FM bets on food parks, promoters shun them

PUNE: Bureaucratic hurdles are threatening to trip the government’s food parks scheme, even as the finance minister announced approval for 15 more such projects in the Budget.

Private promoters of at least five mega food parks have backed out and some have even returned the money received as subsidy for the capital cost.

"There was bureaucratic delay in setting up of the mega food park. Hence we submitted a letter to the government stating that we are not interested in the mega food park and also returned government money," said Pradeep Chordia, chairman of Western Agri Food Park, which was to be set up at Shirval, near Pune.

The mega food parks scheme was launched under the 11th Plan to help cut wastage of fruits and vegetables, estimated at 40%, due to lack of storage, cold chain and inefficient transport.

"We are still interested to set up the mega food park if the government changes its procedures," Chordia said.

It is learnt that players from Karnataka, Uttar Pradesh and Punjab too have backed out from such projects. Only projects in Uttaranchal, Assam and Ranchi are on.