Creation/Expansion of Food Processing & Preservation Capacities (CEFPPC) Scheme
The MOFPI CEFPPC Scheme is a newly launched initiative aimed at strengthening India's food processing industry by providing financial assistance for infrastructure development, value addition, and market expansion. With an emphasis on reducing post-harvest losses and enhancing processing capabilities, the scheme seeks to establish modern processing facilities, cold chains, and storage infrastructure across the country. By supporting entrepreneurs, cooperatives, farmer-producer organizations (FPOs), and small and medium enterprises (SMEs), the scheme aims to boost agro-processing, create employment, and promote rural economic growth. Under this scheme, financial assistance is available in the form of capital subsidies covering 35% to 50% of the total project cost, with a maximum grant of ₹5 crore per unit. For general category projects, the subsidy is capped at 35%, whereas for projects in northeastern states, Himalayan states, and islands, the grant increases to 50%. The total budget allocated for the scheme amounts to ₹1,000 crore, ensuring robust support for eligible businesses. Additionally, special incentives are available for units focusing on primary processing, value addition, and export-oriented production. The scheme mandates a project completion timeline of 18 months, beyond which penalties apply. A 0% deduction is applicable for delays of up to 3 months, while penalties start at 1% for 3–4 months of delay and increase progressively to 10% for delays exceeding 12 months. To ensure smooth implementation, the scheme requires businesses to provide detailed project reports (DPRs), financial viability assessments, and compliance documentation at the time of application. The application process is digitized for faster approvals, ensuring ease of access for eligible enterprises. With the goal of modernizing India’s food processing ecosystem, the MOFPI CEFPPC Scheme serves as a crucial step toward sustainable and efficient food production. Businesses looking to take advantage of this opportunity are encouraged to apply early and comply with the prescribed guidelines. For further details on eligibility, funding criteria, and application procedures, feel free to reach out to us.