PLI scheme for food processing industry has catalysed investments worth Rs 7,000 crore: Official

Ranjit Singh, joint secretary, MoFPI

The food processing sector’s production linked incentive (PLI)-scheme till now has catalysed investments worth Rs 7,000 crore and has generated over 2.5 lakh man days of employment opportunities, a senior official of the Ministry of Food Processing Industries (MoFPI) said on Tuesday.

"MoFPI remains steadfast in its commitment to transform India’s food processing ecosystem. Till date, ministry has funded almost 1,600 projects leading to creation of 41 lakh tonnes of food processing capacity and benefitting almost 9 lakh farmers," Ranjit Singh, joint secretary, MoFPI said at a FICCI event.

Singh stated that food processing plays a pivotal role in agricultural diversification, value addition, reduction in post-harvest losses, and creation of surpluses for exports. "A strong and thriving food processing sector ensures better return for farmers, enhances employment opportunities, and boost export revenues," he said.

The sector serves as key link between primary and secondary sector, and in enhancing value of agri produce as well as driving favourable demand for Indian products in global markets, said the official. "Therefore, to realise its potential, we must continue to upgrade processing, packaging, storage and distribution, so that we’re able to meet both domestic and international standards," added Singh.

MoFPI is implementing key initiatives, such as Kisan Sampada Yojana, an umbrella scheme to build cold chains, agro-processing cluster, food testing bodies, and support R&D in the sector. The ministry is also running PM’s formalisation of micro food processing enterprises (PMFME) scheme to promote infrastructure development, innovation and entrepreneurship across the country, in the sector.

"As a result of these schemes, many small companies are now making effort to become medium ones," said Singh. The PMFME scheme, launched in 2020, has supported almost about 2 lakh micro enterprises, through credit linked subsidies, and infrastructure creation.

"The immense untapped potential of Indian farm sector highlights the important role that domestic manufacturing can play when adequately supported by enabling government policies. With targeted interventions, this sector can contribute to India becoming self-reliant and a global food basket," stated Singh.

Moreover, the official noted MoFPI has been actively working on countering misleading publicity of processed foods, and has formed a committee to oversee the misleading ads. He said that the ministry is aiming to engage with social media influencers to ensure correct information is publicised.