Uttar Pradesh Tops PMFME Scheme with Highest Approvals, Boost to Food Processing Sector

Lucknow | March 22, 2026 Uttar Pradesh has secured the top position across the country under the Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) scheme, marking a major achievement in the food processing sector. The state has approved 7,340 proposals so far, the highest in India, reflecting strong progress in promoting micro-level industries. According to official data, term loans worth over ₹2,000 crore have been sanctioned by various banks under the scheme. The average approval time stands at around 100 days, with an average loan amount of ₹10 lakh and an average subsidy of ₹4 lakh per unit. To support implementation at the grassroots level, District Resource Persons (DRPs) have been deployed in every district and are provided incentives for facilitating unit establishment. In the financial year 2025–26, the state has already spent ₹267.25 crore under the scheme. In comparison, Bihar ranks second with 7,293 approved proposals, followed by Maharashtra with 5,695. The scheme offers a credit-linked subsidy of 35 percent of the project cost, up to a maximum of ₹10 lakh, to unorganised food processing units. Additionally, self-help groups, farmer producer organisations, and cooperatives are eligible for financial assistance of up to ₹3 crore for developing common infrastructure. So far, more than 24,197 units in the state have received subsidies under the scheme. Deputy Chief Minister Keshav Prasad Maurya stated that the government remains committed to strengthening MSMEs, adding that the scheme is playing a key role in promoting self-reliance, value addition, and employment generation in the food processing sector. Uttar Pradesh Tops PMFME Scheme with Highest Approvals, Boost to Food Processing Sector Uttar Pradesh has secured the top position across the country under the Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) scheme, marking a major achievement in the food processing sector. The state has approved 7,340 proposals so far, the highest in India, reflecting strong progress in promoting micro-level industries. According to official data, term loans worth over ₹2,000 crore have been sanctioned by various banks under the scheme. The average approval time stands at around 100 days, with an average loan amount of ₹10 lakh and an average subsidy of ₹4 lakh per unit. To support implementation at the grassroots level, District Resource Persons (DRPs) have been deployed in every district and are provided incentives for facilitating unit establishment. In the financial year 2025–26, the state has already spent ₹267.25 crore under the scheme. In comparison, Bihar ranks second with 7,293 approved proposals, followed by Maharashtra with 5,695. The scheme offers a credit-linked subsidy of 35 percent of the project cost, up to a maximum of ₹10 lakh, to unorganised food processing units. Additionally, self-help groups, farmer producer organisations, and cooperatives are eligible for financial assistance of up to ₹3 crore for developing common infrastructure. So far, more than 24,197 units in the state have received subsidies under the scheme. Deputy Chief Minister Keshav Prasad Maurya stated that the government remains committed to strengthening MSMEs, adding that the scheme is playing a key role in promoting self-reliance, value addition, and employment generation in the food processing sector.