The interim budget for fiscal year 2024-25 (FY25), announced on Thursday, provided a higher allocation for the ministry of food processing industries, reflecting the government’s focus on the vital role of allied farm sectors in India’s commitment to food security and reduction of post-harvest losses.
Funding for the Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) scheme stands at ₹880 crore for FY25, up from ₹639 crore in the previous fiscal year. However, the Pradhan Mantri Kisan Sampada Yojana (PMKSY) saw a budget reduction to ₹729 crore. The Production-Linked Incentive Scheme for the food processing industry received an allocation of ₹1,444 crore, indicating focus on encouraging innovation in this sector.
These schemes are designed to empower the food processing sector by incentivizing micro, small, and medium enterprises, supporting the formalization of micro-enterprises, and creating an efficient supply chain management system. This approach aims to provide better returns to farmers, create employment, reduce agricultural wastage, and boost the export of processed foods.
