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Food Parks in India The Synergy between Agriculture and Industry Grows in Mega Food Parks. Prepared for: Aashish Agarwal ([email protected]) By: Antara Pain ([email protected])

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Thanks to factors such as urbanization leading to change in lifestyles and food habits and emergence of organized food retail chains, the Indian food processing industry has grown by leaps and bounds in the recent years. The current share of processed food trade in fruits and vegetables, fisheries, poultry, buffalo meat and milk is expected to increase significantly, by establishment of the Mega Food Parks.The primary objective of the scheme is to provide adequate infrastructure for food processing along the value chain from the farm to the Market. It includes creation of infrastructure near the farms, transportation, logistics and centralized processing centers.

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Page 1: Food Parks in India

Food Parks in IndiaThe Synergy between Agriculture and Industry Grows in Mega

Food Parks.

Prepared for: Aashish Agarwal ([email protected])By: Antara Pain ([email protected])

Page 2: Food Parks in India

04/19/2023 2

Contents

Introduction to the Concept of Food Park

Government Regulation

Mega Food Parks in India

Companies Setting Up Units

Will Food Parks work in India?

News Snippets

Food Parks in India

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Introduction to the Concept of Food Park

Government Regulation

Mega Food Parks in India

Companies Setting Up Units

Will Food Parks work in India?

News Snippets

Contents

Food Parks in India

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The Mega Food Park Scheme

• Thanks to factors such as urbanization leading to change in lifestyles and food habits and emergence of organized food retail chains, the Indian food processing industry has grown by leaps and bounds in the recent years.

• The current share of processed food trade in fruits and vegetables, fisheries, poultry, buffalo meat and milk is expected to increase significantly, by establishment of the Mega Food Parks.

• The primary objective of the scheme is to provide adequate infrastructure for food processing along the value chain from the farm to the Market.

• It includes creation of infrastructure near the farms, transportation, logistics and centralized processing centers.• The main feature of the scheme is a cluster based approach. The scheme aims at facilitating the establishment of

a strong food processing industry backed by an efficient supply chain, which will include collection centers, primary processing centers and clod chain infrastructure.

• The food processing units would be located at a central processing centre. These parks will also meet the environmental and safety standards in the sector.

• It is expected that each Mega Food Park would have about 30 – 35 food processing units with collective investment of about 250 crores that would eventually lead to a annual turnover of 400 – 500 crores and generate employment (Direct and Indirect) for about 30000 people.

• The scheme provides for a grant of 50% (75% for the North Eastern region) of the capital cost excluding land cost, subject to a ceiling of Rupees Fifty Crores.’

Food Parks in India

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Mega Food Park Model

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Mega Food Park

Field Collection Centers

Domestic RetailSales

Primary Processing Centers:

Pre-cooling, Grading, Pulping,Sorting, Waxing,

Packing, Temporary storage

Central Processing Center:

Pulping, Aseptic Packing, CA Chamber, Cold Store, QC Lab, Logistics Centre etc.

Fre

sh

Pro

du

ct

PPC

Farmer Groups

PPC

Self Help Groups

PPC

Individual Farmers

Va

lue

ad

de

d P

rod

uc

t

Importer

Exporter

Domestic Sales

Food Parks in India

Page 6: Food Parks in India

Introduction to the Concept of Food Park

Government Regulation

Mega Food Parks in India

Companies Setting Up Units

Will Food Parks work in India?

News Snippets

04/19/2023 6

Contents

Food Parks in India

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Page 7: Food Parks in India

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The Indian government announced its Union budget for 2011- 2012 with a heavy focus on food security.

• About 40% of India's produce goes to waste because of an absence of adequate storage facilities. • Based on feedback received from industry, the ministry of Food Processing Industries revised the food park

scheme which was taken up under the 10th plan. The revised scheme has been named the Mega Food Park Scheme.

• The government has been introducing schemes to upgrade infrastructural facilities in the food processing sector. The Mega Food Park Scheme is one such endeavor.  

• The scheme was launched to help achieve the Vision 2015 of the Ministry of Food Processing Industries, which aims at increasing the processing of perishables from the current 6% to 20%, value addition from the current 20% to 35% and at increasing India’s share in global food trade from the current 1.5% to 3%.

• The Scheme envisages setting up of 10 Mega Food Parks in high production areas across the country and provides for a grant of up to Rupees Fifty Crores for each Food Park to be implemented by a consortium of companies. Accordingly bids were invited from consortiums of business houses for setting up the Mega Food Park in October 2008.

• In the first phase, ten mega food parks out of thirty mega good parks would be part of the 11 thFive Year Plan. • The scheme of infrastructure development is targeted to raise the level of processing, value addition, and

reduction of the wastage of perishables like horticultural produce, live stock, marine, dairy etc., thereby helping the food processing industry to grow and realize its potential which should also lead to a greater share in the world food trade.

Food Parks in India

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04/19/2023

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The Union Finance Minister, Shri Pranab Mukherjee leaves North Block for Parliament House to present the General Budget 2011-12, in New Delhi on

February 28, 2011. The Ministers of State of Finance, Shri S.S. Palanimanickam and Shri Namo

Narain Meena and other officials of the Ministry are also seen.

Food Parks in India

Page 9: Food Parks in India

Introduction to the Concept of Food Park

Government Regulation

Mega Food Parks in India

Companies Setting Up Units

Will Food Parks work in India?

News Snippets

04/19/2023 9

Contents

Food Parks in India

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Page 10: Food Parks in India

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Current Status of Mega Food Parks Scheme ….

• Of 30 planned during 11th FYP, 10 Mega Food Parks have been taken in first phase.

• Of 10 Parks, six have been approved by the Ministry and are currently under implementation.

• Combined project cost of approved six parks are about 6300 Million.

• Includes Govt. assistance of 3000 Million.• Final approval to three more Projects under

Process.• In addition, five new Projects have been

announced.

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Spread of Mega Food Parks in India

State Location

Andhra Pradesh Chittoor

Assam Nalbari

Jharkhand Ranchi

Maharashtra YTBF

Karnataka YTBF

Punjab YTBF

Uttaranchal Hardwar

Tamil Nadu Dharmapuri

Uttar Pradesh YTBF

West Bengal Jangipur

Total 10

11

YTBF: Yet to be Finalized

Food Parks in India

Page 12: Food Parks in India

Introduction to the Concept of Food Park

Government Regulation

Mega Food Parks in India

Companies Setting Up Units

Will Food Parks work in India?

News Snippets

04/19/2023 12

Contents

Food Parks in India

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Page 13: Food Parks in India

Patanjali Food & Herbal Park Ltd.

• Project Location: Haridwar, Uttarakhand• Project Cost: 950 Million• Central Processing Facility: Being developed in 85 acres of Land• Proposed Common Facilities at Primary Processing Centers : Multi Commodity Sorting, Grading,

Washing & Packing Lines, Dry Warehouse as per need, Packing & Labeling Units , Cold Storage as per need , Technical Buildings to house plant & equipments.

• 27 developed plots for food processing units.

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Page 14: Food Parks in India

Srini Food Park Pvt. Ltd.

04/19/2023 14

• Project Location: Chittoor, Andhra Pradesh• Project Cost: 1260 Million• Central Processing Facility: Being developed in 110 acres of Land• Proposed facilities at Central Processing Centre: Integrated Multi crop Aseptic Lines Sorting,

Grading, Washing & Packing Lines, Bottling Line, IQF, Cold Storage, Warehouse, Washing & Packing Lines for Egg, Factory Sheds for 15 Micro & Small Enterprises.

• 26 Developed plots for food processing units.

Food Parks in India

Page 15: Food Parks in India

IL&FS has been active with MoFPI in designing and implementing various schemes…

• IL&FS is a leading edge Indian company engaged in infrastructure solutions spanning across the sectors (transport, energy, education, cluster development, agriculture, tourism & finance etc.) having net worth of US$ 2.5 billion with current portfolio of US$ 40 billion.

• Association with MoFPI is long-standing: providing advisory support in designing Mega Food Park Scheme to act as Program Management Agency,

• Conceptualize “Strategic Distribution Center” as efficient supply chain mechanism,

• Assisting a number of Provincial Government in designing and implementing Food Processing Policies,

• Implemented Asian Development Bank (ADB) project in designing value chains in two large provinces (Bihar & Maharashtra) in India.

04/19/2023 15

IL&FS actively involved in designing and implementing Value Chain intervention in India…

Food Parks in India

Page 16: Food Parks in India

Introduction to the Concept of Food Park

Government Regulation

Mega Food Parks in India

Companies Setting Up Units

Will Food Parks work in India?

News Snippets

04/19/2023 16

Contents

Food Parks in India

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Factors in favor of India

Favorable agro-climatic conditions

and strategic location

High production volumes

Large livestock base

Availability of workforce

Proximity to importing countries

Infrastructure development

India’s tropical climate favors the cultivation of several exotic food and

flower crops. The peninsular coastline of the country drives growth of

the marine industry.

India is the largest producer of several fruits, such as

bananas, mango and papayas, and the second-

largest producer of vegetables such as brinjal,

cabbage, onion. Further Indi is also one of the largest

producers of rice.

India has the largest livestock population in the world with 98.7 million buffaloes and 176 million

cows (2008).

The sector employs about 13 million people directly and 35 million people indirectly. The

presence of several agricultural institutes, serve as a perfect

platform for research and innovation.

The Middle East and Southeast Asia

are major export destinations for

Indian agricultural commodities and

milk.

The establishment of 60 fully equipped Agro Export Zones

(AEZs), in addition to food parks, acts as incentive for

attracting foreign investment.

Page 18: Food Parks in India

Small Scale

Industry33%

Organ-ised25%

Unorgan-ised42%

Structure of the Indian Food Processing Industry91%

Food Processing share in Manufacturing

25

511

15

40 Meat, Fish, Fruits, Vegetables and Oils

Beverages

Grain Mill Products

Dairy Products

Other Food Products

Food processing sector is having less than 10% of the total manufacturing industries and is dominated by

unorganized sector…

04/19/2023 18

Food Processing Segments

Food Parks in India

Page 19: Food Parks in India

Benefits of Mega Food Park Scheme

• The economic benefits from this project can be defined as the tangible benefits encompassing income generation and value addition by the project.

• The social benefits which are mostly in tangible in nature are the positive externalities generated out of the project.

• The economic benefit can be generated through employment generation and value addition to the produce.

04/19/2023 19Food Parks in India

Page 20: Food Parks in India

Introduction to the Concept of Food Park

Government Regulation

Mega Food Parks in India

Companies Setting Up Units

Will Food Parks work in India?

News Snippets

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04/19/2023 20

Contents

Food Parks in India

Page 21: Food Parks in India

News Snippets

• India invites France to set up a food park.

• The Indian state of Karnataka aims to increase its food processing exports threefold within five years by setting up six exclusive food parks in different parts of the state.

• After IT Parks, its now turn of Food Parks to attract investment.

Minister for Food Processing Industries, Mr. Subodh Kant Sahai with Mr.Rakesh Bharti Mittal, Vice Chairman and MD, Bharti Enterprises Ltd. and Minister for Foreign Trade, France, Ms. Anne-Marie Idrac at a session on Indo-French cooperation in Agriculture and food processing.

04/19/2023 21Food Parks in India

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News Snippets• The Government of Orissa is planning to construct a mega food park in

Malipada, 10km away from Khurda. It further plans to establish a special purpose vehicle with Infrastructure Leasing & Financial Services (IL&FS) to execute the project.

• The foundation stone for the first of the 10 mega food parks being set up by the government to boost the country's food processing industry will be laid near Haridwar in Uttarakhand.

• Minister of State for Food Processing Industries Subodh Kant Sahai will lay the foundation stone of the Patanjali Food and Herbal Park, being set up by yoga guru Baba Ramdev's Patanjali Yog Peeth, at village Padartha on Luxor Road near Haridwar.

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Large MNCs have shown interest to invest in this sector

04/19/2023 23Food Parks in India

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Sl. No. Name of the Applicant Company Name of the State applied for

1 M/s Simplex Projects Limited, Kolkata Jammu & Kashmir

2 M/s Kerala State Civil Supply Corporation Limited, Kochi Kerala

3 M/s Keventer Food Park Infra Limited, Kolkata Bihar

4 M/s Ruchi Infrastructure Limited, Mumbai Bihar

5 M/s Ruchi Soya Industries Limited, Mumbai Madhya Pradesh

6 M/s Jaffe Foods Industries Private Limited, Ahmedabad Gujarat

7 M/s Malabar Mega Food Park, Pvt Ltd, Aluva, Kerala Kerala

8 M/s Rajasthan Mega Food Park Ltd, Jaipur, Rajasthan Rejasthan

9 M/s Sikaria Infraprojects (P) Ltd, Kolkata Tripura

10 M/s Santoshi Masala Private Limited, Ahmedabad Gujarat

11 M/s Centre of Entrepreneurship Development, Regional College of Management, Bhubaneswar Orissa

12 M/s M.P. State Agricultural Marketing Board, Bhopal Madhya Pradesh

13 M/s Vashisht Holding, Hyderabad Madhya Pradesh

14 M/s Central India Mega Food Park Limited, Madhya Pradesh Madhya Pradesh

15 M/s Haryana Herbal & Food Park, Ranipur, Haridwar Haryana

16 M/s Fanidhar Mega Food Park Pvt Ltd, Ahmedabad, Gujarat Gujarat

17 M/s ARL Infratech Ltd, Jaipur, Rajasthan Rajasthan

18 M/s Ramky Infrastructure Limited, Andhra Pradesh Chattisgarh

19 M/s JVL Mega Food Park Private Limited, Bihar Bihar

20 M/s Sanwaria Mega Food Park Limited, Madhya Pradesh Madhya Pradesh

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List of proposals received in response to expression of interest for setting up of mega food parks

Food Parks in India

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Sl. No. Name of the Applicant Company Name of the State applied for

21 M/s National Integrated Mega Food Park Private Limited, Kerala Kerala

22 Ms/ Sahara Integrated Mega Food Park Private Limited Chattisgarh

23 M/s MITS Mega Food Park Limited, Bhubaneswar, Orissa Orissa

24 M/s Madhya Pradesh Mega Processed Food Park Private Limited, Indore Madhya Pradesh

25 M/s Marwar Agro Mega food Parks Private Limited, Rajasthan Rajasthan

26 M/s Chattisgarh Agro Mega Food Parks, New Delhi Chattisgarh

27 M/s Shree LTC Export India Private Limited, Mumbai Gujarat

28 M/s Mahakali Mega Food Park, Mehsana Gujarat

29 M/s Tube Glass Containers Limited, Tripura Tripura

30 M/s Anil Limited, Ahmedabad Gujarat

31 M/s Winfra Green Projects P Ltd, Gujarat Gujarat

32 M/s Kashmir Agrifresh Food Park, J&K Jammu & Kashmir

33 M/s Gujarat Mega Processed Food Park Private Limited, Gujarat Gujarat

34 M/s Bihar Mega Processed Food Park Private Limited, Bihar Bihar

35 M/s Orissa Mega Agrofood Park Limited, Hyderabad Orissa

36 M/s Star One Realtors Pvt Ltd, Haryana Haryana

37 M/s Pristine Logistics & Inraprojects Pvt Ltd, Delhi Bihar

38 M/s Pristine Logistics & Inraprojects Pvt Ltd, Delhi Gujarat

39 M/s Chindwara Mega Food Parks Private Limited, Madhya Pradesh Madhya Pradesh

40 M/s Haryana Mega Food Park Private Limited, Uttar Pradesh Haryana

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List of proposals received in response to expression of interest for setting up of mega food parks

Food Parks in India

Page 26: Food Parks in India

Thank youAntara Pain

[email protected]

04/19/2023 26Food Parks in India

Source:www.google.comwww.foodprocessing360.comwww.megafoodparts.comwww.foodprocessingtechnology.comwww.mofpi.nic.inwww.thehindu.com