**Executive Summary**
The Ministry of Food Processing Industries (MoFPI) supports renewable energy sources and sustainable practices within the food processing industry. Financial assistance, up to ₹35 lakh per project, is provided for incorporating renewable energy technologies. The Ministry is also encouraging sustainable food processing and packaging through various schemes, training, and incentives for eligible entities, including startups and MSMEs. World Food India 2025, scheduled for September 25-28, 2025, will have "Sustainability and Net Zero Food Processing” as one of its focus pillars.
**Key Points / Main Content**
* **Financial Assistance for Renewable Energy:**
* MoFPI supports solar, biomass, wind, and other renewable energy sources in food processing projects.
* Financial assistance is capped at ₹35 lakh per project under the Pradhan Mantri Kisan SAMPADA Yojana (PMKSY).
* **PMKSY Scheme Requirements:**
* Consent to operate (CTO) issued by the state Pollution board/Agency for Water and Air is mandatory for release of Grant-In-Aid/Subsidy.
* Project Implementation Agencies (PIAs) must comply with Cold Chain infrastructure requirements and use Non-ODS and low GWP refrigerants.
* **Sustainability Initiatives:**
* The 4th edition of World Food India 2025, scheduled for 25-28 September, 2025 will focus on "Sustainability and Net Zero Food Processing”.
* The pillar will promote resource efficiency, waste reduction, energy efficiency and environmentally friendly packaging solutions.
* **Sustainable Packaging Development:**
* The National Institute of Food Technology, Entrepreneurship & Management -Thanjavur develops biodegradable plastics and other sustainable packaging solutions.
* **Incentives and Schemes:**
* MoFPI incentivizes setting up/expansion of food processing infrastructure through Pradhan Mantri Kisan SAMPADA Yojana (PMKSY) and Production Linked Incentive Scheme for Food Processing Industry (PLISFPI).
* The Ministry implements the PM Formalization of Micro Food Processing Enterprises (PMFME) scheme, providing subsidies/incentives to eligible entities.
* **Capacity Building:**
* The PMFME scheme provides assistance for training, strengthening backward and forward linkages, and provision of common facilities.
* The scheme also provides incubation centres, training, marketing & branding.
* MoFPI Institutions also provide handholding support, mentorship, access to facilities, and R&D support to Startups and MSMEs
**Impact Analysis**
**Startups and MSMEs**
* **Impact:** Beneficiaries of subsidy/incentive schemes, training, and handholding support to adopt renewable energy and sustainable practices. Access to facilities and R&D support.
* **Action Required:** Understand scheme guidelines, apply for incentives, participate in training programs, and leverage available resources.
**Farmers**
* **Impact:** Benefit from increased income through improved food processing infrastructure and market access.
* **Action Required:** Engage with food processing industries and participate in schemes promoting sustainable practices.
**Project Implementation Agencies (PIAs)**
* **Impact:** Responsible for ensuring compliance with environmental regulations, particularly related to Cold Chain infrastructure and refrigerants.
* **Action Required:** Adhere to the environmental guidelines and implement sustainable practices in project implementation.
**Food Processing Units**
* **Impact:** Opportunity to reduce costs, improve efficiency, and enhance sustainability through the adoption of renewable energy and green technologies.
* **Action Required:** Explore options for incorporating renewable energy sources, improve sustainable practices, and participate in MoFPI initiatives.
Key Entities Referenced
Ministry of Food Processing Industries (MoFPI): The primary government body supporting renewable energy and sustainability initiatives in the food processing industry.
Pradhan Mantri Kisan SAMPADA Yojana (PMKSY): A central sector scheme of MoFPI aimed at developing food processing infrastructure.
PM Formalization of Micro Food Processing Enterprises (PMFME) Scheme: A centrally sponsored scheme of MoFPI supporting micro food processing enterprises.
Production Linked Incentive Scheme for Food Processing Industry (PLISFPI): A central sector scheme of MoFPI to incentivize food processing.
National Institute of Food Technology, Entrepreneurship & Management: Autonomous institutions under MoFPI providing support for food technology and entrepreneurship (NIFTEM-Kundli and NIFTEM-Thanjavur).
Ministry of Food Processing Industries
Food Processing through Green Technologies
Government Support for Renewable Energy and
Sustainability in Food Processing Industry
Posted On: 05 FEB 2026 9:43PM by PIB Delhi
Ministry of Food Processing Industries (MoFPI) supports renewable source of energy viz. Solar, Bio-
mass, Wind, etc. for the project in the schemes and provides financial assistance for incorporating
renewable/alternate energy technologies in food processing units, with a maximum permissible cost of
₹35 lakh per project under component schemes of Pradhan Mantri Kisan SAMPADA Yojana (PMKSY).
Under component schemes of PMKSY, as per the Scheme guidelines, consent to operate (CTO) issued by
the concerned state Pollution board/Agency in respect of Water and Air, is mandatory for release of
instalment of Grant-In-Aid/Subsidy to the approved projects. Further, Project Implementation Agency
(PIA) has to comply with the requirements of Cold Chain infrastructure as per the directions of Ministry
of Environment, Forest & Climate change, Government of India with respect to use of Non-ODS (Non-
Ozone depleting Substances) and low GWP (Low Global Warming Potential) refrigerants-based energy
efficient cooling systems.
Further, to encourage sustainable food processing through adoption of green technologies MoFPI
organized 4th edition of World Food India 2025 during 25-28 September, 2025 where one of the focus
pillar was “Sustainability and Net Zero Food Processing”. These pillars aimed to promote resource
efficiency, waste reduction, energy efficiency and environmentally friendly packaging solutions across the
sector.
National Institute of Food Technology, Entrepreneurship & Management -Thanjavur under MoFPI has
made efforts to promote and develop sustainable packaging technology through development of
biodegradable plastics, safe and environmental friendly packaging solutions from biopolymers such as
poly lactic acid (PLA), starch, nano fibres etc.
MoFPI has been incentivizing setting up/expansion of food processing infrastructure through its two
Central Sector Schemes namely Pradhan Mantri Kisan SAMPADA Yojana (PMKSY) and Production
Linked Incentive Scheme for Food Processing Industry (PLISFPI). MoFPI is also implementing a
Centrally sponsored scheme namely PM Formalization of Micro Food Processing Enterprises (PMFME)
scheme. Ministry provides subsidy/incentives to the eligible entities including startups and Micro, Small
& Medium Enterprises (MSMEs) under these schemes.
Under the Capacity Building component of the PM Formalization of Micro Food Processing Enterprises
Scheme, MoFPI provides assistance for training of Trainers, District Resource Persons, Entrepreneurs and
various other groups for Entrepreneurship Development Skilling (EDP+) & product specific skilling to
meet the requirement of food processing industry. The scheme also envisages strengthening backward and
forward linkages, provision of common facilities, incubation centres, training, marketing & branding.MoFPI through its two autonomous Institutions namely, National Institute of Food Technology
Entrepreneurship & Management, Kundli, Haryana (NIFTEM-K) & National Institute of Food
Technology Entrepreneurship & Management, Thanjavur, Tamil Nadu (NIFTEM-T) also provide
handholding support, mentorship, training, access to facilities such as Pilot Plant, NABL-accredited Food
Testing Labs, incubation services, quality testing, R&D support, networking opportunities, etc. to these
Startups and MSMEs.
All these three schemes are implemented across the country and thereby creating off-farm employment
opportunities and increasing the income of farmers through Food Processing Sector.
This information was given by the Minister of State for Food Processing Industries Shri Ravneet Singh in
a written reply in Lok Sabha today.
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CMC-MoFPI
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