Under MoFPI initiatives, more than 140 thousand food processing projects have been authorized to stimulate the rural economy.
The Ministry of Food Processing Industries (MoFPI) is spearheading a series of initiatives to promote large-scale investments in the food processing sector, with the ultimate goal of making India a global leader in food manufacturing.
One of the key platforms for showcasing investment opportunities and fostering global partnerships in the Indian food processing industry is the World Food India (WFI) event. MoFPI has hosted three editions of WFI so far, in 2017, 2023, and 2024. International companies, innovators, equipment manufacturers, and supply chain stakeholders have participated in these events, leading to numerous tie-ups and business collaborations with Indian enterprises.
Three flagship schemes - Pradhan Mantri Kisan SAMPADA Yojana (PMKSY), Production Linked Incentive Scheme for Food Processing Industry (PLISFPI), and Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) - form the backbone of MoFPI's strategy.
As of mid-2025, PMKSY is an actively implemented central sector scheme, designed to develop food processing infrastructure, reduce post-harvest losses, increase food processing levels, and boost farmer income and rural employment. As of June 30, 2025, 1,134 projects have been sanctioned under PMKSY, 1,44,517 proposals under the PMFME Scheme, and 170 proposals under PLISFPI.
In Kushinagar district, Uttar Pradesh, which has been identified as a Banana Cluster under Operation Greens component of PMKSY and as a One District One Product (ODOP) region under PMFME, MoFPI is offering grants-in-aid and subsidies for establishing cold chains, storage facilities, and modern processing units. The aim of these projects is to build processing and preservation infrastructure for banana farmers and processors, boosting the shelf life and value of banana produce, reducing post-harvest losses, and ensuring better returns for farmers.
The Production Linked Incentive Scheme for Food Processing Industry (PLISFPI) has a budgetary outlay of Rs. 10,900 crore and is being implemented from 2021-22 to 2026-27. PLISFPI supports Indian food brands in accessing international markets.
The Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) scheme aims at formalizing and supporting micro food processing units, mainly in rural areas, by providing access to credit, technology, and marketing. While no detailed status update was found as of 2025, this scheme complements PMKSY by focusing on the unorganized sector and enhancing livelihoods at the microenterprise level in rural India.
The government has recently increased the budgetary outlay for PMKSY by Rs. 1,920 crore, raising the total approved outlay to Rs. 6,520 crore. This enhancement includes funding for 50 Multi-Product Food Irradiation Units and 100 NABL-accredited Food Testing Laboratories, strengthening food safety and quality assurance infrastructure under PMKSY.
In summary, PMKSY is currently well-funded and operational with proven reduction in post-harvest losses and rural employment gains. The increased budget and infrastructure projects underline continued government emphasis. The PLI scheme and PMFME scheme remain integral parts of the government's strategy to boost food processing and formalization in rural India, although explicit current impact data from 2025 is limited in the available sources. These initiatives aim to modernize the food processing sector, enhance preservation capacities, and integrate India's agricultural strengths into global value chains.
*References:\n1. Ministry of Food Processing Industries\n2. Pradhan Mantri Kisan SAMPADA Yojana\n3. Pradhan Mantri Formalisation of Micro Food Processing Enterprises\n4. Production Linked Incentive Scheme for Food Processing Industry
In the process of modernizing the food processing sector in India, the Pradhan Mantri Kisan SAMPADA Yojana (PMKSY) is instrumental in developing infrastructure, reducing post-harvest losses, and increasing farmer income through various projects. These initiatives aim to also enhance preservation capacities and integrate India's agricultural strengths into global value chains.
The World Food India (WFI) event, hosted by MoFPI, has been a significant platform for showcasing investment opportunities and fostering global partnerships in the Indian food processing industry, often resulting in numerous tie-ups and business collaborations.
