Department of Horticulture & Food Processing

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Department of Horticulture Food Processing

Welcome all Respected Delegates
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Eleven Agro Climatic Zones
Gird Region
Kymore Plateau Satpura Hills
Bundelkhand
Malwa Plateau
Vindhya Plateau
Central Narmada Valley
Northern Hill Region of Chattisgarh
Chattisgarh Plain
Satpura Plateau
Jhabua Hills
Nimar Plains
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Madhya Pradesh Horticulture at a glance
Area in million hectares
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Horticulture Production
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Madhya Pradesh Agriculture at a glance

• Geographical area of the state is 30.744 million
  ha. out of which net cultivated area is 14.838
  million ha.
• Two sowing seasons Kharif -10.666 million ha.
  rabi 8.428 million ha.
• Area under double crop 5.378 million ha
• Irrigated Area 32.37
• Cropping intensity 136

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Agriculture Production - Major Crops
Production in million tonns
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Animal Husbandry at a glance

• Highest cattle population in India- 2.08 million
  Buffalo (4th in India) - 0.87 million
• Goat (6th in India) - 0.87 million
• Milk production (7th in India) 6.2 million
  tonne per annum
• Milk Processing capacity is less than 10

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Animal Husbandry

• Goatery
• Potential for Marketing and Processing in Goat
  sector especially for meat and feta cheese
• 25.8 Growth of Goat Population in MP during last
  five year
• Poultry
• Potential for Marketing and Processing in
  Poultry sector
• Low cost of egg (2.55 US cents per egg)
• 61.0 Growth of Poultry in MP during last five
  year

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Fisheries - at a glance

• 172 species
• Production 68466 MT expected to be 100000
  M.T. by 2016-17
• Cooperative based activities
• 1749 cooperative societies - 60612 members

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Thrust Areas for Value Addition
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State Government Initiatives

• Food Processing A thrust sector
• Liberal policy for Grape-Wine production
• Liberal policy for waste land development.
• Separate Policy and special schemes to boost Food
  Processing Industries
• Food parks and infrastructure for Post Harvest
  Management .

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Food Processing Policy Incentives

• Food Processing Industries - eligible for
  Incentives under Industrial Promotion Policy 2004
• In addition, Specific incentives for Food
  Processing Industries

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Food Processing Policy Incentives
Continued

• Mega Projects Projects of special importance
  with infusion of modern technology and having
  capital investment of INR 50 million or more
• Special Economic Package for Mega Project
• Apex Committee headed by the Chief Minister
• Emphasis on Public Private Partnership
• Incentives for developing Infrastructures in Food
  Processing Sector

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Food Processing Policy Incentives

• Investment Promotion Assistance
• Concessions to Mega Projects
• Exemption in Stamp Duty and Registration Charges
• Exemption in Entry Tax
• Interest Subsidy on Term Loan
• Exemption in Mandi Fee
• Reimbursement of expenditure on Quality
  Certification
• Reimbursement of expenditure on preparation of
  project
• Promotion of research and development activities

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• Investment Promotion Assistance

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Concessions to "Mega Projects" in allotment of
land

• Units with capital investment of INR 100 millon
  or more eligible for 5-25 acres of land at
  concessional rate of 25 (capital Investment to
  be made within 3 years

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Other Concessions

• Total Exemption in Stamp Duty on Loan Documents
• Registration Charges 1 per 1000 (transaction
  value).
• Total Exemption in Entry Tax for a period of 7
  years
• Interest Subsidy on Term Loan _at_ of 5 for a
  period of 7 years for a total amount of INR 2.5
  million
• No upper ceiling for Self Help Groups (SHGs),
  Scheduled Castes, Scheduled Tribes and Women
  Entrepreneurs
• Concessions to the Existing Units under expansion

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Other Concessions

• Mandi Fee exempted for a specified period.
• Financial assistance for Quality Certification
  such as Agmark, ISO, HACCP, BIS, etc.
• Reimbursement of expenditure on technology
  transfer

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Other Concessions

• Expenditure incurred on preparation of project
  reports
• Expenditure incurred on obtaining Patents
• Financial Assistance for setting up Food
  Processing Park
• Transport subsidy to Exporters

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Implementation Mechanism

• District Level

• Empowered Committee for Investment Promotion
  with district collector as Chairman.
• Incentives to be administered through the
  District Industries Centers (DICs).

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Implementation Mechanism

• State Level
• Task force on Food Processing Industries,
  comprising of repres. from Research Institutes,
  Food Processing Industries, Universities,
  Government of M.P. , Financiers Experts.
• M.P.State Agro Industries Development Corpn. Ltd.
  designated as the Nodal Agency for Food
  Processing Industries in M.P.
• Mandi Board designated as the virtual office of
  APEDA in M.P.
• M.P.State Warehousing Logistic Corpn.
  designated as the Nodal Agency for Post harvest
  Management under National Horticulture Mission.

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• Infrastructures for Development of Food
  Processing industries

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Food Parks in Madhya Pradesh
Malanpur
Jaggakhedi
Maneri
Nimrani
Borgaon
Babai
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Food Parks under Public Private Partnership

• Land allotted at Bhopal , Harda Jabalpur
  Ratlam
• M/s Ernst Young Pvt Ltd. - Transaction Advisor
• Selection of Developer for Food Parks within six
  months.

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Infrastructures for Agricultural Marketing

• Modern Multi Modal Logistic Hub at Pawarkheda in
  PPP
• Irradiation centre at APMC, Indore - estimated
  outlay of INR 400 millon
• Modern Whole-sale Market at Bhopal
• 4. Centre for perishable cargo at Indore Airport
• 5. Spot Trading through Commodity Exchange
• 6. Base Line Survey National Institute of
  Agriculture Marketing (NIAM) Jaipur

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Development of Food Processing Industries A
cluster approach

• Crops identified - Banana, Potato Orange
• Banana cluster at Burhanpur
• Potato cluster at Indore (Mhow)
• Orange cluster at Chhindwara

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Banana Production

• Indias production of Banana is 21 of total
  worlds production.
• Madhya Pradesh ranks 8 th in country .
• Banana cultivated in 17000 hectares at Burhanpur
  in M.P.

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Banana - International Market

• Phenomenal growth in export from India .
• Opportunities for Processing Export through
  cluster

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Banana Cluster in Burhanpur

• In PPP mode.
• Special Purpose Vehicle
• Government as facilitator
• Entrepreneurship promotion through extension

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Government as Facilitator

• Enhancement in productivity through modern
  scientific cultivation
• Establishment of tissue culture labs, bio control
  labs model nursery
• Incentives for setting up processing units based
  on Banana, Banana leaves, etc.
• Incentives for setting up cold chain pack
  houses

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Potato Production in state
Potato cluster in Malwa (Mhow)

• Area 70903 ha .
• Production 1.064 million MT.
• Best quality for chips
• Sugar contents lt 2

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Existing Concessions Industrial Promotion Policy
2004 (as amended in 2007)
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• Investment Promotion Assistance

• Concessions to Mega Projects in land allotment
  5 to 20 acres of land at 25
  premium to units having fixed capital of INR 100
  million above

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Existing Concessions Contd.
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• Mega Projects Projects of special importance
• Special economic package by Apex Level Committee
  to units having investment of INR 250 million
  above with modern technology
• Exemption in Stamp Duty Registration charges
• 50 to 100 exemptions from Stamp Duty
• 50 to 1/- per 1000 in Registration charges (Based
  on categorization of districts.
• Exemption from Entry Tax
• Exemption to new units for 5 years
• Interest Subsidy on Term Loan
• Interest subsidy 3 to 5 for 5 to 7 years based
  on categorization subject to INR 1 to 2 million

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Existing Concessions Contd.
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• Concession to Existing units
• Existing units undergoing Expansion/
  Diversification /Technological Up gradation will
  be treated as new units for concessions and
  facilities subject to additional fixed investment
  more than 50 subject to minimum INR 50 million
  and that too on more than 3 years average
  production.
• Mandi Tax
• Exemption on the agriculture produce procured
  from outside states and used as raw material in
  food processing industry
• Technology Transfer
• Expenditure incurred on technology transfer from
  NRDC or Other Government Research Centers to the
  extent of 50 or INR 0.2 million

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Existing Concessions
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Contd.

• Project Report Preparation
• Reimbursement of expenditure on preparation of
  project report to small scale units _at_ 1 and for
  large and medium industries 0.5 of project cost
  subject to maximum INR 0.3 million
• ISO Certification
• ISO 9000 or Quality Certification from
  International Institutions 50 of expenditure
  subject to maximum INR 0.1 million
• Patent Registration
• Expenditure incurred in obtaining patents would
  be reimbursed 100 subject to a maximum of INR
  0.2 million
• Food Processing Park- Private sector
  infrastructure.
• Special subsidy 10 subject to maximum INR 10
  million for establishing Food Processing Park by
  Pvt. Sector with minimum 100 units direct
  employment of 2500 persons. Subsidy be given to
  Pvt. Institutions developing food parks on
  fulfillment of above conditions within 5 years.

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Existing Concessions Contd.

• Duty Exemption on Captive Power Plants
• Exemption on Electricity duty for 5 years subject
  to effective steps to set up plants to be taken
  within one year and commencement of power
  generation as under Biogas plant within two years
  Hydel / Thermal other plants within 3 years

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Vegetables Production in Madhya Pradesh
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Fruits Production in Madhya Pradesh
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Spices Production in Madhya Pradesh
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Other Horticulture Crops
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Food Parks location
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Cluster Approach
Potato
Banana
Orange
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THANKS
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Kharif Production - Major Crops
(Area in million ha , Production in million
tonnes)
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Rabi Production Major crops
(Area in million ha , Production in million MT )