The World Bank Group has emphasized that transforming South Asia's food systems beyond agricultural production could unlock millions of jobs, attract billions of dollars in investments, and drive sustainable economic growth across the region.

Speaking at the SAPLING High-Level Policy Dialogue in Ahmedabad, experts noted that while South Asia's agriculture sector is valued at over US$700 billion annually and employs nearly 43 per cent of the workforce, it contributes only around 16 per cent to the region's GDP. Additionally, more than 30 per cent of food produced in the region is lost or wasted each year, enough to feed nearly 300 million people.

The discussion highlighted that the next phase of agricultural transformation should focus on food processing, storage, logistics, marketing, and value addition, which can create large-scale employment opportunities, reduce food losses, and enhance farmers' incomes.

India's progress in the sector was cited as a notable example. Food grain production has increased from 51 million tonnes in 1950-51 to over 330 million tonnes, while processed food exports have more than doubled over the past decade to exceed US$10 billion. The food processing industry currently contributes about 9 per cent of manufacturing value added and nearly 13 per cent of India's exports.

Key government initiatives, including the Pradhan Mantri Kisan Sampada Yojana, PM Formalization of Micro Food Processing Enterprises (PMFME) Scheme, and Production Linked Incentive Scheme for Food Processing Industries, have played an important role in strengthening infrastructure, attracting investments, and improving competitiveness in the sector.

The World Bank is supporting this transformation through initiatives such as AgriConnect, which aims to connect 300 million farmers to markets by 2030, and South Asian Policy Leadership for Improved Nutrition and Growth (SAPLING), which promotes policy reforms and investment opportunities across South Asia.

Participants at the dialogue called for greater investments in cold chains, warehousing, logistics hubs, processing clusters, and agro-industrial parks. They also emphasized the need for stronger public-private partnerships, improved logistics infrastructure, simplified food safety regulations, and greater adoption of digital technologies.

The two-day regional dialogue, organized by the Ministry of Food Processing Industries in collaboration with the World Bank-led SAPLING initiative, brought together around 200 policymakers, industry leaders, investors, researchers, startups, and development partners to discuss strategies for building resilient and sustainable food processing ecosystems across South Asia.