PM Formalisation of Micro food processing Enterprises Scheme

The PM Formalisation of Micro food processing Enterprises Scheme (PM FME Scheme) aims to enhance the competitiveness of existing individual micro-enterprises in the unorganized segment of the food processing industry and promote the formalization of the sector. The scheme supports Farmer Producer Organizations (FPOs), Self Help Groups (SHGs), and Producers Cooperatives along their entire value chain. It provides increased access to credit, strengthens branding and marketing, and facilitates the transition of existing enterprises into a formal framework. The scheme also aims to improve access to common services such as processing facilities, laboratories, storage, packaging, marketing, and incubation services, while strengthening institutions, research, and training in the food processing sector.

• Credit-linked capital subsidy of 35% for upgrading individual micro food processing units, with a maximum of ₹10 lakh per unit.
• Support for FPOs, SHGs, and Cooperatives for capital investment along the entire value chain with a credit-linked grant of 35%.
• Seed capital of ₹40,000 per SHG member for working capital and small tools.
• Access to common services like processing facilities, laboratories, and marketing support.

Eligibility Criteria for Co-operatives/FPOs/SHGs:

• Must preferably be engaged in processing of One District One Product (ODOP) produce.
• Minimum turnover of ₹1 crore.
• Proposed project cost should not exceed current turnover.
• Members must have at least 3 years of experience in dealing with the product.
• Sufficient internal resources or sanction from the State Government to meet 10% of the project cost.

Online

To apply, visit the official portal: PM FME Scheme Application

Required documents:

• Aadhar Card Copy
• PAN Card Copy
• Address Proof Copy
• Bank Passbook Copy

For more information, refer to the guidelines available at:

• Guidelines Document 1
• Guidelines Document 2
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