Topics Covered: Issues related to direct and indirect farm subsidies and minimum support prices; Public Distribution System objectives, functioning, limitations, revamping; issues of buffer stocks and food security.
Food sector incentive gets Cabinet nod:
Context:
The Union Cabinet has approved a production-linked incentive scheme for the food processing industry with an outlay of ₹10,900 crore.
Objectives of the scheme:
- Support creation of global food manufacturing champions.
- Strengthen select Indian brand of food products for global visibility and wider acceptance in the international markets.
- Increase employment opportunities of off-farm jobs.
- Ensure remunerative prices of farm produce and higher income to farmers.
Applicability:
- The scheme would cover ready-to-cook and ready-to-eat foods, processed fruits and vegetables, marine products and mozzarella cheese, organic products, free-range eggs, poultry meat and egg products.
- The applicants selected for the scheme would be required to invest in plant and machinery in the first two years.
Background:
In all, 13 PLI schemes are being rolled out, including those for automobiles, pharmaceuticals, IT hardware including laptops, mobile phones & telecom equipment, white goods, chemical cells and textiles.
InstaLinks:
Prelims Link:
- Production linked incentive scheme- when was it announced?
- Incentives under the scheme is available to?
- What kind of investments will be considered?
- Duration of the scheme.
- Who will implement it?
Mains Link:
What is the production linked incentive scheme for electronics manufacturers? Discuss.
Sources: the Hindu.
