Rio calls for production-driven economy

DIMAPUR, JUN 8 (NPN): In a significant push towards industrialisation, value addition and entrepreneurship development, chief minister Neiphiu Rio on Monday inaugurated the Incubation Centre for Food Processing at the State Industrial Area, Toluvi, and virtually launched three other facilities established under the Special Assistance to States for Capital Investment (SASCI) 2024-25.
The projects include the Incubation Centre for Entrepreneurs and infrastructure development at Industrial Growth Centre, Ganeshnagar, Chümoukedima; Incubation Centre for Food Processing at Tuensang, and Modern Aggregation Centre at Longnak, Mokokchung.
Addressing the gathering after unveiling the plaque and inspecting the facility, Rio said that with nearly 70% of Nagaland’s population dependent on agriculture, the state must prioritise agro-based industries.
He maintained that while large-scale industries remained difficult due to logistical constraints and high input costs, food processing and other small-scale industries offered a practical and sustainable route for economic growth.
Describing Nagaland as a largely consumer state dependent on imports, Rio said the new facilities could help initiate a gradual shift towards a production-oriented economy by promoting value addition, reducing wastage and generating employment opportunities.
Referring to products showcased during the programme, including locally processed mustard oil and other agri-based items, Rio said these were indicators that the state was moving in the right direction.
He lauded the Industries and Commerce department for implementing projects that aligned with the national vision of a “Viksit Bharat”.
The chief minister stressed that infrastructure alone would not guarantee success and called for stronger linkages between farmers and processing units. He said organised farming, contract farming, soil testing and adherence to quality standards were essential, particularly for products targeting export markets.
Rio also stressed the need for a change in mindset among the youth and expressed concern over the large number of registered unemployed in the state. He pointed out that while thousands continue to seek government jobs, participation in private sector opportunities and skill-based employment remains low. Citing the recent job fair in Kohima, he noted that only a small percentage of the over 72,000 registered unemployed youth had applied, attended interviews, or secured jobs.
Observing that the public sector could no longer absorb the growing number of job seekers, Rio said excessive dependence on government employment was unsustainable. He urged young people to embrace entrepreneurship, self-employment and skill development, particularly in sectors such as food processing, trade and small-scale enterprises.
He highlighted schemes such as the Chief Minister’s Micro-Finance Scheme, which provides financial support for aspiring entrepreneurs.
Advisor for Industries and Commerce, Hekani Jakhalu, described the inauguration of the four centres as a milestone for the department, noting that it was perhaps the first time such projects had been completed and launched on schedule simultaneously. Presenting a PowerPoint presentation, she highlighted the importance of food processing as a link between agriculture and manufacturing, stating that it adds value to farm produce, generates employment, reduces wastage and strengthens the economy.
Citing national estimates, Jakhalu said nearly 40% of agricultural produce is lost due to inadequate processing and storage facilities, and stressed that modern processing units could significantly reduce such losses. However, she pointed out challenges including inconsistent raw material supply, shortage of skilled manpower, lack of working capital, inadequate branding and packaging, and deficiencies in road and power infrastructure.
She informed that the four centres were being implemented as pilot projects based on value-chain analyses and local crop potential. She also presented projections indicating that the Toluvi unit alone could enhance farmers’ income, promote production of high-value products and create employment opportunities.
Advisor for Food Processing and SCERT, Achumbemo Kikon, expressed gratitude for the establishment of the facilities and outlined a framework for the sector based on the “Six Ps” — Production, Processing, Preservation, Packaging, Pricing and Patenting. He said that while food processing has long existed in Naga households through traditional practices, the present initiative aims to transform it into an organised and market-driven industry.
Kikon stressed that production remained the foundation of the entire ecosystem and cautioned that the processing units would not be viable without adequate and consistent agricultural output. He urged farmers and communities to combine traditional knowledge with modern techniques to build a sustainable and competitive food processing sector.
The programme was chaired by Industries and Commerce director P. Tokugha Sema, while Industries and Commerce secretary Kumar Ramnikant delivered the welcome address and invocation offered by pastor Toluvi Ghami Baptist Akukhuhou, V Atoshe Awomi. Several ministers, advisors, MLAs and senior officials attended the event.