Home India FOOD PROCESSING INDUSTRIES Parliament Question: Operational Mega Food Parks in Karnatak...
Date: 2026-02-12 Category: Not Applicable State: Union Government Country: India

Parliament Question: Operational Mega Food Parks in Karnataka

Issued by FOOD PROCESSING INDUSTRIES · Not Applicable

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Executive Summary & Key Takeaways

**Executive Summary** This document is a response to Unstarred Question No. 2100 in Lok Sabha, answered on February 12, 2026, regarding the operational status of Mega Food Parks (MFP) and Agro-Processing Clusters (APC) in Karnataka. The Ministry of Food Processing Industries (MoFPI) provides details on the implementation of the MFP and APC schemes, highlighting operational units, production, challenges, and government initiatives to improve occupancy. The document includes information about projects approved and their status. **Key Points / Main Content** * **Scheme Implementation:** * MoFPI is implementing the Mega Food Park (MFP) Scheme and Agro Processing Clusters (APC) Scheme under "Pradhan Mantri Kisan Sampada Yojana (PMKSY)". * The objectives are to create modern infrastructure for food processing. * The APC scheme was continued during the 15th FC cycle, the MFP scheme was discontinued with effect from 01.04.2021. * No new projects of MFP and APC have become operational during last three years in the State of Karnataka. * **Production and Enterprise Size:** * 11 food processing units have commenced production in MFP projects. * All units are micro, small, and medium enterprises. * **Challenges:** * Delays in implementation of MFPs and APCs are mainly due to land acquisition issues, delays in statutory clearances, financial constraints of SPVs, changes in project scope, and external factors like the COVID-19 pandemic. * Timely creation of infrastructure like roads, cold chain, warehousing, and effluent treatment is critical for development and utilization. * **Government Initiatives:** * The government is taking steps to attract private investment and improve occupancy in under-utilized MFPs and APCs. * Expression of Interest (EOI) was called for the establishment of Food processing units under the scheme for Creation / Expansion of Food Processing & Preservation Capacities (CEFPPC). * Funds have been earmarked for food processing units in MFPs and APCs. * A Special Fund of Rs. 2000 crore has been created with NABARD to provide affordable credit. * **Employment Generation:** * MFP and APC projects approved in Karnataka have generated 6695 direct and indirect employment opportunities. * **Annexure Details:** * The annexure provides details of Mega Food Parks and APCs approved in Karnataka, including SPV/IA Name, District, Project Cost, Approved Grant, Released Grant, and Status. **Impact Analysis** * **Mega Food Park and Agro-Processing Cluster Developers (SPVs/IAs)** * **Impact:** SPVs are responsible for execution, ownership, and management of MFPs. Delays in infrastructure creation and issues like land acquisition and statutory clearances can significantly affect their progress. The annexure provides updates on approved MFPs and APCs and their status, informing their management plans. * **Action Required:** SPVs need to address land acquisition issues, statutory clearances, and financial constraints to ensure timely project implementation and operationalization. * **Food Processing Units (Micro, Small, and Medium Enterprises)** * **Impact:** The establishment of MFPs and APCs impacts the food processing units as this dictates the infrastructure and facilities available. * **Action Required:** Food Processing Units may need to consider and take advantage of government initiatives to attract investment and improve occupancy in underutilized parks. * **Ministry of Food Processing Industries (MoFPI)** * **Impact:** MoFPI is responsible for monitoring and facilitating the implementation of MFP and APC schemes. * **Action Required:** The ministry needs to continue monitoring projects, address implementation delays, and attract private investment to improve occupancy in food parks.

Key Entities Referenced

Ministry of Food Processing Industries (MoFPI): The primary ministry responsible for implementing the Mega Food Park and Agro Processing Clusters schemes. Mega Food Park (MFP) Scheme: A scheme by MoFPI to create modern infrastructure for the food processing sector. Agro Processing Clusters (APC) Scheme: A scheme by MoFPI to create modern infrastructure for the food processing sector alongside the MFP Scheme. Pradhan Mantri Kisan Sampada Yojana (PMKSY): A Central Sector Umbrella Scheme under which the MFP and APC schemes are component schemes. Karnataka: The state to which the operational Mega Food Parks and Agro-Processing Clusters are being discussed.
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GOVERNMENT OF INDIA MINISTRY OF FOOD PROCESSING INDUSTRIES LOK SABHA UNSTARRED QUESTION NO: 2100 ANSWERED ON 12TH FEBRUARY, 2026 OPERATIONAL MEGA FOOD PARKS IN KARNATAKA 2100: SHRI P C MOHAN: Will the Minister of FOOD PROCESSING INDUSTRIES be pleased to state: (a) the Mega Food Parks and agro-processing clusters that have become operational in Karnataka and Bengaluru during the last three years along with their locations; (b) the number of processing units those have commenced production in these parks during the said period and the share of such units belonging to micro, small and medium enterprises; (c) whether delays in last-mile infrastructure, cold storage, warehousing or common processing facilities have affected the utilisation of these parks, if so, the details thereof; (d) the steps being taken by the Government to attract private investment and improve occupancy in under-utilised food parks in Karnataka; and (e) the details of direct and indirect employment generated through these facilities including in Bengaluru? ANSWER THE MINISTER OF STATE FOR FOOD PROCESSING INDUSTRIES (SHRI RAVNEET SINGH) (a): The Ministry of Food Processing Industries (MoFPI) has been implementing the Mega Food Park (MFP) Scheme and Agro Processing Clusters (APC) Scheme, which are component schemes of the Central Sector Umbrella Scheme “Pradhan Mantri Kisan Sampada Yojana (PMKSY)”. The main objectives of the MFP and APC schemes are to create modern infrastructure for the food processing sector along the value chain from farm to market. While APC scheme was continued during 15th FC cycle, MFP scheme has been discontinued with effect from 01.04.2021. No projects of MFP and APC have became operational during last three years in the State of Karnataka. The details of MFPs and APC projects approved by the ministry in the State of Karnataka are at ANNEXURE. (b): 11 food processing units have commenced production in MFP projects approved by the ministry during last 3 years. All these units belong to micro, small and medium enterprises. (c) to (d): The responsibility of execution, ownership and management of MFPs vests with the Special Purpose Vehicle (SPV) / Implementing Agency (IA). Ministry is regularlymonitoring the projects through the Programme Management Agencies (PMAs) and also reviewing the progress of projects by conducting review meetings at the level of Senior Officers and Hon’ble Minister, FPI to facilitate early implementation of projects. The development and utilisation of Mega Food Parks and Agro-Processing Clusters depends upon the timely creation of common infrastructure such as internal roads, cold chain, warehousing, effluent treatment facilities and common processing facilities. The delays in implementation by MFPs and APCs are mainly attributable to factors such as land acquisition issues, delays in statutory clearances, financial constraints of the Special Purpose Vehicles (SPVs), changes in project scope, external factors including the COVID-19 pandemic and challenges in operationalising the requisite number of food processing units. However, the Government has taken several steps to attract private investment and improve occupancy in under-utilised MFPs and APCs, including those in Karnataka. To populate the approved MFPs and APCs with food processing units, exclusive Expression of Interest(EOI) for establishment of Food processing units have been called for under the scheme for Creation / Expansion of Food Processing & Preservation Capacities (CEFPPC) of the Ministry and later on, certain percentage of funds have been specifically earmarked for food processing units in Mega Food Parks(MFPs) and Agro processing clusters(APCs). Further to make affordable credit available to Mega Food Parks and APCs food processing units in the Parks, Special Fund of Rs. 2000 crore has also been created with NABARD. (e): MFPs and APC projects approved in the State of Karnataka have generated 6695 of direct and indirect employment. *****ANNEXURE REFERRED TO PART (a) OF LOK SABHA UNSTARRED QUESTION NO. 2100 ANSWERED ON 12.02.2026 REGARDING “OPERATIONAL MEGA FOOD PARKS IN KARNATAKA” The details of Mega Food Parks approved by the Ministry in the State of Karnataka: SPV/ IA District Project Approved Released Status Name Cost Grant (INR Grant (INR in in Cr) (INR in Cr) Cr) Integrated Food Park Tumkur 144.33 48.72 48.72 Operational Ltd Favorich Infra Pvt Mandya 87.1 43.55 37.57 Under Implementation Ltd The details of APCs approved by the Ministry in the State of Karnataka: SPV/ IA District Project Approved Released Status Name Cost Grant Grant (INR (INR in (INR in in Cr) Cr) Cr) M/s GEM Devanagere 40.01 9.77 6.92 Operational Food Park LLP M/s Udupi Udupi 16.08 5.23 3.75 Under Implementation Food Park M/s Sri Koppal 36.34 10.00 6.16 Under Implementation Lakshmibalaji Agro Park Private Ltd *****

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