As part of the Government of India’s flagship Atmanirbhar Bharat Abhiyaan – Vocal for Local initiative, the Ministry of Food Processing Industries (MoFPI) continues to advance the formalisation and competitiveness of India’s micro food processing sector through the PM Formalisation of Micro Food Processing Enterprises (PMFME) Scheme. Operational from FY 2020–21 through 2025–26 with a total outlay of Rs 10,000 crore, the scheme is designed to bring structural transformation to the unorganised segment of India’s food processing industry.

As of 30th June 2025, a total of 1,44,517 loans have been sanctioned to eligible micro-entrepreneurs across the country through the scheme’s credit-linked subsidy component. Tamil Nadu alone accounts for 15,828 sanctioned loans, underscoring the state’s active participation and entrepreneurial response to the program.

The PMFME Scheme provides financial, technical, and business support for the setup or upgradation of micro food processing units, with a strong emphasis on local value chains, traditional food clusters, and underserved geographies. It is also a key enabler of the broader Vocal for Local movement, encouraging regional food identity and sustainable rural livelihoods.

In addition to financial access, the scheme places strong emphasis on capacity building and entrepreneurship development. According to the PMFME training portal, over 1,11,873 beneficiaries have been trained as of 30th June 2025. The Food Processing Entrepreneurship Development Programme is delivered through a structured training framework for individuals shortlisted by District Level Committees (DLCs), and includes focused modules for Self-Help Group (SHG) beneficiaries availing seed capital support.

The Ministry notes that the scheme has been instrumental in bridging gaps in access to credit, formalisation, skills, and market linkages—particularly for rural and women-led enterprises. By integrating support for both standalone units and SHG-based collectives, PMFME is laying the foundation for a more decentralised, resilient, and inclusive food processing ecosystem in India.

With its mission to unlock scale efficiencies while preserving India’s rich culinary diversity, the scheme continues to align with the Prime Minister’s vision of building an Atmanirbhar Bharat—where local food entrepreneurs become global-ready.