Food processing sub-optimal development can be represented to defective circle of higher cost of unit with less capacity, utilization and demand of high cost unit. Affordability is the major problem in food processing. In India between processed and fresh foods cost differential is very high similar to affordability, health and hygiene values of processed food. Indians earning less income are very cost sensitive since the food represents for around half of the budget of the family. In India the per capita wages is $ 650 and in United States the per capita wages is $ 41,600. The fresh and processed foods in the developed countries compare well in costs. For fresh food and eating at home the cultural preference barriers are moving away in India due to working couples, urbanization, domestic help cost, family nuclearisation, global customer emergence and media exposure. The processed food’s cost is high due to the quality and cost of farm credit, packaging, produce, processing, infrastructure, fragmented and long supply chain, lack of sales, regulations and taxes, etc. Quality and cost of farm generation suffers because of fragmented and small holdings, inferior agriculture inputs, less technology, risk aversion and uncertain market, improper variations, logistics costs and inefficient management of farm. Transportation, handling, cost of power, water, cold chain, handling, storage, etc. is greater and availability is improper or insufficient. Timeliness, cost and availability of credit are the main problems. At segmented financing, banks have viewed supply of food chain which is the major producer to retailer to processor to customer leading to regimes of high-risk lending. The credit cost for an SSI unit is around 2 to 3 percent greater than that for big units. For this food processing sector working capital is a higher issue and its inventory needs are greater. Packaging cost may higher than 20% of the cost of end consumer. Huge processed food proportion is bought and sold in small packs which exchanges into greater packaging costs (Axtell, Kocken and Sandhu, 1993).
Other than the competitiveness of cost the export problems are quality conforming to continuous innovation of brand and product, international standards and market building on global scale, capability to deal in consistency and volumes in supply. These need operations of global scale and core pockets which the Indian companies lack presently. Though India has the biggest population of livestock in the globe its share in global dairy and meat trade is negligible because of combined processing plants of meat, high feed costs and lack of modern abattoirs. Thus in future though India continues to be a major resource of seafood, raw materials shortage in spite of wide coastline, under-developed deep-sea fishing, fragmented efforts by Government agencies etc. has enhanced its development. Several agencies and ministries are enhanced in the exports promotion always with common and overlapping schemes leading to small spread of sufficient resources and thereby rendering processing of food ineffectively.
食品加工子最优的发展可以为更高的单位成本有缺陷的圈和小容量，高成本的单位利用和需求。承受能力则是在食品加工中的主要问题。在印度之间的处理和新鲜食品成本差异是非常高的相似性，加工食品的卫生保健价值。印度人少赚的收入成本非常敏感因为代表了大约一半的家庭预算的食物。印度的人均收入是650美元，美国的人均工资是41600美元。在发达国家的新鲜和加工食品的成本比较好。新鲜食品和家庭文化偏好障碍吃在印度因工作的夫妇，城市化搬走，家政服务成本，家庭的核武器化，出现全球客户和媒体曝光。加工食品的成本高，由于质量和农业信贷成本，包装，生产，加工，基础设施，分散和供应链长，缺乏销售，法规和税收，等。质量和发电成本因碎片和小集团，低投入，低技术，风险厌恶不确定的市场，不正当的变化，农业物流成本和低效的管理。运输，处理成本，电力，水，冷链，处理，存储，等。大和可用性是不当或不足。时间，成本和信贷的可用性是主要的问题。在分段的融资，银行认为食品供应链的主要生产商到零售商的处理器客户导致的高风险贷款制度。为SSI单位信用的成本大约是2到百分之3以上，大单位。这种食品加工部门营运资本是一个较高的问题和库存的需求更大。包装成本可能高于最终消费成本的20%。巨大的加工食品的比例是买和卖小包装，交流到更大的包装成本（阿克斯特尔，kocken和Sandhu，1993）。
除了成本问题的出口竞争力的质量符合品牌和产品的不断创新，与国际接轨的集市大厦在全球范围内解决问题的能力，在供应的一致性和体积。这些需要操作的全球规模和核心的口袋，印度公司缺乏目前。尽管印度在全球的全球乳制品和肉类贸易是可以忽略不计，因为肉类联合加工厂份额最大的牲畜的数量，饲料成本高和缺乏现代屠宰场。因此在未来的印度虽然仍然是海鲜的一大资源，在广阔的海岸线尽管原材料短缺，在发展远洋渔业，政府机构等零散的努力增强了其发展。一些机构和部门在增强出口促进总是与普通的和重叠的方案导致足够的资源，从而使小的传播和食物处理不力。
