The Andhra Pradesh Food Processing Policy offers a significant incentive to promote inclusive entrepreneurship by providing an additional 10% capital subsidy for Special Category Enterprises, with increased cap limits. Special category enterprises means, enterprises that are wholly owned by women, backward classes (BC), scheduled castes (SC), minorities, specially-abled individuals, or transgender entrepreneurs who are local residents of Andhra Pradesh. This initiative is aimed at empowering underrepresented groups and encouraging their active participation in the state’s growing food processing sector.

Explore government incentives, capital subsidies, and policy benefits available for industries in Andhra Pradesh.
Beneficiary |
Investment Slabs |
Subsidy for Primary Processing units |
Subsidy for Secondary / Tertiary Processing units |
Incentive disbursement period |
FPOs / SHGs / Federations / Cooperatives/Societies |
- |
35% of FCI, Max Cap - Rs. 7 Cr |
45% FCI, cap at RS. 8 Cr |
2 years from generation of 1st tax invoice |
Micro |
Slab 1: Upto INR 1 Cr |
35% FCI, cap at RS. 35 Lakh |
45% FCI, cap at RS. 45 Lakh |
2 years from generation of 1st tax invoice |
Micro |
Slab 2: INR 1 Cr to INR 2.5 Cr |
35% FCI, cap at RS. 80 Lakh |
45% FCI, cap at RS. 1 Cr |
3 years from generation of 1st tax invoice |
Small |
Slab 1: INR 2.5 Cr to INR 10 Cr |
35% FCI, cap at RS. 3.5 Cr |
45% FCI, cap at RS. 4.5 Cr |
3 years from generation of 1st tax invoice |
Small |
Slab 2: INR 10 Cr to INR 25 Cr |
35% FCI, cap at RS. 6 Cr |
45% FCI, cap at RS. 7 Cr |
4 years from generation of 1st tax invoice |
Medium |
Slab 1: INR 25 Cr to INR 50 Cr |
35% FCI, cap at RS. 7 Cr |
45% 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 |
25% FCI, cap at RS. 15 Cr |
5 years from generation of 1st tax invoice |
Large |
INR 125 Cr to INR 200 Cr |
35% FCI, cap at RS. 25 Cr |
25% FCI, cap at RS. 25 Cr |
5 years from generation of 1st tax invoice |
This special category incentive under the AP Food Processing Policy 2024–29 reflects the state’s strong commitment to inclusive and sustainable industrial growth. By supporting entrepreneurs from underrepresented communities with enhanced capital subsidies, the policy opens new avenues for meaningful participation in the food processing sector.
If you are eligible and looking to maximize these benefits, Unique Group is here to guide you every step of the way—from documentation to disbursement. Connect with us today to simplify the process and unlock the full potential of your business through government support.
