Buddhadeb rules out FDI in agri-retail business in West Bengal

West Bengal Chief Minister Buddhadeb Bhattacharjee today ruled out Foreign Direct Investment (FDI) in the agri-retail sector in the state and said his government would strengthen marketing infrastructure for the benefit of farmers.

"We don't want FDI in agri-retail business in the state at this moment. We will strengthen infrastructure for agriculture marketing in the interest of farmers," Bhattacharjee told reporters at the state secretariat.

He said there was no cold storage facility for farmers, particularly for those growing flowers, fruits and vegetables in major production centres in the rural belt near markets.

The absence of minimum support price for fruits, flowers and vegetables often forced farmers to make distress sale of their products particularly during the peak season, incurring huge losses, he said.

Laying the foundation stone of 30 modern multi-purpose cold storages and cold chains in 16 districts through video conference, Bhattacharjee said 30 multi-purpose cold storages would come up at a cost of Rs 55.33 crore, 85 per cent of which would be taken as loan from NABARD and the rest would be borne by the state government and its agencies.

He said West Bengal State Marketing Board has prepared an integrated cold chain network of 31 multi-purpose cold storages in major agriculture producing areas to be run on no-profit-no-loss basis.

All the 31 multi-purpose units would be linked by 13 refrigerated vans for transport of agricultural produce of farmers, he said.

The chief minister said there would be washing, grading and packaging facility at each multipurpose cold storage unit besides an auction platform.

Land has been identified and the district magistrates have been asked to ensure commissioning of all the units within 60 days.

One such unit has been completed at Ranaghat in Nadia district and 30 other units would come up in 16 districts, except South 24-Parganas and South Dinajpur districts.

He said the state government would subsequently encourage PPP model in this area.

Ninety per cent of farmers in the state were in small and marginal category and they produced 85 per cent of total agricultural produce of the state, he said adding that 128 lakh tonne fruits and vegetables were produced by them last year, he said.

West Bengal State Marketing Board Chairman Naren Chatterjee said that South 24-Parganas and South Dinajpur districts are excluded at the moment due to non-availability of land.

Such projects in those districts would be considered when land would be available.