This note discusses the nature and role of food processing industries in economic development. How food processing industries induce rural lead industrialization and satisfy domestic and export demand for their products are brought out. The relative importance of food processing industries in all manufacturing industries is studied. Performance of food processing industries is examined on the basis of raw material, working capital, and labour efficiency from 1973-74 to 1984-85. The note discusses the relative share of major food processing industries in all food processing industries.