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Spices Park - Rae Bareli, Uttar Pradesh

Last updated on 19-01-2015, 13:32


Japanese Mint and its products are one of the major items in the export basket of Indian Spices. Being Uttar Pradesh is the leading producer of Mint, the Board had proposed to establish a Spices Park for the higher end proce ssing and value addition of Japanese Mint with total backward integration in the State. The cluster of four districts like Rae Bareli, Barabanki, Lucknow & Sitapur which are neighboring, to each other accounts a major share of total Mint production in the State and hence by considering the concentration of Mint cultivation in this region, the Board had proposed to establish the Spices Park for Mint at Rae Bareli.

Even though Uttar Pradesh is the major producer of Mint, the processing facilities available are only for the distillation, which is the primary level processing. Moreover, many farmers are using very crude method of distillation, which is affecting the quality of the mint oil. Therefore, in order to provide the infrastructure facilities for processing of Mint from primary level to higher end processing, the concept of the Spices Park has been derived by the Board.In view of the above, the Board had approached the Government of Uttar Pradesh to allot land to Spices Board free of cost for establishing the Spices Park project for the benefit of the farming community in the State. Since the policy of the Government of Uttar Pradesh is not supporting to allot land free cost, Government had decided to allot 11.60 acres of land at Sadar Tahsil of Rae-Barely at a nominal cost to the Board for the establishment of the Spices Park project. Immediately after the allotment of the land, the Board had submitted the proposal to Department of Commerce and the project was approved under ASIDE with a total financial outlay of Rs.19.00 Crs, in which the ASIDE contribution is Rs.15.00 cr.

Components of the Project

The major components of the project to achieve the objectives are identified through the consultation with Stakeholders, other Government Organizations involved in the betterment of the Mint Industry and a detailed project report were formulated for the project. The major components included in the Spices Park project at Rae Bareli are as follows

1. Agronomy Service for extending mint cultivation:

The Park intends to identify the potential mint growing areas in the impact zone and surrounding districts of Central, Eastern UP. Expansion of the area of cultivation will lead to increased production and productivity of mint and mint oils, which can then be the input for high end processing facilities in the park. Private Participation model can be developed for the running / management of the Agronomy Services. Alternatively, the participation of the State Agricultural University or Central Institute of Medicinal and Aromatic Plants (CIMAP) can also be considered for running the facility.

2. Field Distillation Units

One of the major problems facing by the farming community is the lack of scientific distillation units at field level. Currently the mint farmers use the locally fabricated iron distillation units to distill the mint leaf. Since the stainless-steel unit requires high investment, the farmers left with the only option of distilling the mint in sub standard distilleries and thus produce low quality mint oil. If sufficient stainless steel distillery units are provided near to the producing centers or to their door step through the service of mobile units will enhance the quality of the Mint oil produced and thereby the farmers will get a premium price. Hence it is the high time to establish sufficient scientific distillation units in the impact zone of the Spices Park project. In this background, it has been decided to establish 2-3 distillation units in each of the districts covering the impact zone of the project by forming the Small Farmers Groups (SFG) consists of 15-20 members in different location. The field distillation units will be established in association with these SFGs. The entire cost of the distillation unit will be met by the Board. The SFG has to provide the land for establishing the facility and the installation charges are also met by the Farmers. Once the unit is established, the SFG will be the operator for the facility. Such facility can be utilised by the farming community in that region. In order to establish the Field Distillation units M/s. Fragrance & Flavors Development Centre (FFDC), Ministry of MSME, Government of India, Kannauj, is the technical partner of the Board

3. Menthol Processing Unit

The Mint Park is meant for processing of Mint oil. Hence it is proposed to provide common infrastructure facilities for scientific processing of mint oil to mint products within the Park. The mint park envisages a centralized unit to process mint products and ingredients. Since there is no menthol manufacturing facility in the region, putting up a facility in the Mint Park will provide an assured market to the farmers in the region to cultivate more Arvensis. Leading exporters/manufacturers located in other regions or prospective entrepreneurs can become the partners for establishing and running such units in association with the Board

4. Quality QA/QC & Regulatory Services

It is proposed to create a center of excellence backed with technology and agronomy support in the heart-land of the mint country. A centralized laboratory has been established in the Mint Park to support the mint farmers to test the basic parameters and purity of the mint oil

5. Electronic Trading & Arvensis Mandi (Spot Market)

The introduction of Spot and future for Mint changed a lot in the price pattern of the produce. Analysis of production trends, supply chain and marketing practices in Arvensis oil reveals that, farmers in general and small farmers in particular are unable to realize fair price for their output. The farmers are exposed to many uncertainties as regards to their production, marketability and price realization. While the production is highly sensitive to weather conditions and other extraneous factors, the price realization greatly depends on the farmers’ financial position to store them for meeting the off-supply season demand which optimises prices in their markets. Hence it is proposed to provide support for developing an electronic trading / market access through Commodity Exchange for mint oils and ingredients in the Impact Zone.  The electronic trading centre and Arvensis mandi (Spot Market) can be implemented in collaboration with MCX/ NCDEX.

Infra structure facilities established in the Park

1. Basic Infrastructure

  • Network of wide roads
  • Developed plots with compound walls
  • Sewerage and Drainage Network
  • Security System

2. Quality Evaluation Lab

3. Building for establishing E-Trading of Mint oil

4. Farmers Interaction Centre

5. Training Hall

6. Park Administration Office

7. Other facilities envisaged

  • Bank & ATM Office Counter
  • Canteen facility
  • Facility for establishing Commercial shops
  • Guest House

(Full view of the Project Area)

(Front View of the Park)

(View from inside)

(Inside the Park)

(Park Administrative Building & Training Centre)

(Quality Evaluation Lab & facility for Trading Centre)

(Other Common facilities Established: ATM Counter)

(Canteen & Commercial Space)

8.Warehousing facilities established

(Warehousing facilities Side View)

(Warehousing facilities Inside View)

8.1 Demo Distillation Unit established in the Park

In continuation with the concept for developing the field distillation units in the impact zone of the Spices Park project for the distillation of the Mint leaf, it has also been decided to establish a Model Distillation Unit within the Park. The Purpose of installation of the distillation units is not for any commercial purpose and it will be the Demo Unit in the Park. M/s. FFDC, the technical Partner of the Board had established the Demo distillation Unit in the Park.

(Demo Distillation Unit established in the Park)

8.2 Field Distillation Units

The Board has established two field distillation units in Rae Bareli District of Uttar Pradesh by forming Small Farmers Groups (SFG) in addition to the Model demo unit installed at the Park through the technical consultant M/s. FFDC, Kannuaj. The first distillation unit has been established to the SFG headed by Mr. Shiv Shankar at Bahadurpur Village of Rae Bareli. The distillation unit supplied to them has been installed and the same is working fine. The members in the SFG are utilizing the facility for distillation of their produce as well as the produce of the neighboring farming community. The second distillation unit has been allotted to the SFG headed by Mr. Ramesh Kumar at Manigavan Village of Rae Bareli.

(Distillation Unit at Bacharavana)

(Distillation Unit at Gaganganl)

8.3 Establishment of Mint Processing Units

The Board is in the process of identifying suitable partners to establish a Mint processing unit in park.

8.4 Leasing of Land

The Board has completed the process of allotting the available land in the Park to private entrepreneurs to establish Mint/Spice processing Units in the Park. The details of the land allotted to the private entrepreneurs are given below.

Firm Plot Number Area (acres) Status
M/s. APSP Export 1 & 2 0.686 Registration Completed
M/s. Ushankar Products LLP 6 & 7 1.150 Registration Completed

8.5 Establishment of QC Lab

The Board has completed the establishment of QC Lab in the Park. Testing mint oils has been commenced on trial basis. Steps are also initiated to appoint technical Analysts for commencing operation of QC Lab. The mint farmers in that region can make use the facility for testing the Mint Oils and its purity so as to ensure better price for their produce.