Date:23/06/2005 URL: http://www.thehindubusinessline.com/2005/06/23/stories/2005062300331000.htm

Back Beckons plans Rs 87-cr farm project

Our Bureau

Mumbai , June 22

BECKONS Industries Ltd (BIL) has announced that it is exploring the possibilities of entering into production and marketing of value-added agri produce such as cherry tomato and capsicum produced in controlled temperature of greenhouses.

The proposed project may yield around 4,000 tonnes of capsicum and 4,500 tonnes of cherry tomatoes per annum using hybrid vigor technology.

"This project will be 100 per cent EOU situated at Derra Bassi (Punjab)," Mr Gurmeet Singh, Managing Director, BIL, told Business Line.

Negotiations are on with a reputed international company, and the company would provide performance guarantee of around Rs 20 crore per annum in addition to responsibility of marketing and provide guarantees of success by indemnification, he said.

The total cost of project would be around Rs 87 crore. Of which, about Rs 72 crore would be arranged as debt from Technology Development Board (TDB) and other financial institutions. The foreign company would pick up 48 per cent valued at around Rs 15 crore and the balance equity through the company and its associates, a release said.