1. Role of Food Processing Sector in Doubling Farmers’ income
MINISTRY OF FOOD PROCESSING INDUSTRIES
GOVERNMENT OF INDIA

2. Food Processing Industry Outlook
Food processing industry is an important contributor to GDP, employment and investments.
Sector constituted 8.71% and % of GVA in Manufacturing and Agriculture sectors during
Value of processed food exports was USD billion during equivalent to 11.19% of India’s total export and 2.22% of total global export.

3. Food Processing Industry Outlook
Foreign Direct Investment in food processing sector has increased from USD million in to USD million in
No. of food processing industries in the registered sector – 38,603 in
Sector employs more than 1.7 million people per cent of employment generated in all registered factory sector.

4. PRADHAN MANTRI KISAN SAMPADA YOJANA
New Central Sector Scheme – PRADHAN MANTRI KISAN SAMPADA YOJANA (PMKSY) launched on
Total outlay of Rs. 6,000 crore for the scheme

5. OBJECTIVES OF PMKSY
Creation of modern infrastructure for food processing mega food parks/ clusters and individual units
To create effective backward and forward linkages - linking farmers, processors and markets
To create robust supply chain infrastructure for perishables

6. SCHEMES UNDER PMKSY Mega Food Parks
Integrated Cold Chain & Value Addition Infrastructure
Infrastructure for Agro-processing Clusters
Creation of Backward and Forward Linkages
Creation/ Expansion of Food Processing & Preservation Capacities
Food Safety and Quality Assurance Infrastructure
Human Resources and Institutions

7. MEGA FOOD PARKS
To provide modern infrastructure for food processing units based on hub and spoke model;
Capital 50% of eligible project cost in general areas 75% in NE / difficult / ITDP areas; max. Rs.50 crore per project for creating core processing facilities, basic enabling & non core infrastructure, SDF sheds, Primary Processing / Collection Centres etc.;
Implemented through Special Purpose Vehicle (SPV) and State PSUs; Farmers can also form SPV.
Each Mega Food Park to have food processing units;
Direct/ indirect employment to about 5000 persons;
Each MFP on being fully operational may benefit about 25,000 farmers.

8. MEGA FOOD PARK-HUB AND SPOKE MODEL
CPC
Domestic sales
and exports
Value added Products
Fresh Products
PPC 1 2 3
Retail sales
Domestic
Farmer Groups
Self Help Groups
Farmers
Collection Centres (CCs):
Aggregation Points CC CC CC CC CC CC CC CC CC
Primary Processing Centres
(PPCs):
Pre-cooling, Grading &
Sorting, waxing,
packing ,
Temporary storage.
Supply to CPC or
direct market
Central Processing Centres
(CPCs):
Core, Basic Enabling,
Non-core infrastructure,
SDF sheds,
Processing units

9. STATUS OF MEGA FOOD PARKS
Total projects approved : 42
Projects operational : 12
Projects under implementation : 30
To be made operational this year : 16

10. INTEGRATED COLD CHAIN AND VALUE ADDITION INFRASTRUCTURE
To provide integrated cold chain and preservation infrastructure from farm gate to consumers;
To enhance value addition of agricultural produce;
Financial assistance:
Storage infra (cold storage etc.) / 50% in general/ difficult areas
Value addition / processing infra (pack house, frozen processing units, dairy etc.) 50% / 75%
Irradiation facilities 50%/ 75%
Max. grant Rs. 10 crore per project
Eligible organizations: FPOs / FPCs / SHGs / Govt. & private sector
Fresh EOI issued with closing date
Status:
Projects approved : 238
Projects completed : 120
Under implementation : 118

11. INFRASTRUCTURE FOR AGRO PROCESSING CLUSTERS
Assistance for creating common facilities and enabling infrastructure closer to production areas
Envisages a cluster of minimum 5 processing units with an investment of Rs 25 Cr
35% / 50% in general/difficult areas; max. Rs. 10 Cr. for creation of core processing and basic enabling infrastructure for food processing
Minimum 10 acres land is required either by purchase or on lease of 50 yrs
Eligible organizations: FPOs / FPCs / SHGs / Govt. & private sector
100 clusters proposed in the country
Fresh EOI Issued on Last date

12. CREATION OF BACKWARD AND FORWARD LINKAGES
To plug gaps in supply chain of perishables agri-horti produce
To connect farmers directly with processing and market
Support for facilities like:
Primary processing centres/ collection centres at farm gate,
Distribution hub and retail outlets at the front end,
Reefer transport etc.
Project cost: No minimum cost, max. grant- Rs Cr
35%/ 50% in general/ difficult areas; Equity-20%,Loan-20%
Eligible organizations: Farmer Producer Organisations/ Cooperatives / FPCs / SHGs / Govt. & private sector companies, processors, retilers
50 projects in country. EoI issued with closing date

13. CREATION/ EXPANSION OF FOOD PROCESSING & PRESERVATION CAPACITIES
To promote food processing/ preservation units in Mega Food Parks, Agro Processing Clusters and designated Food Parks
35% / 50% in general / difficult areas; max. Rs. 5 crore of eligible project cost (technical civil works and plant & machinery
Eligible organizations: FPOs / FPCs / SHGs / Govt. & private sector
400 new units proposed in the country
Fresh EOI Issued on Last date –

14. QUALITY ASSURANCE INFRASTRUCTURE
Food Testing Labs:
Facilitate industry to comply with domestic/ international standards
Make available modern commercial testing facilities for industry.
/ 70% of equipment in general / difficult areas for private projects and 100% for public sector
60 new labs proposed in the country
Present status:
Projects Approved
Projects completed
Projects on-going

15. SKILL DEVELOPMENT SCHEME
Augment skilled workforce for food processing sector;
Assist Training Centres (TCs) to augment training infrastructure;
50% of cost of plant & machinery subject to a maximum of Rs 15 lakhs per training module for a maximum of 2 training Module per TC;
Develop training/ course modules in English, Hindi and regional languages;
Grants-in-aid of Rs.5 lakh per QP;
Eligibility: All recognized Central/ State/ Deemed Universities or its Department of Food Processing Technology

16. INSTITUTIONS
MoFPI has two institutions for capacity building in food preservation and processing.
National Institute of Food Technology Entrepreneurship & Management (NIFTEM) – deemed university.
Indian Institute of Food Processing Technology (IIFPT) – affiliated to Tamil Nadu Agriculture University.
Running B.Tech, M.Tech. and Ph.D. programmes
Several short duration trainings for capacity development of industry professionals and entrepreneurs.

17. EXPECTED OUTCOME OF PMKSY
Leverage investment of Rs. 31,400 crore
Handling of 334 lakh MT agro-produce valuing Rs. 1,04,125 crore
Benefit 20 lakh farmers
Generate 5,30,500 direct/ indirect employment

18. Major Announcements in Union Budget 2018-19
Allocation under Pradhan Mantri Kisan Sampada Yojna (PMKSY) increased from Rs. 715 crore in (RE) to Rs crore;
Promoting establishment of specialized agro-processing financial institutions;
State-of-the-art testing facilities in all the forty two Mega Food Parks to promote exports of food products;
Operation Greens for tomato, onion & potato to be launched with an allocation of Rs. 500 crore to promote FPOs, agri logistics, processing facilities and professional management;
100 percent income tax exemption from profit of FPOs, having annual turnover up to Rs. 100 crores for post-harvest and value addition activities.

19. Investor Portal-Nivesh Bandhu
information
States Opportunities & Incentives
Geo mapping of Information
B2B Marketplace
Investor Enquiries Handling

20. Expectations from M/o Agriculture and Farmers Welfare
Focus on Post harvest infra and end use of agri produce.
Promotion of production of processable and dual purpose varieties on Clusters basis.
States to identify and develop a comprehensive Value Chain Development Strategy for each commodity Cluster.
Organize farmers in FPOs and align with processors.
Create awareness about benefits available under PMKSY for FPOs/FPCs

21. THANK YOU