Government promotes Green Technologies and renewable energy in food processing sector

The Ministry of Food Processing Industries (MoFPI) is actively promoting the adoption of green technologies and renewable energy sources to enhance sustainability in the food processing sector. Under its flagship schemes, the Ministry supports the use of solar, biomass, wind and other renewable energy solutions by providing financial assistance of up to ₹35 lakh per project for incorporating renewable and alternate energy technologies in food processing units. This support is extended under the component schemes of the Pradhan Mantri Kisan SAMPADA Yojana (PMKSY).

As per PMKSY guidelines, the release of Grant-in-Aid or subsidy instalments to approved projects is subject to mandatory compliance with environmental regulations. This includes obtaining Consent to Operate (CTO) from the concerned State Pollution Control Board or agency for water and air. In addition, Project Implementation Agencies are required to comply with norms prescribed by the Ministry of Environment, Forest and Climate Change, Government of India, particularly for cold chain infrastructure. These norms emphasize the use of Non-Ozone Depleting Substances (Non-ODS) and low Global Warming Potential (GWP) refrigerant-based, energy-efficient cooling systems.

To further encourage sustainable food processing, MoFPI organized the 4th edition of World Food India 2025 from 25–28 September 2025. One of the key focus pillars of the event was “Sustainability and Net Zero Food Processing”, aimed at promoting resource efficiency, waste reduction, energy efficiency and environmentally friendly packaging solutions across the sector.

In the area of sustainable packaging, the National Institute of Food Technology, Entrepreneurship & Management (NIFTEM), Thanjavur, an autonomous institution under MoFPI, has been working towards the development of biodegradable and eco-friendly packaging technologies. These include packaging solutions based on biopolymers such as polylactic acid (PLA), starch, nanofibres and other sustainable materials.

MoFPI continues to incentivize the setting up and expansion of food processing infrastructure through its two Central Sector Schemes—Pradhan Mantri Kisan SAMPADA Yojana (PMKSY) and the Production Linked Incentive Scheme for Food Processing Industry (PLISFPI). In addition, the Ministry is implementing the centrally sponsored PM Formalization of Micro Food Processing Enterprises (PMFME) Scheme, under which subsidies and incentives are provided to eligible entities, including startups and Micro, Small and Medium Enterprises (MSMEs).

Under the Capacity Building component of the PMFME Scheme, MoFPI provides assistance for training of trainers, district resource persons, entrepreneurs and other stakeholders through Entrepreneurship Development Programmes (EDP+) and product-specific skilling initiatives. The scheme also focuses on strengthening backward and forward linkages, creating common facilities and incubation centres, and supporting training, marketing and branding efforts.

Further, MoFPI’s autonomous institutions—NIFTEM-Kundli, Haryana, and NIFTEM-Thanjavur, Tamil Nadu—offer extensive handholding support to startups and MSMEs. This includes mentorship, training, access to pilot plants, NABL-accredited food testing laboratories, incubation services, quality testing, research and development support, and networking opportunities.

These schemes are being implemented across the country, contributing to the creation of off-farm employment opportunities and enhancing farmers’ incomes through the growth of the food processing sector.

This information was provided by the Minister of State for Food Processing Industries, Shri Ravneet Singh, in a written reply in the Lok Sabha.