1429 IEMs SIGNED
FOR SETTING UP FOOD PROCESSING INDUSTRIES
RS.
975 CRORE WORTH FOREIGN INVESTMENT IN FOOD PROCESSING SECTOR
|
ON THE OCCASION OF COMPLETION
OF
THREE YEARS OF NDA GOVERNMENT
|
Deregulation of the Food Processing
Sector including Automatic approval for Foreign Investment up
to 100%, permitting import of capital goods free of duty, launching
of financial assistance schemes and other policy measures have
been successfully employed to give a major thrust to the Food
Processing Industries in the country. As a result of the policy
of liberalisation followed by the NDA Government in its last three
years of governance, 1429 Industrial Entrepreneurial Memoranda
(IEM) for setting up of Food Processing Industries have been signed
which has an employment potential for 2.9 lakh persons.
Government has deregulated the Food
Processing Industries sector doing away with the requirement of
industrial license except in case of alcoholic beverages and for
items reserved for Small-Scale Industries besides permitting automatic
approval for foreign investment up to 100% (except a few cases).
Besides, export Oriented Units have been permitted to import raw
materials and capital goods free of duty. Export items are also
exempted from corporate tax. The Food Processing Sector has been
included for priority lending.
In line with the policy to promote
Food Processing Industries, several schemes of financial assistance
have been launched covering the entire spectrum of Food Processing
activities such as post-harvest infrastructure including cold
chain, food quality and safety packaging, research and development
and promotion of processed food. In the last three years Rs. 140
crore have been provided as assistance to several Food Processing
projects. This seed money of Rs. 140 crore has generated projects
worth to Rs. 1500 crore.
As a result of the policy of liberalization,
1429 Industrial Entrepreneurial Memoranda for setting up of Food
Processing Industries have been filed during October, 1999 and
June, 2002 with an investment of Rs. 300 crore and employment
of around 2.9 lakh persons. During the same period, 132 approvals
for setting up of Food Processing Industries with foreign investment
of Rs. 975 crore have been granted.
Besides, 28 Food Parks have been
sanctioned. Rs. 15.26 crore have been provided as assistance to
Food Processing projects in the north-eastern region. Under the
technology mission for integrated development of horticulture
in the north-east, including Sikkim, eight Food Processing projects
have been given assistance to the tune of Rs. 3.45 crore. During
the three years, 195 Food Processing Units and 11food testing
laboratories have been given assistance. Under the scheme for
backward linkage which provides for purchase of primary produce
from farmers at pre-determined prices by processing units, over
24 thousand farmers have benefited. The Paddy Processing Research
Centre (PPRC), Thanjavur has been upgraded for all grain/cereal
processing including pulses and oil seeds.
The Public Sector Undertaking, Modern
Food Industries (India) Ltd. has been successfully disinvested.
The revival package for North-Eastern Regional Agricultural Marketing
Corporation Ltd. (NERAMAC) has been implemented.
