22) Formalization of Micro Food processing enterprises

Question 1

What is the context ?

Answer 1

After the announcement of 20lakh cr package , Union Cabinet has given its approval for a scheme for formalization of Micro Food processing enterprises

Question 2

Is this for both organised and unorganised sector ?

Answer 2

NOOO, it is only for Unorganised sector on All India basis

Question 3

What type of scheme is it ?

Answer 3

Centrally sponsored scheme (60:40)

Question 4

Duration ?

Answer 4

5yrs (2020-21 to 2024-25)

Question 5

How does it help ?

Answer 5

Almost 2lakh micro enterprises under food processing sector are to be assisted with credit linked subsidies
with a max limit of 10lakh

Question 6

What approach is used ?

Answer 6

Cluster based approach

Question 7

What is the main focus under food items ?

Answer 7

Perishables

Question 8

Administration and implementation mechanism ?

Answer 8

1) At Centre , this scheme would be monitored by Inter-Ministerial Empowered Committee (IMEC) under chairmanship of Minister of Food Processing
2) A State level committee chaired by Chief Secretary will monitor, sanction and recommend proposals for expansion of micro units
3) States and UTs to prepare Annual Action plans
4) 3rd party evaluation and mid term review mechanism
5) National level portal which will help individual enterprises to participate in the scheme