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P.T. Jyothi Datta

MFPI proposes to increase the quantum of the existing assistance and plans to extend more infrastructure services such as power, water, packaging and incubator facilities.

NEW DELHI, Feb. 28

THE scepticism around food parks notwithstanding, the Ministry of Food Processing Industries (MFPI) plans to propose an increase in the quantum of assistance given to food parks in the Tenth Five Year Plan.

Mr D.P. Tripathi, Secretary, MFPI, told Business Line that the Ministry had observed, during interactions with industry, that the existing assistance of Rs 4 crore per park was inadequate, particularly if they wanted private participation. However, he was unwilling to put a figure on the increased quantum of assistance.

Despite sections of industry being cynical about whether food parks would actually take-off, MFPI was more optimistic and was in fact even proposing to increase the quantum of assistance, subject to clearance by the Expenditure Finance Commission, he said.

``Though the parks had been sanctioned in the Eighth Plan, most of the schemes were cleared only in 2001 and 2002. One needs to give it the gestation time of 3-4 years. Even in France, the famed food park took about 10 years to develop,'' he pointed out.

About 26 food parks are in different stages of setting-up and MFPI has added to the list of common infrastructural facilities that would be available to the parks. In addition to the laboratory, effluent treatment and storage facilities that were made available at the parks, MFPI has now included power, water, packaging and incubator facilities too, he said. Plans were also afoot to synergise the parks along with the Apeda-promoted agri-export zones (AEZ), he added.

He cited the proposals for a mango food-park in Lucknow and a pineapple-food park in Siliguri's AEZ as a case in point.

While the food park in Kolkata had earlier run into rough weather over land acquisition problems, he said the problem had been settled in favour of another private party. West Bengal, he said, had also got the go ahead for a fishing co-operative.

MFPI was, however, not in favour of dedicated food parks, as the operations would become seasonal.

The food park in Madurai, in the private sector, had utilised the first instalment and was on course to getting its next slab of assistance, he pointed out. Kinfra, in Kerala, too, has received both its instalments, based on its performance.

``The promoters, be it the State Government industrial development corporations or private parties need to display their commitment in the project by investing at least an amount equal to the Centre's assistance, if not more. Based on this and the utilisation, the next instalments were released, he said.

Food parks had been cleared for Ghaziabad, another four have been cleared in Madhya Pradesh, Maharashtra's proposed a grape park and Karnataka has received clearance for two parks, even as it received in-principle clearance for another four parks, he said.

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