The Ministry of Food Processing Industries has reported that the Production Linked Incentive Scheme for Food Processing Industry (PLISFPI) has been a major contributor to the country’s growth and development. As of October, the scheme has generated over 2.89 lakh jobs and attracted an investment of Rs 8,910 crore across 213 locations in India.
The PLI scheme has played a crucial role in boosting domestic manufacturing, increasing value addition, promoting the production of raw materials, and creating employment opportunities. It has also been beneficial for MSMEs, with 70 MSMEs directly enrolled and 40 others serving as contract manufacturers for larger companies. This has not only fostered innovation and improved competitiveness but also expanded market access and supported the overall value chain in the food processing industry.
The scheme has also been beneficial for large companies, millet-based products, innovative and organic products, and small and medium enterprises. It has also helped in promoting Indian brands globally. By mandating the use of domestically grown agricultural products in the manufacturing process, the scheme has significantly increased local raw material procurement, benefiting underdeveloped and rural areas while supporting farmers’ incomes.
Moreover, the emphasis on local production of raw materials for processed food has created additional off-farm employment opportunities, contributing to the economic development of rural regions. The PLISFPI also provides financial incentives to promote Indian food brands abroad, supporting branding and marketing activities for Indian-branded consumer food products in global markets. Currently, there are 73 beneficiaries under this component of the scheme.
In conclusion, the Production Linked Incentive Scheme for Food Processing Industry has been a game-changer for the food processing industry in India. It has not only created employment opportunities and attracted investments but also promoted domestic manufacturing, increased value addition, and supported the overall growth and development of the country.