Hyderabad, August 10: Union Minister for Food Processing Industries, Subodh Kant Sahai hailed the measures initiated by the Government of Andhra Pradesh in food processing sector.
He said Andhra Pradesh’s newly announced Industrial Policy of 2010-2015 gives a new thrust to the food processing sector and will attract many new food processing units in the state.
In a letter to Chief Minister K Rosaiah, the Union Minister said, ”I am extremely happy to know that the government of Andhra Pradesh has provided special incentives to M/s Srini Food Park Private Limited, a mega food park being set up under the scheme of infrastructure development of the Ministry of Food Processing Industries”.
”It is appreciable to see that under your dynamic leadership, Government of Andhra Pradesh has allowed VAT reimbursement on purchases made during the construction period for two years for Mega Food Park upto Rs 1.8 crore and 75 per cent VAT reimbursement on sales- both for the park and the units proposed to be located in the park for five years. I am also happy to learn that the state government has announced Food Processing Policy 2010-2015
to give new thrust to the food processing sector.
I would like to assure you that my Ministry will extend all possible assistance to the Government of Andhra Pradesh and entrepreneurs who are
willing to set up food processing units in the state”.
The new industrial policy stipulates that the Mega food parks set up as per the Food Processing Policy of Government of India will be reimbursed at 25 per cent cost of external infrastructure limited to Rs two crore and will also be considered for tailor-made benefits on case to case basis.
The new food processing policy of Andhra Pradesh will cover activities in Horticulture, Agriculture, Animal Husbandry (Dairy Products, Poultry, Eggs, Meat and Meat products), fish processing including shrimps, agro food processing industries and allied industries like cold storages, food package materials for the food processing industries.
Andhra Pradesh ranks first and second in the production of various fruits, vegetables and other commodities, but only 1-2 per cent of its is being processed and there is need to utilise these resources for value addition within the state. The new policy also declares food processing as seasonal industry, whenever necessary and eligible to enable the industry to get
relief from minimum electricity charges during the closure (non-seasonal) period.
The state government also decided to continue fixed power cost imbursements at Rs 1 per unit in the revised rates for five years as per the guidelines, a release issue here yesterday said.
–UNI