SRINAGAR: Jammu and Kashmir recorded 2,287 loans sanctioned to micro food processing enterprises under the Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) scheme during 2023-24 to 2025-26, while the Centre allocated or released Rs 34.71 crore as its share during the period, according to data placed by the Union Ministry of Food Processing Industries in the Lok Sabha on Thursday.
The year-wise figures show that 480 loans were sanctioned in 2023-24, 682 in 2024-25 and 1,125 in 2025-26, indicating a more than two-fold increase over the three-year period. The Centre’s share stood at Rs 2.68 crore in 2023-24, Rs 25.75 crore in 2024-25 and Rs 6.28 crore in 2025-26.
The Ministry said that, cumulatively, 2,704 loans had been sanctioned under the credit-linked subsidy component in Jammu and Kashmir, with subsidy of Rs 58.01 crore approved. A total of 1,694 self-help group (SHG) members in the Union Territory had also received seed capital assistance amounting to Rs 6.18 crore.
Ladakh, meanwhile, recorded 69 loans sanctioned during the three years—33 in 2023-24, 17 in 2024-25 and 19 in 2025-26—with Centre share funds of Rs 4.86 crore allocated or released. Separately, 104 loans had been sanctioned under the credit-linked subsidy component in Ladakh, with Rs 5.14 crore in subsidy approved, while 651 SHG members received Rs 1.82 crore in seed capital assistance.
Across India, the Ministry said 1,62,044 micro food processing enterprises had secured loans under the credit-linked subsidy component during the last three years, with Rs 3,366.24 crore in Centre share funds allocated or released. The annual loan sanctions rose from 54,594 in 2023-24 to 56,575 in 2025-26, after standing at 50,875 in 2024-25.
Jammu and Kashmir’s 2,287 loans sanctioned during the three-year period accounted for about 1.4 per cent of the national total reported for the period, while Ladakh’s 69 accounted for less than 0.1 per cent. The latest annual figure for JK—1,125 loans in 2025-26—was higher than the 480 sanctioned in 2023-24, but remained below the leading states, with Madhya Pradesh recording 6,104, Maharashtra 6,781, Uttar Pradesh 8,224 and Bihar 7,972 loans in 2025-26.
The Union Government said the PMFME scheme is aimed at setting up new and upgrading existing micro food processing enterprises by improving access to credit, strengthening branding and marketing, expanding common services and supporting institutions, research and training.
Under the scheme, eligible micro enterprises can receive a credit-linked capital subsidy of 35 per cent of the eligible project cost, capped at Rs 10 lakh per unit. Eligible entities include individual entrepreneurs, proprietorship and partnership firms, FPOs, NGOs, cooperatives, SHGs and private limited companies.
SHG members engaged in food processing are eligible for seed capital of Rs 40,000 per member for working capital and purchase of small tools, subject to a maximum of Rs 4 lakh per SHG federation. A 35 per cent credit-linked capital subsidy, capped at Rs 3 crore, is also available for common infrastructure involving FPOs, SHGs, cooperatives and government agencies.
The scheme also provides grants of up to 50 per cent for branding and marketing to groups of FPOs, SHGs and cooperatives or special purpose vehicles of micro food processing enterprises, besides entrepreneurship development and product-specific training.
The Ministry said the interventions are intended to promote value addition in agricultural produce, strengthen district-specific food processing value chains, facilitate technology adoption and improve market access through retail, e-commerce and institutional buyers. The scheme, it added, also contributes to enterprise formalisation, entrepreneurship and direct and indirect employment generation.
