Parliament Question: Implementation of PMFME Scheme

GOVERNMENT OF INDIA MINISTRY OF FOOD PROCESSING INDUSTRIES LOK SABHA STARRED QUESTION No. 549 ANSWERED ON 02ND APRIL, 2026 IMPLEMENTATION OF PMFME SCHEME *549. SHRI SELVAM G:

SHRI C N ANNADURAI:

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

(a) whether the Government has been effectively implementing the Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) scheme to support micro food processing units, strengthen value addition and promote entrepreneurship in the food processing sector across Tamil Nadu and if so, the details thereof;

(b) the number of proposals approved and beneficiaries supported under the said scheme in Tamil Nadu during the last three years, district-wise;

(c) the total financial assistance and seed capital released to beneficiaries under the said scheme in the State during the said period;

(d) whether the Government has assessed the impact of the said scheme in terms of employment generation, capacity building and formalisation of micro food processing enterprises in Tamil Nadu and if so, the details thereof; and

(e) the initiatives taken to promote cluster-based development, branding, value addition and improved market access for products processed by beneficiaries under the said scheme in the State? ANSWER THE MINISTER OF FOOD PROCESSING INDUSTRIES (SHRI CHIRAG PASWAN)

(a) to (e): A statement is laid on the Table of the House. *****STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (e) OF LOK SABHA STARRED QUESTION NO. *549 ANSWERED ON 02.04.2026 REGARDING “IMPLEMENTATION OF PMFME SCHEME”

(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 setting up of new/ upgradation of micro food processing enterprises in the country including Tamil Nadu.

For the State of Tamil Nadu, as on 31st December, 2025, loans for 17,869 micro food processing enterprises have been sanctioned under Credit Linked Subsidy component, out of which 16,668 (93%) are first time entrepreneurs. Further, Seed Capital support has been sanctioned for 31,174 women Self Help Group (SHG) members as on 31st December 2025.

(b) & (c). For the State of Tamil Nadu, loans for 14,970 micro food processing enterprises under Credit Linked Subsidy and Seed Capital support for 23,475 SHG members have been sanctioned during the last three years. The district-wise details are at Annexure.

For the implementation of various components of the scheme, Centre Share of Rs. 196.02 crore has been released/ allocated to the State of Tamil Nadu during the last three years. The year-wise

details are as under:

Financial Year FY 2022-23 FY 2023-24 FY 2024-25 Centre Share (Rs. In crore) 24.02 72.00 100.00

(d). Ministry of Food Processing Industries (MoFPI) has conducted a third-party mid-term impact evaluation of the PMFME scheme to assess the impact of the scheme across the country, during FY 2024-25. The study reflects that the scheme has significantly contributed to employment generation, with a steady increase in jobs created over the years. As on 31st December 2025, the Scheme has supported creation of more than 10 lakh employment opportunities. The assessment also indicates that the Scheme has made significant progress in formalisation of the unorganised food processing sector, with 59,202 enterprises brought into the formal framework out of which 8,350 enterprises have been formalised in the State of Tamil Nadu through registrations such as Goods and Service Tax (GST), Food Safety and Standards Authority of India (FSSAI) and Udyam.

In terms of capacity building, the scheme provides structured training programmes aimed at enhancing technical, managerial, and entrepreneurial skills of beneficiaries. These trainings support adoption of modern food processing practices, food safety standards, and business management skills, thereby improving productivity, quality, and competitiveness of micro enterprises.

(e). The Scheme primarily adopts One District One Product (ODOP) approach to support cluster- based development by focusing on district-specific products, thereby enabling economies of scale and strengthening local value chains. For the State of Tamil Nadu, ODOP has been approved for 37 out of total 38 districts in the State.

Further, the scheme provides Branding and Marketing support to help beneficiaries for market access to boost the visibility and sales of their products. This is achieved through strategic tie-ups with regional and national retail chains. For this, Memorandum of Understanding (MoU) with Government e-Marketplace (GeM) portal has been done on 14th November, 2024 to facilitatemarketing of products manufactured by the units supported under PMFME Scheme. For the State of Tamil Nadu, 1 branding & marketing proposal under the brand “Pudhugai Organics” has been approved as on 31st December 2025.

To increase awareness among stakeholders and the public at large, the Ministry conducts national and state-level awareness campaigns through various platforms such as newspaper advertisements, radio jingles, exhibitions and expos, fairs, and buyer–seller meets since the inception of the Scheme. The Ministry has been organizing its flagship event ‘World Food India (WFI)’ over various editions, wherein a large number of PMFME beneficiaries from the country including Tamil Nadu have participated and exhibited their products in the stalls under PMFME pavilion and State pavilions. The stalls are provided free of cost to the beneficiaries by the Ministry. WFI provides a platform for the PMFME beneficiaries to showcase and promote their products to the large number of visiting domestic and international buyers.

*****ANNEXURE ANNEXURE REFERRED TO IN REPLY TO PARTs (b) & (c) OF THE LOK SABHA STARRED QUESTION NO. 549 FOR ANSWER ON 02.04.2026 REGARDING “IMPLEMENTATION OF PMFME SCHEME” District-wise details of loans sanctioned under Credit Linked Subsidy and Seed capital support during last three years, for the State of Tamil Nadu 2022-2023 2023-2024 2024-2025 SHG members SHG members SHG members Sl Loans Loans Loans District supported with supported with supported No. sanctioned sanctioned sanctioned Seed Capital Seed Capital with Seed (Nos.) (Nos.) (Nos.) (Nos.) (Nos.) Capital (Nos.) 1 Ariyalur 89 61 55 166 30 336 2 Chengalpattu 93 62 153 108 85 123 3 Chennai 46 75 813 333 235 111 4 Coimbatore 101 55 149 313 113 68 5 Cuddalore 132 201 411 185 347 275 6 Dharmapuri 89 70 217 145 96 145 7 Dindigul 147 128 172 257 79 451 8 Erode 102 111 178 203 109 563 9 Kallakurichi 66 82 141 90 48 90 10 Kanchipuram 100 150 146 299 73 201 11 Kanniyakumari 63 403 255 227 76 287 12 Karur 83 87 154 211 94 382 13 Krishnagiri 102 35 126 134 37 173 14 Madurai 180 172 404 436 149 328 15 Mayiladuthurai 47 30 217 19 73 24 16 Nagapattinam 84 319 115 241 51 238 17 Namakkal 99 163 177 342 98 82 18 Perambalur 89 149 48 63 16 162 19 Pudukkottai 66 133 158 787 68 71 20 Ramanathapuram 58 31 200 232 77 228 21 Ranipet 101 9 90 17 62 164 22 Salem 141 284 256 826 118 450 23 Sivaganga 53 92 105 224 71 266 24 Tenkasi 95 64 273 180 164 147 25 Thanjavur 61 40 222 501 89 428 26 The Nilgiris 57 51 50 73 20 64 27 Theni 70 114 130 216 62 275 28 Thiruvallur 144 95 274 481 203 121 29 Thiruvarur 115 80 107 332 47 303 30 Tiruchirappalli 119 22 136 489 84 125 31 Tirunelveli 107 55 247 389 110 237 32 Tirupathur 148 46 75 118 23 126 33 Tiruppur 121 24 186 262 93 231 34 Tiruvannamalai 176 31 221 429 90 491 35 Tuticorin 101 39 483 95 167 61 36 Vellore 96 192 73 541 39 159 37 Villupuram 62 166 252 511 129 271 38 Virudhunagar 114 185 197 235 62 402 Grand Total 3717 4106 7666 10710 3587 8659