Food Industry Attracts $7.33bn FDI in Last 9 Years

·         Year End Review 2025 – Achievements & Initiatives of Ministry of Food Processing Industries

Sectoral Growth & Impact

·         Exports: Share of processed food exports rose from 13.7% (2014-15) to 20.4% (2024-25).

·         Employment: Food processing is a major employer, contributing 12.83% of organized manufacturing jobs (ASI 2023-24).

·         FDI: Sector attracted USD 7.33 billion in equity inflows (Apr 2014–Mar 2025).

·         GVA: Increased from ₹1.34 lakh crore (2014-15) to ₹2.24 lakh crore (2023-24).

Budgetary Support

·         2026-27 Allocation: ₹4064 crore (↑13.79% from 2025-26 RE ₹3571.57 crore).

Key Schemes & Achievements

1. Pradhan Mantri Kisan Sampada Yojana (PMKSY)

·         Approved outlay: ₹6520 crore (15th FC cycle).

·         2025: 36 projects approved, 94 completed → 28.48 lakh MT capacity, benefiting 1.4 lakh farmers.

·         Cumulative: 1618 projects approved, 1185 operational → 270.51 lakh MT capacity, ₹21,917 crore investment, 51 lakh farmers, 7.22 lakh jobs.

·         Impact: Farm-gate price increase, waste reduction (up to 70% fisheries, 85% dairy).

·         New initiatives: 50 food irradiation units, 100 NABL-accredited food testing labs.

2. PM Formalisation of Micro Food Processing Enterprises (PMFME)

·         Outlay: ₹10,000 crore (extended to FY 2025-26).

·         Target: 2 lakh enterprises, “One District One Product” approach.

·         2025: 56,543 loans sanctioned; ₹240.92 crore seed capital to 63,108 SHG members; 8 incubation centres completed; 10 branding proposals approved.

·         Cumulative: 1,72,707 loans sanctioned; ₹1282.98 crore seed capital to 3.76 lakh SHG members; 76 incubation centres approved, 23 completed; 27 branding proposals approved.

3. Production Linked Incentive Scheme (PLISFPI)

·         Outlay: ₹10,900 crore (2021–2027).

·         Focus: RTC/RTE foods (incl. millets), processed fruits & vegetables, marine products, mozzarella cheese, organic/innovative SME products, branding abroad.

·         Achievements: 170 proposals approved; ₹9702 crore investment; 3.4 lakh jobs; ₹2162.55 crore incentives disbursed.

World Food India 2025 (Mega Event)

·         Held at Bharat Mandapam, New Delhi (25–28 Sept 2025).

·         Scale: 1,00,000 sq. m area, 1725 exhibitors, 95,000 visitors, 28,931 B2B/B2G meetings, 115 countries, 13 international delegations.

·         Partner Countries: Saudi Arabia, New Zealand; Focus Countries: Japan, Russia, UAE, Vietnam.

·         MoUs signed: Worth ₹1,02,000 crore – record investment commitments.

·         Hosted Global Food Regulators Summit, Reverse Buyer-Seller Meet (640 buyers from 74 countries).

·         PM released ₹778 crore credit-linked subsidy to 26,000 PMFME beneficiaries.

·         Showcased ODOP map of 726 districts, 250 PMFME products with QR-linked marketplace, 100+ beneficiary stalls, 110 success story videos.

In Short

The Ministry of Food Processing Industries in 2025 achieved record growth in exports, employment, and investments, expanded flagship schemes (PMKSY, PMFME, PLISFPI), and hosted World Food India 2025, which secured over ₹1 lakh crore in MoUs and showcased India as a global food processing hub.

 

[ABS News Service/10.01.2026]

The food processing sector plays an important role in increasing farm income and creating off-farm jobs, reducing post-harvest losses in agriculture and allied sector production through on- and off-farm investments in preservation and processing infrastructure. Accordingly, Ministry of Food Processing Industries has undertaken several initiatives to give impetus to development of food processing sector in the country and has made significant achievements in its schemes during the year of 2025.

The notable achievements over past year are as follows: -

·         Share of processed food exports in agri-food exports increased substantially from 13.7% in 2014-15 to 20.4% in 2024-25.

·         Food processing sector is one of the largest employment providers in the organized manufacturing sector with 12.83% employment in the total registered/organized sector as per the report of Annual Survey of Industries (ASI), 2023-24.

·         Since Jan 2025, a total of 56,542 loans have been sanctioned under the credit linked subsidy component of the PMFME scheme.

Other remarkable notable achievements over past year are as follows: -

1.    Increase in sectoral assistance through Ministry budget-

Government of India has allocated B.E. of Rs. 4064 Crore to Ministry for development of Food Processing Sector in the Year 2026-27, which marks an increase of about 13.79 % from Revised Estimate (R.E.) of Rs. 3571.57 Crore in 2025-26.

2.    Quantum jump in sectoral achievements-

·         The Gross Value Added (GVA) in food processing sector has increased from Rs.1.34 lakh crore in 2014-15 to Rs.2.24 lakh crore in 2023-24 (as per 1st Revised Estimates)

·         The sector has attracted USD 7.33 billion FDI equity inflow during April 2014- March 2025.

·         The share of processed food exports in agri-food exports has increased substantially from 13.7% in 2014-15 to 20.4% in 2024-25.

·         Food processing sector is one of the largest employment provider in the organized manufacturing sector with 12.83% employment in the total registered/organized sector as per the report of Annual Survey of Industries (ASI), 2023-24.

3.    Achievements under the schemes-

A.    Pradhan Mantri Kisan Sampada Yojana (PMKSY)

·         PMKSY was approved with an allocation of Rs. 6,000 crore for the period 2016-20 (extended to 2020-21) for 14th FC cycle and has been approved to be continued after restructuring during 15th FC Cycle with allocation of Rs 6520 Crore.

·         Since Jan 2025, 36 projects have been approved under various component schemes of PMKSY and 94 projects have been completed/operationalised resulting in processing & preservation capacity of 28.48 Lakh MT. The approved projects, on their operationalization, are expected to leverage investment of Rs 365.21 Crore benefiting about 1.4 lakh farmers and are expected to result in more than 0.09 lakh direct/indirect employment.

·         In all, so far, 1618 projects have been approved under various component schemes of PMKSY, since their respective dates of launch. Out of these, 1185 projects have been operational resulting in processing & preservation capacity of 270.51 Lakh MT. The approved projects, on their operationalization, are expected to leverage investment of Rs 21917 Crore benefiting about 51 lakh farmers and are expected to result in more than 7.22 lakh direct/indirect employment.

·         PMKSY has made a significant positive impact in terms of increase in prices of the agricultural produce at farm gate and reduction in its losses. NABCON's evaluation study report on cold chain projects showed that completion of 70% of the approved projects has shown significant improvement in waste reduction up to 70% in case of fisheries and 85% in case of dairy products.

·         The Union Cabinet in its meeting held on 31.07.2025 has approved a total outlay of Rs. 6520 crore including additional outlay of Rs. 1920 crore for ongoing Central Sector Scheme "Pradhan Mantri Kisan Sampada Yojana" (PMKSY) during 15th Finance Commission Cycle (2021-22 to 2025-26).

"Approval includes (i) Rs. 1000 crore to support setting up of 50 Multi Product Food Irradiation Units under the component scheme-Integrated Cold Chain and Value Addition Infrastructure (ICCVAl) and 100 Food Testing Labs (FTLs) with NABL accreditation under the component scheme - Food Safety and Quality Assurance Infrastructure (FSQAI) of Pradhan Mantri Kisan Sampada Yojana (PMKSY), in alignment with the budget announcement for FY 2024-25.

a.    Expression of Interest for 50 multi-product food irradiation projects floated on 07.08.2024 and 25.07.2025. 21 proposals were received and 14 proposals have been approved during FY 2025-26.

b.    Expression of Interest for 100 food quality & safety testing labs with NABL accreditation floated on 20.11.2026 which is open upto 20.01.2026.

B.    Pradhan Mantri Formalisation of Micro Food Processing Enterprises Scheme

·         Under Atmanirbhar Bharat Abhaiyaan, the Ministry of Food Processing Industries launched a Centrally Sponsored scheme named Pradhan Mantri Formalisation of Micro Food Processing Enterprises Scheme (PMFME) in June, 2020 to encourage ‘Vocal for Local’ in the sector in a total outlay of Rs. 10,000 crore in the period of FY 2020-2025 for this scheme. The scheme has been extended up to FY 2025-26.

·         This is the first ever Government scheme for Micro Food Processing enterprises and is targeted to benefit 2 lakh enterprises through credit linked subsidy and adopting the approach of One District One Product.

·         Since Jan 2025, a total of 56,543 Loans have been sanctioned under the credit linked subsidy component of the PMFME scheme. An amount of Rs. 240.92 crore has been sanctioned as seed capital assistance to 63,108 Self Help Group (SHGs) members. 1 Incubation Centre approved and 8 Incubation Centres have been completed/inaugurated/commissioned during the period providing product development support to grass-root Micro Enterprises. 10 proposals of Marketing & Branding have been approved to provide branding support to the micro enterprises.

·         Since the inception of the scheme, so far, total of 1,72,707 loans have been sanctioned under the credit linked subsidy component of the PMFME Scheme to individual beneficiaries, Farmer Producer Organizations (FPOs), Self Help Groups (SHGs) and Producer Cooperative Societies. An amount of Rs. 1282.98 crore has been released as seed capital assistance to 3.76 lakh Self Help Group (SHG) members. 76 Incubation Centres have been approved to be set up in ODOP processing lines and allied product lines with an outlay of Rs. 208.11 Crore. 23 Incubation centres have been completed/ inaugurated/ commissioned.

27 Proposals of marketing and branding have been approved including 2 National Level Proposals (NAFED Phase 1 and Phase 2) and 25 State Level Proposals.

C.   Production Linked Incentive Scheme for Food Processing Industries (PLISFPI)

·         In order to support creation of global food manufacturing champions commensurate with India’s natural resource endowment and support Indian brands of food products in the international markets, Central Sector Scheme – “Production Linked Incentive Scheme for Food Processing Industry (PLISFPI)” was approved by Union Cabinet on 31.03.2021 with an outlay of ₹10,900 Crore. The Scheme is being implemented over a six-year period from 2021-22 to 2026-27.

·         The components of the Scheme are – Incentivising manufacturing of four major food product segments viz. Ready to Cook/ Ready to Eat (RTC/RTE) foods including Millet based products, Processed Fruits & Vegetables, Marine Products and Mozzarella Cheese (Category I). The second component relates to production of Innovative / Organic products of SMEs (Category II). The third component related to support for branding and marketing abroad (Category III) to incentivize emergence of strong Indian brands for in-store Branding, shelf space renting and marketing. From the savings under PLISFPI, a component for Production Linked Incentives Scheme for Millet Based Products (PLISMBP) was also carved out from the scheme to encourage the use of Millets in RTC/RTE products and incentivizing them under the PLI Scheme to promote its production, value addition and sale.

·         A total of 170 proposals under different categories of Production Linked Incentive Scheme for Food Processing Sector (PLISFPI) are currently approved. Total investment to the tune of ₹9702 Crore has so far been reported under the Scheme, reportedly generating employment opportunities of 3.4 Lakhs . Total incentives to the tune of ₹2162.553 Crore has so far been disbursed under 161 eligible cases.

4. Activities/Achievements under “World Food India-2025”- [WFI Division]

·         Ministry of Food Processing Industries organized a Global Food Event “World Food India (WFI)” during 25th to 28th September,2025 at Bharat Mandapam, Pragati Maidan, New Delhi. The event provided supportive platform for interaction and synergy between producers, food processors, equipment’s manufacturers, logistics players, cold chain players, technology providers, start-up & innovators, food retailors etc. and showcased the country as investment destination for food processing.

·         The event was organized in an area of 1,00,000 squares meters in Bharat Mandapam, New Delhi. Technical sessions, Minister level Meetings, Industry Roundtables apart from inaugural session were held in Bharat Mandapam. The event was the one of the biggest congregations of senior government dignitaries, global investors and business leaders of major global and domestic agri-food companies. Key components of the events were-Exhibition, Conferences & Knowledge Sessions, Food Street, Indian ethnic food products and specific pavilion segments focussed on-(a) Fruits and Vegetables; (b) Dairy & Value-added dairy product; (c) Machinery and packaging; (d) Read to Eat/Ready to Cook, (e) Technology and Innovations & (f) Pet Food products etc.

·         The World Food India-2025 was inaugurated by Hon’ble Prime Minister of India in the presence of His Excellency  Mr. Dmitry Patrushev, Deputy Prime Minister of Russia, Shri Chirag Paswan, Hon’ble Minister of Food Processing Industries,  Shri Prataprao Jadhav, Hon’ble Minister of State (Independent Charge) of Ministry of Ayush & Minister of State for Health and Family Welfare and Shri Ravneet Singh, Hon’ble Minister of State for Food Processing Industries & Railways in the Plenary Hall of Bharat Mandapam on 25th September, 2025.

·         A high-level industry roundtable discussion was convened on 25th September 2025 at the Summit Hall, Bharat Mandapam, New Delhi. It was co-chaired by  Union Ministers Shri Nitin Gadkari, Hon’ble Minister of MoRTH and Shri Chirag Paswan, Hon’ble Minister of FPI in presence of Hon’ble Minister of State for Food Processing & Railways, Shri Ravneet Singh, senior officials from various Ministries of Government of India and State Governments. The roundtable was also attended by Secretaries and senior Government officials from allied line ministries and departments along with over 100 distinguished industry leaders including CEOs from Amul, Bikanervala , Coca-Cola, ITC, Mondelez, Danone, LuLu, TetraPak and Tata Consumer Products. The primary objective of the High-Level CEO Roundtable was to facilitate a strategic dialogue between prominent industry leaders in the agri-food sector and senior government officials. This exclusive forum aimed to address pivotal industry challenges, including government subsidy frameworks, taxation structures, trade classifications, and regulatory complexities.

·         The Mega Food event adopted a comprehensive Whole-of-Government approach, with active support from 12 Ministries and Departments of the Government of India, 8 associate organizations, and 25 States and Union Territories. In WFI -2025 wide spectrum of domestic and overseas stakeholders participated, which included 1725 exhibitors, 28931 B2B/B2G meetings, 12 G2G meetings, over 95000 visitors during 4 day event, 104 corporate leaders, 4356 Academia, 168 Diplomats, 206 Speakers.

·         The Mega Food Event saw remarkable global participation, including 145 international exhibitors, 115 countries participated, 13 international delegations including 7 Ministerial delegations, 23 exhibiting countries. Saudi Arabia, New Zealand were the Partner Country  and Japan, Russia, UAE & Vietnam were the Focus Country of the Event

·         Further, in the fourth edition of World Food India in 2025, WFI-2025 facilitated the signing of MoUs worth more than ₹1,02,000 crore, representing one of the largest-ever investment commitments in the Indian food processing sector.

·         Food Safety and Standard Authority of India (FSSAI) organized Global Food Regulators Summit (GFRS)-2025 as a part of World Food India-2025. A Reverse Buyer Seller Meet (RBSM) was also organized in association with D/o Commerce & its associated bodies i.e. APEDA, MPEDA/Commodity Boards as a part of Event. Reverse Buyer Seller Meet (RBSM) held during the event with 640 international buyers representing 74 countries.

·         Parallel Events held during the event are Global Food Regulators Summit 2025, India International Seafood Show, Madhu Mandapam, Incredible Chef Challenge. The event provided a comprehensive platform for showcasing the latest advancements in the food processing industry.

·         Activities/ Achievements under PMFME Scheme as a part of World Food India 2025

·         During the World Food India 2025, credit-linked subsidy of ₹778 crores was released to 26,000 beneficiaries by the Hon’ble Prime Minister. Hon’ble Prime Minister also interacted with 4 PMFME Scheme beneficiaries.

·         The PMFME product display wall at the MoFPI Pavillion featured around 250 products integrated with QR codes linked to the PMFME Marketplace. These QR codes, accessible via mobile phones and an on-site interactive display screen, enabled interested buyers to view enterprise details, beneficiary names, contact information, product descriptions, and pricing.

·         Display of digital ODOP map showcasing ODOP of 726 districts across 35 States/UTs.

·         The event also hosted over 100 stalls by PMFME beneficiaries, providing them a platform to showcase their products. The Hon’ble Minister of Food Processing Industries visited the PMFME stalls and interacted directly with the entrepreneurs.

·         Around 110 Success Story Videos of PMFME Scheme beneficiaries were showcased through an interactive display Map of India at the MoFPI Pavillion.