Karnataka has emerged as one of the leading States in micro food processing, with more than 10,500 micro food processing enterprises receiving support under government schemes. These units are estimated to have generated employment for nearly 80,000 to 1 lakh people across the State, according to the Karnataka Agro Processing and Export Corporation Limited (KAPPEC).
C N Shiva Prakash, Managing Director, KAPPEC, shared these details while speaking at the conference “Reimagining Agro-Food Processing: The AI and Robotics Revolution” and the First Edition of Awards 2026, organised by the Bengaluru Chamber of Industry and Commerce (BCIC) in Bengaluru.
He said Karnataka has made significant progress in supporting entrepreneurs, producer collectives and food processing enterprises through the Prime Minister’s Formalisation of Micro Food Processing Enterprises (PMFME) Scheme.
“KAPPEC is always ready to facilitate an enabling ecosystem for food agripreneurship in the State,” he said.
Prakash also highlighted the importance of technology in the sector, while stressing that innovation should support employment generation. “We are always in favour of technology and AI, but they should create more jobs rather than reduce them. Karnataka is achieving major milestones in food processing, and we request key stakeholders such as BCIC to join hands in strengthening the sector,” he stated.
Pointing to Karnataka’s strong presence in the millet sector, he said the State is home to more than 3,500 millet manufacturing and processing units, making it one of the country’s strongest millet-processing ecosystems.
The conference brought together policymakers, industry leaders, agri-entrepreneurs, technology experts and researchers to discuss the role of artificial intelligence, robotics, automation and innovation in transforming India’s agro-food processing ecosystem. The discussions also focused on ensuring inclusive growth for farmers, rural communities and small enterprises.
Suresh Narayanan, former Chairman and Managing Director, Nestlé India, said India’s food processing sector is at a decisive inflexion point. He noted that while the industry is already valued at over USD 300 billion and is projected to touch USD 535 billion by 2025-26, the country still processes only about 10 per cent of its agricultural produce, compared to around 80 per cent in developed economies.
He said this gap represents one of India’s biggest opportunities for value addition, employment generation and rural prosperity.

