PM Formalization of Micro Food Processing Enterprises Scheme
Part of: GS Prelims and GS -III – Economy; Food processing
- The Pradhan Mantri Formalisation of Micro food processing Enterprises (PMFME) Scheme completed its one year on 29th June.
- It was launched under the Atmanirbhar Bharat Abhiyan.
- It is currently being implemented in 35 States and Union Territories (UTs).
- Ministry: Ministry of Food Processing Industries (MoFPI).
Features of the PMFME
- One District One Product (ODOP) Approach:
- The States would identify food products for districts keeping in view the existing clusters and availability of raw material.
- Other Focus Areas:
- Waste to wealth products, minor forest products and Aspirational Districts.
- Financial Support:
- Existing individual micro food processing units desirous of upgrading their units can avail credit-linked capital subsidy at 35% of the eligible project cost with a maximum ceiling of Rs.10 lakh per unit.
- Initial funding of Rs. 40,000- per Self Help Group (SHG) member would be provided for working capital and purchase of small tools.
- Duration: 2020-21 to 2024-25.
- It is a centrally sponsored scheme with an outlay of Rs. 10,000 crore.
- It would be shared in 60:40 ratio between Central and State Governments, in 90:10 ratio with North Eastern and Himalayan States, 60:40 ratio with UTs with legislature and 100% by Centre for other UTs.
Other Schemes Related to Food Processing
- Production Linked Incentive Scheme for Food Processing Industry (PLISFPI) Mega
- Food Park Scheme: Mega Food Parks creating modern infrastructure facilities for food processing with strong forward and backward linkages