Procedure for Approval under Category II of the Production Linked Incentive (PLI) Scheme for Food Processing Industry

Deepti Mudgal

Deepti Mudgal

Published on: Feb 23, 2026

Shatakshi Sharma

Updated on: Feb 23, 2026

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INTRODUCTION

An Application under Category II of the Production Linked Incentive (PLI) Scheme is required for the domestic companies, smaller manufacturers, or specific high-potential sub-sectors in order to boost local manufacturing capabilities, reduce reliance on imports, and reward manufacturers for increasing their production capacity.

APPLICABLE PROVISION

Para 4.2, 5.2, 5.3, 8.1, 9.1, 9.3, 10.3, 10.6, 10.7, 10.8, 10.11, 11.1, 11.2, 18.5

ELIGIBILITY CRITERIA

1. Udyog Aadhar/ Udyami Registered
2. Achieved Minimum Sales of Rs 1 crore during 2019-20 for each of the innovative/ organic products proposed to be incentivised
3. Applicant for Organic Product shall be registered with APEDA for the organic product proposed to be incentivised

MANDATORY REQUIREMENTS

1. Name of Applicant
2. Constitution of business: Udyam Registered SME, Proprietorship, Partnership, LLP, Company, or Co-operative.
3. Business Details: Address, phone, email, PAN, nature of business, turnover, net worth, experience, etc.
4. Brief profile of Promoter, Chairman, CEO, and other CXO level officers.
5. Documents to be furnished:
   • Registration documents (MOA/AOA/Deed) and shareholding/partner patterns.
   • Self-certified Udyami Registration, Annual Financial Reports, and audited Balance Sheets for 3 years.
   • Profit before Tax (PBT) and Profit after Tax (PAT) for the last 3 years.
   • Self-certified copies of PAN and GST Certificate.
   • Self-certified profiles of Chairman, CEO, CXOs, Promoter, and Key Managerial Persons with PAN/DIN.
   • Key Personnel Details: Contact info (Name, Designation, Address, phone, email) for three senior employees.
6. Credit History:
   • Presence in RBI’s Defaulter/Wilful Defaulter Lists, SEBI Debarred List, and CIBIL Score.
   • External Credit Ratings (year, agency, rating assigned) if applicable.

PROCESS FOR APPLICATION

Category-II SMEs Applicants shall submit an online application in Annexure-1B with a non-refundable fee of Rs 10,000 (Rupees ten thousand) to Project Management Agency (PMA) for innovative or Organic products for Sales-based Incentive specifying their manufacturing sites which are proposed to be used for sourcing of eligible manufactured products, along with the following undertakings:

1. Undertaking from the Applicant on letterhead in a format as specified in Annexure-5
2. Initial Undertaking to be filed after the Application in Annexure-8 (Format- A)
3. Consenting audit of their manufacturing sites or offices for verification of information in a format given in Annexure-7.