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UP Food Processing Linkages Grant — 35% of Project Cost, Up to ₹5 Crore

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A Government of Uttar Pradesh grant that covers 35% of eligible project cost, up to ₹5 crore, for food processing units building farm-gate collection, processing, distribution, retail and preservation infrastructure in the state.

Funding amount
₹5Cr (grant)
Funding type
Grant
Provider
Government of Uttar Pradesh (Government)
Application deadline
Rolling
Eligible stage
Any stage
Location
Open to startups registered in India

Overview

The UP Food Processing Linkages Grant is a state incentive offered under the Uttar Pradesh Food Processing Industry Policy 2022-2027 and administered by the Government of Uttar Pradesh. It puts a cash grant of 35% of the eligible project cost, capped at ₹5 crore, behind units that build the infrastructure the state's food supply chain is still missing.

Support flows to both ends of the value chain. On the farm side, the scheme backs farm-gate collection points and primary processing centres, where raw produce is sorted, graded and given basic treatment. On the market side, it funds preservation facilities, distribution hubs and modern-format retail outlets that carry processed food to buyers without spoilage.

The intent is to shrink post-harvest losses, extend shelf life, improve the quality of agricultural produce and keep more value addition inside Uttar Pradesh. Stronger collection, storage and distribution links give farmers better market access, put processed products within easier reach of consumers, and are expected to pull fresh investment, technology adoption and employment into the state's food processing sector.

There is no closing date to work against — applications are received on a rolling basis.

Highlights

  • Grant of 35% of eligible project cost, capped at ₹5 crore
  • Open to food processing units building linkage infrastructure in Uttar Pradesh
  • Covers farm-gate collection centres and primary processing centres
  • Also covers distribution hubs, retail outlets and preservation facilities
  • Rolling applications — no fixed last date
  • Grant funding, so no equity is given away

Who can apply

The scheme is meant for units in the food processing industry that are based in Uttar Pradesh and are putting up linkage infrastructure there. In practice, two kinds of projects fit:

  • Units setting up collection centres at the farm gate or primary processing centres.
  • Units developing distribution hubs, retail outlets or preservation facilities.

Because the grant covers only 35% of the eligible project cost, an applicant is expected to arrange the balance of the project financing itself, which the state reads as evidence of genuine commitment to the venture.

UP Food Processing Linkages Grant — 35% of Project Cost, Up to ₹5 Crore is open to startups at any stage. It is open to startups registered anywhere in India.

Eligible stage
Any stage
Location
Open to startups registered in India

Deadline & timing

UP Food Processing Linkages Grant — 35% of Project Cost, Up to ₹5 Crore accepts applications on a rolling basis — there is no fixed cut-off date, so eligible startups can apply at any time. Because rolling programmes can pause without notice, confirm the window is still open on the official site before you start.

What the funding covers

The support is a cash grant equal to 35% of the eligible project cost, with a ceiling of ₹5 crore per project. It is grant funding, so the promoter does not hand over any equity or stake in the unit in return.

The grant is designed to be spent on creating food processing linkages, including:

  • Farm-gate collection centres and primary processing units
  • Distribution hubs
  • Retail outlets in the modern format
  • Preservation facilities

By absorbing a large slice of the capital expenditure, the funding eases the upfront cost of building this infrastructure and encourages businesses to invest in assets that raise value addition and make the supply chain more efficient. Approved projects receive the amount in tranches, released against project milestones and verified progress.

About the provider

UP Food Processing Linkages Grant — 35% of Project Cost, Up to ₹5 Crore is offered by Government of Uttar Pradesh, a government body. As a government-backed grant, it is publicly funded and open to eligible startups across India. You can verify current details and timelines on the provider's official website before applying.

How to apply

Applications are submitted on the . Confirm the current deadline and document checklist there before you start.

Selection process

Applications are placed before a committee constituted under the Uttar Pradesh Food Processing Industry Policy 2022-2027. The committee assesses each proposal against the policy's objectives and weighs factors such as financial viability, the employment the project can generate, its impact on the food processing value chain and its technical feasibility.

Applicants who clear the initial screening may be asked to present their project in more detail or to respond to specific clarifications before a decision is finalised. Once approved, the grant is disbursed in instalments linked to project milestones and verified on-ground progress, so there is no single lump-sum payout at the start.

Documents you’ll need

Before you apply to UP Food Processing Linkages Grant — 35% of Project Cost, Up to ₹5 Crore, keep the following documents ready:

  • A pitch deck or short business plan describing the problem, product and traction
  • Company registration documents and PAN
  • Founder identification (PAN / Aadhaar) and brief profiles
  • Recent financial statements or projections
  • Product details — a demo, prototype or working link if available

Exact requirements are confirmed on the official application portal — treat this as a preparation checklist.

Who this is best for

UP Food Processing Linkages Grant — 35% of Project Cost, Up to ₹5 Crore is best suited for startups in India seeking non-dilutive funding of ₹5Cr. If that describes your startup, review the eligibility criteria above before applying.

Frequently asked questions

How much money can a project receive under this scheme?

The admissible grant works out to 35% of your eligible project cost, subject to a maximum of ₹5 crore. So the size of the cheque depends on how much eligible expenditure your project involves — a smaller project receives 35% of its own cost, not the full ₹5 crore.

What kind of facilities does the grant pay for?

It is aimed at the linkage infrastructure of the food processing chain. That includes collection centres at the farm gate and primary processing centres, where produce is sorted, graded and given basic processing, as well as distribution hubs, modern retail outlets and preservation facilities that keep processed food moving and in good condition.

Who is eligible to apply?

Units engaged in food processing in Uttar Pradesh that are establishing these linkage facilities can apply. This covers projects setting up farm-gate collection or primary processing centres, and projects developing distribution, retail or preservation infrastructure.

Is there a last date to submit an application?

No. The scheme runs on a rolling basis, which means applications are accepted and considered throughout the year rather than against a single deadline. You can apply whenever your project proposal and documents are ready.

Do I have to be located in Uttar Pradesh?

Yes. This is an incentive under the Uttar Pradesh Food Processing Industry Policy 2022-2027, so it is intended for units and projects that are located and operating within Uttar Pradesh.

Does the scheme take equity or a stake in my business?

No. The support is structured as a grant, not as an investment, so it is non-dilutive — you do not give up any shareholding or ownership in your unit in exchange for the money.

How much do I have to invest on my own?

Since the grant covers 35% of the eligible project cost, the remaining 65% has to be arranged by the applicant unit. That co-investment is expected as a sign of the promoter's own commitment to the venture.

How are applications evaluated?

A committee designated under the Uttar Pradesh Food Processing Industry Policy 2022-2027 examines the proposals. It looks at how well the project fits the policy's objectives, its financial viability, its job creation potential, its impact on the food processing value chain and its technical feasibility. Shortlisted applicants may be asked to present their project or provide further clarifications.

What documents are typically needed, and where do I apply?

You should follow the detailed guidelines and application procedure laid down under the Uttar Pradesh Food Processing Industry Policy 2022-2027. In practice, that means putting together a detailed project proposal, financial projections and the relevant incorporation documents, and submitting them to the designated state department responsible for food processing. Applications can be made through the state's Nivesh Mitra portal at https://niveshmitra.up.gov.in/.

When is the grant amount actually paid out?

Approved projects do not receive the whole amount upfront. The grant is released in tranches, with each instalment linked to the completion of project milestones and to verified progress on the ground.

Is DPIIT recognition required for UP Food Processing Linkages Grant — 35% of Project Cost, Up to ₹5 Crore?

No. DPIIT (Startup India) recognition is not listed as a mandatory requirement for UP Food Processing Linkages Grant — 35% of Project Cost, Up to ₹5 Crore, though having it can strengthen your application and unlock other benefits.

Who offers UP Food Processing Linkages Grant — 35% of Project Cost, Up to ₹5 Crore?

UP Food Processing Linkages Grant — 35% of Project Cost, Up to ₹5 Crore is offered by Government of Uttar Pradesh, a government body. It is provided as non-dilutive funding.

How do I apply for UP Food Processing Linkages Grant — 35% of Project Cost, Up to ₹5 Crore?

Apply directly through the official application link on this page. Review the eligibility criteria and prepare your startup documents before you begin.

More funding from Government of Uttar Pradesh

Government of Uttar Pradesh runs 6 other programs listed on startupfunds — compare them before you decide where to apply.

UP Food Processing Capital Subsidy — 25% Capex Support Up to ₹1 Crore₹1CrA Government of Uttar Pradesh subsidy that returns 25% of what a food processing unit spends on plant, machinery and technical civil work when it expands or modernises, capped at ₹1 crore per unit.RollingSubsidyUP Reefer Vehicle Interest Subsidy — ₹50L for Cold Chain Transport₹50LA Government of Uttar Pradesh subsidy that reimburses the interest on loans taken to buy reefer vehicles and mobile pre-cooling vans, for five years, capped at ₹50 lakh.RollingSubsidyUP MSME Green Audit Reimbursement — 75% Subsidy up to ₹50,000₹50,000A Government of Uttar Pradesh subsidy that pays back 75% of green practices, environmental, energy and water conservation audit fees for existing MSMEs, capped at ₹50,000.RollingSubsidyUP Dry Port Land Conversion Waiver — 75% Relief for ICD, CFS & AFS ProjectsVariesA Government of Uttar Pradesh incentive that waives 75% of land use conversion charges for dry port projects — ICDs, CFSs and AFSs — located in the state.RollingSubsidyUP Staff Quarter/Dormitory Subsidy — 25% of Cost up to ₹5 Cr₹5CrA Government of Uttar Pradesh subsidy that returns 25% of the cost of building staff quarters, worker hostels or dormitories, capped at ₹5 crore per unit.RollingSubsidyUP Prototype Grant — ₹10 Lakh for StartinUP Registered Startups₹10LA one-time grant of up to ₹10 Lakhs from the Government of Uttar Pradesh for StartinUP registered startups building prototypes, including advanced software applications.RollingGrant

Alternatives to UP Food Processing Linkages Grant — 35% of Project Cost, Up to ₹5 Crore

Not sure UP Food Processing Linkages Grant — 35% of Project Cost, Up to ₹5 Crore is the right fit, or already applied? These are other grants open to Indian startups that founders shortlist alongside it.

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