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Odisha government is proactive to make the state an export hub for marine and agri-food products. Odisha Food Processing Policy spearheaded by MSME department, is aimed at attracting private investment for processing of fruits and vegetables reducing the post-harvest wastage.
The state of Odisha is considered as marine and agricultural-based economy due to its geographical location as well as its resources available for marine agricultural production. The state has ten distinct agro-climatic zones which offers geography-specific crops creating scope for processing industries. At present, there is massive untapped potential for area-specific and crop-specific processing industries to boost farmers’ incomes and to create regional hubs for production centres. But a small fraction of its potential is currently being processed. The future depends on establishment of geography-specific agro-processing units tailored to the respective agro-climatic zones apart from marine food products.
Different geographical regions offer specialised opportunities for value addition to the harvested crop or fruit. The coastal region comprising of Balasore, Bhadrakh, Kendrapara and Puri districts, majorly focus on marine and brackish water fish and shrimp processing, freezing, canning and ready-to-eat sea food product. High milk-producing areas in these districts are producing value added products through processing plants set up by Government and private institutions. KVK districts comprising of Kalahandi, Bolangir, Koraput and Rayagada produce millet, ginger, turmeric and tamarind and this zone is ideal for processing these products in their respective district or area. Koraput millet is internationally recognised for its high value and hence has huge potential for processing. Central and northern plains consisting of Mayurbhanj, Keonjhar, Dhenkanal and Cuttack focus on processing of dairy products, honey, mushroom and horticultural outputs (mango, jackfruit and banana). Similarly, western region districts (Bargarh, Nuapada, Nawarangpur) focus on maize-based processing (starch, flakes) and groundnut oilseed. Similarly, river deltas and fertile zones in and around Cuttack and Bhubaneswar city area have a strong potential for floriculture, dairy processing and banana ripening centres.
The government of Odisha is proactive to make the state an export hub for marine and agri-food products. Odisha Food Processing Policy spearheaded by MSME department, is aimed at attracting private investment for processing of fruits and vegetables reducing the post-harvest wastage. Capital investment subsidy of 25% is permitted up to an investment of Rs 2 crore on plant & machinery. Similarly, special category subsidy of 33% is given to SC, ST and women entrepreneurs setting up units in industrially backward districts up to an investment of Rs 3 crores. Under Mukhyamantri Krushi Udyog Yojana (MKUY) capital investment subsidy is provided up to 70% in scheduled areas for setting up commercial agri-enterprises and cold chains. The state government is encouraging entrepreneurs providing infrastructure facility at MITS Mega Food Park at Rayagada for storing raw material and final product in godown and cold storage built under Mega Food Park scheme by government. Similarly, at IDCO Mega Sea Food Park at Deras, Khurda, common facilities like processing, freezing etc. are being provided before export of marine products. Under Agricultural Production Clusters (APC) programme thousands of small farmers were empowered to enhance the crop production and linking them directly to supply chain system.
The Go-East (Government of Odisha-Eastern Investment Accelerator and Special Task Force) policy is targeted for massive industrial drives to be taken up by the government offering incentives and accelerated land clearances in industrially backward districts. Single window clearance method is administered for the ease of setting up a project by the investor or entrepreneur. The industries to be covered under the scheme are textiles, food processing, engineering, chemicals, electronics and other industries that have lagged historically in the state. Since the period from June 2024 the state govt has approved 477 projects from various sectors including agro-processing and food processing, with an aggregate investment of Rs 9.5 lakh crore with opportunity to generate six lakh employment and out of these, 152 projects have been grounded with an investment of Rs 3.11 lakh crores. The state is now pursuing for establishment of 10 no mega food parks with multi-crore investment to drive agri-value addition projects.
