The Cabinet Committee on Economic Affairs (CCEA) has approved the upscaling of the Scheme for Infrastructure Development for Food Processing Industries - setting up of new abattoirs / modernisation of existing abattoirs. The CCEA had earlier approved the scheme in its meeting held on February 26, 2009, with a direction that the number of projects be limited to 10 projects.
Two projects therefore at Dimapur and Ahmednagar, have already been completed and the balance eight projects are at various stages of completion.
Under the upscaling of the scheme, MoFPI is expected to fund setting up of 25 new abattoirs and modernisation of 25 existing abattoirs across the country (at a cost of Rs 240.25 crore), as well as completing eight on-going projects (at a cost of Rs 74.83 crore) along with payment of technical consultancy fee maximum @ 5 per cent of grant aggregating to Rs 330.84 crore. Each of these projects is likely to be completed in 18 months. However, small projects for modernisation are likely to be completed in 12 months.
Financial assistance (grant-in-aid) would be provided at 50 per cent and 75 per cent of cost of plant & machinery and technical civil work in general and difficult areas respectively, subject to maximum of Rs 15 crore for each new project.
