The Government of India has introduced the Production Linked Incentive Scheme for Millet-Based Products (PLISMBP) to support the use of millets in food products and encourage value addition. This initiative, launched for the period 2022-2027, comes with an allocation of ₹800 crore and aims to boost millet production and processing by removing the threshold investment requirement, making it accessible to a wider range of participants.
Under the scheme, companies are eligible for incentives if they achieve a minimum year-on-year sales growth of 10% over the base year. It focuses on sales of branded Ready-to-Eat and Ready-to-Cook products in consumer packs, provided these products contain at least 15% millet by weight or volume.
Initially, 30 beneficiaries were enrolled under the scheme. Following the withdrawal of one participant, 29 beneficiaries remain. According to the guidelines, the products must be prepared using domestically sourced agricultural materials, excluding additives, flavors, and oils. This requirement has helped strengthen local agricultural procurement, benefiting farmers.
The scheme has a five-year duration. For the first performance year (FY 2022-2023), 19 participants filed claims in FY 2023-2024, with ₹3.917 crore disbursed to eligible applicants.
The government has taken steps to ensure smooth implementation of the scheme. These include launching a user-friendly portal, establishing support groups for issue resolution, and issuing regular clarifications on guidelines. Weekly meetings with applicants, along with technical support, are being conducted to track progress and address challenges effectively.
By: Ranu Jain