₹6,000-crore fisheries sub-scheme offers insurance incentives, performance grants and technology support to build a more resilient and export-ready seafood value chain

Key Highlights

• ₹6,000 crore allocated for PM-MKSSY for FY2023-24 to FY2026-27.
• National Fisheries Digital Platform (NFDP) launched in September 2024 to formalise the fisheries sector.
• Aquaculture farmers can receive a 40% one-time insurance premium incentive, subject to prescribed limits.
• SC/ST and women beneficiaries receive an additional 10% incentive.
• Microenterprises can receive performance grants of up to ₹35 lakh, or ₹45 lakh for SC, ST and women-owned enterprises.
• Village-level organisations, SHGs, FFPOs and cooperatives can receive performance grants of up to ₹2 crore.
• Scheme targets creation and maintenance of 1.70 lakh jobs.
• Focus areas include cold chains, food safety, traceability, sustainable aquaculture, value addition and seafood exports.

PM-MKSSY Expands Support for India’s Fisheries Value Chain

The government is stepping up support for India’s fisheries and aquaculture sector through the Pradhan Mantri Matsya Kisan Samridhi Sah-Yojana (PM-MKSSY), with a focus on formalisation, insurance, enterprise development, sustainability and seafood exports.

The Central Sector sub-scheme is being implemented under the Pradhan Mantri Matsya Sampada Yojana (PMMSY) for four years from FY2023-24 to FY2026-27, with an estimated outlay of ₹6,000 crore.

The latest details were provided by Union Fisheries, Animal Husbandry and Dairying Minister Rajiv Ranjan Singh alias Lalan Singh in the Rajya Sabha.

Digital Platform to Formalise Fisheries Sector

The National Fisheries Digital Platform (NFDP) was launched on September 11, 2024, under PM-MKSSY.

The platform is intended to create work-based digital identities for fish workers and gradually bring the largely unorganised fisheries sector into the formal economy.

The scheme also seeks to improve access to institutional finance and working capital for fishers, fish farmers and micro and small fisheries enterprises.

Support is additionally available for strengthening fisheries cooperatives through improved institutional capacity, market access, finance and business development.

Aquaculture Insurance Gets 40% Premium Incentive

A major component of PM-MKSSY is the incentive for farmers purchasing aquaculture insurance.

For eligible aquaculture activities, the government provides a one-time incentive equivalent to 40% of the premium paid, subject to a ceiling of:

• ₹25,000 per hectare, or
• ₹1 lakh per farmer for up to four hectares of water spread area.

For intensive aquaculture systems—including farms, cage culture, Recirculatory Aquaculture Systems (RAS), bio-floc and raceways—the incentive is 40% of the premium, subject to a ceiling of ₹1 lakh per farmer for 1,800 cubic metres.

SC/ST and women beneficiaries receive an additional 10% incentive over the general category support.

Green and Climate-Resilient Aquaculture Gets Priority

PM-MKSSY also places emphasis on environmentally sustainable and climate-resilient fisheries.

Projects adopting measures such as renewable energy, improved energy and water efficiency, decarbonisation, climate-smart technologies and lower greenhouse gas emissions can receive support.

The scheme also encourages better practices in:

• Disease management
• Waste and pollution management
• Hygiene
• Food safety
• Quality standards
• Certification
• Traceability
• Sustainable production

This could encourage fisheries enterprises to move towards more resource-efficient production systems while improving compliance with domestic and international market requirements.

Fisheries Microenterprises Can Get Grants Up to ₹45 Lakh

PM-MKSSY provides performance grants to improve efficiency across the fisheries value chain and establish safer fish supply chains.

For microenterprises, the performance grant is:

• General category: 25% of investment or ₹35 lakh, whichever is lower.
• SC/ST and women-owned enterprises: 35% of investment or ₹45 lakh, whichever is lower.

Village-level organisations and federations of Self-Help Groups, Fish Farmer Producer Organisations and cooperatives can receive up to 35% of total investment or ₹2 crore, whichever is lower.

The scheme also provides employment-linked support of ₹10,000 per year for men and ₹15,000 per year for women, subject to the prescribed limit of 50% of the eligible performance grant.

Boost for Seafood Processing and Exports

PM-MKSSY is also designed to strengthen India’s position in global seafood markets.

The scheme supports:

• Sustainable aquaculture
• Seafood value addition
• Certification and traceability
• Disease surveillance
• Modern post-harvest infrastructure
• Cold-chain development
• Food safety and quality assurance
• Improved processing and packaging
• Technology adoption
• Market linkages

The focus is to improve value realisation for producers while making Indian seafood more competitive in international markets.

1.70 Lakh Jobs Targeted

PM-MKSSY is a demand-driven scheme being implemented across all States and Union Territories, including Andhra Pradesh.

The government clarified that there are no district-specific interventions or State-wise employment targets, including for Nellore district.

However, the overall scheme aims to generate 1.70 lakh jobs through fisheries and aquaculture enterprises and related value-chain activities.

Impact on Hospitality, Food and Tourism

PM-MKSSY could have a direct and indirect impact on India’s hotel, restaurant, foodservice and culinary tourism sectors, particularly as the seafood supply chain becomes more organised.

Hotels and restaurants

Improved processing, packaging, cold-chain infrastructure and traceability can make it easier for hospitality businesses to source consistent-quality seafood.

Seafood and foodservice

Support for microenterprises could encourage the growth of value-added seafood products, processed fish, ready-to-cook products and specialised seafood distribution.

Sustainable dining

The emphasis on climate-smart aquaculture, waste management, certification and traceability could support hotels and restaurants seeking more sustainable seafood sourcing.

Coastal tourism

Stronger fisheries enterprises can support local employment and create opportunities for seafood markets, culinary experiences and community-linked tourism in coastal destinations.

Culinary tourism

Greater availability of traceable, locally produced and value-added seafood can help destinations strengthen their regional food identities.

Export ecosystem

Better certification, traceability, cold chains and processing can strengthen India’s seafood export capabilities, indirectly supporting employment and business activity in coastal production and logistics hubs.

Bottom Line

PM-MKSSY is evolving into a broader fisheries enterprise and value-chain development programme, rather than focusing only on production. With ₹6,000 crore in planned investment, insurance incentives, performance grants, sustainability measures and support for processing and exports, the scheme could help create a more formal, resilient and commercially integrated seafood ecosystem.

For hospitality and tourism, the biggest opportunity lies in stronger connections between sustainable aquaculture, local seafood producers, processors, hotels, restaurants and destination-led culinary experiences.