Repeal of Rice Milling Act:

The Rice Milling Industry (Regulation) Act, 1958 (RMI Act) was enacted to facilitate modernization of Rice Mills and to regulate the establishment of new Rice Mill. Considering the fact that most of the paddy produced in the country is processed in modern Rice Mills and most of the commercial rice millers in the country are now aware of the advantages of setting up of modern rice mills. The Government has repealed the Rice Milling Industry (Regulation) Act, with effect from 28th May, 1997. In view of this, no Government permission is now required for setting up of rice mills.

Material in respect of Pulse Milling, Flour Milling and Rice Milling to be replaced in the website of the Ministry.

The Ministry of Food Processing Industry has re-opened the Flour Milling, Pulse Milling and Rice sector w.e.f. 01/04/07 which was closed since 31/3/04. Under the Plan Scheme of the Ministry grant will be provided up to 25% in general areas and 33.33% in difficult areas up to a maximum of Rs. 50 lakhs and Rs.75 lakhs respectively on Plant & Machinery and Technical Civil Work for setting up/modernization /expansion of Food Processing Industries.

Under the new scheme of decentralization cases are processed by authorised scheduled bank and grant is disbursed by these banks. The units who have not availed any grant from the Central / State Government can approach directly these authorised scheduled bank for term loan and grainin-aid.