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2

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Production & consumption scenario of maize in Odisha 4

Odisha as an investment destination for maize processing 10

Doing Business in Odisha 19

3

Production & consumption scenario of m aize in Odisha

4

5

Odisha is a corn surplus state

• Sevendistrictscontributetoaround74%ofthetotalproduction

• Nabarangpurdistrictalonecontributestoaround30%shareintotalproduction

• Adoptionofhighyieldingvarietyseedscontributesto89%oftotalareaand93.3%ofthetotalproduction

• Almost92%ofthetotalmaizeisproducedinKharifseason

Area and Production scenario of major corn clusters of Odisha (2013-14 data)

NabarangpurKalahandiKoraputRayagadaKendujharKandhamalMayurbhanjOdisha Total

0.690.190.300.160.270.170.151.93

1.920.750.700.620.470.290.247.79

28.5%11.0%10.5%9.0%7.0%4.5%3.5%

73.8%

Area in Lakh HaDistricts Production in Lakh Tones % of total production

Source: Directorate of Agriculture and Food Production, Odisha

Maizegrowingdistricts

6

Area and production has been increasing over the last decade

Averagemaizeyieldincreasedfrom1.32tons/hain2004-05to2.78tons/hain2013-14

1.321.50 1.60

2.242.29 2.19

2.582.32 2.41

2.78

1.85

2.44

1.87

2.8

1.99

3.19

2.15

4.82

2.24

5.14

2.28

4.99

2.52

6.49

2.62

6.8

2.81

6.76

2.8

7.79

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14

Area(inlakhha) Production(inlakhtones) Productivity(inTones/ha

Source:DirectorateofAgricultureandfoodproduction,Odisha

7

Agro-climate of Odisha is suitable for corn production

Suitableagroclimaticconditions,availabilityofhighyieldingvarietiesandincreasingpricerealisationatfarmlevelhasapotentialofshiftingcultivationfromothercropstowardscorn

Agro-climatic factor Requirement Odisha

Soiltype

SoilpH

Rainfall

Temperature

Photoperiod

Fertilewelldrainedalluvialorredloamsfreefromcoarsematerialsandrichinnitrogen.

7to8.5

Annualrainfallof50-75cm

21°Cto30°C.

11.5to12.5hourperday

Source:FICCIreport-EmpoweringIndia-RedesigningG2Brelations,DirectorateofAgricultureandfoodproduction,Odisha

A number of seed varieties are used by Odisha farmers - based on maturity period

AgricultureDepartment,Odishaispromotinganddistributingthefollowingcertifiedhybridseedsundervariousprograms-

• PEHM-5,Deccan-103,Shakti,HQPM-1andNavjyot

Type Extra Early maturity Early maturity Medium maturity

Hybrid

Composite

Vivek27

D994 - -

Parkash,HIM129,X3342

HM9,Malviyahybridmakka2,DK701,DMH115,Pro345

Pro311,Bio9681,SeedTech2324,

PAC705

-

Late maturity

8

High potential for leveraging value addition opportunities

• About10unitsareinvolvedinflakemanufacturingandoilproduction

• Annualprocessingcapacityofanimalfeedisabout2.6lakhtonnes

• Thereishighpotentialforestablishingunitsproducingindustrialorconsumerproductssuchasstarchs,sweeteners,ethanoletc

Source:InteractionwithNabarangpurMandiSecretary,IFC’sMaizeValuechainReport

Given the production surpluses, the state caters to neighboring states as well• SurpluscornistransportedfromOdisha

toChhattisgarhWestBengal,AndhraPradeshandKarnatakaforvalueadditionandprocessing

• ChhattisgarhandAndhraPradeshhavemajorshareinimportfromOdisha

9

Post harvesting

Value added products are imported from other states

50%ofthecobsareshelledatvillagelevelandsoldtoaggregatorsatfarmgate

Around7lakhtonnesmaizeisproducedeveryyearinOdisha

Villagelevelaggregatorsatfarmgateselltowholesalerswhoforwardselltotradersandprocessors

Only48%surplustradedthroughRMCs

Onlyabout25%ofcornisutilisedforprocessingwithinthestateindicatingtheuntappeddomesticpotentialforsettingupofprocessingunits

Almost75%-80%ofproductionisexportedtoneighboringstates(WestBengal,ChhattishgarhandAndhraPradesh)forprocessing

Consumerbuysvalueaddedproductsprocessedoutsidethestate

Production Agri Marketing Agri Logistics ConsumptionProcessing&Value addition

10

11

Odisha as an investment destination

for maize processing

12

In addition to the production surplus, the state is well located to source off-season (rabi) raw material from surrounding production centres

• MajorproductionclustersofAPandChhattisgarharesituatedwithin500Kmradius.

• TheseStatescontributesto25%ofIndia’stotalcornproduction

• 92%productionofmaizeinOdishaisinKharifseason.70%ofmaizeinneighbouringstateisproducedinrabiseason,thusensuringyearroundsupply

The state is well connected to these centres through road and rail

Nabarangpur(majormaizeproductioncenterofOdisha)isaround270KmfromRaipur(CG)and300KmfromVisakhapatnum(AP)viaroad

Kharif Maize

Rabi Maize

AndhraPradesh

Bihar

Odisha

WestBengal

Jharkhand

Chhattisgarh

IndiaTotal

StatesProduction

(in Lakh MT

44.8

15.41

6.76

4.20

4.08

1.75

214.9

% ofProd.

20.9%

7.2%

3.1%

2.0%

1.9%

0.8%

Neighboring    State  

Maize  prod.  Centers  

Distance  from  Jeypore  (Nabrangpur  dist)    in  Kms  

Distance  from  Khurda  district  in  Kms  

Telangana  &  AP  

Karimnagar   533   1000  Warangal   457   930  Nizamabad   670   1120  Vijayawada   463   755  

ChhaCsgarh   Ambikapur   660   575  

Jharkhand  West  Singhbhum   765   400  

Palamu   828   734  

Bihar  

Begusarai   1056   856  Bhagalpur   1140   776  Purnea   1232   915  

WB   Dinajoor   1251   861  

13

Government of Odisha is keen on promoting private sector investments across the Maize value chain

DA&FP*-DepartmentofAgricultureandFoodProduction,OdishaISOPOM-IntegratedSchemeforOilseeds,Pulses,OilPalmandMaize

5 priority areas to facilitate private investment

Animalfeedprocessingunit

Valueaddedproductslike-cornflakes,popcorn,cornsweetenersetc.

Cornbasedstarchproducingunits

Cornoilunits Ruralwarehousingunits

• DA&FP*OdishaisincentivizingHybridMaizeCultivationbyprovidingincentivesupto50%ofcostoftheinputstohybridmaizegrowers

• CentrallySponsoredSchemeISOPOM(Maize)isimplementedtoprovidetrainingonbetterproductiontechnologiestofarmers

ProductionPost harvest handling, Logistics and warehousing

Processing and value addition

• TwodedicatedmaizemandiswithallfacilitiesestablishedinmajormaizeproducingareasUmarkoteandRaigarh

• AdditionalwarehousingcapacitywillbeaddedbyOSWCandRMCtobringstoragecapacityto~15000MT

• AgroProcessingSectorisidentifiedasoneoftheprioritysectorinIndustrialPolicyResolution2015andhenceiseligibleforvarioustaxincentivesandcapitalsubsidy*

• IncentivesarealsoavailableunderOdishaFoodProcessingPolicy,2013

Government support across the value chain

Source:AnnualactivityreportofAgricultureDepartment,GoO

14

Government of Odisha provides a number of incentives for investment in Maize

Other incentives

• GovernmentearmarkedlandwillbeallottedtoenterprisesatprevailingratesasprovidedbyGoOandIDCO• CapitalInvestmentsubsidytoenterprises@25%oftheprojectcostsubjecttoalimitofINR2crores(33%Maxupto

INR3croreforunitspromotedbywomen,SC&STentrepreneursandunitspromotedinKBK(Kalahandi,Balangir,Koraput)areas

• 5%perannumbackendedinterestsubsidyonworkingcapitalloanforfirst5yearsfromcommencementofoperationsoftheunitssubjecttoalimitofINR5lakhperyearfor5years

• ElectricityDutyexemptionforamaximum10yrs.fromdateofcommercialproduction• Reimbursementupto50%ofcostofqualitycertificationsubjecttoceilingofINR2lakh

TheDepartmentofAgriculture(DoA)hassetupdedicatedcentersformaizeprocurementatUmerkotandRaigharundertheNabarangpurRegulatedMarketCommitte.Thesecentersaremeanttoservefarmersandprivateplayerswithaccuratepriceandmarketinformationandfacilitatefairtransactions

ReimbursementofVATonMaizeusedforpoultryfeed

OdishaStateWarehousingCorporationissupportingentrepreneurstosetupwarehousesof2,500MTorlessunderOdishaPEGschemethroughPPPmodel

Source: IPICOL Website, MSME Department, Govt. of Odisha, APICOL

Industrial Policy Resolution (IPR), 2015AgroProcessingsectorisidentifiedasoneoftheprioritysectorsinIPR2015

FCI- Fixed Capital Incentive

Exemptionfrompaymentoflandpremium,leviableunderOLRAct,1960

EntryTaxexemption

Stampdutyexemption

VATexemption

Interestsubsidy

Power:ElectricityDutyexemption

Patentsregistrationcostreimbursement

Qualitycertification(ISO)chargesreimbursement

TechnicalKnow-howcostreimbursement

Incentive Provision

100%exemptionupto100acresand50%forbalancearea

1.100%onacquisitionofplant&machineryforsettingupofindustrialunits

2.100%ofFCIonpurchaseofrawmaterialsforaperiodoffiveyears

100%exemption

100%ofVATpaidfor7yearsofFCI

5%perannumontermloanfor5yearsavailedfromPFI’s/banksuptoINR1crore

100%Exemptionfromelectricitydutyfor5yearsforcontractdemandupto5MW

100%oftheregistrationcostuptomaximumofINR10Lakh

Renewalforconsecutive2yearsi.e.,foraperiodof3yearsat100%toatotalmaxi-mumofINR3Lakhs

100%oftheexpenditurewithlimitofINR1lakhforindigenoustechnologyandINR5lakhforimportedtechnology

15

And Odisha supports this positive business environment with excellent infrastructure

Source: Team Odisha website www.teamodisha.org, IPICOL

Advantage    Odisha  

Excellent  road    and  rail  network  

Robust  power    infrastructure  

Availability    of    

trained    human    

resources  

Well    connected    ports  

Land  parcels  earmarked  for  food  parks  

Availability  of    water  

Excellent road and rail network• 15nationalhighways

• RoadDensityof161Kmper100squarekmarea

• RailwaynetworkoftheSouthEasternRailwaysandtheEastCoastRailways

Well connected ports• 2major,2minorports

and4otherportsareinconstructionphase

• Portconnectedtobroad-gaugeandbyNationalHighway-5A

Efficient measures to meet industrial water requirement• Sufficientavailabilityofwaterresources

throughnaturalsources

• PresenceofHirakudreservoir&riverslikeTel,Mahanadicatertoindustrialwaterrequirement

Robust power infrastructure• Powersurplusstate

• 7296.3MWofinstalledcapacity

• 29powercompanieshavesignedMoUtosetupthermalpowerplantswithaninstalledcapacityof37,000MW

Availability of trained human resources• Technicaleducationis

impartedthroughqualityeducationalinstitutesandcolleges

• Stategovt.focusedonskilldevelopmentforMSMEsector

Land parcels earmarked for food parks• GoOisinprocessofsetting

up3megafoodparksandoneseafoodparkatstrategiclocationsinthestate

16

Doing Business in Odisha

17

Easier and faster approval process…

OdishaIndustriesFacilitationAct(OIFA)2004allowsallclearancesrequiredtostartandoperateanindustrythroughasinglepointwithinasettimeperiod

Source: www.investodisha.org

SWCA: Single Window Clearance Authority

Tostrengthentheinvestorfacilitation,theGovernmenthasconstituteddedicatedInvestorFacilitationCellsattheStateandDistrictlevels.Thekeyobjectiveistoguidetheinvestors,assesstheprojectproposalsforlandandutilityrequirementsandfollowupfortimelyapprovalsforestablishment&operationoftheunits.

Investment Facilitation Cell

MorethanINR50Crores

ChairedbyCMD,IPICOLandconvenedbyCGM/GM,IPICOL.

RepresentativesfromIDCO,SPCB,OPTCL,DoF&B,WaterResourceDepartmentandIndustryassociation

ChairedbytheGM,RIC/DICandconvenedbyAs-sistantManagerDIC/RIC.

RepresentativesfromIDCO,SPCB,DoF&Banddis-trictlevelindustryassociation.

Investmentsize

Structure

LessthanINR50crores

State Level facilitation cell District level facilitation Cell

18

Investment promotion and Investor facilitation for approvals

Industrial Promotion and Investment Corporation of Odisha Limited (IPICOL)

Promotion, establishment and operation of industries in the state

Industrial Development Corporation of Orissa Limited (IDCOL)

Financial support and subsidy for promotion and development of agro-based and food-processing industries.

Agricultural Promotion and Investment Corporation of Orissa Limited (APICOL)

Financial assistance to small and medium scale industries

Provides soft loans and margin money for rehabilitation of sick industrial units

Land acquisition

Infrastructure Development

Project construction

Industrial promotion

Orissa Industrial Infrastructure Development Corporation (IDCO)

Export promotion of goods from Odisha

Marketing assistance to SSI units of the state

Aiding and assisting SSI units in the state for their sustained growth and development

Orissa Small Industries Corporation Ltd (OSIC)

Facilitation of business in pisciculture in brackish water areas, freshwater ponds and other water sources.

Orissa Pisciculture Development Corporation Limited (OPDC)

Industrial promotion facilitators

19

20Developed under Odisha Inclusive Growth Partnership (OIGP)

Come. Invest. Grow.

Industries DepartmentGovernmentofOdishaBhubaneswar-751001,Odisha,IndiaTel:+91-674-2536640/2390253,Fax:+91-674-2536819/2394051Email:indsec@ori.nic.in,Website:http;//orissa.gov.in/industries/index.htm

Industrial Promotion & Investment Corporation of Odisha Limited (IPICOL)(TheSecretariatofTeamOdisha)(AnISO9001:2008CertifiedInvestmentPromotionAgency)IPICOLHouse,Janpath,Bhubaneswar-751022,Odisha,IndiaTel:+91-0674-2542601/03,2542607-08,Fax:+91-0674-2543766E-mail:info@investodisha.org,indsec.or@nic.in,Website:www.investodisha.org

Odisha Industrial Infrastructure Development Corporation (IDCO)(Govt.ofOdishaundertaking)IDCOTower,Janpath,Bhubaneswar–751022,Odisha,IndiaTel:+91-674-2540820/2542784,Fax:+91-674-2542956Email:cmd@idco.in,Website:www.idco.in

Odisha Investment and Export Promotion Office (OIEPO)OfficeoftheChiefResidentCommissioner,Govt.ofOdishaOdishaNiwas,4–BordoloiMarg,Chanakyapuri,NewDelhi-110021,Tel:+91-11-23014250,Fax:+91-11-23010839Email:oiepo.teamorissa@gmail.com,rc.odisha@gmail.comWebsite:www.oiepo.teamorissa.org

Directorate of IndustriesKillaMaidan,Cuttack-753001,Odisha,IndiaTel:+91-671-2301892,Fax:+91-671-2307331Email:diorissa@nic.in,Website:http://ws.ori.nic.in/diorissa

The Agricultural Promotion & Investment Corporation of Odisha Limited (APICOL)(AwhollyownedcorporationoftheGovernmentofOdisha)DepartmentofAgriculture326,Baramunda,Bhubaneswar–751003,Odisha(India),Tel:0674-2354125,Fax-0674-2354006Email:apicol96@yahoo.com/info@apicol.co.in,Website:www.apicol.co.in