Valorization of food processing by products edited by m chandrasekaran

pro-sustainable solutions for the future conservation of energy and water, and responsible utilization of resources and disposal of by-products in the environment.The scope of the CRC bo

Valorization of

Food Processing

By-Products

Fermented Foods and Beverages serIes

Series Editors

M.J.R Nout and Prabir Kumar Sarkar

Valorization of Food Processing By-Products (2013)

Editor: M Chandrasekaran

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and perseverance to accomplish this great mission

to serve humanity

M CHANDR ASEK AR AN, SOOREJ M BASHEER,

SREEJA CHELLAPPAN, P. K ARTHIKEYAN, AND

K. K ELYAS

c h a P t e r 2 c u r r e n t S tat e - o f - t h e -a r t o f f o o d

P r o c e S S i n g b y -P r o d u c t S 35

K ASI MURUGAN, V ICTOR SIMON

CHANDR ASEK AR AN, P K ARTHIKEYAN,

AND SALEH AL-SOHA IBANI

c h a P t e r 3 r eg u l ato ry i S S u e S a n d c o n c e r n S

o f v a lo r i z at i o n o f f o o d P r o c e S S i n g

b y -P r o d u c t S 63

M CHANDR ASEK AR AN

c h a P t e r 12 c e r e a l S 303

JISSA G KR ISHNA AND M. CHANDR ASEK AR AN

B CHEMPAK A M, N K LEELA, SHA MINA AZEEZ,

E JAYASHREE, AND T. JOHN ZACHAR IAH

R SH YA M KUM AR AND M CHANDR ASEK AR AN

f o o d P ro c e S S in g i n d uS trie S

c h a P t e r 21 d a i ry b y -P r o d u c t S : w a S t e S o r

r e S o u r c e S ?—t h e S h i f t i n g P e r c e P t i o n

a f t e r v a lo r i z at i o n 617

SUR AJIT M ANDAL, MONICA PU NIYA,

K P S. SANGU, SUMIT SINGH DAGAR,

R A MESH WAR SINGH, AND ANIL KUM AR PU NIYA

P a rt v e nviro n m e nta l c o n c e rn S , f utu re

x i

Series Preface

Natural fermentation precedes human history, and since ancient times humans have been controlling the fermentation process Fermentation, the anaerobic way of life, has attained a wider meaning in biotransfor-mations resulting in a wide variety of fermented foods and beverages.Fermented products made with uncontrolled natural fermentations

or with defined starter cultures achieve their characteristic flavor, taste, consistency, and nutritional properties through the combined effects of microbial assimilation and metabolite production, as well as from enzyme activities derived from food ingredients

Fermented foods and beverages span a wide diverse range of starchy root crops, cereals, pulses, vegetables, nuts and fruits, as well

as animal products such as meats, fish, seafood, and dairy

The science of chemical, microbiological, and technological factors and changes associated with manufacture, quality, and safety is pro-gressing and is aimed at achieving higher levels of control of quality, safety, and profitability of food manufacture

Both producer and consumer benefit from scientific, cal, and consumer-oriented research Small-scale production needs

technologi-to be better controlled and safeguarded Traditional products need

to be characterized and described to establish, maintain, and tect their authenticity Medium- and large-scale food fermentation require selected, tailor-made, or improved processes that provide

pro-sustainable solutions for the future conservation of energy and water, and responsible utilization of resources and disposal of by-products in the environment.

The scope of the CRC book series on Fermented Foods and Beverages shall include (i) globally known foods and beverages of plant and animal origin (such as dairy, meat, fish, vegetables, cere-als, root crops, soybeans, legumes, pickles, cocoa and coffee, wines, beers, spirits, starter cultures, and probiotic cultures), their manu-facture, chemical and microbiological composition, processing, compositional and functional modifications taking place as a result

of microbial and enzymic effects, their safety, legislation, ment of novel products, and opportunities for industrialization; (ii) indigenous commodities from Africa, Asia (South, East, and South-East), Europe, Latin America, and the Middle East, their traditional and industrialized processes and their contribution to livelihood; and (iii)  several aspects of general interest such as valorization of food processing by-products, biotechnology, engineering of solid-state processes, modern chemical and biological analytical approaches (genomics, proteomics, transcriptomics, metabolomics, etc.), safety, health, and consumer perception

develop-The first book in the series is Valorization of Food Processing

By-Products This treatise, edited by Professor M Chandrasekaran,

deals with a timely aspect of fermentation, namely, the conversion

of agroprocessing by-products or wastes into value-added items, such

as enzymes, vitamins, and organic acids The valorization of food processing by-products is another contribution toward a sustainable use of resources, making maximum use of agricultural produce while employing low-energy and cost-effective processes

x iii

Preface

Recent trends in food production have led to an increase in the rate of production of food processing by-products and wastes Generation of waste and by-products during the processing of food

is unavoidable, and the amount and kind of waste produced, which consists primarily of the organic residues of processed raw materi-als, cannot be altered if the quality of the finished product is to remain consistent Instead of treating these by-products as waste and landfilling them, many food firms are turning them into useful products In this context, valorization—a relatively new concept in the field of industrial residues management promoting the prin-ciple of sustainable development—has immense potential to derive fine chemicals, micronutrients, enzymes, and precious metabolites that have industrial value via chemical and biotechnological pro-cesses The aim of the valorization of food processing by-products approach is resource mobilization, recycling of waste, harnessing nonconventional natural resources for economically valuable prod-ucts, and waste management, thereby ensuring a healthy environ-ment in addition to sustainable development

The available books on food processing and food waste management deal with the types of food wastes and the technologies employed for disposal of them, but they cover food wastes of only some major food industries A comprehensive book on valorization of by-products and

wastes for all types of food industries toward converting them into value-added products through biotechnology is not yet available for readers, students, researchers, and the business community Further, the available literature on food processing wastes deals mainly with the production of specific products of interest from a waste rather than how the various wastes and by-products could be valorized for commercially significant products Several books have articles that focus on products as the main subject, while this book concentrates

on food processing by-products and the spectrum of possible products that could be derived from them

In this context, the present book was conceived as a hensive book covering all the major food processing industries, unlike other books that have focused on only a few major indus-tries Further, this book addresses in detail various aspects includ-ing current methods of disposal of food processing by-products and consequent problems, regulatory considerations that govern by-product disposal and the need for utilization of the same as raw materials for biotechnological production of useful biologicals Further, the book outlines the basic principles underlying food and the biotechnologies to be employed for valorization of by-products, identification of the potential by-products of each food industry, and prospects for deriving potential biologicals of commercial sig-nificance, socioeconomic aspects, environmental concerns, and a discussion on the research gaps in the field that may be a guideline and roadmap for taking up research toward harnessing food pro-cessing by-products

compre-Conscious efforts were made to do justice to the topic that is assuming greater importance in the context of strict environmental legislation and the need for sustainable utilization and development

in the coming years Because there are many books already available

on wastewater treatment and books that deal with solid wastes and solid by-products are very limited, in this book emphasis was given

to solid by-products produced during the processing of food als Since the objective is to deal with solid by-products generated by various food processing industries, which are voluminous and could cause serious problems to the ecosystem and the environment, and

materi-to mobilize the same as potential raw materials for reuse or recycle through valorization, a discussion on liquid wastes generated by food

processing industries was purposely avoided in this book in order to avoid duplication.

Thus, the content of the book is presented in 25 chapters in 5 parts Part I deals with an extensive introduction covering an overview of food industries, the current state of the art of food processing by-products with respect to their generation, methods of disposal, and problems faced by the food industries in terms of the wastes; regula-tory concerns and the need for valorization of food processing by-products Part II, which includes Chapters 5 through 11, deals with the basic fundamental principles of waste recycling including princi-ples of food technology, process engineering economics, biochemical and nutritional aspects of food processing by-products, microbiology

of food processing by-products, fermentation techniques available for valorization of food processing by-products, enzyme technolo-gies, and analytical methods for monitoring the biological processes employed in valorization of food processing by-products Part III, which includes Chapters 12 through 20, discusses the by-products

of plant-based food industries covering cereals and pulses, oilseeds, spices, coffee, tea and cocoa, sugarcane, roots and tubers, vegetables and fruits, bakeries and confectioneries, and beverages Part IV, which includes Chapters 21 through 23, discusses the by-products

of animal-based food industries covering dairy, meat, poultry, and seafood Part V discusses the environmental concerns related to food processing by-products under Chapter 24, and Chapter 25 deals with future prospects and research needs The chapters mainly deal with the types of by-products generated during processing and the iden-tification of the potential of the by-products of each food industry for prospective production of biologicals of commercial significance, enzymes, pigments, flavors, functional ingredients, micronutrients, nutraceuticals, active pharmaceutical ingredients, phytochemicals, biofuel, and biomaterials A discussion of the existing regulatory provisions on the disposal of food processing by-products and wastes with reference to their adequacy, amendment, and development of regulatory instruments to govern the process of valorization of food processing by-products in the future is also presented This book is a useful textbook and reference for the food science and food technol-ogy fraternity and will inspire those who wish to take on valorization

of food by-products as a career

x v ii

Acknowledgments

I am very grateful to Professor Roy Nout and Professor P K Sarkar, the series editors of the Fermented Food and Beverages Series of CRC Press, for kindly inviting me to edit this book and giving me

a golden opportunity to learn more about food science I also thank CRC Press, which strives hard to promote books on food science, for giving me an opportunity to edit this book on valorization of food processing by-products and so help to serve humanity

I gratefully acknowledge the support extended by the authorities of Cochin University of Science and Technology The editor is currently located at King Saud University, College of Science, Department

of Botany and Microbiology, Riyadh, Saudi Arabia and used the physical facilities for the development of this book He is grateful to

Professor Dr Fahad M A AlHemaid, chairman, and Professor Dr

Ali H A Bahkali, former chairman of the Department of Botany and Microbiology, College of Science, King Saud University, Riyadh, for the facilities, encouragement, and moral support extended during the preparation of this book

I could not have completed the task of compiling the manuscripts, editing, and finalizing the book without the untiring, sincere techni-cal services rendered by Dr P V Suresh, food scientist of CFTRI, Mysore, India; Dr Jissa G Krishna of the National Center for Biological Sciences, TIFR, Bangalore, India; Dr P S Beena, scientist,

Scigenome, Cochin, India; Dr K Murugan and K Ponmurugan, Department of Botany and Microbiology, College of Science, King Saud University; and P Karthikeyan, Department of Biotechnology, Cochin University of Science and Technology, Cochin, India.

The technical support received from many people who extended valuable assistance, directly or indirectly, in collecting materials, and extending healthy and useful discussions is also gratefully acknowl-edged here

No mission on creativity is complete without the support and encouragement of the family On this occasion, I record my tributes

to my beloved younger daughter Late Ms Ananthalakshmi, a chologist, was always a source of encouragement and great support in developing this book I am also indebted to the untiring support and constant encouragement extended by my wife Prema, elder daughter Santhalakshmi, son-in-law Bibin, and my sweet grandson Master Hrishikesh

psy-x i psy-x

Editor

Professor Muthusamy Chandrasekaran is a distinguished scientist

and teacher who has made significant contributions in the field of marine microbiology and biotechnology Professor Chandrasekaran received his BSc degree in zoology from the University of Madras, India, MSc in marine biology from Annamalai University, India, and PhD in microbiology (food microbiology) from Cochin University

of Science and Technology, India He did his postdoctoral research

on the genetic engineering of bacteria for waste water treatment at Hiroshima University, Japan His major area of research interest is harnessing marine microorganisms for novel enzymes and bioactive molecules

He started his career as a lecturer in the Department of Applied Chemistry of Cochin University of Science and Technology in

1983 and later in 1991, as the founder, organized the Department

of Biotechnology in Cochin University of Science and Technology, India, and is continuing his service in the same department as a pro-fessor of biotechnology Currently, he works as a professor in the Department of Botany and Microbiology, College of Science, King Saud University, Riyadh, Saudi Arabia

Professor Chandrasekaran made significant contributions to the growth of marine microbiology through publications in peer-reviewed international journals He demonstrated for the first time that marine

bacteria and fungi could be harnessed efficiently for the production

of industrial enzymes such as the l-glutaminase, chitinase, alkaline protease, lipase, beta-glucosidase, and tannase He demonstrated for the first time that the l-glutaminase enzyme from marine bacteria

is a good antileukemic agent He has also done pioneering work in developing fermentation processes for large-scale production of these marine microbial enzymes besides characterizing the enzymes, find-ing industrial applications for them, and isolating and characteriz-ing the full gene coding for an alkaline protease from marine fungi His studies have significantly advanced the existing knowledge about marine microbial enzymes, which were never studied before, for their possible applications He also has worked on value addition employing microbial enzymes of shrimp processing wastes, banana and cabbage wastes using solid-state fermentation, in addition to environmental solid waste management, among other subjects

Professor Chandrasekaran earned recognition from the University Grants Commission, India, as a career awardee for his contributions

to microbiology He is a recipient of the Indian National Science Academy, India, visiting fellowship and overseas associateship of the Department of Biotechnology, Ministry of Science and Technology, Government of India

The professor has guided 25 PhD students and has published eral publications in peer-reviewed ISI-listed journals and has done

sev-a number of presentsev-ations in internsev-ationsev-al sev-and nsev-ationsev-al symposisev-a/seminar/conferences He has worked on several sponsored research projects funded by UGC, CSIR, and DBT, Government of India He organized many national symposia and popular lecture programs on biotechnology

He served as a member of the editorial board and a reviewer for several international research journals in the fields of food science, microbiology, and biotechnology

Professor Chandrasekaran served as a subject expert on the boards

of studies on microbiology and biotechnology of several ties in  India and contributed to the development of curricula at under graduate and post graduate levels He founded the Society for Biotechnologists of India in 1995 as president He is also a life mem-ber of the Association of Food Science Technologists of India

universi-Professor Chandrasekaran served as a member of the Formulation Group for the Establishment of the Marine Biotechnology Application Centre, Department of Biotechnology, Ministry of Science and Technology, Government of India for the period 2000–

2001, as a member of the Steering Committee, National Bioresource Development Board, Department of Biotechnology, Ministry of Science and Technology, Government of India for the period 2002–

2007, as a nominee of the University Grants Commission, India, to the Advisory Committee of the DRS program of the Department

of Botany, University of North Bengal, India (April 2002–March 2007), as a member of the Task Force on Biotechnology, Indian Council of Agricultural Research (ICAR), Government of India (July 2003–2006), as a member of the Sub-Committee of the Earth Sciences Research Committee on Disaster Preparedness, Council of Scientific and Industrial Research, HRD Group, New Delhi (May 2006–March 2009), as a member of the Task Force on Aquaculture and Marine Biotechnology, Department of Biotechnology, Ministry

of Science and Technology, Government of India for the period 2006–2009, and is serving as a member of the Research Advisory Committee (RAC) of the Central Institute of Fisheries Education (CIFE), Mumbai, ICAR, Government of India for the period 2010–2013

King Saud University

Riyadh, Saudi Arabia

King Saud University

Riyadh, Saudi Arabia

Soorej M. Basheer

Institute de Genetique Moleculaire (IGM)University of ParisOrsay, France

Sarita G. Bhat

Department of BiotechnologyCochin University of Science and Technology

Cochin, Kerala, India

M. Chandrasekaran

Department of BiotechnologyCochin University of Science and Technology

Cochin, Kerala, India

Molecular Biophysics Unit

Indian Institute of Science

Bangalore, Karnataka, India

Department of Food Science and

Graduate Institute of Medicine

King Saud University

Riyadh, Saudi Arabia

Karnal, Haryana, India

K. K. Elyas

Department of BiotechnologyUniversity of CalicutMalappuram, Kerala, India

M. K. Gowthaman

Department of BiotechnologyCentral Leather Research Institute

Chennai, Tamilnadu, India

Poornima Gowthaman

R&D CentreParry NutraceuticalsDivision of EID Parry (India) Ltd

Chennai, Tamilnadu, India

Abdurahman Hajinur Hirad

Department of Botany and Microbiology

College of ScienceKing Saud UniversityRiyadh, Saudi Arabia

K. Jayachandran

School of BiosciencesMahatma Gandhi UniversityKottayam, Kerala, India

King Saud University

Riyadh, Saudi Arabia

N. K. Leela

Indian Institute of Spices Research

ICARCalicut, Kerala, India

Surajit Mandal

Dairy Microbiology Division

National Dairy Research Institute

Karnal, Haryana, India

A. M. Murugan

Department of Botany and Microbiology

College of ScienceKing Saud UniversityRiyadh, Saudi Arabia

Kasi Murugan

Department of Botany and Microbiology

College of ScienceKing Saud UniversityRiyadh, Saudi Arabia

Indu C. Nair

Department of BiotechnologySASSNDP Yogam CollegePathanamthitta, Kerala, India

G. Padmaja

Central Tuber Crop Research Institute

ICARTrivandrum, Kerala, India

Paterna, Spain

A. Sabu

Department of Biotechnology and Microbiology

Kannur UniversityKannur, Kerala, India

Dairy Microbiology Division

National Dairy Research

Institute

Karnal, Haryana, India

A. J. A. Ranjit Singh

Department of Advanced

Zoology and Biotechnology

Sri Paramakalyani College

Tirunelveli, Tamilnadu, India

Rajeev K. Sukumaran

Biotechnology Division

National Institute for

Interdisciplinary Science and

T. S. Swapna

Department of BotanyUniversity CollegeTrivandrum, Kerala, India

T. John Zachariah

Indian Institute of Spices Research

ICARCalicut, Kerala, India

Part I

1.1 Introduction

Food production has become a major concern of humanity today in the context of population increase, urbanization, and climate change, and may have a deep impact in the future In fact, much of our food is derived from agriculture, horticulture, and fisheries that have become increasingly market driven worldwide today Further, developing economies have great potential with their vast natural resources, especially food crops, vegetables, and fruits for export through food processing considered the key area for earning foreign exchange Therefore, food industries, both large and small, are multiplying rap-idly in many countries as a consequence of globalization of markets and the lifting of trade barriers Thus, food and beverage industries have earned the status of “major industries” and contribute signifi-cantly to the large-scale manufacture of a vast range of food and bev-erage products toward catering to the needs of people across the globe.Over the years, the food processing industry has been heavily regu-lated with regulatory scrutiny focused primarily on the quality and safety of food that is served to the consumer Recently, the industry has adopted strategies and achieved progress in improving environ-mental performance through waste minimization, which in turn has contributed to increase in production efficiency The food processing sector, which is highly fragmented, largely comprises the following subsegments: milk and milk products, grain processing, fruits and vegetables, beer and alcoholic beverages, meat and poultry, marine products, packaged or convenient foods, and packaged drinks The various food industries grouped in terms of their major food prod-uct processes and the details of different food products processed in those industries are presented in Table 1.1 A large number of entre-preneurs in this industry are small in terms of their production and operations, and are largely concentrated in the unorganized segment, which actually accounts for more than 70% of the output in terms of volume and 50% in terms of value Although the organized sector seems comparatively small, it is growing at a much faster pace.Most of the history associated with food processing is with respect

to the enhancement of nutritive value, elimination of human health concerns, or extending the product shelf life Food processing practices date back to the prehistoric ages when sun drying, salting, fermentation,

Table 1.1 Major Groups of the Food Industry and Their Processed Products

FOOD INDUSTRY PROCESSED PRODUCTS

Beverage Alcoholic drinks

Nonalcoholic drinks Syrups

Lactobacillus sp.

Oils and fats Oils and fats Soy oil, seed oil extraction, olive oil, refining

oil, fats Confectioneries Cocoa

Sugars Others

Cocoa butter-powder, chocolates, candies Sweets, glucose, fructose

Chewing gum Bakery Cereal, flour

Starch Biscuits, cookies, toast Bread

Pastry

Breakfast cereals, couscous Maize starch, wheat starch, potato starch, modified starch

Biscuit, puff pastry, shortbread Rusk, rye bread, wheat bread, ginger bread, rice cakes, tortilla, pita bread

Cake, boiled sweets, wet pastry, chocolate, teacake, waffle, paste

Fruits and vegetables Fruit

Vegetable

Potato Mushrooms

Fruit salad, strawberries, apple mash, olive, raisins, cranberry

Vegetable—dried, salad, beans, gherkin, sauerkraut, peas, pearl onions, preserved vegetables, leaf vegetables, tomato Potato chips (French fries), potato crisps, jam, marmalade, syrup

Fresh mushroom cultivation, preserved mushrooms

Meat Cattle

Pig Goat and sheep Others

Beef Pork Lamb, mutton, hogget Canned meat, cooked ham, sausages Poultry Chicken

Turkey Egg Raw egg, pasteurized egg, cooked egg,

dried egg Seafood FinFish

Shell fish Surimi, fillets, fish meal, fish oilPrawns, shrimps, lobsters, crabs, mollusks

continued

slaughtering, and various types of cooking (such as roasting, smoking, steaming, and oven baking) were practiced intensively Salt preserva-tion was especially common for foods that constituted the diets of war-riors and sailors until the introduction of canning methods.

In fact, food processing industries first adopted modern food cessing technologies along with conventional ones in order to serve the military needs during World War II and the space race Of late, during the second half of the twentieth century, owing to the evolu-tion of new trends in work culture among people, particularly work-ing wives and mothers from the middle class in society, there was a requirement for convenient foods The rising demand of consumers

pro-in developed and developpro-ing countries also significantly contributed

to proliferation of food processing industries that adopted advanced technologies such as spray drying and freeze drying Improvised prod-ucts such as juice concentrates, coloring agents, and artificial sweeten-ers, and the use of specific preservatives such as sodium benzoate for extending the shelf life of the food scored top priority Frozen foods found their success in the sales of juice concentrates

The principal aims of modern food processing industries are (i) to make safe food—both chemically and microbiologically, (ii) to pro-vide high-quality product rich in nutrients, flavor, color, texture, and

so on, and (iii) to prepare foods into forms that are convenient.The benefits of food processing include preservation, increase in food consistency, and ease in marketing Further, food processing facil-itated seasonal availability of several foods, safeguard against spoilage

Table 1.1 (continued) Major Groups of the Food Industry and Their Processed Products

FOOD INDUSTRY PROCESSED PRODUCTS

Others Yeast production

Aromas Spices Pepper Salt Food ingredients

Ready meal Pizza Chilled food Snacks

Ketchup, sweeteners, gelatin, salad dressing, margarine, mayonnaise, peanut butter, sauces, mustard

and an extended shelf life, protection against food-borne pathogens and their poisoning, and transportation and distribution of perishable foods across long distances Further, it was realized that large-scale production of food led to cheaper cost of food owing to a reduction

in the production cost and the enhanced profit potential for the food processing industries There are many food processing industries, both

in the developed and in the developing countries, that produce huge food processing by-products which have immense potential for reuse and recycling but are still underutilized In this context, an overview of the global scenario of food processing industries and the trend in their growth is presented in this chapter

1.2 Trends in Food Processing Industries: Global Scenario

1.2.1  United States

The food industry in the United States, one of the largest in the world

at the start of the twenty-first century, had grown and prospered since it could cater new and convenient foods to consumers Further, the U.S food industry, which is responsible for 26% of the world-wide production of processed food, has been dominated by a handful

of large, highly diversified companies There are about 17,000 food manufacturing facilities in the United States, down from 34,000 in

1947 (Graedel and Howard-Grenville 2005) The range of products manufactured by food industries in the United States includes fruit and vegetables, meat and poultry, milk and milk products, alcoholic beverages, fisheries, grain processing, and consumer products such

as confectionery, chocolates and cocoa products, soy-based products, mineral water, high- protein foods, etc Most of the major players in the world’s top food and beverage processing firms are headquartered

in the United States In 2010, the 10 largest U.S companies in this sector were PepsiCo, Nestle, Kraft Foods, Tyson Foods, Anheuser-Busch, JBS USA, General Mills, Dean Foods, Mars Inc., and Smithfield Foods (http://www foodprocessing.com/top100/index.html) Among them, Kraft Foods, the largest in the industry, employs 127,000 employees, has more than 223 manufacturing and processing facilities worldwide, and had reported net revenues of $37 billion in

2010 (http://kraftfoodscompany.com/SiteCollectionDocuments/pdf/KraftFoods_10K_20110228.pdf)

1.2.2  Canada

The food and beverage processing industry is Canada’s second est manufacturing industry and accounts for approximately 14% of the total manufacturing shipments In 2007, the industry provided employment for 286,000 Canadians and produced shipments worth

larg-$83.7 billion In the same year, Canada exported $18.4 billion worth of processed food and beverage products to about 180 countries During 2006–2007, investment in this industry created an estimated 3700 new jobs in Canada (http://investincanada.gc.ca/eng/publications/grain.aspx) It supplies approximately 80% of all processed food and bever-age products available in Canada Canadian processed food and bever-age products are exported to about 180 countries, although a significant proportion is exported to only a few countries In 2006, 83% of the total processed food and beverage products was exported to four major markets, namely, the United States (70%), Japan (8%), China (3%), and Mexico (2%) (http://www4.agr.gc.ca/AAFC-AAC/display-afficher.do?id=1174563085690&lang=eng) The largest food processing indus-try is meat product manufacturing which accounted for 24% of all ship-ments or $18.4 billion in sales in 2006 Dairy product manufacturing is the second largest industry with sales of $13 billion, followed by beverage manufacturing with sales of $10 billion Other industries include baker-ies and tortilla manufacturing ($6.4B), fruit and vegetable preserving and specialty food manufacturing ($5.9B), grain and oilseed milling ($5.3B), animal food manufacturing ($5.3B), sugar and confectionery prod-uct manufacturing ($4B), seafood product preparation and packaging ($3.7B), and other food manufacturing ($5.5B) (http://www4.agr.gc.ca/AAFC-AAC/display-afficher.do?id=1174563085690&lang=eng)

1.2.3  European Union

The European Union (EU) is also the largest exporter and importer of food products The EU is home to 26,000 foods and drinks manufac-turers (FDM), and 92% of the food and drink processors are small- or medium-sized companies The EU food and drink sector, the larg-est category, accounting for 26% of turnover and 42% of employ-ment, is composed of “various food products” which includes bakery, pastry, chocolate, and confectionary products among others These four categories together account for 77% of the turnover and 84%

of employment Other important categories include meat products, beverages, and dairy products France, Germany, Italy, and the United Kingdom together account for over 70% of the total EU turnover France is the largest contributor with a turnover of €140 billion The United Kingdom accounts for 12.6% of EU25 FDM sector turn-over and 11.1% of the total employment (http://archive.defra.gov.uk/evidence/economics/foodfarm/ reports/documents/FDM%20paper-FINAL%2007.pdf) A list of the major European agri-food compa-nies in the EU is presented in Table 1.2 The competitiveness of the European food industry is weak compared to the United States and

Table 1.2 Major European Agri-Food Companies

COMPANIES MAIN SECTOR

Nestle Multiproduct

Unilever Multiproduct

Heineken Beer

Group Danone Dairy products

Danish Crown Amba Meat products

Cadbury Schweppes Drinks, confectionary

Bongrain Dairy products

Campina Dairy products

Nutreco Meat products

Kerry Group Multiproduct

Danisco Ingredients

Pernod Ricard Alcohol

Ebro Puleva Rice, dairy

Wessanen Prepared foods

Numico Baby food

Source: Data & Trends of the European Food and Drink Industry 2010

http://www.ciaa.eu/ Confederation of the Food and Drink Industries

of the EU (French: Confédération des Industries Agro-Alimentaires

de l’UE; CIAA) p 22.

Canada Despite the weak competitive performance, a fair number of world-leading food entrepreneurs are located in the EU The approach

of HighTech Europe, the first European food processing network of excellence (NoE), is the establishment of a European innovation win-dow for the food processing sector HighTech Europe aims at achiev-ing long-lasting integration of European R&D activities into the high-tech food processing sector (http://www.agropolis.fr/pdf/actu/Article_HTE_NewFood_3_2010.pdf)

1.2.4  Asia

In the Asia and Pacific region, there has been tremendous growth in the food processing industry A major trend in the food sector that is evolving is the largest shift toward more processed agricultural prod-ucts in certain developing Asian countries, such as China, Indonesia, Malaysia, and Thailand

The food processing industry sector is one of the largest tries in India It is ranked fifth in terms of production, consumption, export, and expected growth India’s food processing sector covers

indus-a wide rindus-ange of products which include fruit indus-and vegetindus-ables, meindus-at and poultry, milk and milk products, alcoholic beverages, fisheries, plantation, grain processing, and other consumer product groups such

as confectionery, chocolates and cocoa products, soy-based products, mineral water, high-protein foods, etc The total food production is likely to double in the next 10 years and there is an opportunity for large investments in food and food processing technologies

India is one of the largest producers of wheat and rice and is the ond largest producer of groundnuts, fruits, and vegetables; it accounts for about 10% of the world’s fruit production with the country top-ping in the production of mangoes and bananas

sec-India is the world’s largest producer of milk owing to the strong business models formed through cooperative movements in the coun-try Milk and related products account for 17% of India’s total expen-diture on food Alcoholic beverages have been categorized as the new high-opportunity sector in India Liquor manufactured in India is categorized as Indian made foreign liquor (IMFL) The sector is still barred from the import of potable alcohol as it is subject to government licensing In the meanwhile, India has recently started producing wine

for domestic consumption Meat and poultry have also gained larity due to the emergence of producers that have integrated breeding, feed milling, contract growing, and marketing facilities for improved productivity (Ministry of Food Processing Industries, Government of India, http://mofpi.nic.in/ContentPage.aspx?CategoryId=148).

popu-Earlier, food processing was largely confined to food tion, packaging, and transportation, which mainly involved salting, curdling, drying, pickling, and so on However, over the years, with emerging new markets and technologies, the sector has widened its scope It has started producing many new items such as ready-to-eat food, beverages, processed and frozen fruit and vegetable products, seafood and meat products, and so on It also includes the establish-ment of postharvest infrastructure for the processing of various food items such as cold storage facilities, food parks, packaging centers, value-added centers, irradiation facilities, and modernized abattoir

preserva-At present, the food processing segment holds a 32% share of India’s booming food industry Exports of processed food have grown

at over 190% between 2002–2003 and 2006–2007, increasing from

$6.98 billion in 2002–2003 to $20.51 billion in 2006–2007 As the country’s gross domestic product (GDP) growth rate increased from 3.5% in 2002–2003 to 9% in 2006–2007, the food processing sector grew from 7% to 13.1% during the same period The government has set an investment target of $19.23 billion for the food processing sec-tor by 2015 This is expected to almost double the country’s presence

in the global food trade to 3% The market size for processed foods is bound to increase from $88.5 billion to $260 billion by 2014–2015, assumed to grow at 10%, and the share of the value-added products in processed foods would grow from $54 billion to $110 billion, growing

at the rate of 15% A large part of this shift in consumption is driven

by the processed food market, which accounts for 32% of the total food market It accounts for $29.4 billion, in a total estimated market

of $91.66 billion According to the Confederation of Indian Industry (CII), the food processing sector has the potential to attract $33 bil-lion of investment in 10 years and generate employment for 9 million person-days (Ministry of Food Processing Industries, Government of India, http://mofpi.nic.in/ContentPage.aspx?CategoryId=148).The major Indian and overseas players in the food processing industry include ITC Ltd (packaged foods and confectionery), Parle Products