Project to give fillip to food processing industries

Published: 05th September 2012 12:45 PM  |   Last Updated: 05th September 2012 12:45 PM   |  A+A-

The food processing industries in the state will get 25 per cent subsidy as part of implementing the Food Processing Mission by the Ministry of Food Processing Industries (MoFPI) which will create additional employment and more profit to farmers.

 The guidelines for implementing the project is expected to be released by the MoFPI by the end of September. The scheme is expected to help the entrepreneurs in coming out with value-added products from the agro sector.

 The State Government had given sanction for the constitution of the Mission and nominated Kinfra as the nodal agency of the project. The Mission aims at generating employment, reducing wastage, creating value addition, earning more foreign exchange and enhancing manufacturing competitiveness.

 Mission coordinator Manu George said that the government and private institutions and NGOs too could avail of the benefit. Apart from starting new industries, the existing food industries can also make use of this scheme for the purchase of modern machines and expanding their business.

 The government subsidy is for the total cost of the plant and machinery and building where the production process is being carried out. The Union Government will provide 75 per cent of the subsidy while the rest will be provided by the State Government.

 ‘’Already 36 applications have been received at Kinfra for starting new ventures and expansion. The processing has been completed and the eligible applications will be sent to the Union Government for approval after the guidelines are released,’’ Manu George said.

 In the food processing sector, waste generation is on a large scale and the introduction of the Mission will help in creating more value-added products from the industries. It will also benefit the farmers by ensuring a reasonable price for their products. 

 In order to decentralise the administration of schemes and ensure its effective implementation, the Union Ministry has proposed the mission mode of administration through setting up of a three-tiered Food Processing Mission at National, State and district levels. The state-level Food Processing Mission is given the major responsibility by entrusting it with the implementation of the schemes.

 MoFPI has already specified the schemes to be operated through the mission mode. They include setting up/expansion/modernisation of food processing industries scheme for supporting cold chain facilities for non-horticultural products, modernisation of abattoirs, human resource development and promotional activities.


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