The Cabinet Committee on Economic Affairs (CCEA) in India has approved the establishment of 12 new Mega Food Park projects that have been already appraised.
CCEA has approved the projects as per 11th Plan pattern of assistance that will provide capital grant at the rate of 50% of the eligible project cost in general areas and at the rate of 75% of eligible project cost in difficult and hilly areas.
The government is expected to invest around INR100m ($1.65m) in each project, while each project may leverage an additional INR500m ($8.25m).
The Mega Food Parks scheme is expected to be implemented with an allocation of INR17.14bn ($282.9m), during the 12th Plan.
Each Mega Food Park, with around 30-40 food processing industries, is expected to create around 40,000 direct and indirect jobs.
The establishment of new food parks is expected to lead to the creation of adequate infrastructure in the country with efficient supply chain management from farm gate to retail outlet.
