Ministry of Food Processing Industries (MOFPI)

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20-Dec-2022: Promotion of FPIs

The Ministry of Food Processing (MoFPI), is implementing a Central Sector Scheme- “Production Linked Incentive Scheme for Food Processing Industry (PLISFPI)” with an outlay of Rs. 10,900 crores over a six-year period from 2021-22 to 2026-27. The scheme, inter alia, helps create of global food manufacturing champions commensurate with India’s natural resource endowment and supports Indian brands of food products in the international markets.

The export of agri-food products (ITC Chapters 2-23 excluding 5,6,14) has increased from US$ 29.67 billion in 2015-16 to US$ 46.11 billion in 2021-22 showing a Compound Annual Growth Rate (CAGR) of 7.62% and the export of value added processed-food products (ITC Chapter 16-23) increased from US$ 4.855 billion in 2015-16 to US$ 10.420 billion in 2021-22 showing a CAGR of 13.57%.

In order to ensure overall development of Food Processing sectors across the country, MoFPI has been implementing Central Sector Umbrella Scheme – Pradhan Mantri Kisan SAMPADA Yojana (PMKSY), centrally sponsored PM Formalisation of Micro Food Processing Enterprises Scheme (PMFME) and Central Sector Production Linked Incentive Scheme (PLISFPI). Under component schemes of PMKSY, MoFPI provides mostly credit linked financial assistance (capital subsidy) in the form of grants in-aid for setting up of food processing industries/ units/ projects. Ministry provides financial, technical and business support for setting up/upgradation of micro food processing enterprises through PMFME scheme, whereas, PLISFPI is targeted to facilitate expansion of food processing capacity by creating champion brands in Food Processing Sector.

17-Nov-2021: Ministry of Food Processing Industries Signs MoU with Department of Animal Husbandry and Dairying, Ministry of Fisheries, Animal Husbandry and Dairying

The Ministry of Food Processing Industries (MoFPI) signed a Memorandum of Understanding (MoU) with the Department of Animal Husbandry and Dairying (DAHD), Ministry of Fisheries, Animal Husbandry and Dairying to extend the benefits to beneficiaries of various schemes of MoFPI and DAHD. The MoU was signed in the august presence of Sh. Pasupathi Kumar Paras, Hon’ble Union Minister, FPI, Sh. Parshottam Rupala, Hon’ble Union Minister, Fisheries, Animal Husbandry and Dairying, Sh. Prahlad Singh Patel, Hon’ble Minister of State, FPI, Sh. Sanjeev Kumar Balyan, Hon’ble Minister of State, Fisheries, Animal Husbandry and Dairying, Dr. L. Murugan, Hon’ble Minister of State, Fisheries, Animal Husbandry and Dairying, Secretary MoFPI, and Secretary DAHD.

The objective of schemes of MoFPI and DAHD are interlinked and complementary in nature. Hence, the MoU will facilitate MoFPI and DAHD to work together to achieve the goal for income generation,  sustainable development of the rural poor through the extension of benefits of various schemes to the beneficiaries whenever they require financial assistance for establishment/ extension/ strengthening of quality control, dairy processing and its value addition, meat processing, and value addition infrastructure, animal feed plant and technology assisted breed improvement farms without any limitation.

The MoU will corroborate both MoFPI and DAHD to facilitate the beneficiaries to avail the benefits under the PM Kisan Sampada Yojana and PM Formalisation of Micro food processing Enterprises Scheme of the MoFPI and dairy development schemes of DAHD. This will not only empower the beneficiaries of MoFPI and DAHD but also create awareness through their respective implementation support team on the benefits of various schemes being implemented by them at both the Central and State level.

The convergence between MoFPI and DAHD will also encourage beneficiaries to avail benefits with facilitation for various activities which include Food Safety and Quality Assurance, dairy processing and value addition, meat processing & value addition, and animal feed, etc.

10-Aug-2021: FPI Schemes for Rural Areas

The Ministry of Food Processing industries (MoFPI) has been implementing Central Sector Umbrella Scheme - Pradhan Mantri Kisan SAMPADA Yojana (PMKSY) since 2016-17 for overall growth and development of food processing sector, including processing of agro- products and thus increasing the income of the farmers. The component schemes of PMKSY are - (i) Mega Food Park, (ii) Integrated Cold Chain and Value Addition Infrastructure, (iii) Creation /Expansion of Food Processing & Preservation Capacities, (iv) Infrastructure for Agro-Processing Clusters, (v) Creation of Backward & Forward linkages, (vi) Food Safety and Quality Assurance Infrastructure, (vii) Human Resource and Institutions, (viii) Operation Greens. Under component schemes of PMKSY, MoFPI provides mostly credit linked financial assistance (capital subsidy) in the form of grants-in-aid to entrepreneurs for setting up of food processing / preservation industries. PMKSY is not region or state specific but demand driven and is implemented across the country including the rural areas of Tamil Nadu. So far, Ministry has approved 41 Mega food Parks, 353 Cold Chain projects, 63 Agro Processing Clusters, 292 Food Processing Units, 63 Creation of Backward & Forward Linkages Projects & 6 Operation Green projects across the country under corresponding component schemes of PMKSY. Out of these, Ministry has approved 1 Mega Food Park project, 17 Cold Chain projects, 10 Agro Processing Clusters, 22Food Processing Units, 9 Creation of Backward & Forward Linkages Projects & 20 Food Test Laboratory projects in Tamil Nadu under corresponding component schemes of PMKSY.

The sanctioned projects across the country under component schemes of PMKSY are estimated to benefit about 34 lakh famers on completion. In the evaluation study of Integrated Cold Chain and Value Addition Infrastructure Scheme conducted by M/s NABARD Consultancy Limited (NABCONS) in Year 2020, it has been estimated that captive projects under the scheme have resulted in increase in farm-gate prices by 12.38 % and each project is estimated to benefit more than 9500 farmers.

Also, as part of the Aatmanirbhar Bharat Initiative, MoFPI is implementing a Centrally Sponsored Scheme-PM Formalisation of Micro Food Processing Enterprises Scheme (PMFME) for providing financial, technical and business support for setting up/upgradation of 2 lakh micro food processing enterprises through credit linked subsidy during five years from 2020-21 to 2024-25 with an outlay of Rs.10,000 crore. Out of this, a total of 12128 units have been allocated to Tamil Nadu with tentative outlay of Rs 572.71 cr. for five years.

6-Aug-2021: Setting Up of Small-Scale Food Processing Units at Farm Level

Ministry of Food Processing Industries (MoFPI) is implementing Central Sector umbrella scheme- Pradhan Mantri Kisan Sampada Yojana (PMKSY) since 2016-17 for overall growth and development of food processing sector, including cereals, oilseeds, vegetables & fruits based processing industries. Under its component schemes, MoFPI provides credit linked financial assistance (capital subsidy) in the form of grants-in-aid to entrepreneurs for setting up of food processing / preservation industries with farm level infrastructure like primary processing facilities, collection centers etc. So far, a total of 292 Food Processing Units have been approved for assistance under component scheme Creation/Expansion of Food Processing & Preservation Capacities. Also, a total of 124Primary Processing Centres with Dry Warehouse capacity of 116450 MT, Cold Storage capacity of 56520 MT and deep freezer capacity of 1750 MT have been approved as part of Mega Food Park projects.

The Government has announced expansion of scope of “Operation Greens Scheme” from Tomato, Onion & Potato (TOP) to 22 perishable products, in the budget speech for 2021-2022, so as to boost value addition in these perishables. Ministry has identified these 22 perishables, which include Mango, Banana, Apple, Pineapple, Carrot, Cauliflower, Beans etc.

31-Dec-2020: Ministry of Food Processing Industries - Year End Review 2020

Ministry of Food Processing Industries has taken numerous initiatives for development of food processing sector. Some of the major achievements and initiatives are as below:

Creation of Infrastructure Facilities

  • A total of 46 food processing projects were completed/operationalised viz; Mega Food Park:3, Cold Chain:15, Unit:21, Food Testing Laboratories:7
  • The 46 completed projects created additional processing and preservation capacity of agricultural produce of 31.52 lakh MT per annum. 15 cold chain infrastructure projects created additional milk processing and storage capacityof56.99 (lakh litre per day) and 11.80 MT/hour of IQF (Instant Quick Freezing) of fruits and vegetables.
  • The 46 completed projects leveraged private investment of Rs. 771.79 crore and generated direct and indirect employment for 24567persons.

Approval of New Infrastructure Facilities

  • A total of 134 food processing projects were sanctioned viz; Agro Processing Clusters: 21, Cold Chain:47, Unit:43, Backward and Forward Linkages:8, Operation Greens:3 and Food Testing Laboratories:12.
  • The 134 new food processing and food testing laboratory projects sanctioned will create additional processing and preservation capacity of agricultural produce of 38.3 lakh MT per annum. The 47 cold chain infrastructure projects will create additional milk processing and storage capacity of 13.10 LLPD (lakh litre per day) and 34.20 MT/hour of IQF (Instant Quick Freezing) of fruits and vegetables.
  • The new 134 sanctioned projects are expected to leverage private investment of Rs. 2026.32 crore and generated direct and indirect employment for 77330 persons.

COVID-19 initiatives and Grievances Redressal

  • Ministry of Food Processing Industries (MoFPI) has been taking several initiatives for maintaining steady growth of food processing sector. Alike many sectors, food processing sector also went through several hitches during the lockdown. Critical issues such as reduction in processing capacity due to plant shutdowns, disruption in logistics and movement of workers, labor availability at manufacturing sites as well as steep drop in demand, liquidity crunch impacted the sector.
  • At the very moment of announcement of lockdown, MoFPI through its dedicated task force, adopted a proactive approach and facilitated timely redressal of issues being faced by the food and allied industry.
  • Maintaining uninterrupted supply chain and availability of food to the entire country, has been one of the most crucial tasks of this ministry.
  • The ministry established a Grievance Cell and a Task Force which ensured business continuity by facilitating hundreds of units in resuming their operations.
  • Resolved 585 issues during the COVID lockdown period.
  • Connected with 363 leading processing companies in all states / UTs to understand the capacity utilization of these companies and support required to ramp up the production.
  • 7 video conferences were organized with industry associations, leading processors, exporters, FPOs, retailers and other stakeholders to assess the situation at the ground level as well as to gauge the industry requirements in the post lockdown era ― industry recommendations were thoroughly observed to provide maximum benefits to this sector under AatmaNirbhar Bharat packages.

AatmaNirbhar Bharat Abhiyan

Ministry of Food Processing Industries launched an all India centrally sponsored PM Formalisation of Micro food processing Enterprises (PMFME) Scheme for providing financial, technical and business support for upgradation of existing micro food processing enterprises. It is to be implemented for a period of five years from 2020-21 to 2024-25 with an outlay of Rs. 10,000 crores.

  • The scheme was approved by the Cabinet on 20th May 2020 and the guidelines were issued on 19th June 2020. The Scheme was launched by the Hon’ble Minister & MoS, FPI on 29th June 2020.
  • The GIS ODOP digital map of India was launched by the Hon'ble Minster & MoS, FPI on 19th November 2020 through VC. The map provides details of ODOP products of all the States and UTs. The digital map also has indicators for Tribal, SC, ST, and aspirational districts. It will enable stakeholders to make concerted efforts for its value chain development.
  • 554 ODOP of 24 States and UTs have been approved till date.

Capacity Building & Training

  • Training of Master Trainers for Fruits & Vegetable Processing and EDP inaugurated by the Hon'ble Minster &MoS, FPI on 19th November 2020 through VC.
  • 22 DPRs, 99 Audio Video tutorials and Power Point Presentations have been prepared and uploaded by NIFTEM & IIFPT on food processing by micro industries.

MoUs, Joint Letter, and Agreement

  • Joint Letter with the Ministry of Rural Development signed on 20th November, 2020 for identification and data collection of eligible SHGs, training and capacity building of beneficiaries,  leveraging capacity of DAY-NRLM, handholding support to beneficiaries to avail the seed capital and capital subsidy and marketing & branding of produces of beneficiaries.
  • Joint Letter with the Ministry of Tribal Affairs signed on 18th December 2020 for marketing support to TRIFOOD products, building the capacity of its state, district and field-level staff for supporting and handholding identified beneficiaries under the PMFME Scheme.
  • An MoU signed with the National Agricultural Cooperative Marketing Federation of India on 18th December 2020 for the development of a new brand ‘NAFED Food’ for the marketing and development of Agricultural food products made by FPOs/SHGs/Co-operatives groups.
  • An MoU with the Indian Council of Agricultural Research signed on 18th December 2020 for the facilitation of details of food processing technologies, packaging and machinery developed at various institutes of ICAR, particularly suitable to Micro-enterprises, FPOs, SHGs & Cooperatives under the PMFME Scheme.
  • An MoU with the National Cooperative Development Corporation signed on 18th December 2020 for support to Cooperatives engaged in food processing activities in the country in various States and UTs under the PMFME Scheme.
  • An MoU with the National Scheduled Castes Finance and Development Corporation on 18th December 2020 for capacity building, research, training and development support to individual enterprises /SHGs/FPOs owned by SC beneficiaries involved in food processing under the PMFME Scheme.
  • An MoU with Tribal Cooperative Marketing Development Federation of India signed on 18th December 2020 for the development of a new brand ‘TriFood’ for food products made by tribals& undertake efforts for its marketing, appropriate packaging, product development, etc. for tribal food products under the PMFME Scheme.
  • An Agreement signed with Union Bank as a Nodal Bank  on 18th December 2020 for transfer of subsidy amount, monitoring and liaising with lending banks for target driven approvals of applications & timely disbursal of subsidies to beneficiaries.

Project Implementation Plan: Project Implementation Plans of seven States and UTs have been approved.

State Level Technical Institutions: State Level Technical Institutions of 28 states and UTs have been approved.

Financial Progress

  • Rs. 93.83 crore released to 35States/UTs.
  • Rs. 10 crore allocated to NIFTEM and IIFPT.
  • Operation Green scheme extended from tomato, onion and potato(TOP)crops to a total of 41 notified horticulture crops for a period of six months for providing subsidy for their transportation and storage, if prices fall below the average prices for last three years or 15% below of previous year’s price.
    1. Scheme was notifiedon11.06.2020andamendedon24.07.2020&12.10.2020.
    2. 21 fruits and 20 vegetable crops are notified for receiving subsidy under the Scheme. List of eligible crops, surplus production clusters & trigger price is available on Ministry’s website.
    3. Online portal to process claims for subsidy was setup.
  • 3,195 applicants have registered from 30 States/UT on the portal till 24thDec.;
  • 49 online claims for total subsidy have been received for Onion, Carrot, and Banana. Of these, 12 claims are sanctioned for ₹94.14 Lakh for transportation of 5,268 MT of Onion and 545 MT of Banana and storage of 1,225 MT of Carrot;
  • Transportation subsidy under the scheme was extended to Kisan Rail Scheme w.e.f. 12.10.2020. Indian Railway is providing the transport subsidy directly to any applicants by way of charging 50% of their freight charges from them for transportation of any quantity of notified F&V through Kisan Rail Scheme and will adjust remaining 50% of freight from deposit made by MoFPI with them. ₹ 10 cr was sanctioned to Indian Railway (South Central Railway) on 23.10.2020. Recently, Ministry allowed transport subsidy on any F&V through any rail service provided by Indian Railway.
  • Scheme guidelines amended to provide the transportation subsidy to all the notified F&V being transported by air from the NER and Himalayan Region States. Airlines would charge 50% freight for all the fruits and vegetables booked from these airports on the same lines as Kisan Rail.
  • Scheme Guidelines further amended to provide 50% subsidy to eligible entities through NAFED for transportation and/or storage of apple from Jammu and Kashmir. Rs. 10 Cr as advance has been released to NAFED for this.

Promotional Activities

  • A women-centric three-day Organic Food Festival was organized in New Delhi from 21st-23rd February 2020 with an aim to provide opportunity to women entrepreneurs for capacity building & economic empowerment. In addition, 20 B2B interactions with UAE based LULU Group was also organized during the food festival.
  • On the occasion of 74th Independence Day of India, the Ministry of Food Processing Industries launched a monthly awareness campaign called United by Food on social media, describing about the well-known dishes and processed foods of various States and Union Territories of the country.
  • In the month of September, the Ministry launched a campaign along with Nutrition Month campaign of Ministry of Women and Child Welfare, namely, 'Processed Yani Paushtik'.
  • Image In October, the Ministry launched a social media campaign called “ Ann Devon Bhava” aimed at providing people with information about processed food as well  as traditional food. In this campaign, online quiz competition was also organized by the Ministry with prizes of aboutRs.1,10,000/-.
  • Ministry used various posts on precautions to be taken during festive season on its social media to spread awareness about Covid-19 amongst  people. Many posters and banners related to  precautions of Corona were put up at various places of the office premises.

Investment Promotion

  • A Project Development Cell at the Ministry of Food Processing Industries (MoFPI) was constituted on 17thJune 2020 with the prime objective of accelerating investments. The PDC has been―
    • Interacting with Individual State / UT Governments for discussion on developing of potential investible projects, company specific issues, creating awareness of benefits under Pradhan Mantri Kisan Sampada Yojana etc.
    • Having one-on-one discussion with agri-food companies to facilitate their investment interests or issues.
    • Handholding and facilitating Government of Ladakh with setting up of Agro- Processing Cluster (APC) in the UT.

Institutions

NIFTEM

  1. NIFTEM Technology Innovation and Business Incubation Foundation (NTIBIF) and Contract Research Organization have been established to take care of the startups in food technology ecosystem and collaborative research with Industry Partners.
  2. A robust automated examination system has been established to provide end to end solutions with regard to students’ registration, setting up of question papers, online evaluation, semester wise results declaration and generation of final grade reports.
  3. NIFTEM Food testing Lab (CFRA) is awarded integrated accreditation system for analyzing more than 2200 quality parameters.

IIFPT

  1. Technologies and Indigenous Equipment Developed by IIFPT
    • Indigenous food 3D printers (both single and multi-heads). Food 3D printing technology can offer enhanced levels of product customization in terms of appearance as well as nutritional value.
    • Integrated collection and filtration unit for coconut water. This can be used in temples and other places of devotion; the water is collected hygienically.
    • Non-thermal (cold) plasma treatment unit for liquid food sterilization was developed and tested for decontamination of milk.
    • Multi-enzyme based amperometry biosensor was developed for testing thermal oxidation of coconut oil. This can be used for quality evaluation of oils.
  2. Five Technologies have been Transferred to Industries
    • Mobile food processing unit
    • Integrated onion processing unit
    • Puffing machine for rice &millets
    • Moringa leaves separator
    • Solar hybrid dryer
  3. New Facilities Created for Research, Training, and Consultancy Services
    • India’s first food glycemic index and food disintegration kinetics testing facility. The centre uses Asia’s first engineered human digestive system. The facility holds significant research and commercial interest for new food product developments.
    • Pilot-scale ice cream plant 100 L/batch capacity.
    • Fruit beverages (carbonated and non-carbonated) processing pilot plant with100 L/h capacity (MSME funded).
    • Pilot scale spray dryer with 3 kg/h capacity.
    • Virgin coconut oil plant with 1000 nuts/day capacity (Coconut Development Board funded).
  4. Students and Academic Excellence
    • 100% student placements in major food processing industries including Nestle, ITC, MTR, Cavinkare, Britannia, Aachietc.
  5. Capacity Building under PM-FME Scheme
    • Under the MoFPI, IIFPT is serving as the nodal national-level technical institutes for the centrally sponsored, Prime Minister Formalization of Micro Food Processing Enterprises (PM FME) for capacity building and incubation.
    • IIFPT has prepared the training syllabus for the different levels of PMFME trainings as Training of Master Trainers (ToMT), Training of Trainers (ToT) at District level and Training of Beneficiaries (ToB) to impart skills on various aspects of processing including ODOP.
    • IIFPT has coordinated with various national level technical institutes and compiled indicative cost norms guidelines hand book for establishment of common incubation facility under PMFME scheme.
  6. COVID-19 Relief Activities
    • IIFPT supported District Administration and Thanjavur Medical College in COVID-19 related activities by providing healthy foods prepared at IIFPT’s Food Processing Business Incubation Centre. The initiative kicked off on 21stApril, 2020 and went on up to August 2020.
    • Hand sanitizers were prepared for the police department and COVID warriors, and were supplied on a regular basis.
    • RT-PCR instrument was handed over to the Thanjavur Medical College & Hospital for COVID testing purposes from April 2020 to August 2020. More than 2 lakhs samples have been tested using the instrument.