New Delhi: Japans largest egg producer, Ise Foods, today announced signing of a memorandum of agreement (MoU) with Indian government with an investment commitment of Rs 217 crore.
This is the first ever MoU signed by a Japanese food company with the Ministry of Food Processing.
Elaborating the areas of cooperation, Ise Foods Chairman and Representative Director Hikononub Ise said the company would like to extend cooperation in ensuring pesticide residue free egg production.
Also, the company wants to support Indias efforts in renewable energy. Already, Ise Foods has set up a solar unit outside Delhi, he said at an event organised by industry body CII and Japan External Trade Organisation (JETRO).
As per the MoU, Ise Foods will also provide support and reducing agricultural loss through use of modern Silos for storage of grains among others, he added.
“This is the first Japanese food company to sign the MoU with us. Considering the size of Ise Foods, the investment committed is just the tip of the ice berg. More funds are expected. Other companies will follow suit,” said Parag Gupta, Joint Secretary in the Food Processing Ministry.
There is lot of opportunity in India for Japanese companies to invest in food processing sector, he said and added accessibility of Japanese food in India can be increased with more awareness, availability and at affordable price.
Stating there is lot a of opportunity in India, CII President Designate Rakesh Bharthi Mittal said there is rise in demand for Japanese food here but high cost is a challenge.
To address this, Japanese food companies will have to build a backward linkages with farmers and invest here to bring down the costs, he added.