American agribusiness company Cargill plans to set up a corn milling facility in India, with an investment of $73m.
The first phase of the facility at Davangere, Karnataka will begin by the third quarter of 2014. It will produce modified starch for the processed food and pharma industries.
Cargill India chairman Siraj Chaudhry said that the plant is expected to have processing capacity of 800 to 1,000 tons.
"Our plant will cater to the growing demand for modified starch in the processed food segment," Chaudhry added.
The agribusiness firm also plans to boost its cooking oil refining capacities at its three existing plants in Gujarat, Maharashtra and Orissa, with an investment of $18.2m in the next two years.
India's edible oils production caters to about half of its domestic demand. The country imports palm oil from Indonesia and Malaysia, a small quantity of soyoil from Brazil and Argentina.
Earlier this month, Cargill acquired Wipro's Sunflower Vanaspati brand for an undisclosed amount.
Cargill India produces and markets edible oils under brands such as Nature Fresh, Sweekar and Gemini, and vanaspati under the Rath, NatureFresh Purita and Gemini brands.
