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  • 29 Aug 2022 GS Paper 3 Economy

    Day 50: PM Kisan SAMPADA Yojana will result in the creation of modern infrastructure with efficient supply chain management from farm gate to retail outlet. Discuss.

    Approach
    • Introduce by stating the importance of PM Kisan SAMPADA.
    • Discuss its different components.
    • Conclude suitably.

    Answer:

    During the last five years ending 2019-20, Food Processing Industries (FPI) sector has been growing at an average annual growth rate of around 11.18%. The sector constituted as much as 9.87 per cent of GVA in manufacturing in 2019-20 at 2011-12 prices.

    Pradhan Mantri Kisan SAMPADA Yojana (Scheme for Agro-Marine Processing and Development of Agro-Processing Clusters) will be implemented by the Ministry of Food Processing Industries (MoFPI).

    PM Kisan SAMPADA Yojana is a comprehensive package which will result in creation of modern infrastructure with efficient supply chain management from farm gate to retail outlet. It will not only provide a big boost to the growth of food processing sector in the country but also help in providing better returns to farmers and is a big step towards doubling of farmers income, creating huge employment opportunities especially in the rural areas, reducing wastage of agricultural produce, increasing the processing level and enhancing the export of the processed foods.

    The following schemes will be implemented under PM Kisan SAMPADA Yojana:

    • Mega Food Parks: The Scheme of Mega Food Park aims at providing a mechanism to link agricultural production to the market by bringing together farmers, processors and retailers. The Mega Food Park Scheme is based on “Cluster” approach and envisages creation of state of art support infrastructure in a well-defined agri / horticultural zone for setting up of modern food processing units. Mega food park typically consists of supply chain infrastructure including collection centers, primary processing centers, central processing centers, cold chain and around 25-30 fully developed plots for entrepreneurs to set up food processing units.
    • Integrated Cold Chain and Value Addition Infrastructure: This provide integrated cold chain, preservation and value addition infrastructure facilities without any break, from the farm gate to the consumer in order to reduce post-harvest losses of horticulture and non-horticulture agri-produce.
    • Creation/ Expansion of Food Processing/ Preservation Capacities (Unit Scheme): The main objective of the Scheme is creation of processing and preservation capacities and modernisation/expansion of existing food processing units with a view to increasing the level of processing, value addition leading to reduction of wastage.
    • Infrastructure for Agro-processing Clusters: The scheme aims at development of modern infrastructure and common facilities to encourage group of entrepreneurs to set up food processing units based on cluster approach by linking groups of producers/ farmers to the processors and markets through well-equipped supply chain with modern infrastructure. Each agro processing clusters under the scheme have two basic components i.e. Basic Enabling Infrastructure (roads, water supply, power supply, drainage, ETP etc.), Core Infrastructure/ Common facilities (ware houses, cold storages, IQF, tetra pack, sorting, grading etc).
    • Creation of Backward and Forward Linkages: This provides effective and seamless backward and forward integration for processed food industry by plugging the gaps in supply chain in terms of availability of raw material and linkages with the market.
    • Food Safety and Quality Assurance Infrastructure: There is a need to ensure that the quality food products manufactured and sold in the market meet the stringent parameters prescribed by the food safety regulator. Keeping in view the aforesaid objectives, the government has been extending financial assistance under the scheme under the following components:
      • Setting Up/Up-gradation of Food Testing Laboratories
        • Setting Up/Up-gradation of Quality Control/Food Testing Laboratories
        • HACCP/ ISO Standards/Food Safety/Quality Management Systems
    • Human Resources and Institutions: The Ministry of Food Processing Industries has been extending financial assistance to undertake demand driven R&D work for the benefit food processing industry in terms of product and process development, efficient technologies, improved packaging, value addition etc. with commercial value along with standardization of various factors viz. additives, colouring agents, preservatives, pesticide residues, chemical contaminants, microbiological contaminants and naturally occurring toxic substances within permissible limits.

    Thus, PM SAMPADA with its sub schemes will help in the creation of modern infrastructure with efficient supply chain management from farm gate to retail outlet.

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