Business EconomyPosted at: Mar 17 2025 5:23PM


UP govt to provide up to 90 pc subsidy on food processing units

Lucknow, Mar 17 (UNI) The Uttar Pradesh government will give up to 90 percent subsidy on solar power projects while setting up food processing units under Food Processing Industry Policy in the state, official sources said here on Monday.
Sources said that the Food Processing Industry Policy-2023, introduced by the government, is emerging as a key driver of economic growth, women's empowerment and increased farmer income in UP. "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 organisations to maximise its benefits," they said.
Sources said that to encourage the setting up of food processing units, the policy offers a 35 percent to 50 percent subsidy on project costs, with a maximum grant of Rs 10 crore. "Besides, it serves as a boon for rural women entrepreneurs, providing up to 90 percent subsidy on solar power projects up to 75 KVA," they said.
Sources said that other entrepreneurs can also receive up to 50 percent subsidies to set up their ventures. "This initiative fosters economic growth and marks a significant step toward women's empowerment, particularly in rural areas," they said.
Sources said, "By providing 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."
To ensure widespread awareness and participation, the Yogi government has directed officials to actively engage with SHGs, farmer organisations and entrepreneurs, encouraging them to apply for the scheme. In addition, public awareness campaigns are being conducted at various levels to promote the policy effectively.
Farmers stand to gain immensely from this policy. Under the Pradhan Mantri Formalisation of Micro food Processing Enterprises(PM-FME) Scheme, farmers in UP can receive a grant of up to 35 percent (maximum Rs 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.
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 favourable 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. Besides, all approval procedures have been simplified under the Single Window System, minimising bureaucratic hurdles for investors.
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. CM Yogi has reaffirmed the government's commitment to expanding the food processing industry and empowering women.
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