UP Food Processing Industry Policy 2023: Complete Guide
What Is the Policy?
The Uttar Pradesh Food Processing Industry Policy, 2023 covers fruit and vegetable processing, dairy-adjacent processing, grain and pulse milling, meat and poultry processing, ready-to-eat foods, cold chains, ripening chambers, reefer transport, and food/agro parks. It is administered by the Food Processing Department / Directorate of Horticulture & Food Processing, with district-level facilitation through the DIEPC and District Horticulture Officer.
Key Incentives
| What | Details |
|---|---|
| Capital subsidy | On plant and machinery and technical civil works |
| Interest subsidy | On term loans for the project |
| Stamp duty | Exemption |
| Mandi fee | Relief on notified produce for specified processing categories — revised more than once, so confirm the current notification |
| Cold chain & logistics | Support for cold chain and logistics infrastructure; cold/controlled-atmosphere storage gets capital subsidy and, in some cases, power tariff relief |
Eligibility
- New food processing units and expansions of existing ones
- Developers of food parks and cold chain infrastructure
- A valid FSSAI licence is a precondition for EC (Eligibility Certificate) issuance
How Does This Interact With Central Schemes?
State incentives are designed to top up Central Ministry of Food Processing Industries schemes โ PMKSY components and PMFME for micro units. Convergence is expressly permitted, but with caps on total assistance.
Cold Storage: Which Policy Do I File Under?
Documentation Specific to This Sector
- Machinery invoices with capacity certification
- A technical civil works certificate from a chartered engineer
- Raw material sourcing linkage evidence, for park applications
Where Does This Make the Most Sense?
Western UP has the strongest pitch: proximity to Delhi NCR demand, dairy and horticulture belts, and reefer logistics access via the expressway network.
How to Apply
- Secure or confirm your FSSAI licence first โ it's a precondition for the Eligibility Certificate
- Determine whether cold storage/cold chain components should be filed under this policy or the Warehousing & Logistics Policy 2022, not both
- Approach the Food Processing Department / Directorate of Horticulture & Food Processing, with district facilitation through the DIEPC and District Horticulture Officer
- Check how much of your project can also draw on Central PMKSY/PMFME support, within the combined assistance cap
Frequently Asked Questions
Can I claim both PMFME/PMKSY and this state policy?
Yes โ convergence is expressly permitted, since the state incentives are designed to top up the Central schemes. There are caps on total combined assistance, so confirm the current limits before finalising your funding plan.
My project includes a cold storage component โ which policy should I file it under?
Cold storage and controlled-atmosphere storage can fall under either this policy or the Warehousing & Logistics Policy 2022. Confirm which one fits your project and file under only one โ not both.
Need help with your UP Food Processing Industry Policy application?
ClaimDesk (A NorthStar Advisors brand, Noida) helps you confirm eligibility, sort out which policy to file cold-chain components under, and prepare your application. The first conversation is completely free.
MSMEUP.com is independent information & tools โ free, and not run by any consultancy. ClaimDesk is a separate, private consultancy (a NorthStar Advisors brand) for those who want professional filing help; its fee is for that service, not a government charge, and using it is entirely optional โ MSMEUP's guides and tools work the same with or without it.
Official portal: niveshmitra.up.gov.in Administered by: Food Processing Dept. / Directorate of Horticulture & Food Processing Last reviewed: Aug 2026
This page summarizes publicly available scheme information. For the current official notification, application form and exact eligibility conditions, always confirm on the portal above before applying or filing a claim.