Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) Scheme

LOK SABHA 

PMFME SCHEME

2091.   SHRI SUNIL DATTATRAY TATKARE
            SHRI KULDEEP RAI SHARMA
            DR. SUBHASH RAMRAO BHAMRE
            SHRI RATANSINH MAGANSINH RATHOD
            DR. DNV SENTHILKUMAR. S.
            SHRIMATI SUPRIYA SULE

Will the Minister of FOOD PROCESSING INDUSTRIES be pleased to state:

(a) the salient features, aims and objectives for launching Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) Scheme;

(b) whether the Government has achieved the objectives for which PMFME was launched;

(c) the challenges faced by the Government while implementing PMFME along with the achievements made since its inception;

(d) the number of individual beneficiaries, Farmer Producer Organizations (FPOs), Self Help Groups (SHGs) and producer cooperatives that have benefitted out of PMFME Scheme since its launch, State-wise;

(e) the percentage of beneficiaries in the rural and urban areas out of those who have availed the scheme;

(f) the number of skill training workshops/sessions which have been conducted under the scheme till date; and

(g) the products which have been identified for the various districts under the One District One Product (ODOP) approach of the scheme, district-wise?

(SHRI PRAHLAD SINGH PATEL)

(a): Ministry of Food Processing Industries (MoFPI) is implementing a Centrally Sponsored “PM Formalisation of Micro food processing Enterprises (PMFME) Scheme” for providing financial, technical and business support for upgradation of micro food processing enterprises in the country. The details of support to Micro Food Processing Units under the scheme are mentioned below:

i. Support to Individual Micro Enterprises: Credit-linked capital subsidy @35% of the eligible project cost, maximum ceiling Rs.10 lakh per unit;

ii. Support to FPOs/ SHGs/ Producer Cooperatives: Credit linked Grant @35% to support clusters and groups such as FPOs/ SHGs/ Producer Cooperatives along their entire value chain for sorting, grading, storage, common processing, packaging, marketing, testing etc.

iii. Support to SHGs for seed capital: Seed capital @ Rs. 40,000/- per member of SHG engaged in food processing for working capital and purchase of small tools.

iv. Support for Common Infrastructure: Credit linked grant @ 35% to support FPOs, SHGs, Cooperatives, any Government agency or private enterprises for Common infrastructure. The common infrastructure will also be available for other units and public to utilize on hiring basis for substantial part of the capacity.

v. Branding and Marketing Support: Grant upto 50% for Branding and Marketing to groups of FPOs/ SHGs/ Cooperatives or an SPV of micro food processing enterprises.

vi. Capacity Building: The scheme envisages training for Entrepreneurship Development Skilling (EDP+): program modified to meet the requirement of food processing industry and product specific skilling.

The scheme aims to enhance the competitiveness of existing individual micro- enterprises in the unorganized segment of the food processing industry and promote formalization of the sector.

The objectives of the scheme are to build capacity of two lakh micro enterprises through increased access to credit, integration with organized supply chain by strengthening branding and marketing, increased access to common services, strengthening of institutions, research & training in the food processing sector.

(b) & (c): The Scheme was approved by the Cabinet in May, 2020 & guidelines were issued in June, 2020. The preparatory steps have been taken for setting up of institutional mechanism such as State Nodal Departments/ agencies etc.

The achievements made under the Scheme till date, since its inception are as under:

(i). 35 States/ UTs have nominated State Nodal Agencies (SNAs) and also constituted State Level Approval Committees (SLACs) and District Level Committees (DLCs). State of West Bengal is yet to decide on participation in the scheme.

(ii). One District One Products (ODOPs) for 710 Districts have been approved in 35 States / UTs.

(iii). Seed Capital amounting to Rs.137.54 crore released for 47,969 Self Help Group (SHG) Members.

(iv). 75 Incubation Centers have been approved with an outlay of Rs. 200.06 crore.

(v). Under Marketing & Branding component of the scheme, 7 One District One Products (ODOPs) brands have been launched and 2 proposals from Punjab and Maharashtra have been approved.

(vi). For capacity building, 2 National Level Technical Institutes (NLTIs) and 42 State Level Technical Institutes (SLTIs) in 35 States/UTs have been nominated.

(vii). 760 Product Training Modules developed containing Presentations, Videos, Detailed Project Reports (DPRs) and Course content/ Handbook for the benefit of beneficiaries.

(viii). 486 Master Trainers of 35 States/UTs, 615 District Level Trainers of 23 States/UTs and 1203 beneficiaries from 13 States/UTs have been trained. 1735 District Resource Persons (DRPs) have been appointed to provide handholding support to beneficiaries.

(ix). Loan to 2364 beneficiaries have been sanctioned.

The MoFPI is facing challenges in implementation of the Scheme such as non-allocation of its corresponding share by States/ UTs, non-receipt of sufficient applications under individual / group categories, delay in sanctioning of loans by banks etc.

(d) & (e): The State-wise details of number of individual beneficiaries benefitted under the PMFME Scheme since its launch are at Annexure–I. Seed Capital amounting to Rs.137.54 crore has been released for 47,969 Self Help Group (SHG). 59 proposals have been received from Farmer Producer Organizations (FPOs) and 37 from producer cooperatives. The Scheme envisages support to both rural and urban micro food processing entrepreneurs.

(f): The Capacity Building component of the PMFME Scheme envisages to provide Food Processing and Entrepreneurship Training to the new and existing micro-food processing individuals taking benefits under the scheme. The details of persons trained under the scheme till date are as under: