Prime Minister’s Formalisation of Micro Food Processing Enterprises (PMFME)

Ministry of Food Processing Industries (MoFPI)

PMFME supports the formalisation and upgradation of micro food processing enterprises through financial, technical and business support.

Eligibility Criteria

Eligible Beneficiaries:
Individual micro food processing entrepreneurs
Farmer Producer Organisations (FPOs)
Self-Help Groups (SHGs), Cooperatives
Existing unorganised food processing units
Individual Criteria:
Minimum age: 18 years
Minimum education: 8th standard pass
Only one member per family eligible
Unit must have less than 10 workers
Applicant must have ownership of the enterprise
Must contribute at least 10% of project cost
Land cost is not included in project cost
Group Criteria (FPOs/SHGs/Cooperatives):
Eligible for 35% credit-linked grant
SHG members eligible for ₹40,000 seed capital per member (up to ₹4 lakh per federation)
Minimum ₹5 crore turnover required for branding/marketing support

35% capital subsidy on project cost (maximum ₹10 lakh per unit)
Common infrastructure subsidy: 35% assistance (up to ₹3 crore) for shared facilities
Seed capital support for SHGs
Potential interest subvention (up to 3%) through linked schemes
Enables formalisation of unorganised units
Supports technology upgradation and modernisation
Up to 50% grant for: Branding, Packaging, Quality improvement
Skill development and entrepreneurship training (EDP)
Training on food safety standards
Support for LBIs and TBIs: Up to ₹1 crore (government agencies), Up to ₹50 lakh (private agencies)
Improves market access and profitability