ITC to start work on food processing unit in West Bengal

KOLKATA: Diversified conglomerate ITC Ltd expects to begin work on its food processing unit in West Bengal, for which it has earmarked an investment of around Rs 300 crore, during this year.

"We hope to start work on the plant during 2008," ITC Chairman Y C Deveshwar told reporters on the sidelines of CII (eastern region) annual general meeting here.

Deveshwar said the company was in the process of acquiring 40 acres of land in Howrah, West Bengal for setting up an integrated food processing unit.

The company is acquiring the land through state government agency West Bengal Industrial Infrastructure Development Corporation (WBIIDC).

The food processing unit would manufacture snacks, a business area which the company had forayed into of late. For this, ITC has earmarked an investment of around Rs 300 crore.

"Demand for snack food is growing tremendously," a company spokesperson said. ITC manufactures snack food under the brand name 'Bingo'.

On the issue of imposition of excise on non-filter cigarettes bringing it on par with filter cigarettes, Deveshwar said "the tobacco industry has sought a review of the matter with the government."