Lok Sabha Question No. 6359 (UNSTARRED), answered on 2026-04-02
Subject: Mega Food Parks
Ministry: FOOD PROCESSING INDUSTRIES
Asked by: Dr. Alok Kumar Suman

## GOVERNMENT OF INDIA MINISTRY OF FOOD PROCESSING INDUSTRIES

## LOK SABHA UNSTARRED QUESTION NO: 6359

ANSWERED ON  02 ND  APRIL, 2026

## MEGA FOOD PARKS

## 6359.  DR. ALOK KUMAR SUMAN:

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

- (a) the number of Mega Food Parks operational in the country;
- (b) the details of investment attracted by the food processing sector including under Mega Food Parks and other schemes;
- (c) the employment generated through Mega Food Parks and the food processing sector;

(d) the incentives provided under the Production Linked Incentive Scheme for Food Processing Industry; and

(e) the measures taken by the Government to reduce post-harvest losses?

## ANSWER

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

(a): The Ministry of Food Processing Industries is implementing Mega Food Park (MFP) Scheme, a component scheme under the Pradhan Mantri Kisan Sampada Yojana (PMKSY). Under MFP Scheme, 41 MFPs are approved out of which 25 MFPs are operational.

(b) to (e): In order to promote and ensure overall development of Food Processing Industries and reduce post-harvest loses, Ministry has been incentivizing setting up/ expansion of related infrastructure, through its two Central Sector Schemes viz. Pradhan Mantri Kisan SAMPADA Yojana  (PMKSY)  and  Production  Linked  Incentive  Scheme  for  Food  Processing  Industry (PLISFPI) and a Centrally sponsored PM Formalization of Micro food processing Enterprises (PMFME) Scheme across the country.

Ministry is implementing PMKSY since 2017-18 across the country. Under the component schemes of PMKSY namely (i) Integrated Cold Chain and Value Addition Infrastructure (Cold Chain scheme), (ii) Creation of Infrastructure for Agro Processing Clusters (APC scheme), (iii) Operation Greens (OG scheme)- Long term intervention, (iv) Creation and Expansion of Food Processing  and  Preservation  Capacities  (CEFPPC),  (v)  Mega  Food  Parks  (MFP  schemediscontinued w.e.f. 01.04.2021) and (vi) Creation of Backward and Forward Linkages (CBFL scheme- discontinued w.e.f. 01.04.2021) financial support is provided in the form of grants-inaid/ subsidy for setting up of food processing projects thereby creating both processing and preservation  infrastructure  facilities  including  cold  chain  infrastructure  across  the  country. Financial assistance in the form of grants-in-aid/ subsidy is provided for setting up of food processing projects at the rate of 35% of the eligible project cost in case of projects from general areas and 50% in case of projects from difficult areas as well as projects for SC/ ST, FPOs and

SHGs  subject  to  a  maximum  of  ₹5.00  crore  in  case  of  Creation  and  Expansion  of  Food Processing and Preservation Capacities (CEFPPC) scheme,   ₹10.00 crore in case of Cold Chain scheme/ APC scheme as well as in case of standalone projects under OG scheme and ₹ 15.00 crore in case of integrated projects under OG scheme. Ministry does not set up such projects on its own, it invites proposals from interested entities/organizations through Expression of Interest (EoI) floated from time to time, in accordance with scheme guidelines.

As on 31.01.2026, a total of 1,599 projects have been approved under the sub-component schemes  of  PMKSY,  including  the  Mega  Food  Parks,  attracting  private  investment  of ₹21,667.38  crore  in  the  food  processing  sector.  Further,  Mega  Food  Park  projects  have generated direct and indirect employment for 1,01,860 persons.

Under PMFME, Ministry provides credit-linked capital subsidy of 35% of eligible project cost (up to ₹10 lakh) for setting up/ upgradation of micro food processing enterprises, along with  seed  capital  support  up  to  ₹40,000  per  SHG  member,  as  per  eligibility.  Further,  for strengthening infrastructure, support is extended for Incubation Centre and creation of common infrastructure facilities, including processing units, warehouses, cold storages and other value chain infrastructure facilities. The scheme also provides grant-in-aid through its Branding and Marketing support to help groups with limited market access to boost the visibility and sales of  their  products.  Under  PMFME scheme, financial, technical and business support is  also provided for  setting  up  /  upgradation  of  micro  food  processing  enterprises.  The  scheme  is operational from 2020-21 to 2025-26 with an outlay of Rs.10,000 Crore.

The  Production  Linked  Incentive  Scheme  for  Food  Processing  Industry  (PLISFPI)  is approved for the period from Financial Year (FY) 2021-22 to FY 2026-27, with an approved outlay of ₹10,900 crore. The objectives of the Scheme are to support creation of global food manufacturing  champions,  promote  Indian  brands  of  food  products,  increase  employment opportunities for off-farm jobs, ensure remunerative prices of farm produce and higher income to  the  farmers.   Scheme  Components  and  Incentive  Structure  under  PLIS  is  placed  at ANNEXURE .

Under  the  Scheme,  incentives  are  provided  to  selected  applicants  on  achievement  of eligible incremental sales of food products, in accordance with the provisions of the Scheme guidelines.    The  incentives  under  the  PLISFPI  are  admissible  where  the  entire  chain  of manufacturing  processes,  including  primary  processing,  of  the  food  products  applied  for coverage under the scheme takes place in India. The incentives are also provided to promote branding and marketing abroad by approved beneficiaries / applicants.

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## ANNEXURE REFERRED TO IN REPLY TO PART (b) TO (e) OF THE LOK SABHA UNSTARRED  QUESTION  NO.  6359  ANSWERED  ON  02 ND   APRIL  2026  'MEGA FOOD PARKS'

## Scheme Components

-  Category-I  =  Relates  to  incentivizing  manufacturing  of  four  major  food  product segments viz. Ready to Cook/ Ready to Eat (RTC/ RTE) foods including Millets based products, Processed Fruits & Vegetables, Marine Products and Mozzarella Cheese.
-  Category-II = Relates to production of Innovative/ Organic products of SMEs including Free Range - Eggs, Poultry Meat, Egg Products in these four segments.
-  Category-III  =  Relates  to  support  for  branding  and  marketing  abroad  to  incentivize emergence  of  strong  Indian  brands  for  in-store  Branding,  shelf  space  renting  and marketing. The Approved implementation period for Branding &  Marketing components is from 2022-23 to 2026-27.
-  In  the  backdrop of declaration of Year 2023 as 'International Year of Millets', the Ministry took the initiative to encourage the use of Millets in RTC/RTE products and incentivizing them under the PLI Scheme (PLISMBP) to increase usage of millets in food products and promote value addition and sales.

## INCENTIVE STRUCTURE UNDER PLIS

| Categ ory/ S egme nts   | Segm ent          | Incentive Disburseme nt criteria (%)   | Incentive Disburseme nt criteria (%)   | Upper c ap (%&A mount i n crore)   | Rate of Incentives   | Rate of Incentives   | Rate of Incentives   | Rate of Incentives   | (%)      | Rate of Incentives   |
|-------------------------|-------------------|----------------------------------------|----------------------------------------|------------------------------------|----------------------|----------------------|----------------------|----------------------|----------|----------------------|
| Categ ory/ S egme nts   | Segm ent          | Min. CAG R                             | Max. CAG R                             |                                    | 20 21- 22            | 2022-2 3             | 2023-2 4             | 2024-2 5             | 2025-2 6 | 2026-2 7             |
| Cat. 1                  |                   |                                        |                                        |                                    |                      |                      |                      |                      |          |                      |
| RTE/ RTC                | Biscui ts         | 10%                                    | 13%                                    | 8% Rs.334.4 8                      | 5%                   | 5%                   | 5%                   | 5%                   | 4.5%     | 4%                   |
| RTE/ RTC                | Non- Biscui ts    | 10%                                    | 13%                                    | 8% Rs.334.4 8                      | 7.5 %                | 7.5%                 | 7.5%                 | 7.5%                 | 6.75%    | 6%                   |
| F&V                     | Spices            | 10%                                    | 12%                                    | 8%                                 | 5%                   | 5%                   | 5%                   | 5%                   | 4.5%     | 4%                   |
| F&V                     | Non-S pices       | 10%                                    | 15%                                    | Rs.286.5 6                         | 10 %                 | 10%                  | 10%                  | 10%                  | 9%       | 8%                   |
| Mari ne                 | Marin e prod ucts | 5%                                     | 10%                                    | 8% Rs.79.44                        | 6%                   | 6%                   | 6%                   | 6%                   | 5%       | 4%                   |

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|                     | Value added produ cts   |                                                                                         |                                                                                         |                            | 10 %   | 10%                                                                                                                                                   | 10%                                                                                                                                                   | 10%                                                                                                                                                   | 10%                                                                                                                                                   | 10%                                                                                                                                                   |
|---------------------|-------------------------|-----------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|----------------------------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------|
| Mozz arella Chees e |                         | 15%                                                                                     | 16%                                                                                     | 25% Rs.70.75               | 10 %   | 10%                                                                                                                                                   | 10%                                                                                                                                                   | 8%                                                                                                                                                    | 6%                                                                                                                                                    | 4%                                                                                                                                                    |
| Millet Prod         | Large Entity            | 10%                                                                                     | -                                                                                       | Rs.10 0                    | -      | 10%                                                                                                                                                   | 10%                                                                                                                                                   | 10%                                                                                                                                                   | 9%                                                                                                                                                    | 8%                                                                                                                                                    |
| ucts                | MSM E                   | 10%                                                                                     | -                                                                                       | Rs.10.54                   | -      | 10%                                                                                                                                                   | 10%                                                                                                                                                   | 10%                                                                                                                                                   | 9%                                                                                                                                                    | 8%                                                                                                                                                    |
| 2                   | Orga nic Pr oduct s     | 10%                                                                                     | -                                                                                       |                            | 10 %   | 10%                                                                                                                                                   | 10%                                                                                                                                                   | 10%                                                                                                                                                   | 9%                                                                                                                                                    | 8%                                                                                                                                                    |
| Cat.                | Innov ative Prod ucts   | 10%                                                                                     | -                                                                                       |                            | 10 %   | 10%                                                                                                                                                   | 10%                                                                                                                                                   | 10%                                                                                                                                                   | 9%                                                                                                                                                    | 8%                                                                                                                                                    |
| Cat.3B&M            |                         | Only Indian brands co vered for selling food products completelym anufactured in India. | Only Indian brands co vered for selling food products completelym anufactured in India. | 50% of t otal expe nditure | -      | Financial incentive 50% of expenditure o nB&M abroad subject to max. grant of 3 %of sales of food products or Rs. 50 Cr p er year, whichever is less. | Financial incentive 50% of expenditure o nB&M abroad subject to max. grant of 3 %of sales of food products or Rs. 50 Cr p er year, whichever is less. | Financial incentive 50% of expenditure o nB&M abroad subject to max. grant of 3 %of sales of food products or Rs. 50 Cr p er year, whichever is less. | Financial incentive 50% of expenditure o nB&M abroad subject to max. grant of 3 %of sales of food products or Rs. 50 Cr p er year, whichever is less. | Financial incentive 50% of expenditure o nB&M abroad subject to max. grant of 3 %of sales of food products or Rs. 50 Cr p er year, whichever is less. |

*Minimum sale of all food products. **₹ 1 Cr sale of each product (Organic/ Innovative)

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