The potential of the food processing sector in Andhra Pradesh has largely remained untapped, as successive governments have not paid attention to it. Krishna, Guntur and Godavari districts, which constitute the ‘KGPG (Krishna, Guntur, Prakasam and Godavari) region’, have tremendous scope for food processing units, thanks to mass cultivation of agricultural crops there.
Processing of mangoes and coconuts offers the best opportunity for prospective entrepreneurs who might be keen on investing in the ‘Sunrise State’.
The Confederation of Indian Industry (CII) has recommended that the government give immediate priority to food and agro-based industries owing to the ready availability of raw materials. The potential of paddy processing is also sought to be realised.
A substantial portion of paddy crop is used for direct consumption as rice, whereas various products can be made from husk, bran and straw. In spite of the potential that these three crops (mango, coconut and paddy) offer for processing, very few entrepreneurs have evinced interest owing to issues involved in the setting up of new units.
It is a different matter that the government has taken steps to improve the ease of doing business by making up deficiencies in the existing Industrial Investment Promotion Policy, which is set to expire on March 31.
CII chairman (AP) Suresh Chitturi has at a recent meeting of industrialists stated that processing of mango and coconut should be taken up on a large scale. “Mango varieties like ‘Banginapalli’ and ‘Totapuri’ will sell like hot cakes in the US and other western countries where there is no scope for growing such delicious fruit due to the climate,” he added.
G. Rajendra Prasad, Joint Director, Industries Department, said the aquaculture sector was best suited for processing activity, as fish and prawns grown in the KGPG region has high demand abroad. Value addition to these aquatic species will reap rich dividends, he observed, while acknowledging that mango and coconut commanded an equally impressive market share abroad.
(Reporting by V. Raghavendra)