Lok Sabha Question No. 2118 (UNSTARRED), answered on 2026-02-12
Subject: Agro Processing Development of Modern Infrastructure in Tamil Nadu
Ministry: FOOD PROCESSING INDUSTRIES
Asked by: Shri Selvam G, Shri C N Annadurai

## GOVERNMENT OF INDIA

## MINISTRY OF FOOD PROCESSING INDUSTRIES

## LOK SABHA UNSTARRED QUESTION NO. 2118

ANSWERED ON 12 TH  FEBRUARY 2026

## AGRO PROCESSING DEVELOPMENT OF MODERN INFRASTRUCTURE IN TAMIL NADU

## 2118.   SHRI SELVAM G: SHRI C N ANNADURAI:

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

- (a) whether  the  Government  has  effectively  implemented  the  Scheme  for  Creation  of Infrastructure for Agro Processing Development of Modern Infrastructure in Tamil Nadu and if so, the details thereof;
- (b) the details of projects approved, completed and pending under the said scheme in Tamil Nadu, district-wise during the last five years along with the capacity created and funds sanctioned and released;
- (c) whether a large number of small and marginal farmers, Farmer Producer Organisations (FPOs) and rural entrepreneurs in Tamil Nadu have not been able to access the benefits of the said scheme, if so, the reasons therefor;
- (d) whether  delays  in  approvals,  inadequate  awareness  and  procedural  complexities  have adversely affected the establishment of modern agro-processing units and value chains in the State and if so, the details thereof; and
- (e) the corrective measures being taken by the Government to ensure equitable access, faster implementation  and  effective  utilisation  of  agro  processing  infrastructure  to  enhance farmers' income and reduce post-harvest losses in Tamil Nadu?

## ANSWER

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

(a) to (c): The Ministry of Food Processing Industries (MoFPI) has been implementing a Scheme for Creation of Infrastructure for Agro Processing Clusters (APC), a component scheme of the Pradhan Mantri Kisan Sampada Yojana (PMKSY) for development of modern infrastructure to encourage entrepreneurs to set up food processing units based on cluster approach in the country since 2017. The Scheme is demand driven. Ministry provides financial assistance in the form of grants-in-aid/subsidy  to  the  entrepreneurs/  investors  for  establishing  agro-processing  clusters. Applications  under  this  scheme  are  invited  online  from  prospective  investors  /  entrepreneurs against  Expression  of  Interest  (EoI)  issued  by  Ministry  from  time  to  time  depending  upon availability of  funds.  As per scheme guidelines Central & State PSUs/ Joint Ventures/ NGOs/

Cooperatives/ Self Help Groups (SHG)/ Farmer Producer Organizations (FPO)/ Farmer Producer Companies (FPC)/ Public  &  Private  Sector  Companies/  Limited  Liability  Partnerships  (LLP)/ Partnership Firms/ Proprietorship Firms are the eligible entities/ organisations who can apply for assistance  under  the  APC  Scheme.  During  last  five  years,  Ministry  has  approved  2  Agro Processing Clusters in the State of Tamil Nadu under this scheme, which are at various stages of implementation. The year-wise, district-wise, category-wise details of these 2 Agro Processing Clusters is attached at Annexure.

(d): The  delay  in  implementing  the  projects  is  mainly  due  to  delay  in  obtaining  statutory clearances, land acquisition, regulatory clearances, establishing market linkages and technology adoption. Project Implementing Authorities themselves have to obtain these clearances.  In case of requests received from the project implementation agencies, Ministry takes up the matter with concerned departments/agencies to resolve the issues faced by the project implementation agencies for  smooth  implementation  of  the  projects.    Ministry  ensures  that  Scheme  Guidelines,  FAQs, Expression of Interests issued from time to time are uploaded/published on the official website of the Ministry, SAMPADA Portal, and dissemination of details/facts on social media accounts of the Ministry for wide publicity. Further, whenever scheme EOIs are issued, all States and Trade Associations are also informed for wider circulation and awareness of EOI of the Ministry.

(e): Ministry regularly monitors the projects and coordinates with the project implementing agencies by conducting review meetings/site visits to assess the progress of the projects. Ministry, on  the  request  of  project  implementing  agencies,  also  takes  up  the  matter  with  the  concerned department of State Government and their agencies for smooth and timely implementation. The Ministry  directly  as  well  as  through  Project  Management  Agency  (PMA)  of  the  Scheme  is regularly in touch with all applicants of approved projects and guides them suitably during course of implementation.

ANNEXURE REFERRED TO IN REPLY TO PART (a) & (c) OF THE LOK SABHA UNSTARRED  QUESTION  NO.  2118  FOR  ANSWER  ON  12 TH  FEBRUARY,  2026 REGARDING 'AGRO PROCESSING DEVELOPMENT OF MODERN INFRASTRUCTURE IN TAMIL NADU'

|   S r. N o. | Name of the Proje ct Execu tion Agenc y (PEA)   | Distric t    | Category of PEA (General/ SC/ST)   | Date of appro val   | Proj ect cost (In Cr.)   |   Grant/S ubsidy Approve d (in Cr.) |   Total Grant/S ubsidy released (in Cr.) | Year of Appr oval   |   Total Process ing& Preserv ation Capacit y Expecte d (MT/A) |
|-------------|-------------------------------------------------|--------------|------------------------------------|---------------------|--------------------------|-------------------------------------|------------------------------------------|---------------------|---------------------------------------------------------------|
|           1 | M/s Vamsi RS Indust rial Zone                   | Erode        | General                            | 17.11. 2021         | 33.1 67                  |                              9.1351 |                                     2.88 | 2021- 22            |                                                         79700 |
|           2 | M/s Integr ated Servic e Point Privat e Limite  | Thiruv allur | General                            | 28.02. 2024         | 42.6 35                  |                             10      |                                     6.67 | 2023- 24            |                                                        248400 |