As many as 22 food processing units in Chhattisgarh received total Central assistance of Rs2.48 crores during the last financial year (2015-16), officials informed.
The funds were received by the food processing units under the scheme for Technology Upgradation, Establishment and Modernisation exercises.
It may be recalled that the Central Government is making all out efforts to draw Foreign Direct Investment (FDI) under its ‘Make In India’ programme for drawing investment in the Mega Food Park being set up in Chhattisgarh's Dhamtari district in an area of 68.68 hectares.
In a section titled “Projects Ready for Procurement in FY 2016-17” in its “Make in India Investment Book”, which had been circulated in Indian Missions abroad, the Centre had mentioned that work on the project started in 2015 with the anticipated project completion time line of 2018-19.
It mentioned that the Mega Food Park intends to provide modern infrastructure facilities for the food processing units along the value chain from farm to market.
Notably, the Centre's Scheme of mega Food Parks is aimed at providing modern infrastructure facilities along the value chain from farm gate to the market with strong backward and forward linkages. It is expected to facilitate the efforts to increase the level of processing of agricultural and horticultural produce, with particular focus on perishables, in the country and thereby to check the wastage.
The Scheme has a cluster based approach based on a hub and spokes model. It includes creation of infrastructure for primary processing and storage near the farm in the form of Primary Processing Centres (PPCs) and Collection Centres (CCs) and common facilities and enabling infrastructure at Central Processing Centre (CPC).
The PPCs are meant for functioning as a link between the producers and processors for supply of raw material to the Central Processing Centres (CPCs) . A CPC has need based core processing facilities and basic enabling infrastructure to be used by the food processing units setup at the CPC. The minimum area required for a CPC is 50 acres.
The scheme is demand-driven and would facilitate food processing units to meet environmental, safety and social standards.
As per the Annual Survey of Industries 2013-14 the total number of food processing industries registered under the Factories Act, 1948 has been estimated at 37,445.
To promote food processing units in the country, the Ministry of Food Processing Industries is implementing schemes of Mega Food Parks, Cold Chain, Value Addition and Preservation Infrastructure, Setting up/Modernisation of Abattoirs and strengthening of institutions.
Under these schemes, grant-in-aid is given for setting up projects. In addition to permitting 100% foreign direct investment in food processing sector through automatic route Government has also allowed 100% FDI in retail marketing of food products produced and manufactured in India through approval route. To encourage the development of food processing industries Government has reduced excise duty on food processing and packaging machinery from 10% to 6%, allowed food processing units 100% income tax exemption on profits for the first five years of operation and after that at the rate of 25% income tax exemption on the profits for the next five years, etc.
Under the pending liabilities of the Scheme for Technology Upgradation/ Establishment/ Modernisation of Food Processing Industries, 562 units were assisted by the Ministry of Food Processing Industries during the last one year (2015-16) which include units under fruits and vegetable sector as well. State wise details of the units are given in Annexure I.
The said scheme was subsumed in the centrally sponsored scheme National Mission on Food Processing with effect from April 1, 2012.
Thereafter, on April 1, 2015 the said scheme got delinked from Government of India’s assistance and it was left to the State Governments to decide on its continuance from their increased resources following the award of 14th Finance Commission.