The United Nations General Assembly (UNGA) has declared 2023 as the International Year of Millets, with 72 countries supporting India’s proposal at the initiative of Prime Minister Narendra Modi.
The Ministry of Agriculture and the Ministry of Finance has announced several incentives to Agri Startups for the promotion of millet production, and processing in India.
Millet Innovation Challenge:
Start-up Innovation Challenge” is an initiative to encourage young minds by nurturing their creative thinking and innovative strategies in the millet sector to address the concerns and create new techniques to position millets as alternative staples across the world. Innovation is highly encouraged in finding solutions to the problem statements in the millet sector
Under the Millet Innovation Challenge, the Finance Ministry bestows Rs one crore each to Agri Startups for their distinctive contribution in Millets. Besides, awards of Rs 20 lakh are given to 15 Agri Startups and Rs 10 lakh each to 15 other Agri Startups.
Eligibility Criteria
The start-ups, researchers, and students providing innovative technological/ business solutions in the following areas are eligible to participate:
- Improvements in Dehulling Efficiency and separation
- Innovation in the technology of grain separation through size, as the size of the dehulled head grains, native grains are almost similar with an insignificant difference.
- Bringing down the cost and improving the technology of colour sorter
- Any other solutions to the problems stated in Dehulling Efficiency and separation
- Improvement of shelf life of the millet-based product
- How to hinder lipase activity?
- Ways to control lipid oxidation?
- Methods to Control moisture and water activity of the millet products?
- Any Other ways and technologies to improve the shelf life of processed millets, millet flours and millet products
- Innovative millet-based Products -Innovative packaging
- Ways to reduce the spoilage of millet flakes?
- How can the germ be removed from the millet grain?
- Improvement of the textural profile of millets flakes and puffs
- Any new, innovative product development, formulations and standardisation in millets.
- Innovative packaging solutions to enhance the shelf life of millets and millet products.
- Application of AI, ML, and blockchain in Millet business
PLI scheme for Millet-Based Products (PLISMBP):
The Government has approved the Production Linked Incentive Scheme for Food Processing Industry for Millet-based products (PLISMBP) for implementation during 2022-23 to 2026-27 with an outlay of 800 cores. The scheme is being implemented by the Ministry of Food Processing Industries (MoFPI). MoFPI vide a Notification dated 27.6.2022 invites applications for availing sales-based incentives for millet-based products having more than 15% millet content by weight/volume under the scheme from the following categories of Applicants.
The primary objective of the scheme is to encourage the use of millets in Ready to Eat (RTE) and Ready to Cook (RTC) products and incentivize them under the PLI scheme to increase the usage of millets in food products and promote its value addition and their sale in domestic and exports markets.
The applicant for the Scheme shall be classified into 2 categories viz MSME and Large Entity. The following type of applicants can apply for the Production linked Incentives Scheme for Millet Based Products (PLISMBP)
- Proprietary Firm
- Partnership Firm
- Limited Liability Partnership (LLP)
- Company registered in India
- Co-operatives
- MSME
Startup India Seed Fund Scheme (SISFS) aims to provide financial assistance to startups for proof of concept, prototype development, product trials, market entry and commercialization. The Seed Fund will be disbursed to eligible startups through eligible incubators such as Villgro.
Eligibility Criteria
- A startup, recognized by DPIIT, incorporated not more than 2 years ago at the time of application.
- The startup must have a business idea to develop a product or a service with a market fit, viable commercialization, and scope of scaling.
- The startup should be using technology in its core product or service, or business model, or distribution model, or methodology to solve the problem being targeted.
- Startup should not have received more than Rs 10 lakh of monetary support under any other Central or State Government scheme. This does not include prize money from competitions and grand challenges, subsidized working space, founder monthly allowance, access to labs, or access to prototyping facility.
Innovation & Agri-Entrepreneurship Development
With the objective of promoting innovation and agri-entrepreneurship, the Ministry of Agriculture has implemented a programme called ‘Innovation and Agri-Entrepreneurship Development’ under the umbrella of Rashtriya Krishi Vikas Yojana (RKVY_RAFTAAR). Launched in 2018-19, the programme extended financial and technical support for nurturing agri startups including agritech startups using digital techniques.
5 Knowledge Partners (KPs) as Center of Excellence and 24 RKVY-RAFTAAR Agribusiness Incubators (R-ABIs) have been appointed from across the country for implementation of this programme.
Under this, financial assistance of a maximum of Rs. 25 lakhs will be provided to potential startups that have a minimum viable product (MVP) based on innovative solutions, processes, products, services, and business models in the agriculture and allied sector.
The applicant entrepreneur will be provided funds as per the genuine requirements and as per appraisal/evaluation of their business plans by the RAFTAAR Selection & Monitoring Committee and the decision of the RAFTAAR Selection & Monitoring Committee in this regard will be final.
Objectives
- To ensure timely seed support to deserving entrepreneurs within R-ABIs.
- To enable the translation of minimum viable product (MVP) to the marketable stage and scale up the product and business
- To provide a platform for faster experimentation and modification in their approaches or minimum viable product (MVP) based on innovative solutions, processes, products, services, business models, etc. for scaling up.
Eligibility Criteria
- All entrepreneurs of an R-ABI will be eligible for this funding based on consistent performance evaluated by R-ABI Incubation Committee.
- The startup should be a registered legal entity in India with a minimum of two months of residency at the R-ABI.
- The recipient should be DIIPT Recognized startup. This support is not applicable for Indian Subsidiaries of MNCs/foreign companies.
Note: A startup supported once will not be eligible for applying for the subsequent round of seed support to any R-ABIs
Initiative for Development of Entrepreneurs in Agriculture (IDEA)
The scheme launched by North Eastern Development Finance Corporation Limited under Ministry of Development of North Eastern Region intends to promote agri-business ventures in the North-East Region and assist in establishing agri-business as a profitable venture. It also provides gainful employment opportunities and makes available supplementary sources of input supply and services.
Type of Financial Assistance
- Composite loan comprising Term Loan and Working Capital.
- Financial assistance will be extended on a need basis, depending upon the nature of the projects and the competence of the promoters.
- The maximum project size could be Rs.25 lakhs.
- Term Loan from NEDFi = Maximum up to 75% of the project cost.
- The promoter’s contribution will be at least 25% of the project cost.
Eligibility Criteria
- Graduates and Postgraduates in agriculture and allied subjects
- Graduates, Post-graduates from other disciplines who have experience and skill to undertake Agri-Business ventures can also be considered.
- The proposed units could be proprietorships, partnerships or a company.
- The promoter or their units must not be a defaulter in any government scheme and /or with any bank or any other agencies.
- The proposed unit for which financial assistance is sought should be located within any of the eight North-Eastern States.
There are many such financial assistances available for Agri Startups in Millets. For more details, you can contact the author.
