The Capital Subsidy for Technology Upgradation/Modernization under the AP Food Processing Policy 2024–29 is designed to accelerate the growth of food processing enterprises by supporting their efforts to adopt advanced technology and modernize infrastructure. Whether it’s upgrading machinery, improving processing efficiency, or enhancing product quality, this scheme provides substantial financial assistance based on enterprise type and category (General or Special). The goal is to boost competitiveness, encourage innovation, and strengthen the entire food processing value chain across Andhra Pradesh.

Explore government incentives, capital subsidies, and policy benefits available for industries in Andhra Pradesh.
Beneficiary | Investment Slabs | Subsidy for Primary Processing units | Incentive disbursement period |
FPOs / SHGs / Federations / Cooperatives/Societies | - | 45% of FCI, Max Cap - Rs. 5 Cr | 2 years from generation of 1st tax invoice |
Micro | Slab 1: Upto INR 1 Cr | 20% FCI, cap at RS. 20 Lakh | 2 years from generation of 1st tax invoice |
Micro | Slab 2: INR 1 Cr to INR 2.5 Cr | 20% FCI, cap at RS. 40 Lakh | 3 years from generation of 1st tax invoice |
Small | Slab 1: INR 2.5 Cr to INR 10 Cr | 20% FCI, cap at RS. 1 Cr | 3 years from generation of 1st tax invoice |
Small | Slab 2: INR 10 Cr to INR 25 Cr | 20% FCI, cap at RS. 4 Cr | 5 years from generation of 1st tax invoice |
Medium | Slab 1: INR 25 Cr to INR 50 Cr | 20% FCI, cap at RS. 5 Cr | 5 years from generation of 1st tax invoice |
Medium | Slab 2: INR 50 Cr to INR 125 Cr | 10% FCI, cap at RS. 10 Cr | 5 years from generation of 1st tax invoice |
Large | INR 125 Cr to INR 200 Cr | 10% FCI, cap at RS. 20 Cr | 5 years from generation of 1st tax invoice |
Beneficiary | Investment Slabs | Subsidy for Primary Processing units | Incentive disbursement period |
FPOs / SHGs / Federations / Cooperatives/Societies | - | 45% of FCI, Max Cap - Rs. 5 Cr | 2 years from generation of 1st tax invoice |
Micro | Slab 1: Upto INR 1 Cr | 30% FCI, cap at RS. 30 Lakh | 2 years from generation of 1st tax invoice |
Micro | Slab 2: INR 1 Cr to INR 2.5 Cr | 30% 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 | 30% FCI, cap at RS. 3 Cr | 3 years from generation of 1st tax invoice |
Small | Slab 2: INR 10 Cr to INR 25 Cr | 30% FCI, cap at RS. 4 Cr | 5 years from generation of 1st tax invoice |
Medium | Slab 1: INR 25 Cr to INR 50 Cr | 30% FCI, cap at RS. 5 Cr | 5 years from generation of 1st tax invoice |
Medium | Slab 2: INR 50 Cr to INR 125 Cr | 20% FCI, cap at RS. 10 Cr | 5 years from generation of 1st tax invoice |
Large | INR 125 Cr to INR 200 Cr | 20% FCI, cap at RS. 20 Cr | 5 years from generation of 1st tax invoice |
Note: 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.
Modernizing your food processing business has never been more accessible. With attractive subsidies tailored for both general and special category enterprises, now is the perfect time to invest in technology and scale up.
Unique Group is here to help you navigate the application process, ensure compliance, and secure the maximum subsidy you’re eligible for. Connect with us today and take the next step toward a smarter, more efficient future for your business.
