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PLI Scheme Updates9 min read

PLI Scheme for Food Processing — ₹10,900 Crore Incentive for Manufacturers

7 October 2026Source: Ministry of Food Processing Industries

Official Source

Ministry of Food Processing Industries

The Ministry of Food Processing Industries has announced the second round of applications for the Production Linked Incentive (PLI) Scheme for Food Processing Industries. Eligible manufacturers can claim incentives linked to sales growth over a baseline year, enabling massive expansion in the food processing sector.

PLI Food Processing Scheme Overview

Total Outlay: ₹10,900 crore over 6 years

Incentive Rate: 10% to 4% on incremental sales from base year

Minimum Investment (non-MSMEs): ₹10 crore in plant and machinery

Minimum Investment (SME segment): ₹1 crore

  • ▸Year 1-2: 10% incentive on incremental sales
  • ▸Year 3-4: 9% and 8% respectively
  • ▸Year 5-6: 6% and 4% respectively

Product Categories Covered

Segment 1 — Innovative & Organic Products:

Segment 2 — SME Segment:

Segment 3 — Branding and Marketing Abroad:

  • ▸Ready-to-eat/Ready-to-cook foods
  • ▸Processed fruits and vegetables
  • ▸Marine products and mozzarella cheese
  • ▸Organic products certified by APEDA
  • ▸All items in Segment 1 made by registered MSMEs
  • ▸Local brands with potential for global scaling
  • ▸Support for building Indian food brands internationally
  • ▸Reimbursement for international marketing and trade fair expenses

Eligibility Conditions

  • ▸Entity registered in India (company, LLP, cooperative)
  • ▸Must have a minimum baseline year sales established
  • ▸Investment must be in greenfield or brownfield plant & machinery
  • ▸FSSAI Central License mandatory
  • ▸Udyam registration required for SME segment
  • ▸No pending tax litigation or fraud cases

Application Process

  • ▸Register at MoFPI application portal: plimofpi.gov.in
  • ▸Submit detailed project report (DPR) with investment plan
  • ▸MoFPI technical committee evaluates applications
  • ▸Successful applicants sign Memorandum of Agreement (MOA)
  • ▸Submit annual sales claims with CA-certified statements for incentive disbursement

Other PLI Schemes Relevant for Businesses

For assistance with PLI scheme applications and eligibility assessment, contact Biswa Corporate Solutions.

  • ▸PLI for Textiles: Open for apparel, MMF fabric, and technical textiles manufacturers
  • ▸PLI for Pharmaceuticals: APIs and medical devices
  • ▸PLI for Electronics: Mobile phones, components, and semiconductor devices
  • ▸PLI for Specialty Steel: Premium steel grades with high export potential

Need help with compliance? Biswa Corporate Solutions offers expert guidance on GST, Income Tax, PF, ESIC, FSSAI, and more. Contact our experts →

PLI Scheme for Food Processing — ₹10,900 Crore Incentive for Manufacturers | Compliance News — Biswa Corporate Solutions | Biswa Corporate Solutions