Lok Sabha Question No. 518 (UNSTARRED), answered on 2024-02-06
Subject: PMFME Scheme and Unregistered FPUs
Ministry: FOOD PROCESSING INDUSTRIES
Asked by: Gajanan Chandrakant Kirtikar, Krupal Balaji Tumane, Kuruva Gorantla Madhav

## GOVERNMENT OF INDIA MINISTRY OF FOOD PROCESSING INDUSTRIES

## LOK SABHA

## UNSTARRED QUESTION No. 518 ANSWERED ON 06 TH  FEBRUARY 2024

## PMFME SCHEME AND UNREGISTERED FPUS

## †518.   SHRI GAJANAN KIRTIKAR: SHRI KRUPAL BALAJI TUMANE: SHRI KURUVA GORANTLA MADHAV:

Will the MINISTER OF FOOD PROCESSING INDUSTRIES be pleased to state:

- a) whether the government has implemented Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFMEs) Scheme across the country,  if so, the details and salient features thereof;
- b) the details of funding received and targets achieved by Maharashtra in the year 2021-22 and 2022-23 under the said scheme;
- c) whether there are nearly 25 lakh unregistered food processing units present across the country,  if  so,  the  details  thereof  including  the  number  of  such  units  established  in Maharashtra along with the details thereof;
- d) the efforts being made by the Government to register the said units and provide them financial,  technical  and  other  support  through  PMFMEs  and  Pradhan  Mantri  Krishi Sinchayee Yojana (PMKSY) etc.;
- e) whether the national portal for the PMFMEs is fully functional and if so, the details of the number of new persons registered for the scheme on the national portal from each district of Maharashtra; and
- f) whether  any  new  survey  has  been  conducted  since  the  year  2015-16  regarding  the number of unregistered food processing units so far, if so, the details thereof and  if not, the reasons therefor?

## ANSWER

## THE MINISTER OF STATE FOR FOOD PROCESSING INDUSTRIES (KM SHOBHA KARANDLAJE)

(a): As part of Atmanirbhar Bharat Abhiyan, Ministry of Food Processing Industries (MoFPI) is implementing  a  centrally sponsored  "PM  Formalisation  of  Micro  food  processing Enterprises  (PMFME)  Scheme"  for  providing  financial,  technical  and  business  support  for setting up / upgradation of micro food processing enterprises in the country. The scheme is operational for a period of five years from 2020-21 to 2024-25 with an outlay of Rs. 10,000 Crore. Scheme primarily adopts One District One Product (ODOP) approach to reap the benefit of  scale  in  terms  of  procurement  of  inputs,  availing  common  services  and  marketing  of products. It provides the framework for value chain development and alignment of support infrastructure.

The scheme aims to enhance the competitiveness of existing individual micro-enterprises in the unorganized segment of the food processing industry and promote formalization of the sector.

The  details  of  assistance  available  to  Micro  Food  Processing  Enterprises  under  PMFME Scheme is at Annexure-I .

- (b). MoFPI has released centre share of funds of Rs. 24.49 Crores in FY 2021-22 and Rs. 39.05 Crores  in  FY  2022-23  to  State  of  Maharashtra  under  PMFME  scheme.  The  details  of achievement against targets under credit linked subsidy component are as under:
- c) As  per  the  73 rd round  Survey  of  National  Sample  Survey  Office  (NSSO),  there  are around  25  lakh  unregistered/  unincorporated  food  processing  enterprises  in  the  country including  2,29,372  enterprises  in  the  State  of  Maharashtra.  The  State-wise  details  are  at Annexure-II .
- d) The Capacity Building component of the PMFME Scheme envisages to provide Food Processing  and  Entrepreneurship  Training  to  the  new  and  existing  micro-food  processing individuals taking benefits under the scheme. In addition, handholding support is provided to the beneficiary for project formulation, execution, access to credit, linkages to machine/equipment  manufacturers,  maintenance  of  hygiene  &  quality  control  etc.  Further, Promotional activities such as Newspaper Advertisements, Hoardings, Banners, Radio Jingle, Workshops,  Camps  etc.  for  awareness  of  the  potential  beneficiaries  are  also  organised  in various States/UTs in the country. Till date, a total of  2,91,267 no. of individual/group category prospective entrepreneurs have registered on PMFME portal under PMFME scheme.

| FY 2021-22                    | FY 2021-22                          | FY 2022-23                    | FY 2022-23                          |
|-------------------------------|-------------------------------------|-------------------------------|-------------------------------------|
| Target (No. of beneficiaries) | Achievements (No. of beneficiaries) | Target (No. of beneficiaries) | Achievements (No. of beneficiaries) |
| 5003                          | 522                                 | 7226                          | 6116                                |

However, there is no provision for registration of micro food processing units under Pradhan Mantri Krishi Sinchayee Yojana (PMKSY) as the scheme envisages enhancing physical access of water on farm and expand cultivable area under assured irrigation, improve on-farm water use efficiency, introduce sustainable water conservation practices, etc.

- e) National Portal for the PMFME scheme is functional and running for submission of applications by the interested Individuals and Groups for seeking support under the scheme. 10,282 new persons have been registered from the state of Maharashtra under the PMFME scheme on the PMFME national portal. The district wise details are at Annexure-III.
- f) No new survey has been conducted since the year 2015-16 regarding the number of unregistered food processing units in the country.

*****

## ANNEXURE  REFERRED  IN  REPLY  TO  PART  (a)  OF  THE  LOK  SABHA UNSTARRED  QUESTION  NO.  518  FOR  ANSWER  ON  06.02.2024  REGARDING 'PMFME SCHEME and Unregistered FPUs'

## The details of assistance available to Micro Food Processing Enterprises under PMFME Scheme

- (i). Support  to  Individual  /  Group  Category  Micro  Enterprises: Credit-linked  capital subsidy @35% of the eligible project cost, maximum ceiling Rs.10 lakh per unit;
- (ii). Support to SHGs for seed capital: Seed capital @ Rs. 40,000/- per member of SHG engaged in food processing for working capital and purchase of small tools subject to maximum of Rs. 4 lakh per SHG Federation.
- (iii). Support for Common Infrastructure: Credit linked capital subsidy @35% subject to maximum of Rs. 3 crore to support FPOs, SHGs, Cooperatives and any Government agency for setting up of common infrastructure. The common infrastructure will also be available for other units and public to utilize on hiring basis for substantial part of the capacity.
- (iv). Branding and Marketing Support: Grant upto 50% for Branding and Marketing to groups of FPOs/ SHGs/ Cooperatives or an SPV of micro food processing enterprises.
- (v). Capacity Building: The scheme envisages training for Entrepreneurship Development Skilling  (EDP+):  program  modified  to  meet  the  requirement  of  food  processing industry and product specific skilling.

ANNEXURE  REFERRED  IN  REPLY  TO  PART  (c)  OF  THE  LOK  SABHA UNSTARRED  QUESTION  NO.  518  FOR  ANSWER  ON  06.02.2024  REGARDING 'PMFME SCHEME AND UNREGISTERED FPUs'

| Sl. No.                                        | State/UT                                       | Number of Unincorporated Enterprises manufacturing Food and Beverages as per 73 rd round Survey of NSSO, 2015-16   |
|------------------------------------------------|------------------------------------------------|--------------------------------------------------------------------------------------------------------------------|
| 1                                              | Andaman &Nicobar Islands                       | 774                                                                                                                |
| 2                                              | Andhra Pradesh                                 | 154330                                                                                                             |
| 3                                              | Arunachal Pradesh                              | 145                                                                                                                |
| 4                                              | Assam                                          | 65,997                                                                                                             |
| 5                                              | Bihar                                          | 145300                                                                                                             |
| 6                                              | Chandigarh                                     | 656                                                                                                                |
| 7                                              | Chhattisgarh                                   | 26,957                                                                                                             |
| 8                                              | D &NHaveli and Daman &Diu                      | 758                                                                                                                |
| 9                                              | Delhi                                          | 14,350                                                                                                             |
| 10                                             | Goa                                            | 2,929                                                                                                              |
| 11                                             | Gujarat                                        | 94,066                                                                                                             |
| 12                                             | Haryana                                        | 24,577                                                                                                             |
| 13                                             | Himachal Pradesh                               | 21,885                                                                                                             |
| 14                                             | Jammu &Kashmir                                 | 28,089                                                                                                             |
| 15                                             | Jharkhand                                      | 116536                                                                                                             |
| 16                                             | Karnataka                                      | 127458                                                                                                             |
| 17                                             | Kerala                                         | 77,167                                                                                                             |
| 18                                             | Ladakh                                         | -                                                                                                                  |
| 19                                             | Lakshadweep                                    | 127                                                                                                                |
| 20                                             | Madhya Pradesh                                 | 102808                                                                                                             |
| 21                                             | Maharashtra                                    | 229372                                                                                                             |
| 22                                             | Manipur                                        | 6,038                                                                                                              |
| 23                                             | Meghalaya                                      | 3,268                                                                                                              |
| 24                                             | Mizoram                                        | 1,538                                                                                                              |
| 25                                             | Nagaland                                       | 3,642                                                                                                              |
| 26                                             | Odisha                                         | 77,781                                                                                                             |
| 27                                             | Puducherry                                     | 3,482                                                                                                              |
| 28                                             | Punjab                                         | 63,626                                                                                                             |
| 30                                             | Sikkim                                         | 101                                                                                                                |
| 31                                             | Tamil Nadu                                     | 178527                                                                                                             |
| 32                                             | Telangana                                      | 80,392                                                                                                             |
| 33                                             | Tripura                                        | 13,998                                                                                                             |
| 34                                             | Uttar Pradesh                                  | 350883                                                                                                             |
| 35                                             | Uttarakhand                                    | 18,116                                                                                                             |
| 36                                             | Total                                          | 2459929                                                                                                            |
|                                                | West Bengal                                    | 322590                                                                                                             |
| Source: NSSO 73 rd Round (July 2015-June 2016) | Source: NSSO 73 rd Round (July 2015-June 2016) | Source: NSSO 73 rd Round (July 2015-June 2016)                                                                     |

## ANNEXURE  REFERRED  IN  REPLY  TO  PART  (e)  OF  THE  LOK  SABHA UNSTARRED  QUESTION  NO.  518  FOR  ANSWER  ON  06.02.2024  REGARDING 'PMFME SCHEME AND UNREGISTERED FPUs'

District wise Details of Number of new persons registered for Maharashtra

| S.No.   | District in Maharashtra   |   No. of Applications newly registered |
|---------|---------------------------|----------------------------------------|
| 1       | Ahmednagar                |                                    321 |
| 2       | Akola                     |                                     88 |
| 3       | Amravati                  |                                    216 |
| 4       | Beed                      |                                    481 |
| 5       | Bhandara                  |                                    197 |
| 6       | Buldhana                  |                                    288 |
| 7       | Chandrapur                |                                    117 |
| 8       | Chhatrapati Sambhajinagar |                                    612 |
| 9       | Dharashiv                 |                                     96 |
| 10      | Dhule                     |                                    227 |
| 11      | Gadchiroli                |                                    150 |
| 12      | Gondia                    |                                     67 |
| 13      | Hingoli                   |                                    291 |
| 14      | Jalgaon                   |                                     55 |
| 15      | Jalna                     |                                    216 |
| 16      | Kolhapur                  |                                    690 |
| 17      | Latur                     |                                    147 |
| 18      | Mumbai                    |                                    210 |
| 19      | Mumbai Suburban           |                                    203 |
| 20      | Nagpur                    |                                    184 |
| 21      | Nanded                    |                                    511 |
| 22      | Nandurbar                 |                                    303 |
| 23      | Nashik                    |                                    605 |
| 24      | Palghar                   |                                    152 |
| 25      | Parbhani                  |                                     98 |
| 26      | Pune                      |                                   1158 |
| 27      | Raigad                    |                                    169 |
| 30      | Ratnagiri                 |                                    184 |
| 31      | Sangli                    |                                    256 |
| 32      | Satara                    |                                    356 |
| 33      | Sindhudurg                |                                    114 |
| 34      | Solapur                   |                                    625 |
| 35      | Thane                     |                                    367 |
| 36      | Wardha                    |                                    194 |
| 37      | Washim                    |                                     88 |
| 38      | Yavatmal                  |                                    246 |
|         | Grand Total               |                                  10282 |