Executive Summary:
This document provides the Ministry of Food Processing Industries' (MoFPI) response to questions regarding the development of food processing industries in Bihar, specifically concerning government steps, industry numbers, Production Linked Incentive (PLI) scheme assistance, and a proposed maize processing industry in Darbhanga district. The information provided covers initiatives and approvals until June 30, 2025, with scheme implementation ongoing through 2026-27. The document also outlines the incentives available under the PLISFPI.
Key Points / Main Content:
Government Initiatives and Approvals in Bihar:
* MoFPI promotes food processing industries through schemes like PMKSY, PLISFPI, and PMFME.
* These schemes are demand-driven and not region-specific; MoFPI does not set up units directly.
* Under PMKSY, 2 Mega Food Parks, 5 Cold Chain projects, 1 Agro processing Cluster, and 5 Food Processing Units have been sanctioned with Rs 160.06 crore grant in aid until June 30, 2025.
* Under PMFME, 25,349 micro food processing enterprises have been approved with Rs 570.16 crore subsidy until June 30, 2025.
* Under PLISFPI, projects at 7 locations with Rs 488.66 crore committed investments have been approved until June 30, 2025.
Production Linked Incentive Scheme for Food Processing Industry (PLISFPI):
* PLISFPI aims to expand food processing capacity and create champion brands with a total outlay of Rs 10,900 Cr from 2021-22 to 2026-27.
* 170 proposals have been approved for assistance under PLISFPI.
PLISFPI Incentive Details:
* Category I, II, and Millet-Based Products components require a minimum 10% year-on-year sales growth to claim incentives.
* Category I companies must make committed investments by the end of 2023-24 to be eligible for incentives.
* Category III (Branding and Marketing) provides financial incentives of 50% of branding/marketing expenditure abroad, up to 3% of sales or Rs 50 crore per year (whichever is less), with a minimum expenditure of Rs 5 crore over five years.
Maize Processing Industry in Darbhanga:
* MoFPI extends financial support for setting up various food processing industries, including maize-based processing, across the country, including Darbhanga district of Bihar.
Impact Analysis:
Food Processing Industries:
* Impact: Benefit from financial assistance and incentives for setting up and expanding food processing units, improving infrastructure, and branding/marketing efforts.
* Action Required: Review eligibility criteria for each scheme (PMKSY, PLISFPI, PMFME) and submit proposals accordingly; adhere to investment and sales growth requirements under PLISFPI.
Entrepreneurs (Specifically in Darbhanga):
* Impact: Receive financial support for establishing various food processing industries, including maize-based processing units.
* Action Required: Prepare and submit proposals for financial assistance through MoFPI schemes.
Key Entities Referenced
Ministry of Food Processing Industries: The Indian government ministry responsible for the development of the food processing sector.
Bihar: A state in eastern India, focus of the parliamentary question regarding food processing industries.
SHRI GOPAL JEE THAKUR: Member of Parliament who raised the question about food processing industries in Bihar.
SHRI RAVNEET SINGH: Minister of State for Food Processing Industries who provided the answer to the parliamentary question.
Pradhan Mantri Kisan SAMPADA Yojana (PMKSY): A Central Sector Scheme by the Ministry of Food Processing Industries to incentivize infrastructure development related to food processing.
Production Linked Incentive Scheme for Food Processing Industry (PLISFPI): A scheme by the Ministry of Food Processing Industries to facilitate expansion of food processing capacity.
PM Formalization of Micro Food Processing Enterprises (PMFME): A Centrally sponsored scheme aimed at formalizing and upgrading micro food processing enterprises.
Darbhanga district of Bihar: A district in Bihar where the establishment of a maize processing industry is being considered.
GOVERNMENT OF INDIA
MINISTRY OF FOOD PROCESSING INDUSTRIES
LOK SABHA
UNSTARRED QUESTION NO. †2043
ANSWERED ON 31ST JULY, 2025
FOOD PROCESSING INDUSTRIES IN BIHAR
†2043. SHRI GOPAL JEE THAKUR:
Will the Minister of FOOD PROCESSING INDUSTRIES be pleased to state:
(a) the steps being taken by the Government to set up food processing industries;
(b) the number of such industries proposed to be set up in the State of Bihar during the
current year;
(c) the manner in which assistance is being provided to the food processing industry under
the Production Linked Incentive (PLI) scheme; and
(d) whether the Government proposes to set up a maize processing industry in Darbhanga
district and if so, the details thereof?
ANSWER
THE MINISTER OF STATE FOR FOOD PROCESSING INDUSTRIES
(SHRI RAVNEET SINGH)
(a) & (b) : In order to promote and ensure overall development of Food Processing Industries,
Ministry of Food Processing Industries (MoFPI) has been incentivizing setting up/expansion
of related infrastructure through its Central Sector Pradhan Mantri Kisan SAMPADA Yojana
(PMKSY) Scheme & Production Linked Incentive Scheme for Food Processing Industry
(PLISFPI) and Centrally sponsored PM Formalization of Micro Food Processing Enterprises
(PMFME) scheme across the country including Bihar.
These schemes are not region specific but demand driven and MoFPI does not set up
food processing units on its own.
So far, MoFPI has sanctioned 2 Mega Food Parks, 5 Cold Chain projects, 1 Agro-
processing Cluster, 5 Food Processing Units with approved grant in aid of Rs 160.06 crores
under corresponding component schemes of PMKSY in the State of Bihar till 30.06.2025.
A total of 25,349 micro food processing enterprises have been approved with subsidy
of Rs 570.16 crores for assistance under PMFME in the State of Bihar till 30.06.2025.
So far, Food processing projects at 7 locations with committed investments of Rs
488.66 crores have been approved for assistance under various categories of the PLISFPI
scheme in the State of Bihar till 30.06.2025.
(c): PLISFPI, implemented by MoFPI, is targeted to facilitate expansion of food processing
capacity by creating champion brands in Food Processing Sector with total outlay of Rs 10,900
Cr for a period of 6 years (2021-22 to 2026-27). A total of 170 proposals have been approved
for assistance under different categories of PLISFPI. The details of incentives available under
PLSIFPI is at Annexure.
(d): Ministry extends financial support to prospective entrepreneurs for setting up of different
kinds of food processing industries including maize based processing, through its schemes
across the country including Darbhanga district of Bihar.
*****ANNEXURE
ANNEXURE REFERRED TO IN REPLY TO PART (c) OF THE LOK SABHA
UNSTARRED QUESTION NO. †2043 FOR ANSWER ON 31ST JULY, 2025
REGARDING “FOOD PROCESSING INDUSTRIES IN BIHAR”
Incentives available under Production Linked Incentive Scheme for Food Processing
Industry (PLIS-FPI)
i. The beneficiary should achieve minimum year on year sales growth of 10% for
claiming incentive under Category-I, Category-II and Millet-Based Products
components of the Scheme. Under Category -I component, the companies have to make
committed investments to increase their production capacities. If a company does not
make the committed investment upto end of 2023-24, it is not eligible to receive
incentives under the Scheme.
ii. Under Category-III, i.e., Branding and Marketing component, a company is eligible for
financial incentives @ 50% of expenditure incurred on Branding & Marketing abroad
subject to a maximum of 3% of Sales of food products or Rs 50 crore per year,
whichever is less. The minimum expenditure should be Rs. 5 crore over a period of
five years.
*****