The Karnataka State Agricultural Produce Processing and Export Corporation Ltd (KAPPEC) is in the process of developing a chain of fruit and vegetable processing units at select locations in the state.

KAPPEC is setting up these units at Belgaum and Kolar on PPP mode at a combined investment of Rs 100 crore. The cold chain facility at Belgaum consists of pack house, pre-cooling unit, cold storage and allied activities with a storage capacity of 500 tpd and the multi-fruit and vegetables processing unit at Kolar is likely to have a capacity of 600 tpd which will mainly process mango and tomato.

At least 15 companies responded to the EoIs for the project. KAPPEC has awarded the contract to Belgaum based Belgaum Agri for establishing an integrated cold chain at Belgaum and New Delhi based Jai Hind Agro for establishing mango and tomato multi-fruit processing unit at Kolar.

KAPPEC board has already approved the proposal to take equity in both the projects and the final approval from the Karnataka Government is awaited. KAPPEC is likely to take 30 per cent equity in the Belgaum project, which will have an investment of Rs 5 crore and 49 per cent equity in the Kolar multi-fruit processing unit, which is expected to have an investment of Rs 93 crore.

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