Haryana CM asks Centre for GST exemption on 10 agricultural implements

Saini requested Ministry of Finance and Corporate Affairs to grant GST exemption on agricultural implement used for crop residue management, such as rotavators, disc harrows, cultivators, zero drills

Haryana Chief Minister Nayab Singh Saini has sought from the Centre an exemption in GST on ten agricultural implements used in crop residue management.

He has written a letter in this regard to Union Finance Minister Nirmala Sitharaman and Union Agriculture Minister Shivraj Singh Chouhan.

In his letter, Saini highlighted that farmers of Haryana play a crucial role in the nation's food reserves, with the state being a leader in the agricultural sector.

However, in recent years, stubble burning has become a major issue, adversely impacting the health of the people, an official statement quoted him as saying in the letter.

Given the seriousness of the issue, it is being closely monitored by the Supreme Court and the Air Quality Commission, it said.

The chief minister said that Haryana's farmers are adopting advanced technologies and utilising the latest agricultural implement for crop residue management.

Over the past few years, both Government of India and the state government have been providing subsidies on machinery for crop residue management.

In 2024, there was a 39 per cent reduction in stubble burning incidents compared to 2023. To further address this issue, the state government has developed an action plan for 2025, which includes a provision for a subsidy of approximately Rs 200 crore for the purchase of crop residue management machines.

The total cost of these machines is expected to be around Rs 500 crore, with an additional burden of about Rs 60 crore on farmers due to GST (12 per cent), he wrote.

Saini has requested Ministry of Finance and Corporate Affairs to grant GST exemption on agricultural implement used for crop residue management, such as rotavators, disc harrows, cultivators, zero drills, super seeders, straw balers, hay rakes, slashers, reaper binders, and tractor-mounted spray pumps.

The chief minister emphasised that if the central government grants this exemption, it will encourage farmers to adopt these technologies more widely, helping prevent air pollution caused by crop residue burning.