Lok Sabha Question No. 1871 (UNSTARRED), answered on 2025-12-11
Subject: Package for Setting up Food Processing Units in Amritsar
Ministry: FOOD PROCESSING INDUSTRIES
Asked by: Shri Gurjeet Singh Aujla

## GOVERNMENT OF INDIA

## MINISTRY OF FOOD PROCESSING INDUSTRIES

## LOK SABHA UNSTARRED QUESTION NO. 1871

ANSWERED ON 11 TH  DECEMBER, 2025

## PACKAGE FOR SETTING UP FOOD PROCESSING UNITS IN AMRITSAR

## 1871.   SHRI GURJEET SINGH AUJLA:

Will the Minister of FOOD PROCESSING INDUSTRIES be pleased to state:

- (a) whether the Government is aware that people living in the border villages of Amritsar rely almost entirely on agriculture with limited income sources and that the younger generation is losing interest in farming due to lack of industrial opportunities, if so, the details thereof;
- (b) whether the Government proposes to provide a special grant or package for setting up food processing units, cold chains and value-addition infrastructure in the border belt of Amritsar to boost agro-industrial employment, if so, the details thereof;
- (c) the manner in which the Government plans to integrate Amritsar's international airport and cargo terminal to support the export of processed goods from this region; and
- (d) whether the Government would prioritize Amritsar under Central schemes such as the Pradhan  Mantri  Formalisation  of  Micro  Food  Processing  Enterprises  (PMFME) Scheme, Mega Food Parks, or introduce a border-specific food export cluster to boost the rural economy and if so, the details thereof?

## ANSWER

## THE MINISTER OF STATE FOR FOOD PROCESSING INDUSTRIES (SHRI RAVNEET SINGH )

(a) & (b): In order to boost and ensure overall development of food processing sector including agro based industries, Ministry of Food Processing Industries (MoFPI) has been incentivizing setting up/expansion of related infrastructure through its two Central Sector Schemes namely Pradhan  Mantri  Kisan  SAMPADA  Yojana  (PMKSY)  and  Production  Linked  Incentive Scheme  for  Food  Processing  Industry  (PLISFPI).  Further,  a  Centrally  sponsored  PM Formalization  of  Micro  Food  Processing  Enterprises  (PMFME)  scheme  is  also  being implemented by MoFPI. All these three schemes are implemented across the country including Amritsar  district  of  Punjab  and  thereby  creating  off-farm  employment  opportunities  & increasing the income of the farmers in Food Processing Sector.

Under PMKSY, MoFPI has approved three food processing projects with total project cost of Rs 51.63 crores and approved grant-in-aid of Rs 12.17 crores in Amritsar district of Punjab.

Under PMFME Scheme, MoFPI has sanctioned 42 proposals with a total subsidy of Rs 2.74 crores in Amritsar district of Punjab.

(c): As informed by  Ministry  of  Civil  Aviation,  AAI  Cargo  Logistics  and  Allied  Services Company  Limited  (AAICLAS)  has  established  dedicated  International  and  Domestic  Air Cargo facilities at Amritsar Airport. The Domestic Air Cargo facility has an annual handling capacity of 1100 MT and the International Air Cargo facility has an annual handling capacity of 32,400 MT. AAICLAS has also received RA3 Security Certificate for Amritsar Airport. (RA3 security certification is required for direct export to UK and EU countries.)

AAICLAS has constructed new domestic air cargo terminal at Amritsar airport in an area of 1224 SQm with an annual handling capacity of more than 40,000 MT. Amritsar airport has well equipped cold storage facility which can be utilized by local exporters for the export of Agri produce and pharma.

(d): As mentioned earlier, MoFPI is implementing PMFME scheme for providing financial, technical and business support for upgradation/ setting up of micro food processing enterprises including  Amritsar  district  of  Punjab.  Further,  the  Mega  Food  Parks  Scheme,  has  been discontinued with effect from 01.04.2021.

The schemes implemented by MoFPI aim towards creation of modern infrastructure with efficient supply chain management from farm gate to retail outlet which includes storage, transportation,  etc.,  thereby  help  in  providing  better  returns  to  farmers  and  creating  huge employment  opportunities  especially  in  the  rural  areas,  increasing  the  processing  level, enhancing the export of the processed foods, which boosts rural economy and contribute in inclusive growth.

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