Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME)

Owned by Ashu Sikri (Unlicensed)
Last updated: Feb 08, 2023
2 min read

Scheme Guidelines

  • The unorganized food processing sector in the country comprises nearly 25 lakh food processing enterprises which are unregistered and informal. With only 7% of investment in plant & machinery and 3% of outstanding credit, the unorganized enterprises contribute to 74% of employment (a third of which are women), 12% of output and 27% of the value addition in the food processing sector. Nearly 66% of these units are located in rural areas and about 80% of them are family-based enterprises

  • The objectives of scheme are to build capability of microenterprises to enable:

    • i) Increased access to credit by existing micro food processing entrepreneurs, FPOs, Self Help Groups and Co-operatives;

    • ii) Integration with organized supply chain by strengthening branding & marketing;

    • iii) Support for transition of existing 2,00,000 enterprises into formal framework;

    • iv) Increased access to common services like common processing facility, laboratories, storage, packaging, marketing and incubation services;

    • v) Strengthening of institutions, research and training in the food processing sector; and

    • vi) Increased access for the enterprises, to professional and technical support

 

From July 2022 Govt Press Release

  • “Financial support of Rs. 40,000 for working capital and purchase of small tools for each member of the Self Help Group (SHG) engaged in food processing activities. seed capital amount of Rs. 203 Cr. has been released so far”

    • 203cr at 40k each suggests 50,750 beneficiaries have been funded but the release later says 25k applications have been submitted so far. Not sure how to interpret that

  • “Under the scheme, the submission process for the applicants to apply for the credit-linked subsidy is done through the online portal (http://www.pmfme.mofpi.gov.in ). Nearly 50,000 applicants have registered on the portal and more than 25,000 applications have been successfully submitted so far.”

  • “Under the Capacity Building component of the scheme, the National Institute of Food Technology Entrepreneurship and Management, Kundli (NIFTEM-K) and the National Institute of Food Technology Entrepreneurship and Management, Thanjavur (NIFTEM-T) have been performing a key role in providing training and research support to food processing enterprises/groups/clusters in partnership with the State Level Technical Institutions and private training partners. Training of beneficiaries is being conducted on food product processing including Food Safety & Hygiene and Entrepreneurship Development Programme (EDP).”

  • “Under the scheme, MoUs have been signed with NAFED and TRIFED to take up the marketing and branding activities for supporting and handholding the beneficiaries along the entire value chain. Under the component 10 ODOP Brands in association with NAFED have been launched. The scheme also envisages marketing support to State-level brands. As of now, 2 State-level brands have been successfully launched, including the brand “AASNAA” from the State of Punjab and the brand “BHIMTHADI” from the State of Maharashtra and many others in the pipeline.”