The Indian government has launched a series of subsidy schemes to strengthen the food processing industry, targeting units of all sizes—from micro to large-scale operations—to curb food wastage and improve the shelf life of perishable items like fruits and vegetables. The announcement came from Subrata Gupta, Secretary of the Ministry of Food Processing Industries, during an interactive session hosted by the Indian Chamber of Commerce (ICC) on Monday night.
Gupta emphasized the pressing need for enhanced food processing, noting that only about 10% of food, particularly fruits and vegetables, is currently processed. “On average, processing of food in various sectors is only around 10%. This is a matter of concern. There is a need to process and preserve food to curb wastage,” he said. To tackle this issue, the ministry has rolled out tailored schemes offering financial incentives to encourage growth across the sector.
Key Highlights of the Schemes
- Rs 400 Crore for Small and Medium Units: The government has allocated Rs 400 crore to support small and medium food processing units, presenting a significant opportunity for entrepreneurs. Gupta highlighted the potential, stating, “There is a huge opportunity for entrepreneurs to invest in the food processing sector.”
- Support for Micro-Entrepreneurs: Joint Secretary D Praveen detailed schemes designed for micro-entrepreneurs, including seed capital provided to self-help groups (SHGs) to establish micro units.
- Boosting Large Units Globally: The ministry aims to assist large-scale units in expanding their presence in overseas markets, enhancing India’s footprint in the global food processing industry.
- Subsidies in West Bengal: Praveen revealed that 50 projects in West Bengal’s small and medium sectors will receive central subsidies to drive regional development.
The ministry will host the World Food India exhibition in Delhi to promote the sector this September. The event is set to showcase India’s advancements in food processing and attract investment, underscoring the government’s commitment to elevating the industry.
The initiatives reflect a strategic push to address the high levels of food wastage in India, particularly among perishable goods. By increasing processing capacity and supporting businesses at every level, the Centre aims to transform the food processing landscape, create economic opportunities, and ensure sustainable food preservation.
With these schemes, the government is paving the way for a more robust and efficient food processing industry, offering local entrepreneurs and large players a chance to thrive in a rapidly growing market.