A VISION DOCUMENT!-WILL IT REMAIN AS A DOCUMENT ONLY?

Aiming for the moon is never a crime but doing nothing to make even an attempt or doing the same shoddily is definitely some thing to be frowned upon. This statement is very relevant when one looks at the Vision Document 2015 prepared and released for public consumption by the Ministry for Food Processing Industry (MFPI) of Government of India (GOI) recently. It has become a fashion for the babus in GOI to write voluminous reports to boast of their achievements and project their future plans from time to time. In the absence of an accountability system that can pull them up for non-performance or under-performance, they get away with practically nothing to show, except more promises, in their progress card. Latest to arrive is the new projections of performance for the next three years in "promoting" food processing in the country. It is intriguing as to why such a document is prepared for a short period of 3 years because only long term targets are normally projected in any vision document. Here is a take on this new pompous report whatever it is worth for!

"Government has prepared Vision Document 2015 for food processing sector. It envisages tripling the size of the processed food sector by increasing the level of processing of perishables from 6% to 20%, value addition from 20% to 35% and share in global food trade from 1.5% to 3% by the year 2015. To realize the targets set for the growth of the food processing sector, 11th Plan Schemes have been restructured with appropriate management/implementation arrangements in Public Private Partnership mode, with strong project implementation capabilities. The core elements of the strategy are better project selection, development and implementation, decentralized cluster based development, particularly for creation of infrastructure and fostering linkages to retail outlets, industry led capacity building and upgradation of standards, integrated food law and science based food standards. During the 11th Plan period out of 30 Mega Food Park projects, Ministry of Food Processing Industries has already approved 15 projects and is in process of approving remaining 15 Mega Food Parks. CCEA approval for the 15 Mega Food Parks has already been obtained and EOI has been issued for inviting proposals. As against 30 Cold Chain projects envisaged for the 11th Plan period, Ministry has approved 10 integrated Cold Chain project out of which 8 have started commercial operation in terms of value addition, reduction in wastage and enhancement in farmer's income. In the second phase, 39 projects of integrated Cold Chain have been approved. In case of Modernization of Abattoir, 10 projects have been approved. Under the scheme for Technology Upgradation/ Establishment/ Modernization of Food Processing Industries, a total of 2532 units have been assisted. Under the scheme of Quality Assurance 22 Food Testing Labs have been assisted and 14 units under HACCP/ ISO certification have been assisted. Under the Human Resource Development Scheme, assistance has been provided to 33 units, 140 Food Processing Training Centre (FPTC) and 805 Entrepreneurship Development Programmes (EDP) for creation of infrastructure facilities. Under the Institutional Strengthening, the NIFTEM, IICPT, IGPB and NMPPB have been established to give further impetus to the development of food processing sector".

One wonders whether any body in the GOI has made any effort to evaluate the past promises made and the extent of fulfilling them before allowing the Ministry to make further tall claims. While inspired reports and glossy publications from the GOI and friendly media praise the past developments in this sector, for a dispassionate observer nothing much has changed in the food processing sector during the last two decades of existence of this specialized Ministry set up with lot of hope. While the setting up of the "paper tiger" FSSAI is touted as a big achievement, the ground reality is that this has happened in spite of the working of MFPI. The statistics doled out in the so called vision document lacks credibility if ground realities are seen with most small scale food industries languishing in the country while the unorganized sector is thriving, churning out sub-standard foods with practically no help or guidance forthcoming from GOI. The progress, if at all any, is due to major branded products coming out from the stables of multinationals and domestic giants who any way do not need government prop!.

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

"CO-BRANDING"-VALUE ADDITION TO BRANDED PRODUCTS

Product branding is a sound way of successful marketing though the cost can be prohibitive, affordable only to those with deep pockets. The brand building by "Nirma" in the detergent sector and "Rasna" in the beverage area in India are prime examples of small start up companies with limited resources being able to challenge market leaders in their respective fields. With competition hotting up in the market place, even those with deep pockets are feeling the heat making them look for more effective strategies. The cross over branding or co-branding approach successfully deployed by many strong brand leaders in non-food areas seems to be contributing to better value addition as being reported by market experts.

"With the increased sophistication of today's consumers it becomes vital for brands to understand their audiences' needs and desires as consumers decide, in fact, the life or death of a brand. Consumers in the 21st century have become increasingly aware of the quality of the products and services they seek and now search for added value in these items. Crossover branding, if rightly conceived and managed, can provide an attractive 1+1>2 formulas which creates added value for both participating brands and consumers.

Danone and Motta, both in the food industry, co-branded a yogurt ice-cream called Yolka that successfully satisfied the desires of healthy conscious gourmand and avoided direct competition to their respective brand portfolio".

If one calls such an approach as value building for brands, it can also be interpreted as monopoly building if the products of the two brands are same. But if products are complimentary none should have any objection to such moves. In India coming together of brands happens only when ever marketing schemes are introduced for limited periods and the association does not last long, serving only as as an advertising tool. Probably cross over branding will take roots in India in the near future if some of the leading players have to stay in business or prosper.

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