Hyderabad, Mar 12 (IANS): Our Food, a Hyderabad-based agri tech startup, announced on Friday that it has signed an MoU with the Telangana government to set up over 20,000 micro food processing units across the state.

These units will cover all the major crops grown in Telangana, especially focusing on rice, pulses, groundnut, millets, turmeric and chilli. The food processing equipment would be manufactured at Our Food's manufacturing facility in Zaheerabad.

This engagement will augment the process of setting up food processing units in the vicinity of the farms. Our Food has partnered with financial institutions to facilitate the setting up of the food processing units by potential rural entrepreneurs.

An investment of Rs 1,535 crore in these units is expected to generate a revenue of Rs 24,409 crore, a net profit of Rs 2,440 crore to the farmer franchises and up to Rs 4,881 crore the to farmers over a period of five years.

"This MoU will enable farm level processing, thereby benefiting farmers and unemployed youth," said Jayesh Ranjan, Principal Secretary, IT and Industries.