NEW DELHI: The Central Government Approved 1,646 Food Processing Projects Worth Rs.31,830 Crore Under PM Kisan Sampada: The Ministry of Finance announced on Saturday (January 18, 2025) morning that a total of 1,646 food processing projects, including food testing laboratories and research and development initiatives, have been approved under various components of the PM Kisan Sampada Yojana.

As of December 18, 2024, these projects are valued at Rs.31,830.23 crore and are expected to attract private investments amounting to Rs.22,722.55 crore.

The Ministry of Food Processing Industries (MoFPI) has been implementing the Pradhan Mantri Kisan Sampada Yojana (PMKSY) since 2016-17. These projects are designed to establish processing and preservation capacities of 428.04 lakh metric tons annually, generate 13.42 lakh jobs, and benefit approximately 51.24 lakh farmers.

To boost the agricultural and food processing sectors, the government has reiterated its commitment to fostering both private and public investments in post-harvest activities. These include aggregation, modern storage solutions, efficient supply chains, primary and secondary processing, marketing, and branding. The initiative also aims to enhance the export of processed foods by building modern infrastructure and ensuring effective supply chain management from farms to retail outlets.

PMFME Yojana: A Boost for Micro Enterprises

The PM Formalisation of Micro Food Processing Enterprises (PMFME) Yojana, a centrally sponsored initiative launched in 2020-21 by MoFPI, supports micro food processing enterprises with financial, technical, and business assistance. It is the first scheme designed specifically for the unorganized sector.

Under this scheme, over 3.10 lakh Self-Help Groups (SHGs) have received seed capital support, and 1,14,388 individuals have been approved for credit-linked subsidies as of December 18, 2024.

Budget 2024-25: New Focus on Food Irradiation Units

The Ministry of Finance also provided updates regarding the financial support for establishing 50 multi-product food irradiation units in the MSME sector, a measure announced in the 2024-25 Union Budget.

In August 2024, the government invited proposals for these units under the Integrated Cold Chain and Value Addition Infrastructure Scheme of PMKSY through an Expression of Interest (EOI). So far, 20 project proposals have been submitted and are currently undergoing evaluation in line with the scheme guidelines.

Progress Under PLI Scheme for Food Processing

Additionally, the Ministry of Finance highlighted the progress under the Production Linked Incentive (PLI) scheme for the food processing sector. As of now, 133 companies are part of the programme, and Rs.8,910 crore in investments have been secured.

Incentives totaling Rs.1,084 crore have already been disbursed to 85 eligible beneficiaries under the scheme.