Pradhan Mantri Kisan Sampada Yojana

32 projects have been sanctioned under the Pradhan Mantri Kisan Sampada Yojana (PMKSY) of the Ministry of Food Processing Industries (MoFPI).

• The projects are spread across almost 17 States, leveraging an investment worth ₹406 crores.
• These projects envisage the creation of direct and indirect employment, especially in rural areas.

Key Points

• Food processing plays an important role in connecting Indian farmers to domestic and international consumers and markets.
• The introduction of modern processing techniques for food results in improved shelf-life of the agricultural produce and ensures steady revenue for farmers.
• The processed food market is expected to grow to $543 billion by 2020 from $322 billion in 2016, at a Compound Annual Growth Rate (CAGR) of 14.6%.

Compound Annual Growth Rate

• CAGR is the mean annual growth rate of an investment over a specified period longer than one year.

Pradhan Mantri Kisan SAMPADA Yojana

• In 2016, MoFPI introduced an umbrella Scheme for Agro-Marine Processing and Development of Agro-Processing Clusters or SAMPADA, which was proposed to be implemented with an allocation of ₹6,000 crores for the period of 2016-20.
• In 2017, SAMPADA was renamed as the Pradhan Mantri Kisan Sampada Yojana (PMKSY).
• It is a Central Sector Scheme.
• Objectives:
• To supplement agriculture.
• To create processing and preservation capacities.
• To modernize and expand existing food processing units to increase the level of processing.
• To add value leading to the reduction of wastage.
• Seven component schemes under PMKSY:
• Mega Food Parks.
• Integrated Cold Chain and Value Addition Infrastructure.
• Infrastructure for Agro-Processing Clusters.
• Creation of Backward and Forward Linkages.
• Creation/Expansion of Food Processing & Preservation Capacities.
• Food Safety and Quality Assurance Infrastructure.
• Human Resources and Institutions.
• Under PMKSY, capital subsidy in the form of grants-in-aid ranging from 35% to 75% of the eligible project cost subject to a maximum specified limit is provided to investors under the various schemes for undertaking infrastructure, logistic projects and setting up of food processing units in the country.