Haryana CM Seeks GST Exemption On Farm Equipment To Curb Stubble Burning

Chandigarh, Mar 19 (KNN) Haryana Chief Minister Nayab Singh Saini has formally requested the Central Government to exempt ten agricultural implements used in crop residue management from Goods and Services Tax (GST). 

The Chief Minister has communicated this request through letters addressed to Union Finance Minister Nirmala Sitharaman and Union Agriculture Minister Shivraj Singh Chouhan.

In his correspondence, Chief Minister Saini emphasised the significant contribution of Haryana's farmers to the nation's food security, highlighting the state's prominent position in the agricultural sector. 

He noted that stubble burning has emerged as a critical concern in recent years, with adverse effects on public health, as cited in an official statement referencing his letter.

The statement further indicated that the issue has garnered attention from the Supreme Court and the Air Quality Commission due to its severity. 

Chief Minister Saini pointed out that farmers in Haryana are increasingly adopting advanced technologies and modern agricultural implements for effective crop residue management.

Both the Central and State governments have been providing subsidies for crop residue management machinery over the past several years. 

The Chief Minister noted a 39 percent reduction in stubble burning incidents in 2024 compared to the previous year. 

For 2025, the state government has developed a comprehensive action plan that includes a subsidy provision of approximately Rs 200 crore for the purchase of crop residue management equipment.

According to the Chief Minister, the total cost of these machines is projected to be around Rs 500 crore, with farmers facing an additional financial burden of approximately Rs 60 crore due to the current GST rate of 12 percent. 

In light of this, Saini has requested the Ministry of Finance and Corporate Affairs to consider GST exemption on specific agricultural implements used for crop residue management.

The implements for which exemption has been sought include rotavators, disc harrows, cultivators, zero drills, super seeders, straw balers, hay rakes, slashers, reaper binders, and tractor-mounted spray pumps. 

Chief Minister Saini emphasised that such an exemption from the Central Government would encourage wider adoption of these technologies among farmers, thereby helping to mitigate air pollution resulting from crop residue burning.

(KNN Bureau)