Offering a host of incentives for entrepreneurs under its Food Processing Policy 2015-20, the State government is planning to set up one food park in every district and with special focus on aqua there is potential for a second park also, Secretary, Food Processing, M. Girija Sankar has said. The policy envisages attracting Rs.5000 crore new investments in the sector by 2020.
Addressing a seminar on the food processing industry organised by Government of Andhra Pradesh in association with A P chambers of Commerce and Industry Federation, he said at the CII Investment Summit MoUs had been signed for 66 units with an investment of Rs.5,993 crore that included 10 food parks and for seven of them approval was given.
Besides of the 87 expressions of interest received 13 were for mega food parks and eight for integrated food parks and 10 for cold chains. They had submitted pre-feasibility report and evaluation was going on.
Incentives included reimbursement of NALA, capital subsidy, interest subsidy, tax incentives, stamp duty and transfer duty reimbursement and power tariff subsidy.
CEO of A. P. Food Processing Society Y.S. Prasad said no State had come out with such a policy for food processing with a budgetary support of Rs.200 crore. For mega food parks, a maximum subsidy of Rs.50 crore which was non-repayable was being offered and for no other sector such incentive was given.
In the first year alone, sanctions worth Rs.8000 crore were given, Mr. Prasad said. In North Andhra three food parks were proposed – one is a mega food park by NCC in Srikakulam district and two in Viziangaram district.
Visakhapatnam Lok Sabha member K. Haribabu said besides focussing on exports, the aqua sector should look at the opportunity to cater to the domestic sector. To tap the potential for fruits infrastructure like irradiation centres were needed. Andhra Pradesh may also get a laboratory of Export Inspection Council of India. On the potential of North Andhra, he said Vijaynagar Biotech was going to set up an integrated coconut processing unit in Srikakulam district. An MNC Olam Agro India Ltd had set up cashew processing unit near Gajapathinagaram and would set up two more at Narsipatnam.
APCCIF Vice-president G. Sambasiva Rao said the chamber intended to take up policies to entrepreneurs and hand-hold them so that the potential of food exports was explored.
Chamber executive director P. Bhaskara Rao said being top most among the sectors identified, food processing would not only provide employment but prevent the 40 per cent wastage. Zone Chairman Paida Krishna Prasad spoke.
