Chandigarh, 10 Oct 2025 – Punjab is expanding its food processing sector with the establishment of large-scale food parks in Fazilka, Kapurthala, and Ludhiana, where farmers’ produce is being processed into pickles, juices, jams, packaged vegetables, and other products. Officials say the initiative is intended to help farmers secure better prices for their crops.
Smaller centres linked to the Ludhiana Food Park have also been set up in Hoshiarpur, Amritsar, Abohar, and Talwandi Sabo, providing facilities to keep fruits, vegetables, and milk fresh before processing. These facilities allow companies to purchase produce from farmers for manufacturing, reducing crop wastage.
The state government has provided financial support for small entrepreneurs, with 7,373 units being established at an investment of ₹306 crore. Assistance of up to 35% is available for new businesses, and up to 50% for those from Scheduled Castes. Youth, women, and farmer groups are being trained and supported to run their own units, generating additional employment in rural areas.

Cold storage and warehouse facilities have also been expanded to allow farmers to store perishable produce such as potatoes and onions. Agriculture Minister Gurmeet Singh Khuddian said, “With better storage, farmers can sell their crops at a more reasonable price, reducing dependence on middlemen.”
The state government is also encouraging foreign investment in Punjab’s agriculture and food manufacturing sector. Special concessions are being offered to attract companies, which is leading to the opening of new processing units and the creation of jobs. Khuddian has requested the central government to approve another Mega Food Park in Bathinda to support farmers in the Malwa region.
In addition to infrastructure, the government is conducting training programs on modern farming techniques, including organic farming and new technology adoption. Youth with innovative ideas are being supported through loans and subsidies. Officials say these efforts align with the state’s target to increase farmers’ income.
Chief Minister Bhagwant Mann said, “We aim to expand food processing alongside agriculture so that more products can be made from farmers’ produce, helping increase their earnings.” More food parks, cold chains, and processing units are planned in the coming years, according to government sources.