An action research was initiated by establishing an agro-processing centre (APC) at Takula village in the Almora district to develop entrepreneurship in unemployed educated youth. It has been found that APC could result in value-addition, processing and providing a regular source of income. The location of the APC was decided on the basis of availability of raw material, infrastructure and market. The selected entrepreneurs had most of the qualities of a good businessman. Initial investment in establishing an APC was Rs 250 thousands. After running the APC for almost two years, the average operational cost was Rs 3,50,686 and total return was Rs 4,34,913/- per year. Economic indicators, viz. net present value (Rs 3,59,815), internal rate of return (36.2%), benefit cost ratio (1.39) and pay back period (2.8 years) have revealed that APC can be a very good option for investment. Forward and backward linkages have been established and a fair degree of direct (2.5 FTE) and indirect employment have been generated. The APC has also generated farmers’ interest in adopting new varieties and modern agro-techniques for enhancing yield, marketable surplus and income. The study has suggested replication of APC in other regions by taking proper care in selection of entrepreneur and location of the APC for a successful venture.
