The Ministry of Food Processing Industries, Govt. of India launched a Centrally Sponsored Scheme “Prime Minister Scheme for formalization of Micro food processing Enterprises” as a part of Atmanirbhar Bharat Abhiyan during 2020 with an aim to strengthen backward/ forward linkages, common infrastructure, packaging, branding & marketing of the products of micro enterprises. The scheme focuses on value addition of local perishable produce in identified agro-clusters, clusters of fisheries, dairy, poultry and other allied segments like minor forest produce. for a period of five year 2020-21 to 2024-25
Under the, micro food enterprises will be supported with a package of interventions for expansion, modernization and formalization of their units.
Initially, the Scheme was conceptualized on the theme of promoting One District -One products (ODOP) to give emphasis to product with ample resource potential and all States/UTs were asked to identify ODOP for all implementing Districts. Accordingly, two products were identified as ODOP for 03 districts as under-
The Scheme was later opened up for all food processing activities based on the demands from all implementing States/UTs.
The Scheme envisages support under following component-
1. Support to Individual Micro Enterprises (Individual/Group) :
Credit-linked Capital subsidy @ 35% of the eligible project cost with a maximum ceiling of RS.10.00 Lakh per unit. Beneficiary contribution should be minimum 10% of the project cost.
2. Self Help Groups (SHGs)
Support for Common Infrastructure
Credit linked grant @ 35% of the project cost for creating the following common infrastructure