Home / Industries / Food Processing
Funding the Food Processing Value Chain
Cold-chain capex, seasonal procurement limits and PMFME/PLI-linked funding for food processors, FMCG makers and agri-value-add businesses.
How We Serve the Food Processing Sector
Food processing combines agriculture's seasonality with manufacturing's capex: raw produce bought in a six-week season, processed year-round, sold to distributors on credit — while cold chains and food-safety upgrades demand continuous investment.
LOANYARD CAPITAL structures seasonal procurement limits, warehouse-receipt funding, cold-chain and plant capex (leveraging PMFME, PLI and MoFPI subsidy schemes), and working capital tuned to inventory-heavy balance sheets.
Funding Challenges We Solve
Funding Solutions for Food Processing
Case Study
Spice processor & exporter, Kochi
₹8 Crore seasonal + capex facility
The Challenge
A spice exporter needed to triple procurement during the eight-week harvest and simultaneously build an EU-compliant steam-sterilisation unit. The existing bank offered a flat limit that ignored seasonality.
Our Solution
We structured peak/non-peak working capital (₹6 Cr peak, ₹2.5 Cr off-season) with warehouse-receipt sub-limits, and a ₹2 Cr machinery loan aligned with a 35% MoFPI subsidy claim.
Business Impact
- Peak-season purchasing power up 2.5x
- Subsidy of ₹70 Lakh successfully credited against the loan
- EU certification unlocked 40% higher realisation per tonne