Promotion of agricultural exports is important for creating conditions for providing remunerative prices to farm products. Sporadic efforts have been made in the past for promoting exports of agricultural produce/products from the country. Thus on one hand Research and Development has taken place with little bearing on the development of a particular agricultural produce for the purpose of export, on the other hand financial and fiscal incentives are being provided for exporting a particular produce without actually addressing pre-harvesting and post-harvesting practices.

Though India ranks as the world's second largest producer of horticultural crops, the country fares less impressively on processing fronts. Lack of adequate storage facilities is one of the main problems faced by food processing industry leading to almost 30-40 percent wastage of the production. Simultaneously, most of the varieties grown in India are simply not suitable for processing.