UP Food Processing Industry Policy 2023 — Incentive Assistance

Capital and interest subsidy, stamp duty exemption, mandi fee relief, and support for cold chain infrastructure — we help you sort out FSSAI compliance and convergence with Central schemes.

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

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
Cold chain & logistics: support for infrastructure, with capital subsidy and sometimes power tariff relief for cold/controlled-atmosphere storage

Who it's for

New food processing units and expansions of existing ones
Developers of food parks and cold chain infrastructure
Units that already hold, or can obtain, a valid FSSAI licence — a precondition for the Eligibility Certificate

Western UP tends to have the strongest case: proximity to Delhi NCR demand, dairy and horticulture belts, and reefer logistics access via the expressway network. State incentives are also designed to top up Central PMKSY and PMFME schemes, with convergence permitted subject to a cap on total assistance.

How we help

The two things that trip food processing applications up most: FSSAI sequencing, and picking the wrong policy for a cold-chain component.

Confirming your FSSAI licence is in place before the Eligibility Certificate application, not after
If your project includes cold storage or controlled-atmosphere storage, determining whether it should be filed under this policy or the Warehousing & Logistics Policy 2022 — filing both isn't permitted
Working out how much Central PMKSY/PMFME support you can combine with state incentives within the assistance cap
Preparing machinery invoices with capacity certification, the chartered engineer's technical civil works certificate, and (for park applications) raw material sourcing linkage evidence

Message us your processing category and project stage, and we'll tell you — free of charge — whether you qualify and what the next step looks like.