It certainly won't be in sighted individuals, and I doubt it can be adapted as you suggest in blind people. The visual cortex is quite specialized, and performs quite low-level image processing, e.g. detection of edges and corners, as well as movement. It does not do any object recognition. That's done elsewhere. For example, the fusiform gyrus is involved in facial recognition.

A good introduction to how the visual cortex works can be found in Eye, Brain, And Vision: http://hubel.med.harvard.edu/book/bcontex.htm