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Unorganised Food Processing Enterprises in India: Key Performance Indicators

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Agro and Food Processing Industry in India

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Abstract

The agro-processing industry, particularly the food processing industry, plays a major role in rural development as it facilitates commercialisation of agriculture and enhancement of factor income.

This chapter is a part of ongoing Ph.D. research work titled “Performance of Unorganised Food Processing Industries in India” at ISEC, Bangalore.

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Notes

  1. 1.

    The unorganised food processing sector includes Own Account Enterprises (OAEs) and establishment type of enterprises wherein OAEs are the enterprises which are run without any hired worker employed on a fairly regular basis. The establishments are the enterprise which employ at least one hired worker on a fairly regular basis with paid or unpaid apprentices. Paid household member/servant/resident workers in an enterprise are considered as hired workers.

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Correspondence to N. Padmavathi .

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Annex 1: Notations and Explanations of Variables

Annex 1: Notations and Explanations of Variables

S.No.

Variable

Description

Category

1

lnLP

Dependent variable, labour productivity expressed in natural log

Main

2

lnCI

Capital Per Worker. It is obtained by dividing the total fixed asset by total worker. The total fixed asset includes the market value of enterprises ‘own and hired fixed asset net of market value of capital in progress.

3

lnEI

Refers to energy available per worker. This variable is obtained by adding market value of electricity and fuel consumed by enterprises in a reference period

4

lnWage

Indicate Per Worker Emoluments that include salary and other allowances

5

lnFemale

Female worker share in total worker of the enterprises

Labour

6

lnHired

Hired worker share in total worker of the enterprises

7

lnAge

The survey does not report the age of enterprises directly. However, it provides the information on the initiation year/establishment year of the enterprises. Hence, the age of the enterprises is derived by subtracting the year of establishment from the surveyed year

enterprises

8

Rural

Dummy variable, 1 if the enterprises belong to rural, otherwise 0

9

Credit

Dummy variable, 1 if the enterprises has credit access from banks, otherwise 0

10

Problem

Dummy Variable, 1 if the enterprises reported any problem, otherwise zero? not clear? There is no firm that is free of any problem

11

Registered

Dummy Variable, 1 if the enterprises is registered under any act, authority, etc., otherwise 0

12

Low_HDI

Dummy Variable,1 if the state’s HDI is low, otherwise 0

State

13

Medium_HDI

Dummy Variable,1 if the state’s HDI is medium, otherwise 0

 

14

High_HDI

Dummy Variable,1 if the state’s HDI is high, otherwise 0

 
  1. Source Authors’ compilation

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Padmavathi, N., Kumar, P. (2021). Unorganised Food Processing Enterprises in India: Key Performance Indicators. In: Bathla, S., Kannan, E. (eds) Agro and Food Processing Industry in India. India Studies in Business and Economics. Springer, Singapore. https://doi.org/10.1007/978-981-15-9468-7_7

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