Overview
The PM Formalisation of Micro Food Processing Enterprises (PM-FME) scheme was launched in 2020 by the Ministry of Food Processing Industries under the Atmanirbhar Bharat Abhiyan to support the upgradation and formalisation of micro food-processing enterprises in the unorganised sector. The scheme adopts a “One District One Product” (ODOP) approach to reap benefits of scale in procurement, processing and marketing. It provides credit-linked capital subsidy (35% of project cost, subject to a ceiling) to individual micro-enterprises, along with support for self-help groups, farmer producer organisations and cooperatives, branding and marketing, and capacity building.
Key Features & Objectives
- Credit-linked capital subsidy of 35% of eligible project cost (with a ceiling) to micro units.
- Adopts the One District One Product (ODOP) approach for scale benefits.
- Support for SHGs, FPOs and cooperatives in food processing.
- Assistance for branding, marketing and common infrastructure.
- Capacity building and training to formalise the unorganised food-processing sector.
Key Facts at a Glance
★ Exam Focus: Remember PM-FME (2020) under the Ministry of Food Processing uses the ODOP approach and gives 35% credit-linked subsidy to micro food units.