Pradhan Mantri Formalisation Of Micro Food Processing Enterprises Scheme: Set Up Or Upgrade Your Enterprises Now!
Updated: 14-05-2025 at 12:31 PM
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Enterprises engaged in food processing require assistance in various processes such as branding, marketing, warehousing, etc. in their functioning. Small-scale enterprises set up in towns, villages, hilly or other remote areas require extra and special attention for a seamless conduction of business.
Another aspect of concern about these enterprises is the formalisation of such enterprises to link them with related businesses and areas in the supply chain. Addressing the need of the hour, the Ministry of Food Processing Industries implemented the Pradhan Mantri Formalisation of Micro Food Processing Enterprises. Let us delve into the details of this government scheme.
What Is The Pradhan Mantri Formalisation Of Micro Food Processing Enterprises Scheme?
The Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) Scheme is a flagship, partially funded by the Central Government scheme. This Sarkari Yojana was launched on 29th June 2020 and had an outlay of Rs. 10,000 Crores for a period of 5 years. It aims to provide technical, financial and business support to micro food processing enterprises in India.
The PMFME scheme is based on the ‘One District One Product’ (ODOP) approach to ensure the promotion of local produce in the food processing sector and to ensure cost-efficiency based on the ‘scale’ of procurement and production. The scheme lays down the framework for value chain development and alignment of support infrastructure.
Help is extended to FPOs (Farmer Producer Organizations)/ Self-Help Groups (SHGs) / Cooperatives or Special Purpose Vehicle (SPV) of ODOP for certain activities. They are enlisted as under:
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Market Study and Product Standardisation,
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Packaging Material,
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Quality Control and food safety adherence for consumer retail sales,
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Warehousing and Storage Rentals and,
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Marketing and Promotion.
As of 23rd December 2023, 62,282 loans have been sanctioned, including 61,796 individual beneficiaries, 34 Farmers Producers Organizations (FPOs), 433 Self Help Groups (SHGs) and 19 Producer Co-operative Societies.
What Are The Benefits Of The PMFME Scheme?
The PMFME scheme has a bundle of benefits for its eligible applicants. Let us have a look at what this government scheme for micro-food processing enterprises has in store for the Indian citizens!
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Credit Access: Through this Sarkari Yojana, existing FPOs, SHGs and other stakeholders can be provided with easy access to credit for their functioning and expansion.
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Integration: Integration of enterprises with other infrastructure, and organised supply chains shall be achieved through branding and marketing help extended by the pmfme scheme.
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Transitional Support: Since the scheme requires a transition of informal enterprises into formal ones with proper frameworks in place, support for the 2,00,000 enterprises will be extended.
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Common Services: Access will be extended to the enterprises for common services like laboratories, incubation centres, storage, practice, etc.
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Research and Training: Research and training is not only being promoted but also being facilitated and aided by this scheme to enrich these enterprises and increase the scope of their growth.
What Is The Eligibility Criteria For The PMFME Scheme?
The eligibility criteria for this scheme have been bifurcated for different stakeholders. Let us have a look at it!
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Farmer Producer Organizations (FPOs):
FPOs must be engaged in processing One District One Product (ODOP) produce for at least three years. The FPO must have a minimum turnover of Rs. 1 crore, with project costs not exceeding the current turnover. Internal resources should cover 10% of the project cost and working capital margin.
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Self-Help Groups (SHGs) and Cooperatives:
The individuals or SHGs and Cooperatives must be Involved in ODOP processing. They must have passed at least Class 8. Only one person per family is eligible to be a beneficiary of this scheme.
How To Apply For PMFME Scheme: A Step-By-Step Guide
The application procedure for this government scheme is accessible and easy to undertake. It is given below:
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Go to the official PMFME scheme website at https://pmfme.mofpi.gov.in/.
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Fill in your details in the form.
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Attach the required documents.
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Submit the completed application form along with the necessary documents such as business registration details, bank account information, and proof of ODOP processing.
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Pay applicable fees if it is required.
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The concerned authorities will review your application.
You can alternatively visit the Lok Seva Kendra in your area to undergo the same process in an offline mode.
Conclusion
A much-needed boost is being provided to micro food processing enterprises through this govt scheme. It is an inclusive scheme since it does not restrict eligibility to first-timers.
For more information, queries and grievances, dial the PMFME helpline at 9254997101 available on all working days.
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