Haryana CM Seeks GST Exemption on 10 Farm Implements

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Haryana CM GST exemption request aims to reduce costs for farmers and curb stubble burning.

Chandigarh, 19 February: Haryana CM GST exemption request urges the Central government to waive GST on ten agricultural implements used in crop residue management.

In a letter to Union Finance Minister Nirmala Sitharaman and Union Agriculture Minister Shivraj Singh Chouhan, Saini emphasised the need for tax relief on these implements to support farmers and promote sustainable farming practices.

Haryana Chief Minister GST exemption request

Concerns Over Stubble Burning and Air Quality

Saini highlighted that Haryana plays a role in the nation’s food reserves, with its farmers leading in agricultural productivity. However, he pointed out that stubble burning has become a critical issue, severely affecting public health. The matter is under close scrutiny by the Supreme Court and the Air Quality Commission, underscoring its environmental and health impact.

Government Support and Reduction in Stubble Burning

The Chief Minister noted that Haryana’s farmers are increasingly adopting advanced technology and modern agricultural equipment for crop residue management. Over the past few years, both the central and state governments have been providing subsidies to encourage the use of machinery for this purpose.

In 2024, Haryana recorded a 39% decline in stubble burning incidents compared to 2023. To further address the issue, the state government has developed an action plan for 2025, including a subsidy allocation of approximately ₹200 crore for purchasing crop residue management machines. The total cost of these machines is estimated to be around ₹500 crore, with farmers expected to bear an additional ₹60 crore due to the 12% GST, Saini mentioned in his letter.

Stubble burning solutions in Haryana

Appeal for GST Relief on Farm Equipment

Saini has urged the Ministry of Finance and Corporate Affairs to waive GST on essential agricultural implements used for crop residue management. The requested exemption includes rotavators, disc harrows, cultivators, zero drills, super seeders, straw balers, hay rakes, slashers, reaper binders, and tractor-mounted spray pumps.

He stressed that removing GST on these machines would encourage more farmers to adopt eco-friendly residue management technologies. This, in turn, would significantly help in reducing air pollution caused by stubble burning, a major environmental concern.

Farmers face rising costs in adopting eco-friendly residue management due to GST on essential equipment. With Haryana CM pushing for tax relief, Vakilsearch can help navigate GST regulations and identify available exemptions. Understanding these tax benefits can reduce costs and support sustainable farming practices.

CMS Content Assistant at Vakilsearch
I'm Martina Arokiyaraj A, a CMS Content Assistant at Vakilsearch. I focus on simplifying legal topics into easy-to-understand articles. As a regular contributor to the Vakilsearch news portal, my aim is to keep you informed about the latest in law, compliance, taxation, and more. I make sure you stay updated with Vakilsearch experts' insights on every piece of news, how it impacts you, and the steps you should take.
Martina Arokiyaraj

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Martina Arokiyaraj
Martina Arokiyaraj
I'm Martina Arokiyaraj A, a CMS Content Assistant at Vakilsearch. I focus on simplifying legal topics into easy-to-understand articles. As a regular contributor to the Vakilsearch news portal, my aim is to keep you informed about the latest in law, compliance, taxation, and more. I make sure you stay updated with Vakilsearch experts' insights on every piece of news, how it impacts you, and the steps you should take.

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