Note: Orissa State Government needs to take initiative and facilitate such rice processing cluster, indeed with the vision of state Govt such proposal could be converted to a mega food part in near future. We had earlier suggested local MP to pursue for a food processing park in Kalahandi through the concern ministry, I hope he is doing the right job.
Facilitate contract farming, money will flow
Expressbuzz, March 29, 2010
BHUBANESWAR: Union Food Processing Minister Subodh Kant Sahay called upon Orissa, Jharkhand and Chhattisgarh to come out with a clearly outlined law on contract farming which he said will bring in third party investment.
During an interaction with the investors of food processing industry, Sahay said, earlier agriculture was the only industry but now it is the last to get attention. Only third party investment can ensure introduction of technology and a rising productivity, he said adding, “industrialisation of agriculture will be possible only then.” Sahay called for a return of focus to the farm and post-harvest industry in the states. New policy with focus on new age industries like food processing and postharvest handling are required in Orissa and neighbouring states, he said.
India loses about Rs 50,000 crore of food produce because of the absence of postharvest management and the Union Minister said it has to be plugged.
“I have presented before the Empowered Committee on GST to keep the tax rate in the range of 0 to 4 percent for the food processing industry - zero for the perishable items and a maximum of four percent on non-perishable goods. This will help mobilise investment into the industry,” said Sahay, addressing the Investors Meet jointly organised by the Ministry, Indian Chamber of Commerce and Orissa Government.
The only way to push the agriculture sector is through marketable farming which he said is possible by using improved technology. Increased investment would lead to clusterised farming which is the future because it will make farming market-driven.
“When India passed through a difficult phase of recession, food processing was the only industry which did not see any lay-off and instead recorded a 14 percent growth.
It will soon be in the driving seat of India’s industrial technology,” Sahai said and urged the eastern mineral-rich states to take to the examples of Karnataka, Tamil Nadu, AP and Maharashtra where land conversion is not required for food processing units. “You’re giving land to steel and cement industries, now give them to food processing industries.” Sahai said he would love to see a marine food park on Orissa coast and also a riceprocessing cluster in Kalahandi.
Chief Minister Naveen Patnaik said the State Government has started process for setting up three terminal markets for horticulture crops while a proposal has been submitted for establishment of a mega food park near Khurda for which 282 acre has been earmarked. Among others, Union Minister Srikant Jena, Union Food Processing Secretary Ashok Sinha, State Agriculture Secretary UP Singh also spoke.
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