Construction work at the upcoming food park at Nilakuthi near Imphal in Manipur has been stalled due to over-expenditure and lack of coordination among various government departments. Upon completion, this state government-funded project will assist food processing SMEs in the state in establishing their units at the food park.
Construction of the proposed food park began last year with an estimated investment of Rs 31.07 crore. However, the project was delayed due to irregularities that ensued soon after local sub-contractors were hired for the completion of the project. In addition, unprecedented cost escalation slowed down construction work at the proposed site.
SMEs disappointed
The postponement of the project has disappointed SMEs across North East India who were counting on the project to enhance their business prospects. “Food parks like these are required to boost the neglected food processing industry of the region. The Nilakuthi Food Park will provide an impetus to SMEs engaged in the food and beverage (F&B) sector in the area and should therefore be completed as per schedule,” says Siddharth Chakraborty, Sales Manager, Akash Food Products, a small-sized food manufacturing company in Guwahati, Assam.
A team from the Planning Commission had visited the proposed site for the food park project in September last year. In its review, the team had emphasised the need for better departmental coordination to expedite the construction work at the site. It had also suggested measures to curb additional project costs.
“Manipur Food Industries Corporation (MFIC) and the state commerce and industries department need to get their act together to avoid delay in the construction of this food park. Considering the significance of this project in stimulating the food processing industry and the small and mid-sized players engaged in it, the government should take the necessary steps to avert further postponement,” says James Ryenjah, Senior Marketing Manager, RR Foods, a small-sized food company in Imphal.
Although the state government is looking into the matter, small players in Manipur’s F&B segment are uncertain about the fate of the project.
Shubhomita Bose |
