Union Cabinet Approved Additional Allocation for PMKSY – July 2025
 
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Union Cabinet Approved Additional Allocation for PMKSY – July 2025

Fri 01 Aug, 2025

Context:

  • In July 2025, the Union Cabinet approved a total outlay of ₹6,520 crore for the ongoing Central Sector Scheme – Pradhan Mantri Kisan SAMPADA Yojana (PMKSY) during the 15th Finance Commission cycle (2021-22 to 2025-26), which includes an additional allocation of ₹1,920 crore.

Utilization of the Additional Budget:

1. Integrated Cold Chain and Value Addition Infrastructure (ICCVAI):

  • ₹1,000 crore has been allocated for establishing 50 multi-product food irradiation units.
  • These units will help extend the shelf life of food products and create a preservation capacity of 20–30 lakh metric tonnes annually.

2. Food Safety and Quality Assurance Infrastructure (FSQAI):

  • 100 NABL-accredited food testing laboratories will be set up in the private sector. These laboratories will help ensure food safety standards and increase the availability of high-quality food products.

3. Other Projects:

  • ₹920 crore has been allocated for approval of projects under various sub-components of PMKSY.
  • These will be demand-based and implemented by inviting Expressions of Interest (EOI) from eligible institutions.

Other Projects:

  • ₹920 crore has been allocated for approval of projects under various sub-components of PMKSY.
  • These will be demand-based and implemented by inviting Expressions of Interest (EOI) from eligible institutions.

Pradhan Mantri Kisan SAMPADA Yojana (PMKSY)

  • Launched: 2017
  • Originally named: SAMPADA (Scheme for Agro-Marine Processing and Development of Agro-Processing Clusters); later renamed as Pradhan Mantri Kisan SAMPADA Yojana (PMKSY).
  • Implementing Ministry: Ministry of Food Processing Industries (MoFPI)

Objectives:

  • Link agriculture with processing to convert agri-waste into value-added products
  • Increase farmers' income, reduce wastage, and generate employment

Major Components of PMKSY (6 sub-schemes):

  1. Integrated Cold Chain and Value Addition Infrastructure (ICCVAI) – storage & processing support
  2. Mega Food Parks – large-scale processing units
  3. Agro-Processing Clusters – support to small and medium enterprises
  4. Food Safety and Quality Assurance Infrastructure (FSQAI) – food testing labs
  5. Backward and Forward Linkages – strengthening the supply chain
  6. Human Resource and Institutions – training and R&D

Key Benefits of PMKSY (as of 2025):

  • Employment generation: ~5.44 lakh jobs
  • Investment attracted: ₹11,095 crore
  • Farmer beneficiaries: ~28.50 lakh
  • Food preservation capacity: 20–30 lakh metric tonnes per year

Key Central Schemes Related to Farmers:

Scheme / Policy Launched Objective / Key Component
National Food Security Mission (NFSM) 2007-08 Sustainable increase in production and productivity of rice, wheat, pulses, oilseeds & millets; extension, technology transfer, area expansion.
Pradhan Mantri Krishi Sinchayee Yojana (PMKSY) 2015 Improve irrigation coverage ("Har Khet Ko Pani"); water use efficiency ("More crop per drop"); irrigation infra development & water conservation.
PM-KISAN Yojana 2019 ₹6,000 annual direct income support to eligible farmers in three installments; ensures minimum income & supports farm investments.
Agriculture Infrastructure Fund 2020-21 Medium/long-term credit for post-harvest management and community agri-assets; storage, logistics & value addition.
MSP Hike (Minimum Support Price) 2018-19 50% profit over cost (A2+FL) for major crops at procurement centers, per govt norms.
Kisan Credit Card (KCC) Scheme 1998 (expanded in 2019) Easy & affordable working capital credit; now includes animal husbandry, dairy & fisheries.
Pradhan Mantri Fasal Bima Yojana (PMFBY) 2016 Crop insurance against natural disasters, pests, diseases; protects income & investment; subsidized premium & wide risk coverage.
Nutrient-Based Subsidy (NBS) Policy 2010 Subsidy based on nutrients (N, P, K, S); ensures balanced fertilizer use & improves soil health.

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