Government initiatives aimed at strengthening India’s food processing sector have generated more than 13 lakh direct and indirect employment opportunities while expanding infrastructure and promoting value addition in agriculture across the country.
The information was provided by Ravneet Singh, Minister of State for Food Processing Industries, in a written reply in the Lok Sabha.
Major Schemes Driving Sector Growth
The Ministry of Food Processing Industries is implementing several national programmes to promote the development of food processing industries, enhance value addition of agricultural products and support agri based enterprises.
Key initiatives include the Pradhan Mantri Kisan SAMPADA Yojana, the Production Linked Incentive Scheme for Food Processing Industry and the PM Formalisation of Micro Food Processing Enterprises Scheme.
These schemes provide incentives and financial support for setting up and expanding food processing infrastructure and enterprises across the country.
The incentives are available to eligible entities in various regions including Jamui, Khagaria, Samastipur, Sagar, Ghaziabad and Surat Lok Sabha constituencies along with other parts of the country.
Employment Generation Across Programmes
According to the Ministry of Food Processing Industries, large scale employment has been generated through projects supported under these schemes.
As of 31 December 2025, projects operational under the component schemes of Pradhan Mantri Kisan SAMPADA Yojana have generated about 4.69 lakh direct and indirect employment opportunities.
Under the PM Formalisation of Micro Food Processing Enterprises Scheme, around 5.18 lakh direct and indirect jobs have been created.
The Production Linked Incentive Scheme for Food Processing Industry has generated approximately 3.29 lakh direct and indirect employment opportunities across the country.
Together these initiatives have created more than 13 lakh employment opportunities in the food processing sector.
Incentives For Infrastructure Development
The Pradhan Mantri Kisan SAMPADA Yojana supports infrastructure creation across several areas of the food processing value chain.
These include integrated cold chain and value addition infrastructure, expansion of food processing and preservation capacities, infrastructure for agro processing clusters and development of integrated value chains under Operation Greens.
The scheme also provides financial assistance for establishing food safety and quality assurance laboratories and for research and development in food processing.
Under the programme, grant in aid support is provided for eligible projects with higher financial assistance available for projects located in difficult areas or implemented by Scheduled Caste Scheduled Tribe groups farmer producer organisations and self help groups.
Production Linked Incentive For Value Added Products
The Production Linked Incentive Scheme for Food Processing Industry supports expansion of food processing capacity and encourages production of value added food products.
The scheme provides incentives to companies across multiple segments including ready to eat and ready to cook products, processed fruits and vegetables, marine products, value added dairy products, millet based products and innovative food products.
It also supports branding and marketing of Indian food products in international markets to strengthen global competitiveness of the sector.
Support For Micro Food Processing Enterprises
The PM Formalisation of Micro Food Processing Enterprises Scheme focuses on strengthening small scale food processing units and improving their market access.
Under the scheme individual micro enterprises receive credit linked capital subsidy of 35 percent of eligible project cost with a maximum support of ten lakh rupees per unit.
Self help groups engaged in food processing receive seed capital support of forty thousand rupees per member for working capital and purchase of tools.
The scheme also supports creation of common infrastructure for groups of farmer producer organisations cooperatives and government agencies through capital subsidies for shared processing facilities.
Financial assistance is also provided for branding and marketing of products produced by micro food processing enterprises.
Capacity Building And Skill Development
The Ministry of Food Processing Industries also provides support for capacity building through training programmes under the PM Formalisation of Micro Food Processing Enterprises Scheme.
Training is provided to trainers district resource persons entrepreneurs and other stakeholders through entrepreneurship development and product specific skill development programmes.
These initiatives aim to enhance the technical capabilities of entrepreneurs and strengthen the workforce required by the food processing industry.
Institutional Support And Research
The ministry’s autonomous institutions National Institute of Food Technology Entrepreneurship and Management Kundli in Haryana and National Institute of Food Technology Entrepreneurship and Management Thanjavur in Tamil Nadu provide technical support to entrepreneurs and enterprises.
These institutions offer mentorship training incubation services and access to facilities such as pilot plants food testing laboratories quality testing infrastructure research and development support and networking opportunities.
Strengthening Supply Chains And Reducing Losses
Officials said the schemes aim to create modern infrastructure for efficient supply chain management from farm gate to retail markets.
The initiatives include development of storage facilities transportation networks and market linkages which help reduce post harvest losses and improve returns for farmers.
By promoting value addition and processing of agricultural products the programmes also generate off farm employment opportunities and strengthen rural economies.
The government said continued expansion of food processing infrastructure and enterprises is expected to play a key role in increasing farmers’ income improving food supply chains and strengthening India’s agri based industrial ecosystem.
