The Mega Food Parks Scheme aims at creating modern infrastructure facilities for food processing in the country along the value chain from farm to market based on hub and spokes model. It includes creation of infrastructure for primary processing and storage near the farm at Primary Processing Centres (PPCs) and Collection Centres (CCs) and common facilities and enabling infrastructure at Central Processing Centre (CPC). The minimum land required for a Central Processing Centre in Mega Food Park is 50 acre and implementation period is 30 months.

The Mega Food Park project is implemented by a Special Purpose Vehicle (SPV) which is a Body Corporate registered under the Indian Companies Act. However, State Government/ State Government entities/Cooperatives will not be required to form a separate SPV. Under the scheme, financial assistance is provided as grant-in-aid @ 50% of eligible project cost in general areas and @ 75% of eligible project cost in NE Region and difficult areas [Hilly States and Integrated Tribal Development Project (ITDP) areas] subject to a maximum of Rs. 50 crore per project.

Functioning of Mega Food Parks is closely monitored by the Ministry through a well-established mechanism as per the scheme guidelines. This includes detailed scrutiny of the progress reports received from the SPV, verification of the claims by the Project Management Consultant (PMC) and Programme Management Agency (PMA), assessment of the progress through site visits by PMA and officers of Ministry, periodic review meetings in the Ministry etc.

Impact assessment of the Mega Food Park projects is undertaken by the Ministry from time to time through Professional Agencies.

Each Mega Food Park, on completion, is likely to have a cluster of 30-35 units leveraging an investment of about Rs.250 Crore and expected annual turnover of about Rs. 500 Crore. Development of such processing clusters will help in induction of latest technology in the production systems in the catchment area and enhancing the income of farmers. The project help in creating opportunities for direct and indirect employment especially in rural areas, reduction in wastage of agricultural produce and creating linkage between farmers and processors for value addition.

This information was given by the Minister of State for Food Processing Industries Sadhvi Niranjan Jyoti in a written reply in Rajya Sabha today.