Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) Scheme:
Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) scheme has steadily expanded its reach, the Minister of State for Food Processing Industries recently said that major components of the scheme have made notable progress as of 31 October 2025.
- Launched on June 29, 2020, PMFMPE is a Centrally Sponsored Scheme by the Ministry of Food Processing Industries.
- It is designed to address the challenges faced by micro-enterprises and to tap the potential of groups and cooperatives to support the upgradation and formalization of these enterprises.
- Objectives: To build the capability of microenterprises to enable:
- Increased access to credit by existing micro food processing entrepreneurs, FPOs, self-help groups, and co-operatives.
- Integration with an organized supply chain by strengthening branding & marketing.
- Support for the transition of existing 200,000 enterprises into a formal framework.
- Increased access to common services like common processing facilities, laboratories, storage, packaging, marketing, and incubation services.
- Strengthening of institutions, research, and training in the food processing sector; and
- Increased access for enterprises to professional and technical support.
- The scheme envisages an outlay of ₹ 10,000 crores over a period of five years from 2020-21 to 2024-25.
- The expenditure under the scheme would be shared in a 60:40 ratio between Central and State Governments, in a 90:10 ratio with the Northeastern and the Himalayan States, a 60:40 ratio with UTs with the legislature, and 100% by the Center for other UTs.
- Under the scheme, 2,00,000 micro food processing units will be directly assisted with credit-linked subsidies.
- Adequate, supportive common infrastructure and institutional architecture will be supported to accelerate the growth of the sector.
