Food Parks in India

The Synergy between Agriculture and Industry Grows in Mega

Food Parks.
Prepared for: Aashish Agarwal (aashish.agarwal@ap.cushwake.com)
By: Antara Pain (antarapain@gmail.com)
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
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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
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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.

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Mega Food Park Model
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Mega
Food Park
Field Collection
Centers
Domestic Retail
Sales
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.
F
r
e
s
h

P
r
o
d
u
c
t

PPC
Farmer Groups
PPC
Self Help Groups
PPC
Individual Farmers
V
a
l
u
e

a
d
d
e
d

P
r
o
d
u
c
t

Importer
Exporter
Domestic Sales
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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Contents
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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 10
th
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 Indias 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
th
Five 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.



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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
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
6/18/2014 9
Contents
Food Parks in India
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Current Status of Mega Food Parks Scheme .
Of 30 planned during 11
th
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.
10 Food Parks in India
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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
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
6/18/2014 12
Contents
Food Parks in India
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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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Srini Food Park Pvt. Ltd.
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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
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.
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IL&FS actively involved in designing and
implementing Value Chain intervention in India
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
6/18/2014 16
Contents
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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
Indias 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.
Small Scale
Industry
33%
Organised
25%
Unorganised
42%
Structure of the Indian Food Processing Industry
91%
9%
Food Processing share in
Manufacturing
25
5
11
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
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Food Processing Segments
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.
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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
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6
9
12
16
20
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Contents
Food Parks in India
News Snippets
I ndia invites France to set up a food
park.

The I ndian 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 I T 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.
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News Snippets
The Government of Orissa is planning to construct a mega food park in
Malipada, 10km away from Khurda. I t further plans to establish a special
purpose vehicle with I nfrastructure Leasing & Financial Services (I L&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 I ndustries 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
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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
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
Thank you
Antara Pain
antarapain@gmail.com
9702269376
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Source:
www.google.com
www.foodprocessing360.com
www.megafoodparts.com
www.foodprocessingtechnology.com
www.mofpi.nic.in
www.thehindu.com