Individuals planning to venture into the food processing sector can now establish sweet and dairy manufacturing plants with substantial financial backing from the government. Under the Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) scheme, the Department of Horticulture is facilitating capital subsidies of up to ₹3,50,000 alongside structured bank loan assistance to help aspiring entrepreneurs launch profitable ventures in Moradabad.
Financial Structure and Grant Benefits
Under this flagship central initiative, milk and dairy products processing units, specifically sweet manufacturing facilities, are eligible for financial support. Promoters can install automated or semi-automated machinery to process raw milk into khoya and produce various traditional sweets. The scheme offers a 35% credit-linked capital subsidy on the total cost of processing machinery and essential equipment, capped at ₹3,50,000. Machinery covered under the grant includes cream separators, specialized khoya-making equipment, commercial mixing units, and other necessary tools.
A major feature of this credit structure is that project applicants are required to contribute only 10% of the total project cost from their personal funds. The remaining balance is financed through a bank loan, upon which the 35% government grant is adjusted.
Online Application and Approval Pathway
To ensure transparency and convenience, officials have streamlined the entire application workflow onto a fully digital platform. Interested applicants can submit their proposals through the official online portal along with standard identity and financial records. The required documentation includes the applicant's Aadhaar card, PAN card, recent electricity bill, six months of bank account statements, and formal machinery quotations from equipment suppliers.
Once submitted online, the application is routed directly to the designated bank branch for preliminary scrutiny. Following verification by bank officials, the proposal moves to the District Level Committee for administrative evaluation and sanction. Upon receiving clear approval from the committee, the file returns to the bank branch for final loan disbursement and subsidy crediting.
Measurable Ground Impact in Moradabad
District Resource Person Vimal Kumar Tomar from the Department of Horticulture highlighted that the initiative is delivering tangible results for self-employment. In Moradabad district alone, four dairy and sweet processing units have already been established under this program. These operational plants are functioning successfully, converting raw milk into khoya and confectionery products while generating consistent profits for their owners.
