HINDUSTAN INSTITUTE OF MANAGEMENT
& COMPUTER STUDIES
Farah, Mathura
A
MINI-PROJECT REPORT
ON
Food industry
Submitted By. Shruti Sharma
MBA-2nd Semester
Batch- 2022-2024
(KMBN 252)
Roll Number: 2200670700075
Under the Guidance of:
Dr. ABHILASHA SINGH RAGHAV
Asst. Professor & HOD
Department of Business Administration
CERTIFICATE
This is to certify that, Shruti Sharma, student of
MBA-2ND semester has successfully completed mini-project
On Food Industry” and submitted a report as per the
Requirements of Dr. A.P.J. Abdul Kalam Technical
University in partial fulfillment of Master of Business
Administration (MBA) course for the academic year 2022-24.
Dr. Abhilasha Singh Raghav
Asst. Professor & HOD
Mini-Project Guide
ACKOWLEDGEMENT
It is my greatest fortune to perform the project work in the
Management Dept. of Hindustan Institute of Management and
Computer Studies , Farah Mathura. I express my heartiest
Thanks to Dr. Abhilasha Singh Raghav for her valuable
Suggestions at the critical juncture and allowing me to carry
Out the research investigation with various facilities of the
Department I am also thankful to all other respected faculty
Members of the department for their immense inspiration and
Useful advices during our project work. I would like to express
My sincere gratitude For giving me the opportunity to work on
This topic. It would not be possible for me to take this project
without her innovative ideas and relentless support and
Encouragement.
Finally, I would like to express my appreciation to all who
Have one way or another extended their support and
Assistance.
Shruti Sharma
Roll Number: 2200670700075
Declaration
I Shruti Sharma Student of MBA-2 ND Semester, Hindustan
Institute of Management & Computer Studies, Mathura, and
Here by solemnly declare that the mini project report titled
food Industry is the outcome of my own
Research and prepared by me and the same has not been
Submitted to any other University or institution for the award
of any degree or diploma.
Place: __________
Date: ____________
Name of Student: shruti sharma
Roll No: 2200670700075
Contents
Sr .no. Topic Page no.
1. Introduction to food industry
2. History of food industry
3. Components of food industry
4. Problem of food industry & overcome it
5. Food service industry most pressing
issues today
6. Challenges and emerging technology
7. Suggestion and conclusion
8. Reference
Introduction
food is an essential part of our lives. The food industry is the basic and important to every nation.
It is one of the seventeen national critical sectors of US economy. It plays a crucial role in
public health, food safety, food security, social development, and nutrition. Product quality,
health, and sanitation issues are major concerns in the food industry. Figure 1 shows the double
pyramid which suggests a virtuous model to promote sustainable food choices for health and the
environment . The food industry covers diverse activities including food supply, production,
harvesting, processing, packaging, transportation, distribution, consumption, and disposal. The
development of the food industry began in the early 1900. Agriculture is one of the world’s
largest industries. It encompasses trillions of dollars and employs billions of people. In the
United States alone, customers spent about $500 billion annually on food products at grocery
stores and super markets. Plunkett Research, Ltd. “US Food Industry Overview.” Accessed
December 5, 2011 market 20% research /industry %20statistics. The food industry includes a
complex collective of businesses that touches on everything from crop cultivation to
manufacturing and processing, from marketing and advertising to distribution and shipment, to
food regulation.
Food processing industry history
World War II prepared a fertile ground for innovations in the food industry. As food was
rationed and prices were regulated, better preservatives and flavouring agents were developed.
This paved the way for instant foods. Improvements in distribution are a major part of the
development of the food industry.
food processing includes a wide variety and range of activities that help to make food tasty,
accessible, and safe. Humans have been trying to make food processing faster and more efficient
for thousands of years.
The long history of food processing has helped us sustain our quickly growing societies, and also
given us more time for other activities. As we continue to advance, our abilities to make food
fast, affordable and long-lasting advance too.
food processing From the Stone Age to the Modern Age Let’s journey through time to
discover the evolution of food processing.
1. The First Methods
2. The 19th Century: Pasteurization and Canning
3. The 20th Century: Ready-to-Eat Meals
4. The 21st Century: Food Safety and Regulation
The First Methods
First and most important step in food processing was also the simplest: cooking. Our earliest
ancestors started by simply adding heat to meats, seeds and vegetables as early as 1.5 million
years ago. Simple food preservation methods followed, including drying, smoking and salting, in
some of the earliest civilizations, including Mesopotamia and ancient Egypt, as early as 9600
BC. The invention of writing and history helped to advance these early methods, as the first food
processors were able to record, pass down and trade information more easily. The history of food
processing began with a number of preservation and cooking techniques that are still used today,
though on a much larger and more efficient scale. From prehistoric societies, to some of the
earliest ancient empires (such as ancient Greece, India, China, and Peru) up to the Middle Ages,
these techniques were developed, refined and spread around the world across many different
cuisines.
1. Cooking
2. Salting
3. Pickling
4. Drying
5. Smoking
6. Fermenting
The 19th Century: Pasteurization and Canning
Two important processes were popularized in the 1800’s: pasteurization and canning. These
processes became vital to the history of food processing, making foods safer and much more
accessible. Pasteurization, developed by and named for French microbiologist Louis Pasteur, was
researched in the 1860’s. This process was particularly important for juices and milk, with the
latter being very susceptible to bacterial growth. Pasteurization kills microbes by applying heat,
but without affecting the nutritional quality or taste of the food. Without this process, this history
of food processing would not have advanced much further. Long-term food storage and transport
throughout the world would have been extremely limited. The tin can would become particularly
popular with the start of World War I and the high demand for cheap, long-lasting, transportable
food for soldiers.
The 20th Century: Ready-to-Eat Meals
When did processed food become popular?
Throughout the 1900s, a number of rapid, important developments led to food processing as we
know it today. Just as WWI popularized the tin can at the start of the century, WWII and the
space race in the middle of the century helped to speed up the development of ready-to-eat
packaged meals. During this time, the working middle class also began to expand around the
world, bringing increased demand for fast meals with a long shelf-life.
New processes as well as new ingredients and new appliances contributed to the history of food
processing in the 20th century. Spray drying, evaporation, freeze drying, and the use of
preservatives made it easier to package different types of foods and keep them on the shelf.
Artificial sweeteners and colors helped to make these preserved foods more palatable. The home
oven, microwave, blender and other appliances provided an easy way to quickly prepare these
meals. Factories and mass production techniques made it possible to quickly produce and
package foods. These developments paved the way for globally popular foods like frozen
dinners, instant noodle cups, baking mixes, and more.
The 21st Century: Food Safety and Regulation
Though processed foods were fast and affordable, concerns began to rise about their nutritional
value in the late 20th and early 21st century. Many preservation processes reduce the vitamin and
mineral content of otherwise healthy foods. Added fat, sugar, and oil increase calorie content
without increasing nutritional value. Concerns about preservatives and their long-term health
effects began to rise.
The toll of disposable plastic packaging also began to rise. Though food processing made many
foods easier to buy and prepare, there were trade-offs that had, so far, not been addressed.
In 2004, the USDA studied the nutrient content of foods prepared in varying ways. In 2010, First
Lady Michelle Obama spearheaded the Let’s Move! campaign designed to reduce childhood
obesity and reduce sugar and salt levels in processed foods, particularly those targeted towards
children. A number of food manufacturers agreed to reduce salt levels in response. Around this
time, the FDA studied food nutrition labels and the public’s understanding of them. Finding that
the nutrition labels weren’t helpful for many, the FDA pushed for clearer labeling standards in
2016, including clearer calorie and sugar counts, among other revisions. Many of these debates
persist today.
Food safety regulations also saw important changes in the early 21st century with the passage of
the Food Safety and Modernization Act. As food processing expanded in large factories, the need
for stricter food safety procedures and ingredient tracking became more important to prevent or
reduce the effects of foodborne illnesses.
Components of food industry
The food industry in its entirety is not one industry but a collection of several types of
industry producing a diverse range of food products. It covers farming, food production, food
processing, preservation, packaging, distribution, retail, and catering. The food industry
comprises comprise of the following Components .
1. Agriculture: This is the process of producing food, feed, fiber ,and other desired
products. It includes crop farming, livestock raising, and fish farming. It also
entails manufacturing of farm equipment, fertilizers, farm machinery and hybrid
seeds to facilitate agricultural production.
2. Food Processing: The majority of agricultural products is seasonal and perishable.
Food processing is used to transform raw ingredients into marketable food products.
It makes some food available all year round. Packaging protects food from the
surrounding, extends food shelf life, and increases the quality of food.
3. Food Distribution: This includes transporting, storing, and marketing food
product to consumers. The food industry needs a transportation network to connect its
numerous parts how local foods can reduce transportation distances. A wholesaler
purchase local produce and distribute it to a range of customers and clients.
4. Regulation: There are regulations on food production and distribution to ensure
quality and safety. These are restrictions imposed by government authority. There are
some regulatory requirements that a food business must meet in order to operate. FDA is
responsible for enforcing food laws and regulations.
5. Financial Services: These include insurance and credit to facilitate food
production and distribution. Insurance policies cover costly business disruptions
commonly seen in the industry. Food accounting professionals work closely with all
aspects of food industry to evaluate ideas and opportunities.
6. Research & Development: Research on any aspect of food industry produces
relevant information about that sector. The food serving sector has the largest potential of
research and development. Research reflections may be on factors influencing consumer
behavior, customers’ buying choices, formation of attitude, and opinions. Companies
need to have a deep understanding of how consumer behave.
7. Marketing: Marketing is the primary vehicle for promoting information about
food. Food marketing describes any form of advertising used to promote the purchase
and/or consumption of a food or beverage.it can influence food behaviors by
moderating socio cultural elements of the food environment.
what are the Problems in the Food Industry? How to
Overcome Them?
Like many industries, the food industry was greatly affected by the pandemic. Being unable to
operate normally and extended lockdown and restrictions set by the government, the industry
faced a significant setback in 2020. As we are coming out of the most disastrous pandemic in
generations, the food industry still faces many challenges in managing its operations.
“We continue to face significant challenges as a business and remain in constant crisis
management mode to ensure that we are not being adversely affected by the current inflationary
environment.” ~ Food Manufacturing Business.
Like many industries, the food industry was greatly affected by the pandemic. Being unable to
operate normally and extended lockdown and restrictions set by the government, the industry
faced a significant setback in 2020. As we are coming out of the most disastrous pandemic in
generations, the food industry still faces many challenges in managing its operation.
What are the Food Service Industry’s Most Pressing Issues
Today?
1. Food Safety
People’s health and safety is the responsibility of the food service industry since any
mishandling, contamination, or reported foodborne illness can lead to severe consequences for
both the people and the one who delivered the food. This makes food safety a significant concern
for the food service industry Moreover, today’s food trends that catch on quickly cause many
food-related problems, demanding food safety professionals to respond immediately. Food safety
culture is necessary for the workplace. The production facilities should have proper food safety
policies and regular walk-throughs to monitor food safety and trends.
2. Food Wastage
While restaurants is considered a clean industry, they considerably contribute a massive quantity
to the waste stream. The total amount of food waste is estimated to be 103 million tons annually
in the US. Food is wasted due to several reasons, including overproduction, processing problems,
bad weather, and unstable markets. However, this comes with a price tag and costs countries a
lot. Moreover, wasted food also impacts the environment since many valuable resources, such as
water and farmland, are also wasted. There should be a check and balance for wasted food, and
the food service industry should ensure as little as possible food is wasted. According to food
experts, reducing food waste by only 15% can provide food for more than 25 million Americans
yearly.
3. Rising Supply Chain Costs
The food service industry faces many issues managing food supply chains, including food safety,
lack of traceability, etc. Increased food supply chains cost is one of them. Managing food supply
chain costs is not easy. It does not include the cost of supplying food but also energy and fuel,
workforce, and the cost of new technology. Moreover, keeping a check on operating expenses is
another concern The first step to control costs is to get them measured. For simple supply chains,
you can track expenses in spreadsheets. Complexed supply chains demand technology solutions.
You can use a supply chain platform that uses AI to keep a check on costs and reduce them.
4. Increased Consumer Demand for Food Traceability
Food traceability is tracking the food product while passing through all the stages of supply
chains. Today, many consumers demand food traceability since they want to know where all
food ingredients and products come from. This increases the demand for food products data to be
available on food products and supply chains.
Lack of traceability can expose the food service industry to unnecessary risks as well as weaken
consumers’ trust, leading to lower sales and profits. However, food traceability can enhance food
safety and brand integrity, increasing customer trust in the brand.
5. Food Fraud
Food fraud is another pressing issue in the food service industry. It happens when a food
business intentionally deceives its customers about the quality or content of the food delivered by
them to gain the advantage. Food fraud can damage consumer trust and introduce severe health
risks to them.
The food service industry should inform businesses about food fraud practices and how to
prevent them. You can review your supply chain to monitor any food fraud, double-check
incoming products, and make the entire supply chain transparent to prevent food fraud in your
business as much as possible.
Challenges of Food Industry
Challenges in the ready-to-eat food market Influence of negative perception on consumers It was
always believed by people, especially aged consumers, that there are plenty of food preservatives
in ready-to-eat products, which condenses their nutritional value. The younger generation has
often been prohibited from consuming packaged ready-to-eat products, affecting overall demand
and sales in India. Lack of effective distribution system The supply chain comprises unorganised
and unbranded players like raw material manufacturers, quality testing units, research and
development resources, and packaging suppliers. Several such siloed systems have made the
food distribution structure a complex one. Also, the most significant setback of the lack of
appropriate storage facilities has caused ample food storage. However, with advancements, third-
party storage facility distributors are being roped into the supply chain, which has also caused an
added operational cost. Health concerns Globally, in India, health experts have repeatedly
warned about the health hazards of ready-to-eat food products, leading to cholesterol, obesity
and high blood pressure. Claims also suggest that such foods develop diabetes, hypertension, and
heart disease if consumed excessively and regularly. Moreover, convenience foods' high sugar,
salt, and fat concentration have deterred consumers from buying such products for the longest
time. Lack of culinary diversity Until a few years back, the ready-to-eat food industry offered
limited variety and had not explored different segments that would fulfill consumers' tastes and
preferences. Only recently, the market widened for ready-to-eat products, encompassing end-to-
end meal options like curries, appetizers, breakfast items, soups and snacks, baked goods, meat
products, and more. Catering to the consumption diversity of consumers from different regions
across the country has been a difficult challenge for food companies. The way forward Currently,
there is no dearth of ready-to-eat food options nor the absence of sources like supermarkets,
retail chains and convenience stores to access such foods. Keeping the consumer trends and
demands in mind, companies have increasingly focused on specially packaged foods for all age
groups -- from choosy children to office-going parents and senior citizens -- there is something
for everyone. Moreover, in a country where every second person is looking to save time in the
kitchen and invest it elsewhere, either to seek education, make a living or pursue hobbies, ready-
to-eat foods come in handy and provide a convenient alternative. This is a breakthrough in the
food manufacturing industry in India and shows the great potential of being a significant
contributor to the economy!
Four Emerging Technologies for Processing Food in 2022
We look at isochoric freezing, high-voltage atmospheric cold plasma, electro hydrodynamic
drying and oxygen isotope modeling.
Keeping on top of new technologies can be daunting, especially ones that have yet to be
commercialized. We’re looking at four technologies that have the potential to improve some very
basic functions in food processing: freezing, disinfection, drying and authentication.
1. Isochoric freezing
There are two problems with conventional freezing: it’s expensive, and it often alters the
product. Isochoric freezing is a potential path around both.
Simply put, the technique involves putting food, either bare or sealed in flexible material, inside
a rigid container, filling the container with water and freezing it. The pressure inside the
container keeps all but about 10% of the water from freezing. The actual food doesn’t freeze, and
so forgoes the cellular damage that comes from crystallization. Isochoric freezing for food was
developed by a team funded by the USDA and headed by Boris Rubinsky , a mechanical
engineer at the University of They patterned it after Rubinsky’s development of the technique for
transporting organs for transplantation. One of the biggest advantages of this kind of freezing is
that it can be done with conventional freezing systems, Rubinsky says. Food of any kind that is
now frozen is a candidate for isochoric freezing, Rubinsky says, along with others. “This also
opens the door to preservation of foods that cannot withstand freezing, because freezing involves
formation of ice crystals in the food, while in isochoric preservation either the ice crystals do not
form at all or form outside of the food.”
.“The biggest challenge [to commercialization] is the fact that isochoric preservation requires a
change in thinking about low-temperature storage of food,” Rubinsky concludes.
2. High-voltage atmospheric cold plasma
An overriding goal in preserving food safely is killing as many microorganisms on or around it
through a process that alters it as little as possible. One method to do this has been through
atmospheric plasma, which has been used for industrial disinfection as far back as 1857 on
drinking water in Germany.
High voltage atmospheric cold plasma (HVACP) uses the mostly ionized air that is produced by
passing between two parallel electric diodes. The chemical properties of both the electric field
and the gases that result (such as ozone, nitric oxides, peroxides and atomic oxygen) have
biocidal properties and can also break down toxic microbial products like my cotoxins, rendering
them harmless, says Cherian George, discovery & regulatory lead at Nano Guard Technologies,
the leading developer of the process.
There’s a wide range of products that could potentially be treated with HVACP, including meat,
potatoes, nutra ceuticals, seeds, flour mills, ready-to-eat milled products, peanuts, hazelnuts, row
crops, pet food, edible flax and animal feed mills, says NanoGuard CEO Larry Clarke.
NanoGuard is currently concentrating on grain products like animal feed, wheat flour or corn
grits. “Also the nut market and the seed market, but we’re still in the middle of research with
pilots to introduce more,” Clarke adds. HVACP has not been widely commercialized; “It’s the
tip of the spear,” Clarke says. Considerations to commercialization include making it work on a
scale that matters, getting FDA approval and “connecting a market with a problem and
effectively, in a commercially viable way, [solving] that problem,” Clarke says.
Electro hydrodynamic drying
Electro hydrodynamic drying uses an air flow between electrodes, called “ionic wind,” to dry
foods faster and with less electricity. Electro hydrodynamic drying Like HVACP, electro
hydrodynamic drying (EHD) uses ionized air. It creates an airflow, called “ionic wind,” by
running electricity through a pair of electrodes on either side of the food to be dried. The ionic
wind dries food faster than conventional convective drying, due in part to the heat generated by
the process.
“EHD drying is a non-thermal and highly energy-efficient method that makes it suitable for
drying heat-sensitive materials with low energy consumption,” says Kamran Iranshahi, a
doctoral student at ETH Zurich, a Swiss public research university. In addition to being more
energy-efficient, studies have shown that products dried with EHD retain their color, flavor and
nutritional content better than those done with conventional drying, with lower shrinkage and
higher rehydration capacity. So far, the technique has mostly been used on fruits and vegetables,
but there is potential for other products and even other industries like pharmaceuticals, Iranshahi
says. EHD is more suitable for small to medium-sized batches because it can’t achieve the
airflow rate of fan-driven conventional systems, Iranshahi says: “In this type of drying,
compatibility (to the production line and to the current values and norms e.g., production rate) of
EHD is the biggest barrier towards diffusion of this clean technology.”
3. Oxygen isotope modeling
Fraud in the food business often centers on geographic origin. If a country or region is famous
for a certain kind of food or beverage, some products gain fraudulent value when they’re falsely
advertised as being from there.
Ascertaining geographical identity in a food product involves studying its oxygen isotope ratio.
This basically measures the proportion of 16O, the most prevalent isotope of oxygen, to 18O, a
much less common one. The significance is that the amount of 18O in plant material is a function
of the rainfall and other climate factors where the plant grew. This yields an isotope “signature”
unique to that area. Researchers at Switzerland’s University of Basel have developed a faster
way to develop these regional signatures. Their model can take publicly available climate
information and extrapolate the isotope signature for plants grown in that region.
“The model input data we need for our calculations at a given location are air temperature,
relative humidity, precipitation amount and the oxygen stable isotope composition of
precipitation,” says Florian Cueni, the researcher who developed the process. The model as
currently developed is limited to plant organic material like cellulose or bulk dried material. It
can’t be used for processed products like olive oil (a frequent target of regional fraud), but “is
well possible that with certain modifications to the model, it might also be able to work on olive
oil, as these oils also show very distinct geographical patterns in their isotope signature,” Cueni
says.
Write some suggestions to improve food production.
Crop rotation : Crop rotation is changing the sort of crop per anum only on the same
piece of land. This reduces the occurrence of pest and damage to the crop from year to
year.
Biological study of pest :During this method the pest are observed for the course of
time .when the time is suitable ,sow the crop as that time when the least damage is
caused.
Biological Control : During this , method , we introduces a natural parasite or predator of
the actual pest which is thought from the observation. This avoid the implementation of
chemical that kills the insects and causes pollution too.
Sterility: During this method males of the insects are kept sterile. This avoids further.
CONCLUSION:
The Food Processing Industry sector in India is one of the largest in terms of production,
consumption, export and growth prospects. The government has accorded it a high priority, with
a number of fiscal reliefs and incentives, to encourage commercialisation and value addition to
agricultural produce.
food systems around the world can point to some impressive achievements. Between 1960 and
today, world population more than doubled, yet global food production tripled, ensuring more
food per person at lower prices. What’s more, this was accomplished while only using about 10-
15% more agricultural land, as food systems achieved a large increase in output per unit of
agricultural land. The expansion of agricultural land has had important negative effects on forests
and biodiversity, and led to large greenhouse gas emissions. If food systems had not managed to
increase productivity, the consequences for human and environmental well-being would have
been devastating. While production growth after 1960 was initially achieved mostly by using
more inputs (e.g. fertilisers), which create their own set of environmental challenges, in recent
decades efficiency gains have been the main source of production growth.
The scale of these past achievements is as remarkable as what still remains to be done. Food
systems are expected to provide food security and nutrition for a growing population expected to
approach 10 billion people by mid-century. Food systems are also relied on to provide
livelihoods for those working on 570 million farms worldwide, and along other stages of the
food supply chain. And food systems not only depend on natural resources, but are also expected
to contribute to environmental sustainability. Meeting this “triple challenge” is central to
achieving the Sustainable Development Goals, but with only ten years left the world does not
appear on track to meet these goals. The COVID-19 pandemic and the global recession it
triggered constitute a major setback, with undernourishment on the rise as livelihoods have been
disrupted. But even before the COVID-19 outbreak, food systems were inadequately addressing
the triple challenge. After falling for many years, the number of undernourished has been
increasing since 2014. An estimated two billion people do not have regular access to sufficient,
safe and nutritious food while an even greater number are overweight or obese. Food production
is also exerting major pressures on the environment, including through overfishing, nitrogen
pollution, deforestation for agricultural expansion, and direct emissions from agriculture.
Meanwhile, productivity growth in agriculture is often associated with a fall in agricultural
employment, which can put pressures on livelihoods.
SOURSES & REFERENCES
https://www.researchgate.net/publication/
334123694_Food_Industry_An_Introduction