PM FME Scheme launched to generate total investment of Rs. 35,000 crore and 9 lakh employment
The PM FME Scheme will also generate 9 lakh semi-skilled and skilled employment and will benefit 8 lakh units through access to training, information, formalization, and better exposure.
The Minister of Food Processing Industries, Harsimrat Kaur Badal on June 29 launched the PM Formalization of Micro Food Processing Enterprises (FME) as a part of ‘Atmanirbhar Bharat Abhiyan’.
The union minister informed that the scheme will generate a total investment of Rs. 35,000 crore. It will also generate 9 lakh semi-skilled and skilled employment and will benefit 8 lakh units through access to training, information, formalization, and better exposure.
The importance of food products manufactured by the rural entrepreneurs in the village was emphasized by Prime Minister Narendra Modi in his address to the nation on May 5, 2020.
Pleased to launch the centrally sponsored Pradhan Mantri Scheme for Formalization of MicroFood Processing Enterprises (PM FME) as a part of #AtmaNirbharBharatAbhiyan.— Harsimrat Kaur Badal (@HarsimratBadal_) June 29, 2020
The scheme is to generate an investment of Rs 35,000 cr & 9 lakh skilled & semi-skilled employment.#SapnoKiUdaan https://t.co/QOwajlhdJu
The objective of the scheme:
The scheme has been launched by the government to provide support to the local unorganized food units in rural India. The scheme aims at providing employment as well as to benefit 8 lakh units across the country to increase the productivity in quantity as well as in quality. The scheme will work on the up-gradation of the existing micro food processing enterprises.
Launch of PM FME Scheme:
The union minister Harsimrat Kaur Badal highlighted the role of local food processing units and mentioned that the food products manufactured by rural entrepreneurs have a long tradition of supplying Indian food products to the local population.
She mentioned about the challenges faced by the food processing sector that limits their performance and growth. Badal added that these challenges include lack of training, access to modern technology and equipment, lack of basic awareness on the quality control of products as well as lack of marketing and branding skills.
Badal highlighted the role of local units and how in the time of the current crisis, this local has saved and fulfilled the demand. She added that Local is not just the need but it is our responsibility also.
About PM FME Scheme:
The Ministry of Food Processing Units (MoFPI) has launched an All India centrally sponsored scheme that will be implemented over five years from FY21 to FY25 with a budget of Rs. 10,000 crore.
The expenditure under the scheme will be shared in 60:40 percent ratio between state and central governments. It will 90:10 ratio with the Himalayan and the Northeastern States, 60:40 percent ratio with UTs with Legislatures, and 100% by the centre for other Union territories (UTs).