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Production scenario
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Production scenario
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Odisha is among top 5 States in area and production
of rice
Area in Production Percentage
Yield in Percent
State million ha (in million contribution
tonnes/ha contribution to
tonnes/ha) to National
National acreage
production
Source- Indiastat, Department of Agriculture and Cooperation, Directorate of Agriculture and Food Production, Odisha
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Rice production in Odisha has steadily increased over
the last decade
• Area under HYV paddy is increased from 2.63 million ha in 2001-02 to 3.47 million ha in 2012-13
which is around 86% of the total cultivated area uder rice. Swarna, Swarna Sub-1 and Shankar are the
widely cultivated paddy varieties in Odisha
• Out of the total area under paddy cultivation 51.07% Mayurbhanj 4.2 5.6%
of area is under irrigation. Nabarangpur 4.2 5.5%
Subarnapur 4.2 5.5%
Sundargarh 4.1 5.4%
Sambalpur 3.2 4.2%
Source- Directorate of Agriculture and Food production, Odisha
Total 40.1 52.7 %
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More than 90% of rice is produced in Kharif season
• Only 8-10% of the total rice is produced in Rabi season
• Five districts contribute more than 70% of the Rabi production
Bargarh 31.96%
Balasore 11.42%
Subarnapur 10.64%
Puri 10.54%
Kalahandi 10.05%
Major districts producing rabi rice
Total 74.61%
The table below shows the season wise data of area, production and varieties cultivated
Kharif
Autumn (Upland rice) 13.9 10.3 June September Kalakeri, Kulia, Dular, Heera,
Annada, Shatabdi, Kalinga III, Parijat,
Pathara, Sidhanta
Rabi
Hybrids like Ajay, Rajalaxmi,
Summer rice (irrigated) 6.8 9.1 Jan- Feb May-June KRH-2, PHB-71, PA 6201, PA
6444, PA 6129 and Sahyadri
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A snapshot of Rice value chain in Odisha
Farmers sell Wholesalers work Around 95% rice Govt. distribution Government
grain to local through licensed mills in state custom agencies procure procured rice
collectors/ traders or commission mill for government custom milled is distributed
co-operatives agents procurement rice from millers through fair
or traders. Mandi wholesalers Rice milling is carried Retailers purchase price shops.
and their commission out in small and through traders Better-quality
agents sell grain to medium size rice mills from the mandi rice sold in
millers and retailers which are huller mills wholesalers in retail shops is
where recovery is 58% larger towns & imported from
only cities and sell it to other states in
local villagers. India.
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Role of various government agencies in procurement and
distriution of rice
PACS- Primary Agriculture Cooperative Society OSCSC- Odisha Civil Supplies Corporation Ltd.
WSHG- Women Self Help Group MARKFED- Odisha State Cooperative Marketing Federation Limited
PP- Pani Panchayats NAFED- National Agricultural Cooperative Marketing Federation of India
RMC- Regulated Market Committee TDCC- Tribal Development Cooperative Corporation of Odisha Ltd.
PPCs- Paddy Purchase Centres
Source- Directorate of Agriculture Corporation GoI, FS & CW Department, GoO, OSCSC, Global Agri “Odisha Agribiz sector scan”;
Interaction with local millers
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Investment
opportunities in
rice value chain
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Government of Odisha is keen to promote private sector
investments across the rice value chain
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State Government has identified 4 priority areas to
facilitate private investment
Other
germ Rice Other
Rice waste For better bran germ
bran 15% Paddy 5% waste
conversion Husk 4%
4%
ratio there 23%
Fine
Rice
is a need for
up gradation Fine
54% Rice
of traditional 68%
Paddy rice mills to
Husk
27% modern mills
Output of traditional
Traditional Rice rice
Millmills Output of modern
Modern rice mills
Rice Mills
Incentive-Capital subsidy upto 25% of the cost of plant & machinery and technical civil works subject to a
maximum of Rs.50 lakhs in general areas
• Capital Investment subsidy to enterprises @ 25% of the project cost subject to a limit of Rs.2 crores (33% Max
up to Rs. 3 crore for units promoted by women, SC & ST entrepreneurs and units promoted in KBK (Kalahandi
Balangir Koraput) areas
• 5% per annum back ended interest subsidy on working capital loan for first 5 years from commencement of
operations of the units subject to a limit of Rs. 5 lakh per year for 5 years
• Electricity Duty exemption for a maximum 10 yrs. from date of commercial production
• Exemption on entry tax on plant and machinery and balancing equipment procured by MSMEs
Incentive Provision
Exemption from payment of premium, leviable 100% exemption upto 100 acres and 50% for balance area
under OLR Act, 1960
1.100% on acquisition of plant & machinery for setting up of industrial units
Entry Tax exemption
2. 100% of FCI on purchase of raw materials for a period of five years
Interest subsidy 5% per annum on term loan for 5 years availed from PFI’s/ banks up to Rs 1 crore
Power: Electricity Duty exemption 100% Exemption from electricity duty for 5 years for contract demand up to 5 MW
Patents registration cost reimbursement 100% of the registration cost up to maximum of Rs.10 Lakh
Renewal for consecutive 2 years i.e., for a period of 3 years at 100% to a total maxi-
Quality certification (ISO) charges reimbursement mum of Rs 3 Lakhs
Technical Know-how cost reimbursement 100% of the expenditure with limit of Rs 1 lakh for indigenous technology and Rs. 5
lakh for imported technology
Incentive-Under Capital Investment Subsidy for Commercial Agri Enterprises (CAE), APICOL provides subsidy
up to 40% of the fixed capital excluding the cost of land) subject to a limit of INR 50.00 lakh (50% limited to
INR 50.00 lakh for SC/ ST/Women/ Graduate of Agriculture and allied discipline)
Condition- Integrated Rice Mill having minimum investment of 1 Crore in machineries. The relevant
machinery will be approved by the SLTC.
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And Odisha supports this positive business environment with
excellent infrastructure
Excellent road and rail network Robust power infrastructure
• 15 national highways • Power surplus state
• Road Density of 161 Km per 100 • 7296.3 MW of installed capacity
square km area • 29 power companies have signed MoU
• Railway network of the South Eastern to set up thermal power plants with an
Railways and the East Coast Railways installed capacity of 37,000 MW
Land
parcels
Efficient measures to meet Availability
of
earmarked
for
Land parcels earmarked
industrial water requirement water
food
parks
for food parks
• Sufficient availability of water resources • GoO is in process of setting
through natural sources up 3 mega food parks
• Presence of Hirakud reservoir & rivers like and one sea food park at
Tel, Mahanadi cater to industrial water strategic locations in the
requirement state
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Doing Business
in Odisha
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Easier and faster approval process…
Odisha Industries Facilitation Act (OIFA) 2004 allows all clearances required to start and operate an
industry through a single point within a set time period
Investment size More than INR 50 Crores Less than INR 50 crores
Structure Chaired by CMD, IPICOL and convened by CGM/ Chaired by the GM, RIC/DIC and convened by As-
GM, IPICOL. sistant Manager DIC/RIC.
Representatives from IDCO, SPCB, OPTCL, Representatives from IDCO, SPCB, DoF&B and dis-
DoF&B, Water Resource Department and Industry trict level industry association.
association
Source: www.investodisha.org 17
Investment promotion and Promotion, establishment and
Investor facilitation for operation of industries in the
approvals state
Industrial
promotion
facilitators Industrial Promotion Industrial Development
and Investment Corporation of Orissa
Corporation of Odisha Limited (IDCOL)
Limited (IPICOL)
Land acquisition Financial support and subsidy for Financial assistance to small and
Infrastructure Development promotion and development of medium scale industries
agro-based and food-processing Provides soft loans and margin
Project construction
industries. money for rehabilitation of sick
Industrial promotion
industrial units
Facilitation of business in Export promotion of goods Aiding and assisting SSI units
pisciculture in brackish water from Odisha in the state for their sustained
areas, freshwater ponds and Marketing assistance to SSI growth and development
other water sources. units of the state
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Industries Department
Government of Odisha
Bhubaneswar- 751 001, Odisha, India
Tel: +91-674-2536640/2390253, Fax: +91-674-2536819/2394051
Email: indsec@ori.nic.in, Website: http;//orissa.gov.in/industries/index.htm
Directorate of Industries
Killa Maidan, Cuttack-753 001, Odisha, India
Tel: +91-671-2301892, Fax: +91-671-2307331
Email: diorissa@nic.in, Website: http://ws.ori.nic.in/diorissa