ABSTRACT

Agricultural Marketing and Agri Business – Setting up of Food Park at Nilakottai, Dindigul District – A Joint Venture by Tamil Nadu State Agricultural Marketing Board and SIPCOT at a cost of Rs. 13.00 crores during the year 2003-04 – Orders issued

AGRICULTURE ( AM3) DEPARTMENT

G.O.(Ms).NO. 23.                                                   

DATED: 23.01.2004

READ:-

1. From the Commissioner of Agricultural Marketing and Agri Business. Letter No.MCS4/4958/03, dated 17.3.03.

2. From the Chairman & Managing Director, SIPCOT, Chennai Letter No.Project/Food Park/2003 dated 27.5.2003.

3. From the Commissioner of Agricultural Marketing and Agri Business, Letter No.MCS4/7679/03 dated 3.9.03 and 17.10.03.

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ORDER:

With a view towards Promotion of Food Processing Industries and based on the declared policy of the Government to set up a Food Park at Nilakottai, the Commissioner of Agricultural Marketing and Agri Business sent a proposal for the establishment of a Food Park at the State Industries Promotion Corporation of Tamil Nadu Limited (SIPCOT) Nilakottai Industrial Complex over an extent of 100 acres. The proposed project cost is Rs.13.00 crores and the various sources of funding for the project have been outlined in the proposal as below:

Equity Amount
(Rupees in lakhs)

SIPCOT 65.00

Tamil Nadu State Agricultural
Marketing Board 65.00

Interest Free Term Loan
SIPCOT 435.00

Tamil Nadu State Agricultural
Marketing Board 335.00

Grant from Ministry of Food Processing
Industries. Government of India  400.00

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Total 1300.00
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2. He has also proposed that a Special Purpose Vehicle (SPV) may be constituted for the project and has requested for permission for utilizing the funds of the Tamil Nadu State Agricultural Marketing Board to the tune of Rs.65.00 lakhs as equity and Rs.335.00 lakhs as an interest free loan for the purpose of this Food Park.

3. After careful consideration the Government approve the proposal of the Commissioner of Agricultural Marketing and Agri Business to set up a Food Park at Nilakottai over an extent of 100 acres of land as a joint venture project by forming a Special Purpose Vehicle (SPV) with equity shared by the Tamil Nadu State Agricultural Marketing Board and the State Industries Promotion Corporation of Tamil Nadu. 40 Acres for infrastructure and the rest of the area as 5 Acre, 2 Acre, 1 Acre and ½ Acre - 64 plots. Food processing units will be given 99 years lease of the land allotted. This park will benefit farmers and Small Scale Industrial Entrepreneurs.

The Special Purpose Vehicle (SPV) will have the following Directors:

1) Secretary to Government, Agriculture Department      - Chairman

2) Secretary to Government, Industries Department - Director 

3) Chairman & Managing Director. SIPCOT - Director

4) Commissioner of Agricultural Marketing and Agri Business - Director

5) Managing Director of the Company
(to be nominated by SIPCOT & Tamil Nadu
State Agricultural Marketing Board ) - Director

4. The cost of setting up of the Nilakottai Food Park will be funded from the following sources:-

I. Equity Amount
(Rupees in lakhs)

i) SIPCOT 65.00

ii)Tamil Nadu State Agricultural Marketing Board  65.00

II. Interest Free Term Loan

i) SIPCOT (In the form of 100 acres of land) 435.00

ii) Tamil Nadu State Agricultural Marketing Board  335.00

III. Grant from Ministry of Food Processing
Industries, Government of India  400.00
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Total 1300.00
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5. The Commissioner of Agricultural Marketing and Agri Business will take necessary action to constitute the Special Purpose Vehicle (SPV) and for obtaining the contribution from SIPCOT and Tamil Nadu State Agricultural Marketing Board. He will also submit necessary proposals for obtaining the sanction of grant from the Government of India by preparing the detailed project report with details concerning infrastructural facilities, plant and machinery and other necessary information.

6.This order issues with the concurrence of Finance Department vide its U.O.No.5670 / Agri / 04, dated 23.1.2004.

(BY ORDER OF THE GOVERNOR)

R. KANNAN,
Agricultural Production Commissioner and Secretary to Government

To

The Commissioner of Agricultural Marketing and Agri Business, Chennai – 32.

The Chairman and Managing Director, State Industries Promotion Corporation of Tamil Nadu Limited, Chennai – 8.

The Secretary to Government, Industries Department, Chennai – 9

The Chief Executive Officer, Tamil Nadu State Agricultural Marketing Board, Chennai – 32.

The Secretary, Ministry of Food Processing, Government of India, New Delhi – 110 001.

The Pay and Accounts Officer (South), Chennai – 35.

The Accountant General, Chennai – 18 and (by name)

The Accountant General, Chennai - 35 and (by name).

Copy to :

The Industries (MIG2) Department, Chennai-9.

The Finance Department, Chennai – 9

The Office of the Chief Minister, Chennai – 9.

The Special P.A. to Minister of Agriculture, Chennai – 9.

The Private Secretary to Agricultural Production Commissioner and Secretary to Government, Agriculture Department, Chennai – 9.

Forwarded / By Order

Section Officer.