AI SummaryFood Processing and Value Addition Management is a state scheme from the Uttarakhand government that helps entrepreneurs set up new food processing units. Under this scheme, a subsidy of up to 50% of the project cost is offered, with a maximum ceiling of ₹400 lakh (₹4 crore).
Applications are accepted through the Department of Horticulture and Food Processing. The department has released an updated application form and a checklist for food processing units on its official website, so interested businesses can apply through the current process.
Food Processing and Value Addition Management - Introduction
Food Processing and Value Addition Management aims to improve the food processing sector across Uttarakhand. The scheme supports creation of processing units that add value to local agricultural and horticultural produce. By offering money help, the government encourages entrepreneurs to start or expand their ventures, which helps build a stronger and more sustainable agricultural economy in the region.
The scheme is run by the Horticulture Department of Uttarakhand. It mainly targets new units, and the subsidy is credited only after the unit is set up and verified through a joint physical inspection. The department also uploads previously approved project models on its website, similar to MSME project guides, to help applicants prepare their proposals.
Key Information
| Detail | Information |
|---|---|
| Scheme Name | Food Processing and Value Addition Management |
| Level | State |
| State | Uttarakhand |
| Category | Agriculture, Rural and Environment, Business and Entrepreneurship |
| Target Beneficiaries | Business Entity, Industries |
| Benefit Type | Cash |
| Nodal Department | Horticulture Department |
Benefits
Anyone who launches a new food processing facility can get a government subsidy. The support is based on the total project cost, and the amount is capped at a fixed ceiling.
| Description | Subsidy Benefit |
|---|---|
| Grant percentage | 50% of project cost |
| Maximum ceiling | ₹400 lakh (₹4 crore) |
To help with proposal preparation, the department uploads previously approved project models on its official website. Applicants can refer to these resources, similar to typical MSME project guides, to make the application easier.
Eligibility
Any company, firm, or promoter interested in establishing a food processing unit within Uttarakhand can apply. For example, if Ramesh, an agricultural entrepreneur, wants to set up a fruit processing plant in his district, he qualifies for the subsidy as long as his proposal meets the required technical standards.
Application Process
STEP 1 - Visit the official department website at shm.uk.gov.in and go to the documents section to download the latest application form for a food processing unit, or collect a copy from the local Horticulture Mobile team centre.
STEP 2 - Prepare the project proposal, including a Detailed Project Report (DPR) and all mandatory documents listed in the scheme checklist.
STEP 3 - Get the project proposal appraised by a bank or a financial institution before submission.
STEP 4 - Submit the complete file to the Horticulture Mobile team centre. The team reviews the application and forwards it to the Mission Directorate.
STEP 5 - Once the Directorate approves the proposal, an official acceptance letter is issued. The loan process is then finalised with the help of departmental officers.
STEP 6 - After the unit is ready, experts from the departmental team carry out a joint physical inspection. Once the unit is verified, the subsidy is credited directly into the bank account.
Documents
The following documents are required while applying for the scheme:
- Detailed Project Report (DPR) with the full project plan and cost details.
- Promoter's permanent residence certificate and organisation biodata.
- Valid land records and land conversion certificate.
- Bank appraisal report and proof of project funding.
- NOC from the Fire Department.
- FSSAI certification for the food processing unit.
- Process flow chart and site plan.
- Quotations for plant and machinery certified by a chartered mechanical engineer.
- Affidavit on a ₹100 stamp paper.
- Employment generation certificate.
- Contract details with local farmers.
- Marketing and production strategy.
References
Download Application Form for Food Processing Unit
Download Check List for Food Processing Unit
View Department Documents and Guidelines
FAQ's
Who is eligible to apply under this scheme?
Any registered company, business firm, or individual promoter who wishes to set up a food processing unit in Uttarakhand can apply.
What financial support is provided for new food processing units?
A subsidy of 50% of the project cost is provided, capped at a maximum of ₹400 lakh (₹4 crore).
How can the application form be obtained?
The form can be downloaded from the department website at shm.uk.gov.in or collected from any Horticulture Mobile team centre.
Is support available for existing food processing units?
The scheme mainly targets new units. Expansion or value-addition proposals may be discussed with the department to check if they match current guidelines.
What is the step-by-step submission process?
The application and documents are submitted to the nearest Horticulture Mobile team centre, which then processes and forwards the request to the Mission Directorate for approval.
How is the subsidy paid out?
The department verifies the unit through a joint inspection, and after successful validation, the funds are credited directly to the verified bank account.