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Approach

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Gujarat Food Processing Industry Policy

In the present climate of economic liberalisation and globalisation, Gujarat needs to create favourable environment by providing incentives to the domestic and foreign investors for setting up of agro industrial project in Gujarat. The approach would be for the government to play a facilitatory role in galvanizing private sector investment in agro industries in the State. A key initiative of the government would be to metamorphose the supply chain infrastructure, which would have multiplier effects in the agricultural sector and greatly increase competitiveness across the entire sector. A well integrated and coordinated approach to infrastructure development will be necessary to ensure healthy utilization of infrastructure facilities across the chain.

The State Government, in conjunction with appropriate private sector agencies, will market this supply chain infrastructure opportunity to multilateral financial agencies and other infrastructure investors. Globally successful processors and retailers need to be aggressively marketed to by the State, as they provide the linkages with the consumer that has been hitherto missing in Gujarat's Agribusiness strategy. The responsibility for such State/ industry specific marketing will lie with the Nodal Agency.

Emerging technologies - like bio technology, genetic engineering - have enormous potential in the near future to extract efficiencies in the supply chain. However, in the short to medium term, significant investments need to be made in the bricks and mortar infrastructure - ports, cold storages, value added centers, irrigation, agronomic practices, etc.

With this approach of occupying top-of-the-mind share of investors and processors, Gujarat should be able to take a lead in rapid agro industrial development.

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