Promotion of Food Processing Industries

Government is running various schemes for promotion and development of Food Processing Industries (FPIs) in the country. The details of various Schemes of Ministry of Food Processing Industries are as under:

 

Central Sector Schemes

(a): Scheme for Development of Infrastructure for Food Processing

(i) Mega Food Parks:- The Scheme of Mega Food Parks was launched during 2008 to provide modern Infrastructure for food processing Units in the country on pre-identified cluster basis.  The pattern of assistance is 50% of the eligible project cost in general areas and 75% in difficult areas subject to a maximum of Rs.50.00 crore.

(ii) Integrated Cold Chain, Value Addition and Preservation Infrastructure:-  The Scheme of Integrated Cold Chain, Value Addition and Preservation Infrastructure is to provide integrated cold chain and preservation infrastructure facilities without any break, from the farm gate to the consumer.  During 12^th Five Year Plan period, the plan allocation of the scheme is Rs.786.00 crore.  The scheme envisages grant-in-aid @ 50% of the total cost of plant and machinery and technical civil work in general areas and 75% in North- Eastern region and difficult areas subject to maximum of Rs.10.00 crore per Project.

(iii) Modernization of Abattoirs:- The Scheme of Modernization of Abattoirs was launched during 2008.  The Scheme is implemented through local bodies (Municipal Corporations and Panchayats)/Public Sector Undertakings/Cooperatives/ Boards under Government and will have the flexibility for involvement of private investors on PPP basis.   The Scheme envisages grant-in-aid @ 50% of the project cost in general areas and 75% for North- Eastern region  subject to a maximum of Rs.15.00 crore per project.

(b) Scheme of Technology Up-gradation/Establishment/ Modernization of Food Processing Industries (Spill over liability)

The Scheme is meant to assist prospective entrepreneurs to set up food processing units to reduce the wastage of agricultural and horticultural produce.  Under the scheme, a maximum of Rs.50.00 lakh is provided as grant -in-aid to general areas and Rs.75.00 lakh in difficult and North- Eastern areas, for eligible entrepreneurs.  This scheme has been subsumed in Centrally Sponsored Scheme – National Mission on Food Processing (NMFP) w.e.f. 01.04.2012.

 

(c) Scheme for Quality Assurance, Codex Standards, Research & Development and Other Promotional Activities

(i)         Food Testing Laboratories:- The objective of the scheme is to ensure safety and quality of food products with the analysis of the samples received from food processing industries and other stakeholders. The establishment of a surveillance system for monitoring the quality and composition of food and thereby ensuring compliance of international standards on food.

(ii)        Implementation of HACCP:-  The objective of the scheme is to motivate the food processing industries for adoption of food safety and quality assurance mechanisms such as TQM including ISO 14000, ISO 22000 HACCP, GMP, GHP, to prepare them to face global competition in post STO Regime, to enable adherence to stringent quality and hygiene norms, to enhance product acceptance by overseas buyers and to keep Indian industry technologically abreast of international best practices.

(iii)       Research & Development:- The objective of this scheme is that the end product/findings of R&D work must benefit food processing industries in terms of product and process development, improved packaging, value addition and leading to innovative products and process with commercial value.

(iv)       Promotional Activities:-  Under the Scheme for Promotional Activities, the Ministry provides financial assistance for organizing pan India level Seminars/Workshops/Fair/ Exhibitions and also participate in pan India level Fair/Exhibitions spearheaded by Apex Industry Associations and Autonomous Bodies/PSUs of Govt. of India with the objective of dissemination of information regarding food processing industries.

(d)        Scheme for Human Resource Development

            Ministry of Food Processing Industries (MFPI) has been implementing the Scheme for Human Resource Development since 9^th Plan and onwards to augment the supply of trained manpower/ personnel  at all levels for food processing sector namely entrepreneurs, managers, sales persons, floor workers etc.

During the 12^th Five Year Plan (2012-13), the HRD Scheme has been subsumed under the National Mission on Food Processing (NMFP), which is being implemented through State/UT Governments.

(e)        Strengthening of Institutions

            This scheme focuses on putting in place new and strengthening of existing institutional mechanisms for human resource development in the food processing sector. The following Institutions have been set up by the Ministry for development of food processing sector:-

 

·        National Institute of Food Technology Entrepreneurship & Management (NIFTEM)

·        Indian Institute of Crop Processing Technology(IICPT)

·        Indian Grape Processing Board (IGPB)

·         National Meat and Poultry Processing Board(NMPPB)

 

(f)        Centrally Sponsored Scheme of National Mission on Food Processing     (NMFP):

The most significant initiative taken by Ministry of Food Processing Industries (MoFPI) during 12^th Plan is launching of Centrally Sponsored Scheme-National Mission on Food Processing (NMFP) through States/UTs.

Under the Mission, funds are shared on 75:25 basis by Govt. of India and States; 90:10 in North- Eastern States and 100% grants for UTs.  The components of the NMFP are (i) Technology Up-gradation / Setting up / Modernization  of Food Processing Units (ii) Cold Chain, Value Addition and Preservation Infrastructure for Non-Horticulture Products (iii)  Modernisation of Abattoirs (iv) Human Resource Development (v) Promotional Activities (vi) Creating Primary Processing Centres / Collection Centres in Rural Areas (vii) Modernisation of Meat Shops and (vi) Reefer Vehicles.

The details of funds allocated for various Plan Schemes of Ministry of Food Processing Industries during 12^th Five Year Plan (2012-17) are as under:-

 (Rs. in crore)

The Ministry has asked for additional allocation for up-scaling of its various schemes for development of food processing.

This information was given by the Minister of State for Food Processing Industries Dr. Sanjeev Kumar Balyan in a written reply in the Rajya Sabha.