Product Development in Food Processing Industry by jdo18246


									 Product Development in Food Processing Industry

          n the year 1810 great
          Napoleon        Bonaparte
          awarded a National award
to   an    ordinary   French   baker,
Nicholas Apart for his “invention”
of preserving ready to eat food for
very long periods in their table
fresh state. Later, after the advent
of   knowledge        about    micro-
organisms due to Louis Pasteur’s
researches this “art of preservation
of foods” was recognized as a
science. Much later food scientists laid down the “Principles of Food Preservation” which
were immediately applied to evolve the “Methods” of preservation of popular ready to eat
foods but in European context suited to European food habits. Now, the same skill and
knowledge for evolution of “methods” of food preservation has to be applied in the
context of Asian, particularly Indian, food habits. This, of course, shall be the beginning
of a new dimension in Food Technology.

Expectations and risks are always high with any innovation. All manufacturing
companies and service providers are concentrating their R &D works not only for up
keeping the quality standards of the present products and/or services but for innovating
them either in terms of packaging or content or anything alike. Food Processing
Industries are no exception. Rather, they have seen more innovations than even the
cosmetics or fashion world. In fact the regional variations in food dishes, the popularity of
    Indian life-style like Yoga and Ayurveda, and availability of wide range of fruits and
    vegetables, the “innovation” or new product development, have enormous scope for
    exploration and have added to widen the scope. Figure 1 shows gradual increase in
    India’s exports which is chiefly attributed to total quality management on one hand and
    the product development on the other:-

                           Figure 1: (Source: M.F.P.I, Govt of India)

    Areas which need immediate attention for new product development are the following:
                                          Table 1
Sl No            Products range                                 Type of proposed development
1       Generic products like candies and pickles               New regional fruits and vegetables
2       Soft drinks                                             1.Juice blends
                                                                2. Carbonated fruit juices
3       Convenience packed foods                                Regional dishes

4       Products made from non conventional but regionally      Syrups and other conventional products
        popular fruits and vegetables, like wild apricots,      like Gulkand
        rhododendron flower petals, rose flower petals, etc
5       Incorporation of new (regional) recipes in popular      Stock    sauces    using     conventional
        products like sauces and chutneys                       preparations like Poha, Uttapam and
Limitations of Small & Cottage Scale Units

However, the innovations or product development is not an easy task in terms of
                (i) Consumer acceptability
                (ii) Food safety

It requires a strong R & D base which is not affordable by SSIs, both in terms of finance
and expertise. The technical institution (CFTRI) is the only institution which is capable of
handling all the problems arising in new product development. It has, however, compiled
“A Compendium of Selected Technologies for Food Processing in Rural Sectors” but it
may not suit all SSIs because they are located in different regions and cater to a definite
consumer groups. Thus for SSIs product development, though very profit leading
production line, yet very challenging.

Ways and means for meeting the challenge
Fortunately there exists academic literature describing the methodology for testing the
acceptance level of new products and the innovations no longer have to depend upon
the emotional and enthusiastic speculation. These methodologies can enable even a
cottage or home scale unit to evolve a new product and test its consumers’ preference.
Once a new product is evolved and its acceptability is ensured, the matter may be
forwarded to FPO authorities asking them to grant permission for commercial
production. In the course of FPO authorities’ concurrence, the food safety aspect is
thoroughly examined without any extra cost to the applying industry. The steps to be
taken to introduce new products are:

(A) Pre-Product Launch Evaluations/Studies

       (1) The new product should be evaluated for their acceptance using
            scientific “Sensory Evaluation” technique
       (2) Target group has to be identified and place their product.
       (3) Identification, evaluation, and education of the product attributes
Dr. R. Nandagopal and P. Chinnaiyan in a study have scientifically analysed the impact
of price, nutritious value, and taste acceptability in reference to the consumer behaviour.
These factors influence the buying pattern as shown in Table 2.
                                       Table - 2
               Product attributes that influence the consumption

         Sl. No.         Attributes              Mean score                  Rank

         1               Price                   72.48                       I

         2               Nutritious              68.15                       II

         3               Good taste              56.33                       III

       (Source: Processed Food Products Consumers’ Preference,

(B) Trail Production

After sufficient exercise particularly it’s sensory
evaluation, as pointed out in Para (A)-(1) above,
more than one selected sample should be
produced on commercial lines and study for
consumer preference be sorted out in regards to
type   and   size   of   packaging,    pricing   and
presentations. The nutritive value per 100 grams
of the contents should be mentioned on the label,
as in case of medicinal products. In processed food industry mention of hidden attributes
like nutritional value is neither mandatory nor conventional. In the case of new products
this should be done as convention because the studies conducted by Nandagopal &
Chinnaiyan (cited above) reveal (Table 2) that price was ranked as the foremost
important one in influencing the consumers while nutritions of the product was next.
Taste and flavour were ranked as third and fourth followed by availability, attractive
packaging and colour of the product.

(C) Commercial Production

Only after passing through the above two acid tests new product should go for
commercial production and not driven by emotional and enthusiastic speculation. The
products should, therefore, be processed according to the tastes and preferences of the
consumers to get their acceptance. In addition, the price, quality and the nature of
packaging must also be appealing to the consumers.

Illustrious Examples: “Carrotorage”, “Lamonger” and “Gingiola” Beverages

                          The author while holding Govt Office in the State of Utter
                          Pradesh had a chance to be involved into a programme in which
                          general public was encouraged to consume more fruit and
                          vegetables in any form in their daily diet. 103 fruit and vegetable
                          preservation centers were spread over 54 districts of UP, each
                          one dedicated to the purpose. General public were motivated to
come to these centers and make use of the equipments like
pulper, grinder, juicer, sterilizers and bottling machines in order to
make different preserved fruit and vegetable products, under the
supervision of technically qualified staff.

Since commercial production was not the aim no item was
produced or encouraged to be produced at these centers, yet
research and experimentations were carried out regularly in well equipped Food
Laboratory of Govt Fruit Preservation and Canning Institute, Lucknow. Many new
products having potential for large scale commercial production were developed and
                        they are amply documented in relevant technical magazines. Out
                        of them, three above named (which are not proprietary)
                        beverages were developed. They were developed following step
                        by step in the above mentioned order (from 3 A to 3 B). The
                        constituents with their percentage are given below for the
                        purpose of a general idea as to how a new product can be a profit
                        leader to any SSI scale Food Processing unit.
                                               Table 3

                         The constituents and their percentage

Beverages            Fruit   Juice TSS              in Sugar         Acidity        Other Additives %
                     %                  degree Brix       %          %              including water
 “Carrotorage”,       Carrot 27.8             16              13          0.58              0,7
                       Orange 65
  “Lamonger”           Lemon 25               8               4           0.5               50
                         Ginger 3
   “Gingiola”          Ginger 16              16              14          0.2               70

                                               Table 4

                                          Nutritive value

  Beverages          Nutritive Value per 100 grams
                     Calories Vitamin Vitamin                  Vitamin           Iron   Calcium   Other
                                 A         C                   B                                  Important
                                                               Complex                            nutrient
  “Carrotorage”      200            1200 IU       350 mg       36 mg             0.6    25 mg     Folic Acid
                                                                                 mcg              50 mcg
  “Lamonger”         150            200 IU        340          40 mg             0.4    50 mg     ----
                                                  mg                             mcg
  “Gingiola”         180            T             20 mg           20 mg          0,8    30 mg     -----

  Note: IU = International Unit, T = Traces, mg = milligram. mcg = micro-milligram or microgram
                                                Table 5

                                  Public Preference score

  Beverages        Average                                 Remarks

“Carrotorage”        ++++       Served Cold. Most liked by all respondents

 “Lamonger”          ++++       Served Cold Most liked by all respondents

  “Gingiola”         +++++      Most Liked but not by all

                                Score is more because it can be served both Hot or Cold

(Source: Bhist and Tomer, DFU Booklet No. 16)

   Increasing volume of trade of soft drinks may be seen in Table 6 below:

                                                Table 6

                               Year               Prod. In Million Bottles
                             1999-2000                     6230♥
                             2000-2001                     6540♥
                             2001-2002                     6700♠
                             2002-2003                     7230♠
                             2003-2004                     7550♠
                             2004-2005                     8030♠
                             2005-2006                     8344♠
                             2006-2007                     8768♠
                             2007-2008                     8870♠
                             2008-2009                     9320♠
                             2009-2010             < 10000 (projected) ♠

                       (Source: ♥ MoFPI, GOI, ♠ CII, Report No XII, June’2008)

The continuous pace of increasing production is a clear indication that this is appropriate
field where New Product Development can play an important role.
                                              Table 7

                 Commercial viability for a unit capacity 20 MT per yrs

1. Fixed Capital Required
        (A) Plant & machinery required (Boiler,                 Flash   Pasteurizer,   Pans,   Q.C
             Equipments) Rs 4.5 Lacs
        (B) Land & Building ( 50 Sq M) Rs 10 Lacs
2. Recurring funds required:
       (A) Working capital for raw material and other recurring expenditure 40 Lacs in year 0 to
           1, afterwards from 2nd year increase 2% of sales accruals.
       (B) Over heads, depreciation & other payable accounts 14 % of the sales.
3. Expected Sales: Rs 60 lac in year 1, afterwards 25% increase every year
4. Break Even Point: The project is expected to gain its BEP by the end of year 1; C/B ratio
1. TQM shall be taken care of. 2. Close monitoring through R&D feeds


Product Development can be crucial for boosting food industries in the country like India,
which is not only 2nd world’s largest producer of fruits and vegetables, but has rich
heritage of traditional and regional cousins. Food safety and consumer protection
measures either in shape of mandatory food laws or Total Quality Management require
much investment in R & D, thus barring small scale industries and entrepreneurs to
enter into the trials of new recipes. But there are simple and scientific methods, for
example sensory evaluation techniques, which when applied to new concept of recipes
or to less popular regional fruits and vegetables products can prove to be revolutionary.
Beverages like exemplifies above or new technologies like Osmo-Dehydrated Products
may be adopted by small scale industries and then may be “sky is the limit”

For further information entrepreneurs can contact following Research Institute:
   •    Central Food Technological Research Institute (CFTRI), Mysore

       S.C. Srivastava,
       Food Technologist
       Consultant and Advisor,
       Food Processing Enterprises
       668/4, Rameshwarpuri,
       Gandhi Nagar, BASTI (UP), Pin-272001

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