31 JUL 2025 | New Delhi
The Ministry of Food Processing Industries (MoFPI) is actively working to boost the food processing industry in India through various schemes that not only improve infrastructure but also create jobs and reduce food waste.
Three Main Schemes Driving Growth
MoFPI is running three major schemes to support different sizes of food processing businesses:
- Pradhan Mantri Kisan Sampada Yojana (PMKSY)
- Period: 2021–2026
- Total Outlay: ₹5,520 crore
- Projects Approved: 1,601
- Focus: Provides financial help for setting up processing and cold storage units.
- PM Formalization of Micro Food Processing Enterprises (PMFME)
- Period: 2020–2026
- Total Outlay: ₹10,000 crore
- Loans Sanctioned: 1,44,517 (till June 2025)
- Focus: Supports small businesses like SHGs, FPOs, and individuals to start or upgrade micro food processing units.
- Production Linked Incentive Scheme for Food Processing Industry (PLISFPI)
- Period: 2021–2027
- Total Outlay: ₹10,900 crore
- Projects Approved: 170
- Focus: Helps Indian food brands grow and compete globally.
Employment and Economic Impact
Thanks to these schemes, food processing has created over 22.96 lakh jobs by 2022–23, up from about 20.37 lakh in 2020–21. The Gross Value Added (GVA) from this industry also rose from ₹1.96 lakh crore in 2020–21 to ₹2.24 lakh crore in 2023–24, contributing around 1.39% to the country’s overall GVA.
PMFME Scheme in Detail
The PMFME scheme has shown steady growth:
| Year | Loans Sanctioned |
|---|---|
| 2020–21 | 0 |
| 2021–22 | 3,218 |
| 2022–23 | 28,492 |
| 2023–24 | 54,594 |
| 2024–25 | 50,875 |
| 2025–26* | 7,338 |
| Total | 1,44,517 |
(*as of June 2025)
A total ₹11,501 crore has been sanctioned under credit-linked subsidy, benefiting people from all sections, including SC and ST communities. Additional support like seed capital, common infrastructure, and branding assistance is also being provided.
Budget and Expenditure (2025–26)
| Scheme | Budget Estimate (₹ Cr) | Expenditure (as on 24 July) |
|---|---|---|
| PMKSY | 903.38 | 131.24 |
| PMFME | 2000 | 265.77 |
| PLISFPI | 1200 | 207.07 |
Focus on Food Preservation and Reducing Waste
Under PMKSY, 50 food irradiation units and 100 food testing labs are being set up to reduce spoilage and ensure safe food. These units can help preserve up to 30 lakh metric tonnes of food every year. The ministry is also supporting modern cold chain infrastructure and transportation facilities.
World Food India 2025
To attract investment and showcase opportunities, the fourth edition of World Food India (WFI) will be held from 25 to 28 September 2025. This global event connects Indian food businesses with international companies, investors, and suppliers.
Source: PIB | The Minister of State for Food Processing Industries, Shri Ravneet Singh, shared this information in a written reply in the Lok Sabha today.
