Congelados De Navarra is a USD 220 million company that has pioneered the individually quick frozen (IQF) technology. It is into processing of vegetables, fruits, herbs and ready-made pre-cooked dishes.
In the JV, IFFCO will have 30 per cent stake while Congelados De Navarra will have the remaining 70 per cent stake, he added.
"The joint venture company will invest 40 million Euros (about Rs 325 crore) to set up a greenfield food processing unit. The foundation stone of this plant would be laid in December and work would be completed in 18 months," Awasthi said.
The proposed plant will source produce like potatoes, peas and cauliflower from farmers and then process them for sale in domestic and exports market.
The IFFCO's MD said it was a logical step for the co-operative to get into the food processing business for the benefit of farmers.
This would contribute in the government's goal to double farmers income by 2022, he added.
"At ?IFFCO, we? have always taken steps to enhance the life and income of farmers. Fertilisers, insurance, agri-chemicals, farm forestry, agri-retail, rural telecom, farmers training to now food processing," Awasthi said.
IFFCO said this new facility would generate 400 direct and 5,000 indirect local jobs in Punjab.
A memorandum of understanding has been signed between Rajat Agarwal, CEO, Punjab Bureau of Industrial Promotion, Rakesh Kapur, Joint MD, IFFCO and Berito Jimmez, Director General, Congelados De Navarra of Spain for this project.
The pre-feasibility study for the project by Congelados De Navarra has already been completed.
Delhi-based Indian Farmers Fertiliser Cooperative Limited (IFFCO) has 35,000 member societies in its fold. The cooperative posted a turnover of Rs 20,787 crore during last fiscal. It produced nearly 8 million tonnes and sold 10.3 million tonnes of fertilisers during 2017-18.
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