PMFME Scheme 2026: 35% Subsidy for Food Processing Units in India

Under the Ministry of Food Processing Industries (MoFPI), the PMFME scheme provides a 35% credit-linked capital subsidy up to ₹10 Lakhs for micro food processing enterprises. Whether upgrading an existing mill or starting a new unit, here is your step-by-step application guide.

1. Objectives & Financial Benefits of PMFME

The PMFME scheme targets individual micro-units, FPOs (Farmer Producer Organizations), SHGs (Self Help Groups), and Cooperatives. Key financial assistance includes:

  • Capital Subsidy: 35% of eligible project cost with a maximum ceiling of ₹10 Lakhs per unit.
  • Seed Capital for SHGs: ₹40,000 per SHG member for working capital and small tools.
  • Marketing & Branding Support: 50% grant for marketing and branding of ODOP (One District One Product) items.

2. Eligible Food Processing Activities

The scheme covers a broad range of agricultural and food manufacturing activities:

  • Grain milling (Atta, Rice, Pulses, Poha, Spices grinding).
  • Bakery & Confectionery (Biscuits, Rusk, Snacks, Namkeen manufacturing).
  • Fruit & Vegetable processing (Pickles, Jams, Juices, Dehydrated veggies).
  • Dairy processing (Paneer, Ghee, Cheese, Flavored milk units).
  • Cold-pressed Oil extraction (Mustard, Groundnut, Sesame oil mills).
ODOP Preference

While non-ODOP micro-units are eligible for capital subsidies, units producing the designated One District One Product (ODOP) of their district get priority in bank loan sanctioning and additional marketing support.

3. Document Checklist & Application Process

Apply online via the official PMFME portal (`pmfme.mofpi.gov.in`) with the following documents:

  • Detailed Project Report (DPR) certified by a Chartered Accountant or District Resource Person (DRP).
  • Aadhaar Card, PAN Card, and Bank Statement of applicant.
  • Udyam Registration & FSSAI License/Application receipt.
  • Land documents or registered lease deed (minimum 5 years) for the premises.