Food Companies Seek Relief On Duty Hike, Policy Revision At World Food India—NDTV Profit Exclusive

The closed-door meeting, which lasted for more than two hours, was aimed at addressing pressing concerns faced by the food processing sector.

"The objective of this CEO roundtable was to provide a platform to industry representatives of food companies to put forward their concerns and suggestions in front of the government," Paswan said on the sidelines of this meeting. "There were several concerns related to ease of doing business. Departments concerned with these issues will now look to find a solution," he said.

He emphasised the importance of promoting the state-level food processing firms to make India a global hub for food products.

The discussions centered around issues like taxation, subsidies and regulatory challenges. During the meeting, the executives sought clarity regarding current customs duties, which have become increasingly critical as businesses navigate a complex economic landscape. Some companies voiced concerns about the production-linked incentive scheme after being denied subsidies due to changes in the rules, according to people familiar with the matter.

The government has unexpectedly revised the rules in the middle of the game by disallowing companies to use imported raw materials to qualify for benefits under the PLI scheme, one of the executives said on the condition of anonymity.

This regulation is adversely affecting many businesses, the executive said, urging the government to conduct consultations before implementing such changes to avoid potential hiccups.