The agritech industry requests that the Union Finance Minister eliminate the GST and mandi tax on agricultural products purchased from Farmers Producer Organizations (FPOs) and implement incentives or programmes to encourage farmers to adopt new crop and technology.
The national crop insurance policy should be introduced with a 100% discount on premiums, according to Navneet Ravikar, chairman and managing director of Leads Connect Services. He also advocated for the elimination of the GST and mandi taxes on agricultural produce brought in by FPOs.
He also said that private research companies engaged in agritech, agrifintech, and other aspects of the agricultural sector should be eligible for the grants and subsidies offered under the various drone-related programmes.
Farmers need to adopt new crops and technology that have the potential to significantly increase yields and profits, according to Aneesh Jain, founder of Gram Unnati. The promotion of new crop & technology adoption by farmers will be greatly aided by some incentives or plans for setting up demonstrations.
Additionally, encouraging the use of cutting-edge crop feeding techniques may be beneficial. Plans in this approach will lessen farmers’ reliance on urea and DAP.
Credit Guarantees for Working Capital lines could also be investigated to facilitate the integration of FPOs and agri-tech firms in the agricultural supply chains. According to Jain, this will make it possible for farmers to receive payments on schedule and for FPOs to effectively connect with markets.
