Karnataka Agri Business and Food Processing Policy 2015

Karnataka Agri Business and Food Processing Policy 2015 is aimed at positioning Karnataka in a sustained growth path in the field of agricultural and allied sectors through global technologies and innovative tools, by creating enabling frameworks and state of the art infrastructure facilities, thereby generating higher returns to farming communities’.

Mission:

Karnataka Agri Business and Food Processing Policy 2015 in Karnataka Budget 2016
Karnataka Agri Business and Food Processing Policy 2015 in Karnataka Budget 2016
  1. To make Karnataka as the most sought after investment destination for the agribusiness and food processing with focussed attention and handholding.
  2. To provide more and more opportunities for the agribusiness and food processing sector, thereby generating large scale employment in rural and semi urban areas of the State.
  3. To give special thrust for skill development.
  4. To create conducive environment for optimal utilization of agriculture and allied sector resources for the sustainable industrial development.

Objective:

The policy aims to achieve the following objectives for the overall growth and development of agro processing sector in the State with an ultimate goal of providing remunerative return to farmers’ produce.

  1. To increase the value addition and reduce wastage, thereby increasing the income of farmers.
  2. To maximize direct and indirect employment generation opportunities.
  3. To create necessary supply chain like transportation, warehouses, and cold storage in the agro processing sector.
  4. To increase the flow of investments across the supply chain from farm to market.
  5. To extend the supply chain and infrastructure opportunity in rural area.

Strategy:

To reduce the post harvest wastage, increase value addition to farm produce, generate employment in rural and semi urban areas, development of agribusiness and food processing enterprises and adequate post-harvest infrastructure especially storage and transportation facilities is necessary. To achieve this, the strategy adopted includes:

  1. Encouraging investments in the supply chain infrastructure to reduce post harvest loss.
  2. Strengthening linkage between processing enterprises and Research & Development institutes.
  3. Fiscal incentives for setting up focused industrial clusters and food processing parks in potential food clusters.
  4. Encourage adoption of quality certifications, green and clean practices, energy efficient measures.
  5. Declaring the entire State as single zone for availing incentives and concessions.

Scope:

Policy shall cover the warehousing, silos, cold storage logistics related to agribusiness, export, processing, handling, storage of agricultural, horticultural, floriculture, spices, medicinal & aromatic plants, fish, meat, poultry, dairy, organic produce, research for varietal development, bio-technology, bio-informatics, food testing laboratories, quality certifications in entire value chain, tissue culture laboratories, seed processing units, irradiation units, food-grade packaging material units and preservatives, horticulture hub, food parks, sea food parks and spice park.

Understanding the Terms

Agro processing: Include, but not limited to washing, waxing, grading, grinding, cutting, cubing, dicing, sorting, packing, drying, fermented, Individual Quick Freezing (IQF), irradiation and any value add activity to the agriculture, horticulture and forest produce. Agro Processing also cover projects in hi-tech and biotechnology based agriculture.

Food Processing: “a process of value addition to the agriculture, edible animal products and horticulture produce by various methods such as grading, sorting and packaging with a view to preserve food substances in an effective manner, enhance their shelf life, quality and make them functionally more useful”. It includes the processing of food at all levels primary, secondary and tertiary.

Horticulture Hub

Will be a place, which would provide a cluster of farmers with quality inputs for farming, post-harvest management and processing of the horticulture crops. It would be a single point of contact for farmers seeking support for horticulture crops and post-harvest management.

Perishable Goods

These are the goods which are prone to decay in short duration of time such as; dairy products, meat, fish, poultry products, flowers, vegetables, fruits, spices, medicinal and aromatic products.

Food Parks

Will be a place where agro food processing units are established in clusters in areas where there is predominant production of processable agriculture, horticulture, animal husbandry, fisheries etc., as defined above.

Sea Food Parks

Will be a place where there is an integration of facilities to augment processing of various sea products such as fish, shrimps, crabs and lobsters at a common facility centre. This will provide the market linkages which will increase income levels of fishermen.

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