The exact location has not been decided, but it will be in the western region of the state.
Around 600 tonnes of animal and fish feed will be sold by the plant monthly, more than double current sales of 250 tonnes.
Uttar Pradesh represents 10 to 15 per cent of Cargill's Indian revenues with a considerable oil segment.
Cargill's distributor network is expected to grow from 70 to a few hundred in the coming years.
A state of the art 75,000 tonne feed plant is also scheduled for the Malwa belt in Punjab worth $16 million (Rs 100 crore) for cattle feed.