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March 18, 2025

Yogi Govt will provide up to 90% Subsidy to establish Food Processing Units

Big opportunities in the food processing industry for farmers, women, and entrepreneurs

The Food Processing Industry Policy-2023, introduced by the Yogi government, is emerging as a key driver of economic growth, women’s empowerment, and increased farmer income in Uttar Pradesh. Under the leadership of Chief Minister Yogi Adityanath, the state government is committed to ensuring the effective implementation of this policy, enabling entrepreneurs, self-help groups, and farmer-producer organizations to maximize its benefits.

35% – 50% Subsidy on Project Cost

To encourage the establishment of food processing units, the policy offers a 35% to 50% subsidy on project costs, with a maximum grant of ₹10 crore. Additionally, it serves as a boon for rural women entrepreneurs, providing up to 90% subsidy on solar power projects up to 75 KVA.
Other entrepreneurs can also receive up to 50% subsidies to set up their ventures. This initiative fosters economic growth and marks a significant step toward women’s empowerment, particularly in rural areas.

Financial assistance to Women

The Food Processing Industry Policy will provide maximum financial assistance to women to set up food processing units, the government is helping them become self-reliant while creating local employment opportunities within their communities.
In order to ensure widespread awareness and participation, the Yogi government has directed officials to actively engage with SHGs, farmer organizations, and entrepreneurs, encouraging them to apply for the scheme. Furthermore, public awareness campaigns are being conducted at various levels to promote the policy effectively.

The PM-FME Scheme

Farmers stand to gain immensely from this policy. Under the Pradhan Mantri Formalisation of Micro food Processing Enterprises(PM-FME) Scheme, farmers in Uttar Pradesh can receive a grant of up to 35% (maximum ₹10 lakh) of their project cost.
This initiative will allow them to process their agricultural produce rather than sell it raw, thereby increasing their profitability. The government aims to prevent wastage of farm produce and ensure that farmers receive fair market prices for their products. Expanding the food processing industry will strengthen the agriculture-based economy and create new employment opportunities for local youth.

Entrepreneurship Opportunities

The Yogi government is also fostering an entrepreneurial culture and attracting new investments in the food processing sector. It provides investors with all the necessary resources and facilities, making Uttar Pradesh a favorable destination for setting up industries.
An online application system has been launched through the Nivesh Mitra portal to streamline the process and ensure interested entrepreneurs can easily access the scheme’s benefits. Additionally, all approval procedures have been simplified under the Single Window System, minimizing bureaucratic hurdles for investors.

Yogi Govt’s Commitment

The Yogi government has called upon public representatives, social workers, and responsible citizens to promote this scheme and encourage farmers and entrepreneurs in their communities to take advantage of it.
Chief Minister Yogi Adityanath has reaffirmed the government’s commitment to expanding the food processing industry and empowering women. By strengthening the food processing sector, the state government is accelerating economic progress and positioning Uttar Pradesh as India’s leading hub for industrial growth.

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