The scheme would support clusters and groups such as FPOs/SHGs/ producer cooperatives along their entire value chain for sorting, grading, assaying, storage, common processing, packaging, marketing, processing of agri-produce, and testing laboratories.

SHG Food processing Activities (4)

FPOs and Producer Cooperatives would be provided the following support

  • Grant @35% with credit linkage
  • Training support
  • The maximum limit of grant in such cases would be as prescribed.

SHGs would be provided with the following support:

  • Seed capital: Seed capital @ Rs40,000/- per member of SHG for working capital and purchase of small tools would be provided under the scheme.
  • Support to individual SHG members as a single unit of food processing industry with credit linked grant @35% with the maximum amount being Rs 10 lakh.
  • Support for capital investment at the federation of SHG level, with credit linked grant @35%. The maximum limit of grant in such cases would be as prescribed.
  • Training & Handholding Support to SHGs: For support to SHGs, a large number of trained resource persons are available with State Rural Livelihood Missions (SRLMs). These local resource persons of SRLM having expertise in agro-produce would be utilized for training, upgradation of units, DPR preparation, handholding support, etc.