THE MINISTER OF FOOD PROCESSING INDUSTRIES (SHRI SHARAD PAWAR)
(a) to (e): A Statement is laid on the Table of the House.
STATEMENT REFERRED TO IN REPLY TO PART (a) TO (e) OF LOK SABHA STARRED QUESTION NO. 262 FOR ANSWER ON 24th APRIL, 2012
REGARDING SETTING UP OF FPIs.
(a): Ministry of Food Processing Industries (MFPI) does not setup food processing units in the country on its own.
However, MFPI under its plan scheme for Technology Upgradation/ Establishment/ Modernization of Food Processing Industries
provides financial assistance to the food processing units in the country including Gujarat, Madhya Pradesh, Tamil Nadu,
Kerala and in rural areas. Under the scheme, grant-in-aid is provided @25% of the cost of plant & machinery and technical
civil works subject to maximum of Rs. 50.00 lakhs in general areas and @33.33% subject to a maximum of Rs. 75.00 lakhs
in difficult areas such as Jammu and Kashmir, Himachal Pradesh, Uttarakhand, Sikkim and North Eastern States, A&N Islands,
Lakshadweep and ITDP areas.
(b): The funds are not allocated State-wise or Unit-wise under the Scheme for Technology Upgradation/ Establishment/
Modernization of Food Processing Industries. Details of financial assistance provided to the food processing units in
the country during the last five years is at Annexure-I.
(c): Yes, Madam. The Working Group constituted on Food Processing Sector for Ministry of Food Processing Industries for
12th Five Year Plan has recommended the launch of a new centrally sponsored scheme - National Mission on Food Processing
(NMFP) w.e.f. 2012-13. Government has approved a proposal for State Governments to start preparatory activities for this
scheme and has approved release of Rs. 51 crores for this purpose.
(d): The salient features of the NMFP are:
(i) to realize the Ministry’s next leap forward in terms of ensuing requisite
growth impetus and value addition to the sector;
(ii) decentralized approach;
(iii) greater role of State/UTs;
(iv) better outreach and
(v) effective supervision and monitoring. The NMFP would also provide flexibility to States / UTs in the selection
of beneficiaries, location of projects etc. for the development of food processing sector. This initiative of the
Ministry would give an impetus to food processing industries in the country.
(e): In 2012-13, NMFP scheme envisages to provide financial assistance on the pattern of 11th Plan scheme guidelines as
stated in para (a) above for setting up of food processing industries in the country.
