Ministry of National Food Security and Research (NFS&R) is working on implementing agriculture fiscal package. An amount of Rs. 14.361 billion earmarked for agriculture sector under fiscal package has been approved by the Economic Coordination Committee of the Cabinet (ECC) on 22nd July, 2020.
The subsidy is announced for famers on agricultural inputs, especially in view of the impact of the coronavirus pandemic on the economy. Rs 6.861 billion for markup subsidy on agro-loans, Rs. 1.5 billion sales tax subsidy for locally manufactured tractors, Rs. 6 billion for Whitefly. Mark-up subsidy is given to all loans for 12.5 acres of land holding, disbursed by ZTBL with pass book as collateral.
Subsidy on markup of agro loans and tractors does not involve any cash transactions and would be provided through books and tax adjustment by State Bank of Pakistan and FBR respectively. This Subsidy scheme is simple and transparent so that it could benefit farmers of all provinces.
