Potato flakes processing unit in West Bengal uncertain

The ministry had decided to set by special purpose vehicles (SPVs) for executing the proposals of mega steel plants

The future of the West Bengal government's proposed potato flakes processing unit at Sheoraphuli in Hooghly district seems to be uncertain with no private company ready to invest in the facility so far, a senior government official said here today.

"There is a doubt about the viability of the entire potato flakes processing project," Agriculture and Agricultural marketing Secretary, Subrata Biswas told PTI here today.

"Though the state government is ready to provide subsidy in the project, we are yet to find a private company," Biswas said. Asked about the future of the project in such a scenario, Biswas said that the state would wait another six months or a maximum period of one year before abandoning it. "We are still exploring other avenues. So, the scheme is still open....But we will wait for a period of six months or a maximum of up to one year... If nobody comes by then, we have to abandon the project," Biswas said.

Incidentally, Agriculture & Processed Food Products Export Development Authority (APEDA) chairman Santosh Sarangi today asked Agricultural Marketing minister Arup Roy to ensure a mechanism to expedite funds it had alloted to the project.

"I would like to request the state government to expedite a mechanism to use our funds in this regard," Sarangi said speaking at an interaction on agri-export issues at the Indian Chamber of Commerce where Roy was also present. The APEDA provided a financial assistance of Rs 8 crore in the Rs 38-crore proposed project at Sheoraphuli. The funds provided to the state for the potato flakes processing unit were yet to be used, Sarangi said. "This is not the case with West Bengal only, most eastern states like Bihar, Jharkhand and Odisha have failed to utilise the funds ... And if fund remains not utilised APEDA will not be able to provide funds in the future," he said. Meanwhile, asked how the state planned to use APEDA's funds if the proposed project was abandoned, Biswas said it would be channelised into other projects. "If the proposed potato flakes processing unit is abandoned the funds would be used in other projects like packaging houses or setting up of cold chain projects," Biswas added.