PMFME Scheme, A vast range of food products are served by the Indian food processing industry. Approximately 25 lakh food processing facilities make up our nation’s unorganized food processing industry, which accounts for 74% of all food processing jobs. For a very long period, these unorganized sectors have faced numerous difficulties. To solve this issue, the Indian government, acting through the Ministry of Food Processing Industry (MoFPI), launched the PMFME initiative. Learn the PMFME full form, eligibility requirements, perks, and other important information about this program by reading on.
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PMFME is the full name of the Pradhan Mantri Formalization of Micro Food Processing Enterprises plan. It serves as a one-stop shop for formalizing the Indian food industry. The Ministry of Food Processing oversees this initiative, which aims to advance the “Vocal for Local” campaign. The PMFME initiative was launched in 2020 under the Atmanirbhar Bharat Abhiyaan and operated for five years, from 2020–21 to 2024–25. With an emphasis on assisting Farmer Producer Organizations (FPOs), producers cooperatives, and Self-Help Groups (SHGs) involved in the agri-food processing industry, it seeks to formalize and expand the number of micro-enterprises currently operating in the unorganized food processing segment.
It is a five-year, centrally supported program that will cost Rs. 10,000 crores. In a 60:40 split, the federal government and the state governments will split the costs. The federal government’s share in the state governments in the northeastern and Himalayan states is 90:10.
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To expand the scope of acquiring inputs, shared services, and product marketing, the PMFME plan has embraced the One District One Product (ODOP) concept. It seeks to offer the structure for coordinating value chain growth and support infrastructure. The states will select and market the district’s food products under the ODOP. A cereal-based product, a perishable crop, or a particular food item that is mostly produced in the district could be the food item of choice. The products covered by ODOP include fisheries, beef, poultry, potatoes, tomatoes, litchi, millet-based products, and more. This program would also promote traditional Indian herbal products including turmeric, amla, honey, and small forest products in tribal areas. The ODOP method will provide good branding, marketing, and infrastructure facilities.
The following elements of the food processing industry are the scheme’s primary focus:
This program will help all FPOs, Farmer Producer Companies (FPCs), cooperatives, SHGs and their subsidiaries, commercial companies, and government agencies construct common infrastructure. This mostly comprises assistance with the construction of laboratories, cold storage facilities, warehouses, and incubation centres. When assessing a project’s eligibility, factors such as the sector’s overall advantages, the complexity of the value chain, the viability gap, and the lack of private investment are taken into consideration. For capital investment, there is also a credit-linked capital subsidy available.
To help FPOs, Cooperatives, SHGs, or a Special Purpose Vehicle (SPV) of a micro food processing firm sell their processed food products, the PMFME scheme provides branding and marketing assistance. This facilitates the creation of uniform packaging, branding, standardization, quality control, and adherence to food safety regulations. The National Agriculture Cooperative Marketing Federation of India (NAFED) and the Tribal Cooperative Marketing Federation of India (TRIFED) are in charge of providing assistance with branding and marketing.
The State Nodal Agency would provide up to Rs. 5 lakhs in support to the food processing businesses in order to create the Detailed Project Report (DPR) for marketing and branding proposals.
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The subsequent subsidies may be presented by using the authorities underneath the PMFME scheme:
Different eligibility requirements must be fulfilled for various forms of help. They are as follows:
The PMFME scheme is available for both online and offline applications. To make use of the scheme’s benefits, one can choose from four distinct kinds of application forms. For offline applications, there are distinct forms for SHGs, cooperative societies, FPCs, and shared infrastructure.
This is the Farmer Producer Companies form:
Examine the form that applies to cooperative societies:
Let’s examine the Common Infrastructure form template:
Please review the Self-Help Groups application form:
If you would want to apply online for the PMFME scheme, you must do the following:
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The unorganized food processing industry benefits from the PMFME scheme. There are 25 lakh units in the unorganized food processing sector. With the support of this program, this industry will be able to overcome the obstacles of a lack of institutional finance, training, contemporary technology and equipment, and much more, and develop into a prosperous sector that contributes to the improvement of the nation as a whole.
Q. What is the PMFME scheme?
Ans: All unorganized micro food processing businesses can receive financial, business, and technical assistance under the Pradhan Mantri Formalization of Micro Food Processing Enterprises (PMFME) program.
Q. Who is qualified for the PMFME program?
Ans: The PMFME program is available to current micro food processing entrepreneurs, cooperatives, Farmer Producer Organizations (FPOs), and Self Help Groups (SHGs).
Q. What advantages does the PMFME system offer?
Ans: Existing unorganized micro food processing businesses can receive assistance from the PMFME initiative to transition to the organized sector. Additionally, it helps the units with packaging, marketing, and branding. Additionally, the businesses are provided with capacity, technical support, and training.
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