FM unveils Rs 10K cr scheme to formalise micro food enterprises

Finance Minister Nirmala Sitharaman on Friday said that the Centre will launch a Rs 10,000 crore scheme for formalisation of micro food enterprises (MFEs).

Addressing the media here, Sitharaman said that the scheme is in line with Prime Minister Narendra Modi's call of 'Vocal for Local' with global outreach.

The scheme will help 2 lakh MFEs attain FSSAI gold standards, build brands and boost marketing.

Under the scheme, cluster-based approach would be taken up for products such as mangoes in Uttar Pradesh, saffron in Jammu & Kashmir among others.

As per the government, the decision will lead to improved health and safety standards, integration with retail markets, and improved incomes.

It is also likely to help in reaching untapped export markets in view of the improved health consciousness.

The minister has also announced that the Centre will set up a Rs 1 lakh crore agri infrastructure fund for farm-gate infrastructure for farmers, to provide impetus for development for farm-gate and aggregation points, affordable and financially viable post harvest management infrastructure.

The announcements are part of the third tranche of the Rs 20 lakh crore economic package announced by Prime Minister Narendra Modi on Tuesday.