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Food Testing Lab Subsidy Scheme: NABL-Approved PMKSY Grant up to ₹5 Crore

Introduction: Food Testing Lab Subsidy Scheme

Food safety has become a national priority in India. As food processing, exports, and quality regulations grow stronger, the demand for NABLaccredited food testing laboratories is increasing every year. However, setting up a food testing lab involves high capital cost, advanced equipment, skilled manpower, and strict compliance.

To support this need, the Government of India introduced the Food Testing Lab Subsidy Scheme under PMKSY Food Safety and Quality Assurance Infrastructure (FSQAI), implemented by the Ministry of Food Processing Industries (MoFPI).

Under this scheme, eligible entrepreneurs, institutions, and organizations can receive financial assistance up to ₹5 Crore, along with full reimbursement of NABL accreditation costs.

However, due to technical guidelines, cost ceilings, and strict scrutiny, professional subsidy consultancy becomes essential. This is where Finraja Consultancy Private Limited plays a crucial role.

What Is the Food Testing Lab Subsidy Scheme?

The Food Testing Lab Subsidy Scheme is a central government initiative under PMKSY (FSQAI) aimed at strengthening food testing infrastructure across India.

The scheme focuses on:

  • Establishing new NABL-accredited food testing laboratories
  • Strengthening food safety compliance
  • Supporting MSMEs, exporters, and food processors
  • Improving quality control and testing capacity

Unlike generic subsidy programs, this scheme is highly technical and requires expert financial and regulatory planning.

NABL Food Testing Laboratory Scheme: Requirement

A key requirement under the scheme is NABL accreditation.

The NABL Food Testing Laboratory Scheme ensures that:

  • Testing results are legally valid
  • Laboratories meet ISO/IEC 17025 standards
  • Export-oriented food businesses comply with global norms

Since NABL accreditation involves audits, documentation, validation tests, and fees, MoFPI allows reimbursement of NABL accreditation costs, provided the project is structured correctly.

PMKSY Food Testing Lab Grant under FSQAI

The PMKSY Food Testing Lab Grant is provided under the FSQAI Scheme for Food Testing Labs, which is a dedicated vertical of PMKSY.

This scheme supports:

  • Capital equipment
  • Lab instruments
  • LIMS software
  • NABL accreditation
  • Limited civil works and furnishing

However, incorrect cost breakup or non-eligible items can lead to rejection, which is why subsidy consultants are critical.

Financial Assessment: Food Testing Lab Subsidy

Below is the exact financial structure you should include in your project planning:

Component

Subsidy Details

Equipment Subsidy (General Areas)

50% of eligible equipment cost

Equipment Subsidy (Difficult Areas / SC-ST / FPOs)

70% of eligible equipment cost

Maximum Subsidy Limit

₹5.00 Crore per project

Technical Civil Work + Furniture & Fixtures

Maximum 2% of eligible cost OR ₹15 lakh (whichever is lower)

NABL Accreditation Cost (including GST)

100% reimbursable

LIMS Software

Mandatory and eligible

Promoter Contribution

20% (General) / 10% (SC-ST & Difficult Areas)

Subsidy Release Pattern

50% → 40% → 10%

Only eligible cost heads are considered. Any misclassification can reduce or cancel subsidy.

Food Testing Lab Project Cost and Subsidy Planning

A typical food testing lab project cost and subsidy structure includes:

  • High-precision analytical equipment
  • Sample preparation systems
  • Microbiology testing instruments
  • Chemical analysis tools
  • Calibration and validation systems
  • IT and LIMS infrastructure

Each cost head must be:

  • Justified technically
  • Aligned with NABL scope
  • Approved under MoFPI norms

This is where Finraja Consultancy adds value by structuring projects exactly as per FSQAI guidelines.

NABL Accreditation Cost Reimbursement: Benefit

One of the strongest advantages of this scheme is NABL Accreditation Cost Reimbursement.

Eligible costs include:

  • Application and assessment fees
  • Surveillance audit charges
  • Documentation and compliance costs
  • GST on NABL fees

However, reimbursement is allowed only when accreditation is aligned with the approved project scope.

Food Testing Lab Eligibility Criteria

The scheme is open to:

  • Private food testing laboratories
  • Universities and institutions
  • Central and State Government agencies
  • Food processing industry associations
  • Export-oriented food businesses

Basic eligibility conditions include:

  • Financial viability
  • Land or premises availability
  • Technical capability
  • Compliance with MoFPI norms

Eligibility assessment is not automatic and requires professional evaluation.

MoFPI Food Testing Laboratory Scheme

The MoFPI Food Testing Laboratory Scheme follows a strict approval and monitoring framework.

Common challenges include:

  • Project cost rejections
  • Delayed subsidy release
  • NABL compliance mismatch
  • Ineligible equipment inclusion
  • Improper financial projections

Therefore, working with subsidy consultants ensures higher approval probability.

NABL Accredited Food Testing Lab Funding

Many applicants fail because they:

  • Prepare DPRs incorrectly
  • Miss eligible cost limits
  • Do not align lab scope with NABL
  • Underestimate compliance expenses

As subsidy consultants, Finraja Consultancy Private Limited ensures:

  • Correct DPR preparation
  • Financial structuring
  • MoFPI-compliant documentation
  • Smooth subsidy disbursement

Food Testing Lab Consultancy Services

Our Food Testing Lab Consultancy Services cover:

  • Scheme selection
  • Financial modelling
  • Cost justification
  • Compliance support
  • Post-approval monitoring

This approach significantly improves approval speed and subsidy realization.

Conclusion: Food Testing Lab Subsidy Scheme

The Food Testing Lab Subsidy Scheme offers a powerful opportunity to establish NABL-accredited laboratories with government support of up to ₹5 Crore.

However, success depends on:

  • Correct project planning
  • Technical compliance
  • Financial accuracy
  • Professional execution

If you are planning to set up an NABL-approved food testing laboratory and want to secure a PMKSY FSQAI subsidy, consult Finraja Consultancy Private Limited for expert guidance and end-to-end support.

Call us now: +91 9373114747 or visit finraja.com/contact for quick assistance.

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