Scheme for Creation/Expansion of Food Processing & Preservation Capacities (CEFPPC)

The Scheme for Creation/Expansion of Food Processing & Preservation Capacities is implemented by the Ministry of Food Processing Industries , Government of India. It was launched under the umbrella Pradhan Mantri Kisan SAMPADA Yojana to promote the creation of modern food‑processing units and expansion of existing ones. The scheme aims to boost processing capacity, reduce wastage of agricultural produce, improve value‑addition, enhance shelf life, and support MSMEs and food‑processing entrepreneurs. Through grant‑in‑aid support, your food‑processing business can reduce capital investment burden and become more competitive.

Key Features
Financial Assistance
Eligibility Criteria
Documents Required
Application Process for the Scheme

Key Features

Grant support for new food‑processing units and expansion of existing units: The scheme provides financial assistance to set up new food‑processing units or expand existing ones, helping entrepreneurs reduce capital‑investment stress and adopt modern production systems.
Focus on processing of perishable and agricultural produce: It prioritises units dealing with fruits, vegetables, dairy, meat, marine and other perishable sectors to minimise wastage and improve value addition.
Support for modern technology, machinery, quality‑control and preservation facilities: The scheme encourages adoption of updated machinery, cold‑chain, packaging and preservation systems to improve efficiency and safety.
Encouragement to MSMEs, FPOs, cooperatives and startups: Smaller enterprises and rural organisations are encouraged to set up units, strengthening local economic activity and decentralised processing.
Employment generation and better price realisation for farmers: By setting up processing units closer to production areas, farmers can receive improved prices, and rural employment increases.
Part of the PMKSY umbrella for integrated food‑processing development: CEFPPC is one of the major components under PMKSY designed to develop a strong food‑processing ecosystem across India.

Financial Assistance

Component	Assistance Provided	Detailed Explanation & Example
Grant‑in‑aid for projects	35% of eligible project cost in General Areas; 50% in North‑East, Hilly & Difficult Areas	If your unit’s eligible project cost is ₹10 crore, you may receive ₹3.5 crore in General Areas or ₹5 crore in NE/Hilly Areas. This reduces the burden of upfront project investment.
Eligible project cost components	Plant & machinery, technical civil works	Example: If machinery costing ₹4 crore and civil works costing ₹3 crore are eligible, grant is calculated on ₹7 crore (eligible portion).
Project cost ceiling	Maximum eligible project cost considered is as per MoFPI guidelines (typically up to ₹50 crore for assistance calculation)	If your project is ₹70 crore, the grant will be calculated only on the eligible ceiling (e.g., ₹50 crore).
Implementation timeline	Project must be completed within the stipulated period (usually 18–24 months)	Example: If your project is approved in April 2025, you must complete setup, installation and commissioning within the approved timeline to claim the grant.

Eligibility Criteria

Who can apply:

Applicants must be legally registered entities such as Proprietorship, Partnership, LLP, Pvt./Public Ltd Company, FPO, Cooperative, SHG, or NGO.
New units or expansion of existing food‑processing units dealing with agricultural/ horticultural/ dairy/ meat/ marine/ cereal‑based produce.
Project must have a minimum investment as required by MoFPI (varies with sector and guidelines).
Land must be in possession (owned or leased with long duration) before application approval.
Detailed Project Report (DPR) must show economic viability and technical feasibility.

Who cannot apply:

Units involved only in trading, repacking, or simple processing without value‑addition.
Projects without statutory clearances such as FSSAI licence, pollution NOC etc.
Projects that have commenced civil work or machinery purchase before approval.

Documents Required

Detailed Project Report (DPR)
Land ownership/lease documents
Machinery quotations
Promoter KYC and company registration documents
Last 3 years’ financial statements (if applicable)
FSSAI licence (or application proof)
Pollution NOC (or application proof)
Net worth certificate
CA certificate for project cost
Bank sanction letter (if applicable)

Application Process for the Scheme

Option 1: Apply with Bullit (Recommended)

Click here to start with guided support. Our team verifies eligibility, compiles documents, and handles application & follow-ups on your behalf. You can monitor progress while focusing on operations.

Recommended for: MSMEs/FPOs looking to reduce paperwork and accelerate approval timelines.

Option 2: Official Route

Visit the MoFPI’s PMKSY portal and download CEFPPC scheme guidelines.
Prepare a Detailed Project Report (DPR) with technical, financial, and value-chain analysis.
Apply online on the SAMPADA portal with required documents, financials, and land details.
Proposal undergoes appraisal by PMA (Project Management Agency) and Inter-Ministerial Approval Committee.
Upon approval, MoFPI issues sanction letter and releases grant in instalments based on project milestones.

Option 3: Through State Nodal Agency / State Food Processing Mission
MoFPI collaborates with states; applicants may also route proposals through designated state-level bodies for facilitation and support.