for safe and high-quality processed food are creating new opportunities for investment and innovation.
To accelerate this transformation, the World Bank Group is advancing a combined approach through AgriConnect and Sapling. AgriConnect, a global platform, aims to connect 300 million farmers to markets by 2030 through investments in infrastructure, policy reforms and private capital mobilisation. The initiative is already supporting projects and reforms across countries, including India, Bangladesh, and Sri Lanka. |
