Budget 2023: Industry seeks cut in import duty for crop protection chemicals, incentives for farmers
Budget 2023 expectations: “India presently has no choice but to import to ensure that Indian farmers are not deprived of new technological crop protection solutions,” ACFI Chairman Parikshit Mundhra said.
- Feb 1, 2023,
- Updated Feb 01, 2023, 04:12 PM IST
The Agro Chem Federation of India (ACFI) has said that the Centre should think of removing import duty on crop protection chemicals in the Budget 2023 announcement and offer fiscal incentives to private companies in the sector for research and development.
“India presently has no choice but to import to ensure that Indian farmers are not deprived of new technological crop protection solutions,” ACFI Chairman Parikshit Mundhra said. ACFI is an industry body that represents manufacturers and importers of technical and formulation of pesticides at the pan-India level.
He added that India has not brought in any new crop protection chemical molecules in recent years because the cost is relatively high, therefore, adequate incentives are needed to promote the domestic industry.
Other demands tabled by ACFI are:
> The industry body has asked the government to bring down the GST on crop protection chemicals to 5 per cent at par with fertilisers. At present, the GST charges are 18 per cent on crop protection chemicals, which is expensive for small and marginal farmers. > The industry body said the Department of Chemicals has shortlisted 40 molecules under the PLI scheme, which was launched as part of its Atmanirbhar plan, and has included seven crop protection chemical intermediates. > The federation has also demanded that the Centre should provide some incentive to help farmers in faster adoption of technology. “Government has been promoting the usage of technology in the agriculture sector in a big way over the last few years. Needless to say, the adoption of precision farming and sustainable agriculture practices will go a long way in enhancing crop yield, lowering cost, and improving soil conditions,” said RG Agarwal, Chairman of agrochemical firm Dhanuka Group.
The Agro Chem Federation of India (ACFI) has said that the Centre should think of removing import duty on crop protection chemicals in the Budget 2023 announcement and offer fiscal incentives to private companies in the sector for research and development.
“India presently has no choice but to import to ensure that Indian farmers are not deprived of new technological crop protection solutions,” ACFI Chairman Parikshit Mundhra said. ACFI is an industry body that represents manufacturers and importers of technical and formulation of pesticides at the pan-India level.
He added that India has not brought in any new crop protection chemical molecules in recent years because the cost is relatively high, therefore, adequate incentives are needed to promote the domestic industry.
Other demands tabled by ACFI are:
> The industry body has asked the government to bring down the GST on crop protection chemicals to 5 per cent at par with fertilisers. At present, the GST charges are 18 per cent on crop protection chemicals, which is expensive for small and marginal farmers. > The industry body said the Department of Chemicals has shortlisted 40 molecules under the PLI scheme, which was launched as part of its Atmanirbhar plan, and has included seven crop protection chemical intermediates. > The federation has also demanded that the Centre should provide some incentive to help farmers in faster adoption of technology. “Government has been promoting the usage of technology in the agriculture sector in a big way over the last few years. Needless to say, the adoption of precision farming and sustainable agriculture practices will go a long way in enhancing crop yield, lowering cost, and improving soil conditions,” said RG Agarwal, Chairman of agrochemical firm Dhanuka Group.