Scheme for Creation or Expansion of Food Testing Lab

Objectives of the Scheme

• To analyze the samples received from the food processing industry.
• To lessen the time taken for analysis of samples by reducing the transportation time of samples.
• To ensure compliance of domestic or international standards of food.
• To establish a system for monitoring the quality and composition of the food.

Scale of Assistance

Assistance for Central or State Government Organizations

• The Central or State Government and its organizations, universities (including Government-owned deemed universities) are eligible for a grant-in-aid of the entire cost of laboratory equipment.
• The assistance of 25% of the eligible project cost will be provided for general areas and 33% for difficult areas.
• Also, they are eligible for 80% of the monthly emoluments of two technical staff for 2 years from the completion of the laboratory.

Assistance for private sector organizations

Implementation of Scheme

Pattern of Release of Funds

Central or State Government organizations/universities (including Govt. owned deemed universities)

• 1st instalment of 40% of the total grant is released after receiving requisite documents prescribed under the scheme.
• l2nd instalment of 40% of the total grant is released after ensuring full utilization of 1st instalment of a grant towards the purchase of lab equipment, expenditure on fixing of Furniture, Fixtures for housing the equipment and Technical Civil Work (TCW).
• l3rd instalment of 20% of the total grant is released after ensuring full utilization of 2nd instalment of a grant towards the purchase of lab equipment, completion of Technical Civil Works (TCW) and fixing of Furniture and Fixtures for housing the equipment.
• l4th and final instalment comprising the payments at the rate of 80% for the two technical staff for 2 years is issued after all the approved equipment are purchased, installed and on submission of the utilization certificate for 3rd instalment along with the status of NABL accreditation.

Any other implementing agencies/private sector organizations/universities including deemed universities

• 1st instalment of 40% of the total grant is issued after ensuring that 40% of the promoter’s contribution and the remaining 40% of the term loan has been given on the project.
• 2nd instalment of another 40% of the total grant is released after ensuring utilization of the first instalment of grant and utilization of 80% of promoter’s contribution and 80% of term loan.
• 3rd and final instalment of the remaining 20% of the is released after ensuring utilization of the second instalment and utilization of 100% of promoter’s contribution and 100% of term loan.

Documents Required

• Application in the prescribed form as given in the Annexure-I.
• Detailed project report indicating the total project cost has to be enclosed.
• Sanction letter of term loan from the financial institution (FI) or bank, if any.
• Certificate of incorporation, Memorandum of Association (MOA), Articles of Association, registration of the organization and bye-laws of the society (if any).
• Biodata of the office and promoters of the organization including details such as PAN/Voter card/Aadhar card etc.
• Certificate of SC or ST from the concerned authority, if any
• An audited statement of accounts and annual reports of the last 2 years, in case of up gradation projects with Service Tax Registration Number.
• Blueprint of the laboratory building plan
• In the case of a private organization, a copy of the land document and lease agreement with a validity period of a minimum of 15 years.
• Cost wise and Item wise details of Technical Civil Work (TCW) proposed, duly certified by Chartered Engineer (Civil).
• Cost wise and Item wise details of lab equipment proposed duly supported by quotations and duly certified by Chartered Engineer (Mechanical).
• In case of up-gradation of the lab, a list of existing lab equipment with complete details are also required to be furnished.

Application Procedure for the Scheme

• The applicant needs to collect the application form (Annexure-I) from the Director/Deputy Secretary, Ministry of Food Processing Industries.
• Now, fill in the application form with the necessary details and submit the form to the concerned authority along with the required documents.
• On successful submission of the completed application on the Ministry’s portal, an acknowledgement number of the application will be sent on registered email IDs to the applicant for future reference.