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Cabinet Approves Rs. 6520 Cr Outlay for PMKSY During 15th FCC

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On July 31, 2025, the Union Cabinet, chaired by Prime Minister Shri Narendra Modi, approved a total outlay of Rs. 6520 crores, which includes an additional outlay of Rs. 1920 crore for the Central Sector Scheme, Pradhan Mantri Kisan SAMPADA Yojana (PMKSY) announed during the 15th Finance Commission Cycle (FCC) (i.e., 2021-22 to 2025-26).

EXAM HINTS:

  • Scheme: Pradhan Mantri Kisan SAMPADA Yojana (renamed from SAMPADA in 2017)
  • Implementation Body: Ministry of Food Processing Industries (MoFPI)
  • Title: Cabinet Approves Rs. 6520 Cr budget(including Rs. 1920 crores additional)
  • New Establishment: 50 Irradiation Units under ICCVAI, and 100 NABL Food Testing Labs under FSQAI

New Establishments  for Rs. 1920 Crores Under PMKSY:

Irradiation Units and Food Testing Labs:

  • Rs. 1000 crores have been allocated to setting up 50 Multi-Product Food Irradiation Units under the Integrated Cold Chain and Value Addition Infrastructure (ICCVAI) scheme.
    • This implementation of these units is expected to create 20 to 30 lakh metric tonnes (LMT) of food preservation capacity per annum.
  • The amount also supports establishing 100 Food Testing Laboratories (FTLs) under the Food Safety and Quality Assurance Infrastructure (FSQAI) scheme, and the laboratories are accredited by the National Accreditation Board for Testing and Calibration Laboratories (NABL).
    • This establishment of FTLs under the private sector will enhance food safety compliance through modern testing infrastructure.

Note: ICCVAI and FSQAI are demand-driven component schemes of PMKSY. Eligible entities can submit proposals in response to Expression of Interests (EOIs) that will be floated, and approvals will be based on scrutiny under the scheme guidelines.

Sanctions on other PMKSY Component schemes: Rs. 920 crores have been allocated for the sanction of projects under other component schemes of PMKSY and will be implemented during the 15th FCC.

About PMKSY Scheme:

Initial Launch: In 2017, it was launched as SAMPADA (Scheme for Agro-Marine Processing and Development of Agro-Processing Clusters) with Rs. 6000 crores. Then, renamed as Pradhan Mantri Kisan SAMPADA Yojana.

Ministry Implemented: This scheme is implemented by the Ministry of Food Processing Industries (MoFPI).

Aim: The scheme aims to modernize infrastructure from farm gate to retail outlet, enhance farmer incomes, reduce wastage, and boost food processing and exports.

Components: The PMKSY had seven component schemes, (i) Mega Food Parks, (ii) Integrated Cold Chain and Value Addition Infrastructure, (iii) Infrastructure for Agro-Processing Clusters, (iv) Creation of Backward and Forward Linkages, (v) Creation/Expansion of Food Processing & Preservation Capacities, (vi) Food Safety and Quality Assurance Infrastructure and (vii) Human Resources and Institutions.

  • Components (i), (iv), (vi) and (vii) are discontinued in the 15th FCC except for committed liabilities.

Extension: The scheme was extended in 2020-21, and continues till 31 March 2026.