The Ministry of Food Processing Industry on 20th July 2021 has notified the initiatives taken by the Central Government for developing the food processing industry to promote value addition in the agricultural and allied sectors and reduce wastage.
The Ministry is implementing a Central Sector umbrella scheme- Pradhan Mantri Kisan Sampada Yojana (PMKSY) since 2016-17 for overall growth and development of food processing sector, mostly through private sector participation. Under the component schemes.
MoFPI provides credit linked financial assistance (capital subsidy) in the form of grants-in-aid to entrepreneurs for setting up of food processing / preservation industries with farm level infrastructure like primary processing facilities, collection centers etc. So far, 792 projects out of a total of 818 projects have been approved for setting up food processing Industries by the private sector with approved Grants in Aid of Rs 5791.71 Crores.
In order to further increase private sector participation in the sector, Government has taken three major initiatives this year. Firstly, Government has approved the introduction of “Production Linked Incentive scheme” for Food Processing Sector and secondly, with a view to extend incentives to the private micro food enterprises, Self Help Groups (SHGs), Farmer Producer Organizations (FPOs) and Cooperatives, spread all over the country, MoFPI is implementing centrally sponsored “PM Formalisation of Micro food processing Enterprises Scheme.