the food park scheme

Thursday, November 18, 2004

The Ministry of Food Processing Industries is implementing several infrastructure schemes for developing the processed food sector. It is willing to assist in setting up one food park or major processing facility in every parliamentary constituency of the country. The idea behind setting up food parks is to help small and medium entrepreneurs who find it difficult to invest in capital-intensive activities such as cold storage, warehouses, quality control labs, effluent treatment plants, training and conference facilities. The common facilities created in food parks ensure better market orientation and make the small-scale food processing units more cost competitive. PSUs, the private sector, NGOs and cooperatives are eligible to get grant @ 25% of the project cost subject to a maximum of Rs.4 crore for setting up food parks. Food parks can be set up in rural areas near agricultural farms. The Panchayati Raj institutions can make cooperative efforts and mobilize resources and land. They can avail assistance from the Ministry of Food Processing industries for this.