New Delhi: The Production Linked Incentive Scheme for Food Processing Industry (PLISFPI) is emerging as a transformative initiative aimed at strengthening India’s food processing ecosystem, boosting exports, and promoting Indian brands globally.
Launched by the Ministry of Food Processing Industries, the PLISFPI is being implemented over a six-year period from FY 2021–22 to FY 2026–27 with a total financial outlay of ₹10,900 crore.
The PLISFPI focuses on enhancing value addition in the food processing sector, expanding processing capacity, and generating employment, particularly in rural and off-farm sectors.
The scheme aims to create global food manufacturing champions while strengthening the domestic food value chain.
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Under the PLISFPI, incentives are being provided across four major food product segments, including Ready to Cook (RTC) and Ready to Eat (RTE) foods, processed fruits and vegetables, marine products, and mozzarella cheese.
Additionally, the scheme supports innovative and organic product manufacturing by small and medium enterprises (SMEs), while also promoting branding and marketing of Indian food products in international markets.
The PLISFPI has also aligned with the declaration of 2023 as the “International Year of Millets,” encouraging the use of millets in RTC/RTE products under the PLISMBP component. This initiative has helped promote millet-based food products and drive value addition within the sector.
A total of 128 companies have been approved under the PLISFPI, covering 274 units across the country. The scheme has witnessed strong participation from the MSME sector, with 68 MSME applicants and 40 contract manufacturing units benefiting from the initiative. This reflects the inclusive nature of the PLISFPI in supporting both large enterprises and smaller businesses.
Investment Performance Under PLISFPI: Against Committed Investment of ₹7,722 crore, Companies Already Invested ₹9,207 Crore across 22 States
This indicates robust industry confidence and participation in the scheme. The PLISFPI has facilitated the creation of approximately 34 lakh metric tonnes per annum of processing and preservation capacity.
In terms of employment generation, the PLISFPI has created approximately 3.29 lakh jobs, including both direct and indirect employment opportunities.
Furthermore, sales of PLI-supported products have grown at a CAGR of 10.58%, while export sales have increased at a CAGR of 7.41%, despite challenging macroeconomic conditions.
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Millet-based products have seen significant growth under the PLISFPI. Sales increased from ₹345.73 crore in FY 2022–23 to ₹1,845.25 crore in FY 2024–25. Similarly, millet procurement rose sharply from 1,103.18 metric tonnes to 17,089.16 metric tonnes, marking a nearly 15-fold increase.
The PLISFPI has also contributed to increased sales and exports of value-added food products, including RTC/RTE foods, processed fruits and vegetables, marine products, mozzarella cheese, and millet-based products. The scheme ensures that value addition takes place within India, thereby strengthening domestic manufacturing, increasing farmers’ income, and reinforcing the farm-to-fork value chain.
Additionally, the branding and marketing component of the PLISFPI has enabled Indian food brands to expand their presence in global markets. This has enhanced the international visibility of Indian food products and positioned India as a competitive player in the global processed food industry.
Overall, the PLISFPI is playing a pivotal role in driving investment, boosting production capacity, increasing exports, generating employment, and supporting Indian brands.
The scheme aligns with the Government of India’s vision to enhance value addition in agriculture, reduce post-harvest losses, and establish India as a global hub for food processing.
