Tamil Nadu Entrepreneur Thrives with Government Micro Food Processing Support
A small-scale spice manufacturer in Mayiladuthurai district, Tamil Nadu, has become a success story demonstrating the impact of government support for entrepreneurship, creating jobs and boosting the local economy.
P. Ponnusamy, proprietor of SKP Foods and Masala, established a thriving spices manufacturing unit at the SIDCO Industrial Estate in Mannambandal near Vadakarai, thanks to financial assistance from the Prime Minister’s Micro Food Processing Enterprises (PM-FME) Scheme. The unit currently produces up to 400 kg of chilli powder and other spice mixes daily, sold locally in retail and wholesale. Mr. Ponnusamy secured a ₹40 lakh bank loan, supplemented by a government subsidy of ₹3.5 lakh through the District Industries Centre (DIC), and invested an additional ₹12 lakh in machinery to expand production.
“This scheme gave me the courage and support to start on my own. It not only created employment but also strengthened my family’s livelihood,” said Mr. Ponnusamy. The PM-FME scheme aims to formalize and provide support to micro food processing enterprises, a key sector for rural development. The SIDCO estate in Kulichar, spanning 12.56 acres, is fully occupied by 61 operational industrial plots, encompassing diverse sectors like food processing and engineering – a testament to the region’s growing industrial base. You can learn more about India’s Ministry of Micro, Small and Medium Enterprises and its initiatives.
To date, 1,393 beneficiaries in the Mayiladuthurai district have received a total of ₹3.24 crore in financial assistance under the PM-FME scheme, including a ₹2.57 crore government subsidy. Thirumurugan K, Joint Director of the District Industries Centre, stated, “The government is actively supporting many such MSMEs through the PM-FME and other entrepreneurship schemes.” Further expansion of these types of initiatives is expected to continue driving economic growth in the delta region, as detailed in recent reports on Tamil Nadu’s food processing sector.
Officials say the District Industries Centre will continue to facilitate access to funding and resources for aspiring entrepreneurs in the region.
