Bihar Mushroom Farmers Thrive Thanks to Central Government's PMFME Scheme

The Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME) scheme is one such example.

Launched in June 2020, the PMFME scheme focuses on the growth and formalisation of micro food units across the country. The scheme is part of the 'Atmanirbhar Bharat Abhiyaan' and supports the Vocal for Local vision in the food processing sector. It provides financial, technical and business assistance to entrepreneurs for setting up new units or upgrading existing ones.

The scheme aims to make micro enterprises more competitive, bring them into the organised sector and unlock new growth opportunities.

Veeru Rajak, a beneficiary from Sheikhpura in Bihar, told IANS, "With this loan granted under the PMFME scheme, I started my mushroom business, and now I can sustain my family through this. My children are now receiving a good education, and about 10-15 people are also working here."

Speaking about his business, Rajak said, "After growing the mushrooms, I supply them throughout the city. I also sell it directly in the vegetable market."

He further added, "Earlier, I used to do small jobs at my house, but I was not able to make ends meet with that. I built this business of mine after taking the loan granted by the government. Now I am happy with my work and also getting a good income, and I can take good care of my family."

Rajak also appealed to the government to make more people avail this benefit. "It is a good scheme of the government. I thank the government for this and also appeal that it let more people benefit through this loan, which will also increase their sources of income," he said.

The scheme further aims to provide direct support to 2 lakh micro food processing units through credit-linked subsidies. It also seeks to create common infrastructure and strengthen institutional support to drive faster growth in the sector.

It follows the One District One Product (ODOP) approach to scale up procurement, services, and marketing. States identify products, with priority on perishables such as fruits, vegetables, spices, fisheries, and traditional foods like honey and turmeric. Support is focused on processing, storage, branding, and reducing wastage.

Through its ODOP focus, common infrastructure, skill training, and access to credit, the PMFME provides small entrepreneurs with the tools to grow and compete. By reducing wastage, improving value addition, and promoting branding, the scheme not only boosts farmers' and producers' incomes but also creates jobs and supports rural development.

- IANS