PMFME Scheme Details - Business Loan for Food Processing sector

PMFME is a scheme for food processing sector, under Aatma Bharat Mission. Find details like what is this PMFME Scheme, What is the eligibility to apply for PMFME, Benefits PMFME Offer, How to apply online, Who is your DRP, How to get your DRP under PMFME etc.
What is PMFME?

PMFME stands for Prime Minister’s Formalization of Micro Processing Enterprises.

It is a scheme to formalize, expand and upgrade  2 Lakh micro and small enterprises working in rural areas, in the sector of food processing. The sector has approximately 25 lakh units working in an informal way.

The scheme will increase their productivity, generate world class products and increase employment in this sector.

Currently India ranks number one in the production of many agricultural products but lags far behind when it comes to the sector of food processing.

This is a scheme to bring a major change here.

What does PMFME offer?

- PMFME is a centrally sponsored scheme and works in close collaboration with the state.
- It provides financial grant on business loans to these units.
- It also helps these small units in formalizing them by getting all their documents and licenses in place so that their products become competitive in the formal market.
- Marketing, Branding, Training support is also provided to the units.
- The preference under this scheme is given to ODOP products but Non-ODOP products are supported too.
- Individual units desirous of expansion and upgradation can get credit linked subsidy of 35% for eligible projects under this scheme. The subsidy is limited to a maximum of Rupees 10 Lakh per chosen project.

Who can avail the benefit of PMFME?

- Individual micro and small units already working in food processing sector on the product chosen under ODOP for that district.
- Other food processing units working on Non-ODOP products are also welcome to apply for the grant but they do not get common infrastructure, marketing and branding support
- FPOs, SHGs, Co-operatives, Private entrepreneurs can also avail of the benefits under this scheme.

What is ODOP?

ODOP stands for One District One Product. It is a special, famous agro-based product of the district that this scheme tries to develop into a world class product.

The list of chosen products under ODOP scheme that are considered under PMFME can be found here:

What kind of training is provided under PMFME?

Enterprise Development, Skill Training, Book Keeping, General hygiene, Packing, Marketing, All registrations and Licenses needed for the unit etc.

What kind of help is provided in setting up the Common infrastructure?

Food processing sector needs warehouses, cold stores, labs, packaging & incubation centers etc.

SHGs/ FPOs/ Co-operatives/ Private Companies interested in setting up and upgrading such common infrastructure also get a grant of 35% credit based grant.

Eligibility to apply under PMFME

- Small & Micro units working in food processing sector. Preferably ODOP based.
- Age: 18+ years
- Education : VIII standard.
- Only one member from a family can get the benefit

How to apply for PMFME?

- Register and Apply online :
- You’ll be assigned a DRP (District Resource Person)who will help you with the project report and all other formal requirements.
- DLC (District Level Committee finally decides on your project and if happy recommends it to the bank.
- The list of DRP can be seen here:
- If unable to contact your DRP, contact your District Nodal Officer. List of District Nodal Officer is available here: