Going by the Union Food Processing Ministry, it is seen that the convergence portal of the government’s three flagship schemes implemented by the agriculture and food processing ministries will help micro units engaged in food processing.
Both Food Processing Minister Pashupati Kumar Paras and Agriculture Minister Narendra Singh Tomar have conveyed assurance that this initiative will be of high importance for micro units engaged in food processing.
The convergence portal between the Agriculture Infrastructure Fund (AIF), Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) scheme and Pradhan Mantri Kisan Sampada Yojana (PMKSY) was launched on September 21.
According to the food processing ministry, through this convergence, the eligible beneficiaries under the PMFME and PMKSY schemes availing credit-linked subsidies would be able to avail an additional benefit of interest subvention at 3 per cent on the interest rate being charged by the banks, over and above the 35 per cent subsidy provided under the PMFME.
The AIF MIS portal has been updated to accept applications from beneficiaries of the PMFME and PMKSY schemes.
According to the ministry, PMFME beneficiaries will be able to apply directly for the benefit of interest subvention on the AIF portal with the detailed project report (DPR) approved under the PMFME scheme, and AIF beneficiaries eligible under the PMFME scheme will be able to seek additional benefits of subsidy by applying on the PMFME MIS portal with the AIF sanction letter and DPR.
The AIF, executed by the Agriculture Ministry, is a medium-to long-term debt financing facility that started in July 2020 for the creation of postharvest management infrastructure and the building of community farming assets. Benefits under the scheme include 3 per cent interest subvention and credit guarantee support.
The two other schemes, PMFME and PMKSY, are implemented by the Food Processing Ministry. PMFME provides financial, technical, and business support for the upgradation of micro food processing enterprises in the country, while PMKSY is envisaged as a comprehensive package that will result in the creation of modern infrastructure with efficient supply chain management from farm gate to retail outlet.