Key facts
What the official sources publish
Every value belongs to this exact product. Expand any fact to inspect its official evidence in place.
Food-processing formalisationFinance for upgrading existing micro food-processing enterprises, with support for individual units, FPOs, SHGs and cooperatives, plus branding, marketing, common processing/lab/storage/packaging facilities and technical support.View source
The official PMFME page describes the upgrade purpose and beneficiary/support areas.
- Source
- Financing under Formalization of Micro Food Processing Scheme
- Page / section
- Benefits / Features
- Accessed
- 23 Aug 2026
- Confidence
- high
Capital subsidyFor individual micro enterprises, credit-linked subsidy is up to 35% of eligible project cost, capped at ₹10 lakh per unit.View source
The official benefits section publishes the 35% subsidy and ₹10 lakh cap.
- Source
- Financing under Formalization of Micro Food Processing Scheme
- Page / section
- Benefits
- Accessed
- 23 Aug 2026
- Confidence
- high
Individual-unit criteriaExisting micro food-processing unit in operation; unincorporated, fewer than 10 employees, proprietorship or partnership; applicant over 18 years and at least eighth-standard pass. SHGs must bring 10% project-cost margin and 20% working-capital margin to match state-government grant support.View source
The official eligibility section publishes unit, employee, age, education and margin criteria.
- Source
- Financing under Formalization of Micro Food Processing Scheme
- Page / section
- Eligibility Criteria
- Accessed
- 23 Aug 2026
- Confidence
- high
FacilitiesTerm loan plus working capital as cash credit, demand/working-capital loan, bank guarantee, letter of credit, BP/BD and pre-/post-shipment export credit.View source
The official lists term-loan and working-capital facilities.
- Source
- Financing under Formalization of Micro Food Processing Scheme
- Page / section
- — Facility
- Accessed
- 23 Aug 2026
- Confidence
- high
RepaymentWorking capital is 12 months. Term loan is up to 84 months including a 12-month moratorium, subject to annual review.View source
The official publishes working-capital and term-loan periods.
- Source
- Financing under Formalization of Micro Food Processing Scheme
- Page / section
- — Repayment
- Accessed
- 23 Aug 2026
- Confidence
- high
Processing chargesWorking-capital: ₹250 per lakh or part from above ₹3 lakh to ₹10 lakh, ₹350 per lakh or part above ₹10 lakh; non-fund-based charge is 50% of the fund-based charge. New term loan above ₹3 lakh: 1% of sanctioned limit plus GST; term-loan review above ₹3 lakh: ₹60 per lakh or part plus GST.View source
The official fee section publishes the working-capital, non-fund-based and term-loan charge slabs.
- Source
- Financing under Formalization of Micro Food Processing Scheme
- Page / section
- Fees
- Accessed
- 23 Aug 2026
- Confidence
- high
Processing chargesWorking-capital fund-based: ₹250 per lakh or part above ₹3 lakh to ₹10 lakh, and ₹350 per lakh or part above ₹10 lakh, plus GST. Non-fund-based charges are 50% of fund-based charges. Fresh term loan above ₹3 lakh: 1% of sanctioned limit plus GST. Term-loan review above ₹3 lakh: ₹60 per lakh or part, plus GST.View source
The official fee section publishes separate fund-based, non-fund-based, fresh term-loan and review charges.
- Source
- Financing under Formalization of Micro Food Processing Scheme
- Page / section
- Fees & Charges
- Accessed
- 30 Aug 2026
- Confidence
- high
Turnover / experience requirementFor FPOs and producer cooperatives, minimum turnover is ₹1 crore and at least three years' knowledge and experience is preferred. Individual units must already be operating micro food-processing businesses; no numeric turnover threshold is published for individual units or SHGs.View source
The official page states minimum turnover of Rs 1 Crore and a preferred three-year experience period; it does not publish an individual-unit turnover number.
- Source
- Loan under Formalization of Micro Food Processing Enterprises Scheme
- Page / section
- Eligibility Criteria — Individual Micro Enterprises; Co-operatives/
- Accessed
- 30 Aug 2026
- Confidence
- high
Funding amountNeed-based funding is considered according to the project and borrower's requirement. For an individual micro enterprise, the credit-linked capital subsidy is 35% of eligible project cost up to ₹10 lakh per unit; this is a subsidy ceiling, not a universal loan cap.View source
The page says funding is need based and the says the bank evaluates the borrower's need; the ₹10 lakh figure is the individual grant ceiling.
- Source
- Loan under Formalization of Micro Food Processing Enterprises Scheme
- Page / section
- Benefits; — Quantum of Loan;
- Accessed
- 30 Aug 2026
- Confidence
- high
Rating-linked rateThe page publishes BRLLR-plus-Strategic-Premium spreads by internal credit rating and immovable-property security coverage: CR1–3: +0.50% to +1.25%; CR4–6: +0.95% to +1.80%; CR7 and below: +3.90% to +5.00%, with the lower spread applying above 100% security coverage and the higher spread below 50%.View source
The official table lists CR bands against four immovable-property security-coverage bands, each as + Strategic Premium + spread.
- Source
- Loan under Formalization of Micro Food Processing Enterprises Scheme
- Page / section
- — Rate of Interest
- Accessed
- 30 Aug 2026
- Confidence
- high
SecurityFor loans up to ₹1.60 lakh, the MITC lists a DP Note and hypothecation of crops grown or assets created from bank finance. It also lists equitable or registered mortgage of land or a third-party guarantee; the page repeats the ₹1.60 lakh heading, so the bank's sanction documents should confirm the applicable threshold and combination.View source
The security section contains the Note, hypothecation and mortgage/guarantee entries; its ₹1.60 lakh heading is repeated verbatim.
- Source
- Loan under Formalization of Micro Food Processing Enterprises Scheme
- Page / section
- — Security
- Accessed
- 30 Aug 2026
- Confidence
- high
Required documentsKYC documents such as Aadhaar, voter ID, PAN card or driving licence; passport-size photograph; land record; quotation or invoice (if available); project report (if available); and income-tax returns (if available).View source
The official document list marks quotation/invoice, project report and IT returns as if available, while , photo and land record are listed without that qualifier.
- Source
- Loan under Formalization of Micro Food Processing Enterprises Scheme
- Page / section
- Document Required
- Accessed
- 30 Aug 2026
- Confidence
- high
Geographic limitsExisting micro food-processing unit in operation; unincorporated, fewer than 10 employees, proprietorship or partnership; applicant over 18 years and at least eighth-standard pass. SHGs must bring 10% project-cost margin and 20% working-capital margin to match state-government grant support.View source
The manually reviewed product record states: “Existing micro food-processing unit in operation; unincorporated, fewer than 10 employees, proprietorship or partnership; applicant over 18 years and at least eighth-standard pass. must bring 10% project-cost margin and 20% working-capital margin to match state-government grant support.”.
- Source
- Financing under Formalization of Micro Food Processing Scheme — official product page
- Page / section
- Published product metadata
- Accessed
- 15 Aug 2026
- Confidence
- high
Customer typeFarmers, agricultural enterprises and eligible rural borrowersView source
The manually reviewed product record states: “Farmers, agricultural enterprises and eligible rural borrowers”.
- Source
- Financing under Formalization of Micro Food Processing Scheme — official product page
- Page / section
- Published product metadata
- Accessed
- 15 Aug 2026
- Confidence
- high
Benefits and features
- Finance for upgrading existing micro food-processing enterprises, with support for individual units, , and cooperatives, plus branding, marketing, common processing/lab/storage/packaging facilities and technical support.
Eligibility
- Existing micro food-processing unit in operation
- unincorporated, fewer than 10 employees, proprietorship or partnership
- applicant over 18 years and at least eighth-standard pass. must bring 10% project-cost margin and 20% working-capital margin to match state-government grant support.
Passing a listed condition does not mean the bank will approve an application.
Documents the bank lists
- Aadhaar
- voter
- card
- driving licence
Related official documents
Rural & Agri loan catalogue — Financing Irrigation entryofficial-product-catalogue · Targeted eligibility cross-check for Financing Irrigation · accessed 28 Sept 2026
↗Loan under PM Formalization of Micro Food Processing Enterprises Scheme — Bank of Baroda official product pageofficial-product-page · current · accessed 30 Aug 2026
↗Priority Sector Loans Interest Rates — Farm Credit A.1 schedule and scope footnoteofficial-interest-rate-page · Targeted current A.1 comparison; product-page rate rows remain primary and tariff scope is explicitly qualified · accessed 28 Sept 2026
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