792 projects have been approved for setting up food processing Industries by the private sector with approved Grants in Aid of Rs 5791.71 Crores
20 JUL 2021: The government has been consistently encouraging and incentivizing increased private sector investment for the overall development of the Food Processing sector of the country to promote value addition in the agricultural and allied sectors and reduce wastage.
Ministry of Food Processing Industries (MoFPI) is implementing a Central Sector umbrella scheme- Pradhan Mantri Kisan Sampada Yojana (PMKSY) since 2016-17 for overall growth and development of the 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 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, the Government has taken three major initiatives this year. Firstly, Government has approved the introduction of the “Production Linked Incentive scheme” for the Food Processing Sector with an outlay of Rs 10,900 Crore to support the creation of global food manufacturing champions and support Indian brands of food products in the international market.
Secondly, with a view to extending 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”. The scheme aims to provide financial, technical and business support for up-gradation/ setting up of two lakh micro food processing units based on One District One Product (ODOP) approach in a period of five years from 2020-21 to 2024-25 with an outlay of Rs. 10,000 crores.
Thirdly, in the budget speech for 2021-2022, Government has announced the expansion of the scope of the “Operation Greens scheme” from Tomato, Onion & Potato (TOP) to 22 perishable products, so as to boost value addition in agriculture and allied products and their exports.
This information was given by Union Minister of State for Food Processing Industries Shri Prahlad Singh Patel in a written reply in Loksabha today.Disclaimer: We donot claim that the images used as part of the news published are always owned by us. From time to time, we use images sourced as part of news or any related images or representations. Kindly take a look at our image usage policy on how we select the image that are used as part of the news.