Agro Climatic Zones Gird Region Bundelkhand Malwa Plateau Kymore Plateau Satpura Hills Vindhya Plateau Central Narmada Valley Northern Hill Region of Chattisgarh Chattisgarh Plain Satpura Plateau Jhabua Hills Nimar Plains 1 Major Crops Coriander- Guna & Malwa Fenugreek- Malwa Chillies – Nimar & Bundelkhand Garlic- Ratlam, Mandsaur Potato – Malwa Plateau & Chhindwara district Green Peas - Jabalpur Orange – Satpura Plateau, Hoshangabad & Guava - Hoshangabad Shajapur Mango- Rewa & Jabalpur Banana – Burhanpur, Khargoan 2 Horticulture Production Crops Production (in Lakh MT) Vegetables 35.28 Fruits 33.44 Spices 3.34 Flower & Medicinal plants 1.39 3 Agriculture Production Production in Million tonns Crop All india Production Production in M.P. All India Rank Tur Gram 2.31 6.33 0.22 2.41 5th 1st Lentil 0.91 0.26 2nd Total pulses Maize Rice 14.20 15.10 93.36 3.20 0.84 1.37 1st 7th 15th Soybean 8.85 4.78 1st Rapeseed & Mustard Wheat 7.44 0.69 4th 75.81 7.33 4th Sugarcane 355.52 2.81 11th 4 Animal Husbandry • Highest cattle population in India • 79.1% Growth of Cross Bred Cattle Population in MP during 17th Animal Census against the Growth of 22.8% at National Level • -3.7% Growth of Indigenous Cattle Population in MP against the Growth of -10.2% at National Level • 14.0% Growth of buffalo Population in MP against the Growth of 8.9% at National Level • Enhancement of 25% Milk Production despite negative growth in indigenous cattle population (Impact of intervention like health coverage, breed improvement and cattle induction) • Milk Processing capacity is less than 10% 5 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 17th Animal Census against the Growth of 2.1% at National Level) » Potential for marketing and processing in Poultry sector (61.0% Growth of Poultry in MP during 17th Animal Census against the Growth of 45.0% at National Level) • Poultry » Support services like health coverage, breed improvement and induction through various programmes are the mandate of the Animal Husbandry department to ensure disease free livestock and livestock product. 6 Fisheries- at a glance • Available water area 3.43 lac ha , under culture 3.35 lac ha (97% coverage), • Fish seed production – 5229 lac std. fry. • Shall be self sufficient to meet fish seed demend by the year 2010-11 • Fish production – 68466 M.T. • Shall be reached 99,000 M.T. by the year 2016-17 • Cooperative based fishery activities having 1749 registered cooperative societies with 60612 active members, 1st rank in India among inland water states. • M.P.Matsya Mahasangh (Fed.)having 10 big reservoirs water area 1.68 lac ha Opportunities • Construction of fish seed, Prawn and magur hatchery • Construction of Ice palnt & cold storage near big reservoirs. • Marketing of Fish harvested from big reservoirs 7 State Government Initiatives • Food Processing –A thrust sector • Separate Department for Horticulture & Food Processing • Liberal policy for Grape-Wine production • Liberal policy for waste land development. • Separate Policy for Food Processing Industries • Special schemes to boost Food Processing Industries • Development of Food parks • Development of infrastructure for Post Harvest Management . 8 Food Parks in Madhya Pradesh Malanpur Jaggakhedi Maneri 9 Nimrani Babai Borgaon Food Processing Policy : Incentives • Incentives available under Industrial Promotion Policy 2004 for Food Processing Industries shall continue. • In addition, Special concessions for perishables based industries shall be made available. • 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 10 Investment Promotion Assistance Type of Industries Incentives Period Having fixed capital investment between Rs1.00 crore to Rs10.00 Crore 50% amount of VAT and Central Sales Tax deposited by the unit in the preceding year For 5 years Having fixed capital investment of more than Rs10.00 Crore 75% amount of VAT and Central Sales Tax For 10 years 11 Concessions to "Mega Projects" in allotment of land • • Industrial units having fixed capital investment of more than Rs10.00 crore (excluding working capital) with the condition that investment in fixed capital will be made within a period of three years Five to twenty five acres land at concessional rate of 25% SNo. Project cost (Rs.in Crores) Land available at concessional rates 1. 10 to 25 Maximum 5 acres as per requirement 2. Above 25 up to 50 Maximum 10 acres as per requirement 3. Above 50 up to 75 Maximum 15 acres as per requirement 4. Above 75 up to 100 Maximum 20 acres as per requirement 5. Above 100 Maximum 25 acres as per requirement 12 Other Concessions • Exemption in Stamp Duty and Registration Charges: • eligible for total exemption from stamp duty and the registration charges would be Re. 1 per Rs.1000 (transaction value). • Exemption in Entry Tax: • for a period of 7 years from the date of first purchase of raw material • Interest Subsidy on Term Loan • interest rate of 5% for a period of 7 years for a total amount of Rs 25.00 Lakhs • No upper ceiling for Self Help Groups (SHGs), Scheduled Castes, Scheduled Tribes and Women Entrepreneurs • Concessions to the Existing Units • 50% of the existing Capital investment provided fresh capital investment is not less than Rs. 25 Lakhs. 13 Other Concessions • Mandi Fee • Exemption of Mandi Fee on fruits, vegetables and flowers used as raw material purchased directly or through contract farming • Quality Certification • Reimbursement of up to Rs 5.00 Lakh or 50% of actual expenditure such as Agmark, ISO, HACCP, BIS, etc. • Research & Development • Reimbursement of expenditure incurred on technology transfer from National Research Development Council or other Government Research Centers to the extent of 50% or Rs.5.00 lakhs whichever is less. 14 Other Concessions • Expenditure incurred on preparation of project reports • SSI at the rate of 1% • LMI at the rate of one percent 0.5% • Upper Ceiling Rs 3.00 Lakh • Patents • Reimbursement up to 100% subject to a limit of Rs 5.00 Lakh. • Food Processing Park • Private sector would be reimbursed at the rate of 10 percent to a maximum of Rs1.00 crore \ • Exports Promotion • Transport subsidy would be provided to industries on the export of perishable goods @ 15% of the cost of transportation subject to a maximum of RS 5.00 Lakh per annum for a period of 5 years. 15 Special features of the Policy • Incentives available to all districts – Industrial classifications not applicable • Total Exemption from Mandi fee • Total exemption from stamp duty • Exemption from Entry tax for 7 years • Contract farming recognized 16 Special features of the Policy Continued • Apex committee for Special Economic Package for Mega Projects or Projects of special importance with infusion of modern technology and having capital investment of Rs. 5 crore or more • Public Private Partnership recognized • Incentives for setting up Food Parks in the Private Sector 17 Implementation Mechanism State Level • A task force on Food Processing Industries set up under the Chairmanship of the Hon’ble Minister of Horticulture and Food Processing. • Task force comprises representatives 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. 18 Implementation Mechanism District Level • “District Empowered Committee for Investment Promotion” set-up under the chairmanship of district Collector. • The proposed incentives shall be administered through the District Industries Centers (DICs). 19 M.P. STATE AGRO INDUSTRIES DEVELOPMENT CORPORATION LIMITED (A State nodal Agency for Food processing Industries) Observations Vast opportunities in Horticulture, Agriculture Dairy,Medicinal & Aromatic Plants Opportunities not explored fully Reasons are : Inadequate Infrastructure Awareness Entrepreneurship Data base 20 Measures taken for Development of Food Processing Industries { BACK END } • Promotion of Entrepreneurship Development among farmers & others. • Setting up Food Parks in Public Private Partnership • Cluster approach for Development of Food Processing Industries 21 Food Parks under Public Private Partnership • Land allotted at Bhopal , Harda & Ratlam • M/s Ernst & Young Pvt Ltd. Appointed as Transaction Advisor • Selection of Developer for Food Parks within six months. 22 Development of Food Processing Industries A cluster approach • Banana, Potatoes & Orange Crops identified • Banana cluster at Burhanpur • Potato cluster at Indore (Mhow) • Orange cluster at Chhindwara 23 Banana production • India’s production of Banana is 21% of total world’s production. • Madhya Pradesh ranks 8 th in country . • Banana cultivated in 17000 hectares at Burhanpur in M.P. 24 International Market for Banana • Banana’s Export from India is negligible. • Explore opportunities for Export of Banana & its processed products through development of the cluster 25 Development of Banana Cluster in Burhanpur district • Proposed to develop in PPP mode. • Special Purpose Vehicle for entire operation • Role of Government as facilitator • Development of entrepreneurship through extension activities. 26 M. P. STATE AGRICULTURAL MARKETING BOARD ( Mandi Board) Strengths of Mandi Board ; • Area of operation >entire state i.e. 55393 villages • Elected Management Committees in the Mandies • 26341 license traders and processors • Annual trade of approx Rs 22500 crores, of over 500 varieties of notified agri commodities 27 Agriculture Marketing To complement the stated objectives and its fulfillment, following infrastructure is being developed Modern Multi Modal Logistic Hubs. Modern Whole Sale Markets. Pack houses, Refrigerated vans, Waxing plants. Cool chambers, Ripening chambers. Centers for perishables cargoes at Airports Electronic Virtual Markets Technology & physical infrastructure up-gradation in existing market yards. Irradiation centers and modern warehousing. 28 Legal Frame Work License for Spot Exchange – enables Commodity Exchange to set up Spot Trading through electronic platform. Contract farming – Provisions of Contract Farming have been incorporated under the Act with facility of direct purchase from the farmers. Rules for Allotment of land / infrastructure the Market yard – Private players can come in for setting up cold storages, hyper markets, cash and carry stores, pack houses etc. within the Mandi Yard. 29 Agriculture Marketing Current status : 1. Modern Multi Modal Logistic Hub at Pawarkheda ( between Hoshangabad & Itarsi ) - estimated outlay of Rs 100 crores - Land has been acquired and tender for construction of infrastructure under PPP are being released. 2. Irradiation centre at APMC, Indore - estimated outlay of Rs 40 crores – Land has been allotted to CAT, for implementing the project. 3. Modern Whole-sale Market at Bhopal : Estimated outlay is approx Rs 44 crores - Tender for the construction works are being released.PPP format for services like cold chain,hyper market etc. 4. Centre for perishable cargo at Indore Airport : The project is being funded from Mandi Board to be operated by a private player. 30 Agriculture Marketing Current status : 5. Spot Trading through Commodity Exchange : National Spot Exchange Ltd., Mumbai, has been granted license on April 06, 2009, to operate in two APMCs, i.e. Indore & Ganjbasoda. 6. Base Line Survey – To identify and develop a data base of horticulture producers in the state, National Institute of Agriculture Marketing (NIAM) Jaipur has been engaged . • Special Marketing Zones are being developed at Mhow for Potato and Burhanpur for Banana . • Food Park : At Jabalpur, Food Park is being developed on 155 acres. 31 Agriculture Marketing Opportunities : To develop and manage ; • Cold chain & cold storages, modern warehouses (including Silo storage) , In-land container depots etc. at the Logistic Hubs . • Electronic auction, ripening chambers, distribution centers, hyper market, cold storages, modern warehouses etc. at the Wholesale Markets. • Perishable Cargo Terminal at Indore & Bhopal Airport • Modern facilities for grading, packaging, waxing in the market yards or around the market yards. • Processing units in Special Marketing Zones, Food Parks. • Spot Exchange 32 43