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Here’s what stops French and American companies from coming to India

Jul 13, 2015, 13:26 IST
Days after reports like Maggi noodle found safe surfaced, food processing minister Harsimrat Kaur Badal has said that the "inspector raj" has prompted fear among domestic packaged food companies. The minister alleged that this is cutting out overseas businesses, killing innovation and also threatening the government's Make-in-India initiative.
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In an interview, Badal told Economic Times that in India, the sector is growing faster than agriculture and manufacturing. She also talked about the severe constraints Food Safety and Standards Authority of India (FSSAI) is facing after striking the controversy on Nestle India’s Maggi noodle.

The minister, first in Narendra Modi government who critically commented on the Maggi episode is now demanding ‘registration raj’ instead of ‘inspector raj’. Badal has said, “India could attract overseas investment worth billions of dollars, helping both farmers and consumers if companies get the right environment and are allowed to self-certify compliance.”

She also mentioned French processed vegetables company Bonduelle and US-based Amy's Kitchen among who are keen to invest in India. These companies are eying India to develop as their regional hubs.

"In the current environment, no one can say how long it will take to get approval, so these projects were not coming to India. Now we see this inspector raj. Companies are petrified of their reputation. Further, industry associations also don't want to come to forefront as they feel they will be targeted," she further added.

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Concerns like manufacturers finding it tricky to deal with FSSAI because of the involvement of red tape were also raised. She also demanded transparent and rational norms that should be effectively implemented with exemplary punishment for defaulters.

Talking about the FSSAI she said, "There were plenty of complaints from across the country. With the kind of innovations, now there are hundreds of types of cakes, biscuits, bread, juices, lassi. Is it possible in a country like ours where every second new things are being innovated, to get product-to-product approval? It is not humanly possible. All of them come to FSSAI for approval and there are six scientists working on testing. It is not humanly possible."
Image: indiatimes
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