Creation & Expansion of Food Processing & Preservation Capacity
A component under Pradhan Mantri Kisan Sampada Yojana (PMKSY)
About CFPPC Scheme
The Ministry of Food Processing Industries (MoFPI) has been implementing the Central Sector Scheme for Creation / Expansion of Food Processing & Preservation Capacities (CEFPPC) under Pradhan Mantri Kisan Sampada Yojana (PMKSY) since 2017-18.
The objective of the scheme is creation of processing and preservation capacities and modernization/ expansion of existing food processing units with a view to increasing the level of processing, value addition leading to reduction of wastage.
The processing activities undertaken by the individual units covers a wide range of post-harvest processes resulting in value addition and/or enhancing shelf life with specialized facilities required for preservation of perishables.
Scheme Details
EOI – Deadline for filing Initial (First) Application
| Sl No | Particulars | Remarks |
|---|---|---|
| 01 | Name of the scheme | Creation / Expansion of Food Processing & Preservation Capacities (CEFPPC) |
| 02 | Effect of the Circular | Submission of Proposals / Eol through the online portal on or before 05:00 PM on 28-03-2025. |
| 03 | Who are Eligible ? | Interested promoters / investors, willing to set up Infrastructure Projects in Food Processing Sector |
| 04 | When to Apply ? | From 10:00 AM of 28-01-2025 to 05:00 PM of 28-03-2025 |
| 05 | Last date to apply | On or before 05: 00 PM on 28-03-2025. |
| 06 | Govt Fee (Non-Refundable) | ₹ 20,000/- in the form of DD |
| 07 | DD Favouring | A Demand Draft (DD) to be submitted in favour of "Pay & Accounts Officer, Ministry of Food Processing Industries, New Delhi". |
| 08 | Timelines for submission of Original DD to MoFPI | The DD in original should reach the Ministry within 7 days from the submission of online application. |
| 09 | Submission of Manual / Physical Application | Ministry will not entertain. Only Online Application will be accepted. |
| 10 | Chances of Communication by the Ministry to the Applicant | Ministry will not keep any communication once application is submitted. Ministry will only Approve or Reject the case. Hence, we recommend to submit error free application. |
Major Criteria
| Sl No | Particulars | Inputs |
|---|---|---|
| 01 | Scheme Announced on (Revised Guidelines) | 22-01-2025 |
| 02 | Scheme Period | 2021-22 to 2025-26 (5 Years) |
| 03 | Cut-off Date - Application Submission | 28-01-2025 to 28-03-2025 (60 Days) |
| 04 | Major Criteria's / Scheme Bottle Neck | No Civil Work, No Machinery Purchase, No Advances to Suppliers / Contractors before Ministry Approval. |
| 05 | Minimum Approval time required by Ministry | 6 to 9 Months |
| 06 | Chances for Approval |
|
Note:
There are 50-50 chances for consideration of additional Food Processing Units / Proposals
Snapshot (Guidelines)
| Sl No | Particulars | Inputs |
|---|---|---|
| 01 | Scheme First EoI Date | 15-09-2017 |
| 02 | Scheme Latest EoI Date | 22-01-2025 |
| 03 | Last Date of Submission | 60 Days from the date of Expression of Interest (EoI) - (28-03-2025) |
| 04 | Project Location | Anywhere outside MFP / APC. Unit should not be with in MFP / APC. |
| 05 | Subsidy Rate | 35% on Eligible Project Cost (Technical Civil Work and Eligible P&M excluding GST) with a cap of ₹ 5 Cr, whichever is lower Per Unit |
| 06 | Instalments | 2 Equal Instalments (50% each) |
| 07 | Submission of 1st Instalment documents - Cut-off Date & Stage | Submit documents after 50% utilization of "Promoter Contribution (Equity)" & "Term Loan (TL)", but within 9 months from the date of "Ministry Approval". |
| 08 | 1st Installment Inspection by Govt Authority (MoFPI) / PMA Consultants | Will carried out approx. in 30 days from the date of submission of 1st Installment Documents to Ministry. |
| 09 | Release of 1st Instalment | Once submission of Inspection Report by concerned Govt Officials / Agency, 1st Instalment will be released in 1 month (approx.), subject to availability of funds. |
| 10 | Submission of 2nd Instalment Documents - Cut-off Date & Stage | Submit documents after 100% utilization of "Promoter Contribution (Equity)" & "Term Loan (TL)", but within 18 months from the date of "Ministry Approval". |
| 11 | 2nd Installment Inspection by Govt Authority (MoFPI) / PMA Consultants & Banker | Will carried out approx. in 30 days from the date of submission of 2nd Installment Documents. |
| 12 | Release of 2nd Instalment | Once submission of Inspection Report by concerned Govt Officials / Agency, 2nd Instalment will be released in 1 month (approx.), subject to availability of funds. |
| 13 | Subsidy Fund Utilization | Subsidy will be kept in Grant-In-Aid Account and can be utilized for payments to "Vendors / Contractors" related to Project while its implementation |
Eligible Criteria's
| Sl No | Particulars | Inputs |
|---|---|---|
| 01 | Land | Land Should be in the name of Applicant. If "Lease Land", then 15 years "Lease Period" duly registered is required. |
| 02 | Term Loan (TL) | TL Date should be after Expression of Interest (EoI) announcement Date – Minimum TL Value should be 20% of Total Project Cost. |
| 03 | Eligible Project Cost | Minimum Eligible Project should be ₹ 3 Cr (Technical Civil + Machinery Cost excluding GST Value) |
| 04 | Restrictions | One family one proposal will be considered. Family will include all Members / Relatives. |
| 05 | Net worth | Minimum 1.5 times of Grant-in-Aid |
| 06 | Investment Made prior to Ministry Approval | Will not be considered as "Eligible Project Cost" to calculate Subsidy Amount. |
| 07 | Refundable Bank Guarantee (BG) | 5% BG on "Eligible Subsidy Amount" should execute on receipt of Ministry Approval Letter, but within 30 days from the date of Ministry Approval. BG Period should be 30 Months after submission of BG. |
| 08 | Stage of TL Disbursement | After getting Ministry Approval, Bank can disburse TL Amount. Thereafter only Project Civil Work, Purchase of Machinery and Advance to Vendors & Contractors can be start / made. |
| 09 | Evaluation Marks | As per "Ministry Evaluation Chart" minimum 60% of 85 Marks required to secure / achieve to make Project Eligible. |
| 10 | Project Completion | Within 24 months (Original 18 Months + 6 Months Extension) from the date of Ministry Approval including extended period with Penality Clause |
Central Food Ministry (MoFPI) - Application Process Timelines
| Sl No | Head | Timelines (TAT) |
|---|---|---|
| 01 | Application Starting Date | 28-01-2025 |
| 02 | Application Submission Last Date (Cut-off) | 28-03-2025 |
| 03 | Total days available for submission of Application | 60 Days |
| 04 | Time required for considering the case by Technical Scrutiny Committee (TSC) by Ministry. | 60 Days from 29-03-2025 |
| 05 | Time required for further consideration of proposal for IMAC, once TSC approves. | 30 Days |
| 06 | Time required to get Approval / Sanction form Ministry from the date of IMAC Decision | 30 Days |
| 07 | Approximate Total Time required to get Ministry Approval | 6 to 9 Months |
| 08 | The above timelines is figured out as per our previous experience with Ministry since Introduction of this scheme for additional timelines | 3 Months Grace Period – Safer Side |
Check List - CEFPPC- Central Govt (MoFPI)
I) Master (KYC) Documents
| Sl No | Particulars |
|---|---|
| 01 |
|
| 02 | TAN Certificate |
| 03 | PAN Card of Company |
| 04 | IEM Registration / Entrepreneur's Memorandum / Udyog Aadhaar Registration |
| 05 | SC / ST Caste certificate (Whichever applicable) |
| 06 | Annual reports and Audited Financial Statement of Accounts and Income Tax Returns of for last two years (Applicable in case of Expansion / Upgradation Units) |
| 07 | Bio-data / Background / Experience of the entity relevant to the Scheme. |
II) Regulatory Certificates
| Sl No | Particulars |
|---|---|
| 01 | Registered Sale Deed / Lease deed (Lease Period 15 years) - English Version / Hindi Version |
III) Project documents - DPR
| Sl No | Particulars |
|---|---|
| 01 | Indicating Financial & Technical Profile of the Entity |
| 02 | Domain Expertise available with the entity |
| 03 | Raw Material availability in the area where project is proposed to be set-up |
| 04 | Arrangements for procurement of Raw material |
| 05 | Marketing Strategy of proposed products |
| 06 | Process Flow Diagram of proposed products with production capacity per day |
| 07 | Technology proposed for various activities in process line |
| 08 | Financial Estimates with key Financial Parameters |
| 09 | Profit & Loss Statement |
| 10 | Estimated employment generation from the project (direct as well as indirect) |
| 11 | Number of Farmers estimated to be benefited etc |
IV) Project Documents
| Sl No | Particulars |
|---|---|
| 01 | Quotations from Original Equipment Manufacturer or its Authorised Dealer / Supplier |
V) Financials / Commercial Documents
| Sl No | Particulars |
|---|---|
| 01 | Final Bank Term Loan Sanction Letter from a Scheduled Commercial Bank / NABARD / SIDBI / NEDFI |
| 02 | A detailed Bank Appraisal Note, specific to the Scheme, from a Scheduled Commercial Bank / NABARD / SIDBI / NEDFI. |
VI) Declaration / Certifications
| Sl No | Particulars |
|---|---|
| 01 | Net Worth Certificate by CA (Appendix-I) |
| 02 | CA / Statutory Auditor Certificate (Appendix-II) |
| 03 | Item-wise & Cost-wise (Basic & GST / Taxes separately) details of Technical Civil Works duly certified by CE (Civil) |
| 04 | An Undertaking (Appendix-III) on ₹ 100 Stamp Paper (Non-Judicial) duly notarised |
| 05 | Item-wise & Cost-wise (Basic & GST / taxes separately) details of Plant & Machinery duly certified by CE (Mechanical) |
| 06 | The expenditure incurred on the project before the date of submission of online application (Appendix-IV) |
| 07 | Proof of submission of Govt Fee in the form of DD |
Note:
- All above documents must be submitted through online duly Self-attested by Applicant
- Land must be in the name of Applicant
- Proposal should contain an Index as first page & all pages of documents must be properly numbered
- When Original Documents are in a regional language, they should be accompanied by self-certified English / Hindi translation
- Correspondences (e-Mails / Letters) for possible forward or backward linkages.
- Break up of Basic Cost & Taxes (Civil & Plant & Machinery) are mandatory in all requisite documents such as DPR, Bank Appraisal, CE Certificates, CA certificate.
- In case, GST / Taxes are not considered and shown as part of total Project Cost and means of finance, the proposal will be rejected due to non-disclosure of financials of the project.
- The projects, which are exempted from taxation like SEZs, manufacturing and other operations in warehouse (MooWR) & Export promotion capital Goods scheme (EPCG) etc. should invariably mention complete details about such exemptions in all requisite documents.
- In case land for the project has been taken on lease from State Government / its entities, the policy of respective State Government in this regard will be followed.
Impact of CFPPC Scheme
0
Projects Supported
0
Crore INR Invested
0
Jobs Created
0
Farmers Benefited
Frequently Asked Questions
Application Process
1
Submit Online Application
Submit your application through the online portal between 28-01-2025 and 28-03-2025 with all required documents.
Technical Scrutiny
Your application will be reviewed by the Technical Scrutiny Committee (TSC) within approximately 60 days.
2
3
IMAC Approval
If approved by TSC, your proposal will be considered by IMAC within approximately 30 days.
Ministry Approval
After IMAC decision, Ministry approval will be issued within approximately 30 days.
4
5
Project Implementation
Start project implementation after receiving Ministry approval. Complete the project within 24 months from the date of approval.
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