PMFME · Ministry of Food Processing Industries
PM Formalisation of Micro Food Processing Enterprises Scheme
Credit-linked capital subsidy of 35% of eligible project cost, capped at ₹10 lakh per unit, for individual micro food processing enterprises — plus support for groups and branding.
- Subsidy
- 35% of project cost
- Cap
- ₹10 L per unit
- Contribution
- Min 10%
Key features
What the scheme actually provides
- Credit-linked capital subsidy at 35% of eligible project cost, up to ₹10 lakh for individual micro units
- Seed capital support for SHG members engaged in food processing
- Grant support for common infrastructure, branding and marketing for groups, FPOs and co-operatives
- One District One Product approach guides prioritisation in most states
- Beneficiary contribution of at least 10%, balance funded by bank credit
Who is eligible
- Existing or new micro food processing enterprise
- Individual entrepreneurs, FPOs, SHGs, producer co-operatives
- Ownership or long-term lease of the processing premises
- Willingness to formalise — Udyam, FSSAI and GST as applicable
Benefits
- Direct capital subsidy on a small food processing capex
- Formalisation support that unlocks further institutional credit
- Access to district-level resource persons and training
Where we come in
How FIN.SWITCH handles a PM FME Scheme file
- 01
Check ODOP alignment and state priority before the application
- 02
Prepare a right-sized DPR that maximises eligible cost without padding
- 03
File on the scheme portal and coordinate with the district resource person and the bank
Questions
PM FME Scheme, answered plainly
You need it before the unit operates. Many applicants apply in parallel — but a missing licence will stall disbursement, so it is better started early.
Compare
Other schemes worth looking at
Agriculture Infrastructure Fund
Medium and long-term debt financing for post-harvest management infrastructure and community farming assets, with a 3% interest subvention and credit guarantee support.
- Subvention
- 3% p.a.
- Subvention cap
- ₹2 Cr per project
- Period
- Up to 7 years
AHIDF
Interest subvention and credit guarantee support for investment in dairy and meat processing, animal feed plants, breed improvement and animal waste management infrastructure.
- Subvention
- 3% p.a.
- Repayment
- Up to 10 years
- Moratorium
- Up to 2 years
Not sure whether PM FME Scheme fits your business?
The eligibility check takes two minutes and gives you an indicative shortlist across every scheme we file under.