Capital Subsidy for Food Processing Units (General Category) – APFPS 2024–2029
The Capital Subsidy scheme provides financial support to new enterprises in the food processing sector, for primary, Secondary and Tertiary Food processing units. Subsidies vary based on the type of enterprise (e.g., FPOs, SHGs, Micro, Small, Medium, Large) and investment size.
Download the AP Subsidies Booklet
Explore government incentives, capital subsidies, and policy benefits available for industries in Andhra Pradesh.
Details of Capital Subsidy
|
Beneficiary |
Investment Slabs |
Subsidy for Primary Processing units |
Subsidy for Secondary / Tertiary Processing units |
Incentive disbursement period |
|
FPOs / SHGs / Federations / Cooperatives/Societies |
- |
25% FCI, cap at RS. 50 Lakh |
35% FCI, cap at RS. 5 Cr |
2 years from generation of 1st tax invoice |
|
Micro |
Slab 1: Upto INR 1 Cr |
25% FCI, cap at RS. 25 Lakh |
35% FCI, cap at RS. 35 Lakh |
2 years from generation of 1st tax invoice |
|
Micro |
Slab 2: INR 1 Cr to INR 2.5 Cr |
25% FCI, cap at RS. 50 Lakh |
35% FCI, cap at RS. 80 Lakh |
3 years from generation of 1st tax invoice |
|
Small |
Slab 1: INR 2.5 Cr to INR 10 Cr |
25% FCI, cap at RS. 1.5 Cr |
35% FCI, cap at RS. 3.5 Cr |
3 years from generation of 1st tax invoice |
|
Small |
Slab 2: INR 10 Cr to INR 25 Cr |
25% FCI, cap at RS. 5 Cr |
35% FCI, cap at RS. 6 Cr |
4 years from generation of 1st tax invoice |
|
Medium |
Slab 1: INR 25 Cr to INR 50 Cr |
25% FCI, cap at RS. 7 Cr |
35% FCI, cap at RS. 8 Cr |
4 years from generation of 1st tax invoice |
|
Medium |
Slab 2: INR 50 Cr to INR 125 Cr |
25% FCI, cap at RS. 15 Cr |
15% FCI, cap at RS. 15 Cr |
5 years from generation of 1st tax invoice |
|
Large |
INR 125 Cr to INR 200 Cr |
15% FCI |
15% FCI, cap at RS. 15 Cr |
5 years from generation of 1st tax invoice |
Important points to be noted
- ✔️ FPOs/SHGs/Federations/Cooperatives/Societies depending on the size of investment can avail benefits eligible for Small or Medium or Large category whichever is higher
- ✔️ For Mega projects with investment RS. 200 Crores and above, GoAP will extend tailor made incentives on case to case basis.
- ✔️ The incentive is applicable for only new projects.
- ✔️ For Projects delayed beyond committed completion date, the incentive will be reduced by 0.5% for each month of delay in DCP from the committed date in the application.
Subsidies under AP Food Processing Policy 2024-29
Capital Subsidies
- Capital Subsidy for Food Processing Units – General Category
- Capital Subsidy for Food Processing Units – Special Category (Women / Backward Castes / SC / ST / minority / specially abled / transgender entrepreneurs
- Capital Subsidy for Technology Upgradation/Modernization
- Capital Subsidy for Waste Processing
- Capital Subsidy for Modern Abattoirs/Meat Processing/Animal Feed Units
- Capital Subsidy for Food Testing Laboratories
- Standard Subsidies
- Topup of Government of India schemes