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The Food Supply Chain Important

Prince Khanuja: The Food Supply Chain Important

The Food Supply Chain Important

To understand the importance of the food supply chain in country we first have to understand the meaning of it. So let us see what exactly is a food supply chain:

The entire process that food products go through as they go from the producer to the buyer and consumer is known as the food supply chain which compromises of the following stages: –

  • Production: This is where food is sourced and where the food supply starts to be produced.
  • Handling and Storage: When food is handled and stored, means that it has been prepared and taken care of in the moments following harvest. Before food  delivered to be processed, this phase will take place.
  • Processing and Packaging: Any food, whether it comes from plants or animals! is transformed into an edible form throughout the processing and packaging stages. Here, it is crucial that the product satisfies all standards for food safety before being packaged for sale and distribution.
  • Distribution: When food is ready to eat, it is transported and distributed to the appropriate retailer or supplier.
  • Retailing: Retailing is the process of getting goods from producers to customers. It includes everything from buying the food to reselling it.
  • Consumption: Consumption is what happens when a customer buys food from a retailer.

Let us now understand the importance of the food supply chain:

 To manufacture items that are safe for consumption and satisfy the demand for high-quality food among consumers, a reliable food supply chain is very necessary. For instance! the retail and hospitality sectors who buy the items want to get high-quality food from the supplier at a low price so they can still turn a profit and provide competitive prices. A well-managed food supply chain is the first step in satisfying consumer demand for high-quality food products! and this will also help to prevent issues from developing and leading to loss in the future.


Food supply chains are essential for assuring product traceability! which allows both manufacturers and customers to easily determine where their food comes from.

People are now more aware than ever of the potential environmental effects that particular food supply chains may have. Shorter food chains have advantages for the economy! the environment, and society. Additionally, because consumers are more aware of the sources of their food, there will likely be less waste and more consumer trust.


On the other side, longer supply chains lead to a lack of knowledge about the farming methods that produce the food we consume, the difficulties farmers confront, and the effects of our decisions on the environment. In fact, short food chains benefit both farmers and consumers, serving as a model to boost openness, confidence, development, and equity.

Thus long or short, an efficient food chain is required for the sustainability of the country’s food requirement.


What role does warehousing sector play in supply chain of India?

To understand the significance of the warehousing sector, let us first define supply chain and how it works:

A supply chain is the network that connects all of the people, organizations, resources, activities, and technology involved in the manufacture and sale of a product. A supply chain includes everything from the transfer of raw materials from a supplier to a producer to the final distribution to the end customer. The distribution channel is the supply chain segment responsible for getting the finished product from the manufacturer to the consumer.

However before the distribution the goods are retained in the warehousing, it plays a critical role.


Importance of the warehousing and logistics sector in the economy is demonstrated by its role during the Covid-19 pandemic. Adequate warehouse facilities, together with an efficient logistics network! are critical to maintaining the flow of commodities and meeting consumer demand across the country. The role of the warehousing sector  recognized in the National Logistics Policy (‘NLP’) and is being given due creditability by both the Central and State governments! with NLP expected to enhance warehousing capacity and enable faster communication to bring products closer to their consumption points.

The warehousing sector has grown at a CAGR of around 23% over the last five years:

predicted to increase at a CAGR of 19% by FY 2026. Growing online retailing! as well as rising customer demand, has paved the way for businesses to ensure efficient availability of goods! hence ensuring the availability of efficient quality warehouses! referred to as Grade A warehouses.

With the emergence of e-commerce and a desire to rebuild supply chains globally in a post-pandemic world! the demand for enough and quality warehousing that is sustainable and robust is more vital than ever.

It is therefore critical that the warehouse sector evolve to meet the needs of a fast increasing economy and address the need for suitable facilities to support increased economic activity as well as ancillary demand.

Furthermore, it is imperative to assess developing trends in storage, technological adoption, and legislative efforts that can aid in realizing the sector’s entire potential in India.

Thus, the necessity and need for high-quality warehouses is growing every day! because whether it is FMCG goods, agri products, or food items, the storage requirements for product sustainability and consumer convenience never go away.

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