Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME)
PMFME supports food businesses in Tamil Nadu with credit-linked subsidies.
Objective
To enhance the competitiveness of existing individual micro enterprises in the unorganized segment of the food processing industry, and promote formalization of the sector.
Key Benefits
- Offers credit-linked capital subsidy of 35% of project costs, subject to a ceiling of Rs. 10 lakh per unit for setting up new unit or upgrading existing units.
- Offers credit linked capital subsidy of 35% for FPOs/ FPCs/ Cooperatives/ SHGs to setup common infrastructure/ incubation centres/ value with a maximum cap of Rs. 3 crore.
- Seed capital @ Rs. 40,000/- per member of SHG for working capital and purchase of small tools maximum upto 4 Lakhs per SHG.
- Beneficiary contributes minimum 10% of the project cost, with balance being loan from the bank.
- District Resource Persons are appointed to hand-hold beneficiaries through the entire process.
- Credit guarantee to be provided for loans upto Rs. 10 lakhs without collateral and above Rs. 10 lakhs with collateral.
Snapshots
35%
Project Cost Coverage
INR 3 Crores
per unit
Subject Maximum
INR 40,000
per member
Grant for SHG
INR 10 Lakh
Subject Maximum Credit for SHG
Eligibility Criteria
- Eligible units:
- Organisations such as FPOs or Farmer Producer Companies (FPCs).
- Cooperatives or SHGs and its federation.
- Government agencies who have established or proposed to establish food processing line along with common infrastructure/ value chain/ incubation centres.
- Proposal for both ODOP or non-ODOP products will be considered. However, ODOP products will be preferred.
- The applicant can only be a micro enterprise.
- Types of common infrastructure to be funded under the scheme:
- Premises for assaying of agriculture produce, sorting, grading, warehouse and cold storage at the farm-gate.
- Common processing facility for processing of ODOP produce.
- Incubation center involving one or more product lines, which could be utilized by smaller units on a hire basis for processing of their produce. It should be run on commercial basis. It can maybe partly used for training.
Other Schemes
