In a monumental boost for India’s burgeoning organic food sector, the PM Formalization of Micro Food Processing Enterprises (PMFME) scheme, orchestrated by the Director of Industries, MSME Department, Government of Odisha in collaboration with Palladium as the State Project Management Unit, is redefining the landscape of micro food processing.
With the global organic food market poised to reach $546.97 billion by 2032, and India emerging as the fastest-growing market at a projected annual growth rate of 20%, small businesses are at the forefront of this vibrant industry. The PMFME scheme is catalyzing this transformation, providing essential support to micro food processing enterprises through training, capacity-building, seed capital, and credit linkages.
To date, the scheme has significantly impacted over 1500 enterprises, turning them into thriving examples of success. Among these success stories is Chocolaca, an organic chocolate and millet-based snacks brand based in Bhubaneswar. Founded in 2021 by visionary sisters Shanta and Rita, Chocolaca specializes in Beans-to-Bar chocolate using exclusively organic ingredients. Despite early challenges, including limited machinery and marketing reach, the PMFME scheme helped them secure a loan of INR 15 lakh. This financial support, combined with Palladium’s expertise in strategic planning and facilitating credit-linked financial assistance helped the sisters in acquiring advanced machinery. This led to an increase in their annual turnover from INR 4.97 lakh in FY 2021-22 to an impressive INR 40 lakh till March 2024. Today, Chocolaca proudly holds all mandatory licenses like FSSAI (Food Safety and Standards Authority of India), APEDA (Agricultural and Processed Food Products Export Development Authority), ZED (Zero Defect Zero Effect), and UDYAM (Udyog Aadhaar Memorandum).
Chocolaca’s products are now available on major online platforms ensuring nationwide accessibility. The brand has also generated employment opportunities for many people, offering food and house allowances to the employees. The enterprise has also earned them numerous accolades including the MSME Excellence Award, Odisha Millet Innovation Challenge Award, Woman Leadership Award by Tech Observer and Deloitte and many more. They are now preparing to expand into international markets, starting with Dubai.
“Aligned with the Atmanirbhar Bharat Abhiyan, the PMFME scheme is dedicated to empowering grassroots food processors and amplifying local products,” said Amit Patjoshi, CEO of Palladium India. “Through comprehensive project planning, credit-linked support, and capacity-building activities, we have facilitated over INR 116 crore in credit-linked support to more than 1500 enterprises, provided entrepreneurship training to over 8900 beneficiaries, and seed capital support to more than 23,000 Self-Help Group beneficiaries.”
“The PMFME scheme continues to drive growth and innovation, showcasing the potential of India’s micro food processing sector and its pivotal role in the global organic food revolution,” Patjoshi added.