PM FME Scheme Being Implemented to Boost Food Processing Sector in Andaman & Nicobar Islands

PM FME Scheme Being Implemented to Boost Food Processing Sector in Andaman & Nicobar Islands

The Department of Industries, Andaman & Nicobar Administration, is implementing the Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PM FME) Scheme, a Centrally Sponsored Scheme under the Atmanirbhar Bharat Abhiyan, to promote and strengthen micro food processing enterprises across the islands.

The scheme aims to improve the entire food processing value chain by supporting backward and forward linkages, infrastructure development, packaging, branding, marketing, and value addition for locally produced food products. Financial assistance in the form of grants and seed capital is also being provided to eligible beneficiaries.

One District One Product (ODOP) Focus

Under the One District One Product (ODOP) approach, products with high local potential have been identified for focused development:

• South Andaman District: Marine-based fish products
• North & Middle Andaman District: Coconut-based products

The initiative is designed to help local entrepreneurs scale up production, improve product quality, and expand market opportunities.

Financial Assistance Available

The PM FME Scheme offers several financial benefits to eligible applicants, including:

• Credit-linked Capital Subsidy: 35% of the eligible project cost, up to a maximum of ₹10 lakh per unit. Beneficiaries are required to contribute at least 10% of the project cost.
• Seed Capital Assistance for SHGs: Self Help Group (SHG) members can receive ₹40,000 per member as seed capital to meet working capital requirements and purchase essential tools and equipment.

Who Can Apply?

The scheme is open to:

• Individual micro food processing entrepreneurs
• Self Help Groups (SHGs)
• Farmer Producer Organisations (FPOs)
• Producer Cooperatives

How to Apply

Eligible applicants can submit their applications online through the PM FME portal.

For Seed Capital Assistance, SHG members in rural areas may contact the Andaman & Nicobar Islands Rural Livelihood Mission (ANIRLM) under the Department of Rural Development & Panchayat. SHG members in urban areas may approach the Sri Vijaya Puram Municipal Council.

For additional information, applicants may contact the Directorate of Industries, Middle Point, Sri Vijaya Puram, during office hours or call 03192-232395 on working days between 9:00 AM and 5:00 PM.

The Department of Industries has encouraged eligible entrepreneurs and SHGs to take advantage of the scheme to establish or expand food processing businesses, create employment opportunities, and contribute to the growth of the local economy.