The government should extend support to over 600 food processing industries as it would help revive the rural economy and provide livelihood to the locals who lost it due to the lockdown imposed in the wake of COVID-19, according to Datla Tirupathi Raju, president of A.P. Food Processing Industries’ Federation and executive chairman of Vijayanagar Biotech Private Limited.
The government should initiate steps for complete waiver of minimum demand and consumption of electricity charges for the lockdown period as the industries were hit hard under the impact of COVID-19, Mr. Raju told The Hindu.
“The Centre assured the industries of exemption from power charges, but the power distribution companies in the Stsate are not following the guidelines. All discoms insist on food processing units to pay minimum demand charges. Their assurance to reimburse may not be useful as small and medium units are not in a position to clear the bills,” said Mr. Raju.
New clusters
Mr. Raju sought relaxation of rules for importing raw material from abroad. “Owing to natural calamities, coconut production has come down drastically in the State. So, the government should allow imports as it would help coconut processing units survive,” he said.
“The government should develop new clusters to promote processing units and create jobs in villages and semi-urban areas. Coconut, turmeric and many other horticulture products can be developed in different regions. It helps farmers concentrate on those crops and they don’t need to worry about the sale of their produce since the market is available in proposed clusters. The companies can start new units when they are assured of raw material supply,” said Mr. Raju.
According to him, representatives of the federation met Chief Minister Y.S. Jagan Mohan Reddy and Special Chief Secretary (Industries) Karikal Valaven to explain the issues of the food processing units in the State.