A discussion on a roadmap of how banks can be attracted to this sector was held on Friday at a one-day seminar held by the National Bank for Agriculture and Rural Development (NABARD). This was the first time that NABARD organised a brainstorming session of bankers, voluntary organisations working in the field of agriculture and government officials to convince banks to provide capital for agro processing industries.

While Deshmukh could not make it for the inauguration of the seminar, S D Nandawate, director of agro processes and agri business (Maharahstra) read out Deshmukh’s speech on his behalf.

The speech stated ‘although Maharashtra is a leading state in production of horticultural crops, sugarcane and fruits, the processing infrastructure for most of these products is either inadequate or not being utilised to the desired extent.’

Sukhbir Singh, chief general manager, NABARD cited that the food processing industry has capital of about Rs 2,000 crore per annum.

“The commercial banks that finance agro-based projects contribute only 22 per cent of the investment required for food processing industries,” he said.