The Hindu : Karnataka News : Food processing unit project in six districts remains incomplete

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Friday, Aug 31, 2007
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Karnataka

Karnataka

Food processing unit project in six districts remains incomplete

Firoz Rozindar

Nodal agency accused of failure to implement the work properly

Chitradurga: To promote the food processing industry and also to help farmers to get good value for their produce, the Government, in 2003, suggested setting up of food processing units in six districts in the State.

The plan was to establish food parks in Malur (Kolar district), Hiriyur (Chitradurga district), Jewargi (Gulbarga district), Maddur (Mandya district) and Belgaum and Bagalkot districts.

As the project is partially funded by the Union Government, the State Government was supposed to obtain in principle approval of the former.

For the implementation of the project, the Union Government was to grant Rs. 4 crore, while the State also agreed to give matching grant.

As per the project, the work would be privatised by entering into an agreement with interested private companies that would invest the balance of the project cost.

Deadline

The project was to be completed in 18 months from the date of its launch.

But owing to delay in receiving grants and approval from the Governments, the project has not been completed even after over four years of its launch.

The State Government nominated Food Karnataka Limited as the nodal agency to coordinate between the entrepreneurs and the Government.

However, most of the entrepreneurs, who have obtained work order, have said that the nodal agency has failed to work properly resulting in the delay of work.

They have alleged that the nodal agency has delayed in obtaining grant and administrative approvals from the Governments for the project.

Approval

Narayanaswamy, chairman, Akshaya Food Parks, which is implementing the project in Hiriyur taluk of Chitradurga district, said that thought the project was started in 2003, the Food Karnataka Limited has failed to obtain approval from the Union Government.

“After investing our share, we are waiting for the government to release its share. Food Karnataka Limited should have apprised the Union Government of the project status and sought immediate release of funds,” he said. When contacted, an official of Food Karnataka Limited admitted that there were administrative lapses.

He, however, claimed that there has been substantial progress in the implementation of the project.

Maximum progress

At present, of the six districts, Kolar has made the maximum progress with over 90 per cent of the work completed.

“We are on the verge of completion of the project. Hopefully, within a month or so, we would start functioning,” said an official of Innova Agro Bio Park which has taken up the project there.

While Kolar has taken a giant leap, Belgaum is far behind with even land yet to be identified.

On the status of the project in Hiriyur, Mr. Narayanaswamy said that 25 per cent of the work has been completed.

“We have now obtained financial approval. We are expecting to complete the work by March next,” he said.

The work order in Mandya and Bagalkot has been obtained by Sri Vani Sugar Limited.

Managing directory of the company Srinivas told The Hindu over telephone that 25 per cent of work in Bagalkot has been completed, while only 15 per cent of the work has been completed in Mandya as there is delay in procuring land. < /p>

There has been 25 per cent achievement in Gulbarga. The work has been taken up by Jewargi Agro Food Park. An official of the company said that by December next year, the work would be completed.

A progressive farmer and council member of Bharat Krishik Samaj, H.R. Thimmaiah, who is also working to obtain the project here, said that the food parks would come as boon to farmers in the six districts as they could preserve perishable items.

“This will help them make profit by storing produce and selling them when there is demand,” he said.

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