Levy of GST on pesticides burdens growers

Say 12-18% tax has increased prices of agrochemicals

GKNN
Srinagar, Publish Date: Apr 20 2018 1:41AM | Updated Date: Apr 20 2018 1:41AM
Levy of GST on pesticides burdens growers

The levy of Good and Services Tax on fertilisers and pesticides have increased the prices of these essential farm components by more than 15 percent according to the Kashmir Valley Fruit Growers cum Dealers Union (KVFGD).

According to a statement of KVFGD, the union has expressed its concern over the rising prices as it is having direct impact on the growers, as the rates of pesticides, fungicides, insecticides and tree spray oil have enhanced more than 15 percent. 

The statement said a meeting was held at central office of the union at Parimpora where executive members of all fruit growers association of the Valley such as that of Srinagar, Sopore, Baramulla, Handwara, Ganderbal, Zazan, Char-i-Shareef, Budgam, Pulwama, Shopian, Pachhar, Kulgam, Anantnag and others were present. The statement said management of this union led by Bashir Ahmad Basheer, chairman, Kashmir Valley Fruit Growers cum Dealers Union had several meetings with Horticulture Minister Syed Basharat Ahmad Bhukhari Sahib. 

“In fact the fresh fruits are exempted from payment of goods and service taxes (GST) but the packing material of all fresh fruits are charged GST as under which directly affects the horticulture sector of the state,” the statement said. It said GST on cardboard package material was 12 percent while wastage paper package material 12 percent and pesticides, fungicides, insecticides and tree spray oil 18 percent. “Similarly the maximum retail price (MRP) labeled on pesticides fungicides, insecticides and tree spray oil has variation about 30 percent to 50 percent of the actual market value which has been strongly raised by the growers in the meeting and stressed for bringing the same to the notice of the horticulture minister with the request to apprise the norms of fixing MRP on the pesticides fungicides, insecticides and tree spray oil and it is further requested that the GST on card board package material/waste paper package material and pesticides fungicides, insecticides and tree spray oil be exempted from payment of GST,” the statement said.

 

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