Creation/Expansion of Food Processing & Preservation Capacities (CEFPPC) scheme

News: An Inter-Ministerial Approval Committee (IMAC) under the chairmanship of Minister of Food Processing Industries has approved projects worth Rs 271 crore under the Creation/Expansion of Food Processing & Preservation Capacities (CEFPPC) scheme.


About Creation/Expansion of Food Processing & Preservation Capacities (CEFPPC) scheme

  • CEFPPC scheme was launched by the Ministry of Food Processing Industries in 2017. It is a sub-scheme of Pradhan Mantri Kisan Sampada Yojana (PMKSY).
  • The main objective of the Scheme is creation of processing and preservation capacities and modernization / expansion of existing food processing units. It seeks to do so to increase the level of processing, value addition and reduce wastage.
  • The scheme envisages financial assistance to food processing units in the form of grant-in-aid (maximum Rs. 5 crore) as under:

o   35% of the eligible project cost in General Areas

o   50% of the eligible project cost in NE States, hilly areas, State Notified Integrated Tribal Development Project (ITDP) areas

o   50% of the eligible project cost for projects promoted by SC ST entrepreneurs.

Additional Information:

Pradhan Mantri Kisan SAMPADA Yojana (Scheme for Agro-Marine Processing and Development of Agro-Processing Clusters)

  • The scheme was launched in 2017. It is implemented by Ministry of Food Processing Industries.
  • It is an umbrella scheme which aims to create modern infrastructure with efficient supply chain management from farm gate to retail outlet.
  • Objectives:

o   Creation of modern infrastructure for food processing mega food parks/ clusters and individual units

o   To create effective backward and forward linkages – linking farmers, processors and markets

o   To create robust supply chain infrastructure for perishables


1.       Mega Food Park: It seeks to provide modern infrastructure for food processing units in India

2.       Integrated Cold Chain and Value Addition Infrastructure: It seeks to address post-harvest losses of horticulture & non-horticulture produce by providing financial assistance in setting up integrated cold chain, preservation and value addition infrastructure facilities.

3.       Infrastructure for Agro-processing Clusters: It seeks to create modern infrastructure for food processing closer to production areas and provide preservation infrastructure facilities from the farm gate to the consumer.

4.       Creation of Backward and Forward Linkage: It seeks to create effective backward & forward linkages for perishable agri-horti produce through setting up of primary processing centres at farm gate, distribution hub and retail outlets at the front end.

5.       Food Safety and Quality Assurance Infrastructure: It seeks to establish a surveillance system for monitoring the quality and composition of food.

6.       Human Resources and Institutions: The objective of the scheme is that end product/ outcome/ findings of R&D work should benefit food processing industry.

7.   Creation/ Expansion of Food Processing/ Preservation Capacities (Unit Scheme)