Mofpi Reports Progress In PMFME Scheme Implementation Across States And Uts

(MENAFN- KNN India) New Delhi, Dec 13 (KNN) The Ministry of Food Processing Industries (MoFPI) is implementing the centrally sponsored PM Formalisation of Micro Food Processing Enterprises (PMFME) Scheme through State and UT Governments offering financial, technical, and business support for new or upgraded micro food processing units, said Minister of State for Food Processing Industries Ravneet Singh in Parliament.

Banks have so far sanctioned 1,62,744 loans against a target of 2 lakh.

Monitoring and Outreach
MoFPI regularly conducts meetings with lending banks and State/UT Governments to achieve scheme targets. Issues faced by micro food processing enterprises are raised at the Department of Financial Services (DFS) level and in State Level Bankers Committee (SLBC) meetings.

The Ministry also organizes workshops, seminars, and awareness camps at the national, state, and district levels to ensure last-mile outreach. The average loan approval time after DPR approval is around 50 days, depending on submission of documents and information by applicants.

Support for SC, ST, and Women Entrepreneurs
As per scheme guidelines, 8.3 percent of funds are earmarked for SC entrepreneurs and 4.3 percent for ST entrepreneurs. While there is no specific allocation for women entrepreneurs, Seed Capital support of Rs 40,000 per SHG member is provided for working capital and purchase of small tools.

From September 1, 2025, to October 31, 2025, loans under credit-linked subsidy were sanctioned to 4,521 women entrepreneurs, 678 SC entrepreneurs, and 761 ST entrepreneurs, showed official data.

During the same period, seed capital amounting to Rs 38.19 crore was sanctioned to 10,422 SHG members, and 4,629 women beneficiaries received training under the capacity-building component of the scheme.

Infrastructure Support
The scheme offers a 35 percent credit-linked capital subsidy, up to Rs 3 crore, for organizations like Farmer Producer Organizations (FPOs), Farmer Producer Companies (FPCs), cooperatives, Self Help Groups (SHGs), or government agencies to set up common infrastructure for micro food processing units. No new financing measures under PMFME have been finalized since August 2025.

(KNN Bureau)

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