Plan to give SEZ status to proposed Food Tech Parks

Our Bureau

SEZ STATUS: The Minister for Food Processing Industries, Mr Subodh Kant
Sahai (right), with the Assocham President, Mr Anil K. Agarwal, at a
summit on Green Revolution - 11 Knowledge Agriculture, in the Capital on
Friday. - Ramesh Sharma

New Delhi , Nov. 24

The Ministry of Food Processing Industries has moved a comprehensive
proposal to give SEZ status to proposed mega Food Technology Parks with
a provision of 50 per cent produce for domestic consumption and
remaining for exports.

Announcing this at the `Summit on Food Processing', organised by
Assocham on Friday, the Minster of State for Food Processing Industries,
Mr Subodh Kant Sahai, said the proposal has been moved to the Group of
Ministers, Planning Commission and would also be shortly forwarded to
the Cabinet for its consideration.

The minimum and maximum land area prescribed for the parks is between 10
and 100 hectares with adequate refinancing facilities from Nabard with a
minimum Central allocation of Rs 1 lakh crore, said the Minister.

Mr Sahai added the Finance Ministry has also agreed to make the food
processing industry a zero excise tax-based industry by fiscal 2007-08
following recommendation from the Food Processing Ministry.

He added that in the last two and a half years, the excise taxation
rates have been brought down to eight per cent from 32 per cent and by
next fiscal, the taxation would be zero based with minimum possible
local levies in view of growing significance of this sector.

http://www.thehindubusinessline.com/2006/11/25/stories/2006112505790300.htm