Indore: Over 15 new cold chains will be developed in Indore by next. The cold storage capacity of the region is expected to increase multifold by next year.Government had set a target of increasing cold storage capacity by about five lakh tonne in two years, but state horticulture department has received invest proposals for building the capacity of over 5 lakh tonne in just one year.Madhya Pradesh Cold Chain Industries Association president Hansmukh Jain Gandhi said, "Several new cold chains are coming up in Indore and neighbouring cities. There will be a huge influx of cold storages by next year in the region due to higher subsidy leading to overcapacity in the region."The state government offers 15 per cent additional grant or Rs 60 lakh of total cost of project for developing cold chain. This is in addition to 35 per cent grant by state horticulture mission for setting up of cold chains and storages.According to MP Cold Chain Industries Association, the region will see over capacity in coming years because agriculture production is not increasing at the pace cold chains are rising in the region."Over capacity of cold storages in the region will lead to losses to cold storage owners and squeeze the profit margins."Industrialists said that despite peak season, cold storages of Ujjain and Shajapur are still 25 per cent vacant due to lack of produce.They said that government should monitor locations where cold storages are coming and they should be spread out in wider areas to cater to even the smallest growing centre.Industrialists said that with a rise in overseas and outstation demand for agriculture commodities grown in the region, utilization of cold chains have reduced.A cold storage owner Rajiv Tuteja said, "Traders are selling potatoes in overseas market this season due to increased demand and better remuneration."

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