The report is the first exhaustive study on the non-alcoholic beverage sector as a case study for reforming the Indian food processing sector. It examines the contribution of the sector to the Indian economy through development of manufacturing, creation of employment, increase in investment, technology transfer, enhancing exports, and linking Indian agriculture, manufacturing, retail and consumers. Based on secondary information analysis and a nationwide primary survey, it identifies the barriers faced by the food processing sector, in general, and non-alcoholic beverage sector, in particular, and suggests policy reforms, which will enhance the GDP growth, create employment, attract investment, improve Indias trade balance and enable the country to become a part of the global processed food value chain.