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PLI — Food Processing

PLI Food Processing Scheme 2026 — Production Linked Incentive for Food Manufacturing: ₹10,900 Crore

2026 ✓Employment4-10% annual incentive on incremental sales for 6 years + For SME food companies: 10% incentive first 2 years + Export promotion + Market access supportLaunched: 2021Updated: May 2026
2 min read
Reviewed by Riya Sharma, Editor · Last verified: 27 May 2026
Written & fact-checked by Riya Sharma · Editor, Schemes In India
Last verified: · How we verify scheme facts

What is PLI — Food Processing?

Production Linked Incentive (PLI) Scheme for Food Processing Industry is implemented by the Ministry of Food Processing Industries (MoFPI) with a budget of ₹10,900 crore (2021-27). The scheme incentivizes food companies to increase domestic production and reduce food imports. PLI for food provides: (1) Sales-based incentive: 4-10% incentive on incremental sales above the base year (2019-20) for domestic food manufacturers — paid annually for 6 years; (2) Innovative/organic products: 10% incentive for the first 2 years, then 5-4-3% tapering; (3) Selected segments: Ready-to-eat meals, processed fruits & vegetables, marine products, mozzarella cheese, organic products, and SME food companies. Selected companies: 61 companies selected (including ITC, Britannia, Nestle, Tata Consumer, Heritage Foods, Kohinoor Foods, etc.) + 39 SME applicants. PLI is encouraging Indian food companies to achieve scale and compete globally — India's processed food export target is $50 billion by 2030.

PLI — Food Processing — Quick Overview

Scheme NamePLI Food Processing Scheme 2026 — Production Linked Incentive for Food Manufacturing: ₹10,900 Crore
Launched ByGovernment of India
Launch Year2021
Benefit4-10% annual incentive on incremental sales for 6 years + For SME food companies: 10% incentive first 2 years + Export promotion + Market access support
CategoryEmployment
Last Verified27 May 2026
Official Portalhttps://mofpi.gov.in

Benefits of PLI — Food Processing

4-10% annual incentive on incremental sales for 6 years + For SME food companies: 10% incentive first 2 years + Export promotion + Market access support

Who is Eligible for PLI — Food Processing?

  • Food manufacturing companies with minimum investments as per PLI category
  • Innovative/Organic Food SMEs: Minimum ₹10 crore investment in plant & machinery
  • Large food companies (RTE, processed fruits, marine): Minimum investment thresholds vary by category
  • Companies must be incorporated in India (FDI companies also eligible)
  • Must have a base year (2019-20) revenue to calculate incremental sales

Documents Required for PLI — Food Processing

0/1 documents ready

How to Apply for PLI — Food Processing Online?

  1. 1PLI Phase 1 applications are closed (61 companies selected in 2021-22)
  2. 2For SME food companies: Check MoFPI for any new PLI rounds or extensions
  3. 3Benefit indirectly: Buy Indian PLI-supported brands — scheme is designed to create jobs and lower food prices
  4. 4Startup food companies: Consider PMFME (ODOP) scheme instead for direct 35% capital subsidy
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Official Government Portal

mofpi.gov.in is the only authorised application channel, and the government charges nothing there — never pay anyone to apply on your behalf.

🔗Apply on mofpi.gov.in
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Frequently Asked Questions — PLI — Food Processing

PLI food processing covers 4 major segments: (1) Ready-to-eat / Ready-to-cook (RTE/RTC) meals: Packaged biryani, dal makhani, khichdi, gravies; (2) Processed fruits & vegetables: Tomato puree, potato chips, frozen vegetables, fruit juices; (3) Marine products: Frozen shrimp, fish fillets, value-added seafood (India is world's top shrimp exporter); (4) Mozzarella cheese: Support for dairy diversification. Special category: Innovative/Organic Food Products — including millets-based foods, organic products, traditional Indian foods modernized (murukku, fryums, etc.) — eligible for 10% incentive in first 2 years.
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