Odisha Food Processing Policy, 2016

Objective & Strategy

The Odisha Food Processing Policy, 2016 aims to increase the flow of investments in the sector across the value chain from farm to market, increase self life and reduce wastage of farm produce. The Policy provides fiscal & non fiscal incentives, infrastructure development, skill development, cluster approach for development of the sector. The Policy also aims creation of infrastructure, such as Warehouses, Cold Storage,Primary Processing Centres etc. along with an enabling ecosystem.

Nodal Agency

MSME Department has been designated as the nodal agency for administration the Policy

Ease of doing business

  • Single window clearance system with a clear timelines for project approvals and guidance
  • Online system for submission of application forms for various clearances and tracking of the application
  • Development of Agri Export Zones (AEZ) for food processing industries
  • Setting up of common facility centers in identified clusters
  • Exclusive industrial clusters/parks for food processing industries at strategic locations

Skill Development

  • Assistance for creation of infrastructure facilities for running Degree/Diploma/Certificate courses in Food Processing Technology
  • Assistance for conducting Entrepreneurship Skill Development Programme (ESDP)

Assistance to Reefer Vehicles

Financial assistance in the form of credit linked back ended subsidity @35% of the cost of standalone New Reefer Vehicle(s)/Mobie pre-cooling van(s) up to a maximum of Rs.25 lakh shall be provided for carrying & transporting both Horticultural & non-Horticultural produce.

Entrepreneurs can choose to avail a particular incentive from this or any other extant policy.

Facilitation Support
Food Processing Cell
  • Functioning under the Directorate of Industries, Odisha to engage a Project Management Agency and undertake investment promotion, facilitation activities
Capital investment subsidy
  • 25% up to Rs. 2 crore
  • 33% up to Rs. 3 crore for industries setup by SC, ST, Women or in KBK districts
  • 25% up to Rs. 5 crore for Anchor industries
  • 50% up to Rs. 4 crore for state-of-the-art NABL accredited Food testing labs outside Cuttack, Berhampur & Bolangir
  • 35% up to Rs. 5 crore for cold chain, value addition and preservation infrastructure for non-horticultural produce or for primary processing centers/collection centers for all produce
Assistance for Mega Food Park
  • Up to 20% of the project cost limited to Rs. 15 crore provided to SPV or as equity participation
Assistance Reefer Vehicle
  • Credit linked back ended subsidy @ 35% of the cost of standalone new reefer vehicles/ mobile pre-cooling vans up to maximum of Rs. 25 lakh
Assistance to ULBs for Modernization of Meat Shops
  • 35% of cost of machinery up to Rs. 5 lakh
  • 50% of cost of machinery up to Rs. 5 lakh in industrially backward districts KBK
Assistance for Human Resource Development
  • One time grant @50% of the cost up to Rs. 1 crore to University/Institute for courses in Food Processing
  • Rs. 3 lakh per ESDP to Govt. ITIs/Polytechnics for conducting 30 days certification program on Food Processing
Promotional Assistance
  • Up to Rs. 2 lakh per event for organizing seminar/workshops
  • Support to exhibitions/fairs
  • 50% of expenditure for a max of 2 batches for domestic study tour/exposure visit
  • 50% of the cost up to Rs. 4 lakh for conducting studies/surveys/feasibility reports