Lok Sabha Question No. 2491 (UNSTARRED), answered on 2015-12-14
Subject: Import of Agricultural Machinery
Ministry: COMMERCE AND INDUSTRY
Asked by: RAVNEET SINGH

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY (DEPARTMENT OF COMMERCE)

## LOK SABHA UNSTARRED QUESTION NO. 2491 TO BE ANSWERED ON 14 TH  DECEMBER, 2015

## IMPORT OF AGRICULTURAL MACHINERY

## 2491. SHRI RAVNEET SINGH:

Will the Minister of COMMERCE & INDUSTRY ( वाणिज्य एवं उद्योग मंत्री ) be pleased to state:

- a) the details of agricultural machinery imported into the country during the last three years and the current year, year and item-wise including the import duty thereon;
- b) whether  the  Government  has  taken  any  steps  to  make  import  of  agricultural machinery cheaper; and
- c) if so, the details thereof?

## ANSWER

वाणिज् य एवं उद्योग राज् य मंत्री )श्रीमती निममला सीतारमि((स्वतंत्र प्रभार ) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (INDEPENDENT CHARGE) (SMT. NIRMALA SITHARAMAN)

(a to c) The value of the agricultural machinery imported into the country during the last three years and the current year is given in the table below:

## Values in US $ Million

|   2012-2013 |   2013- 2014 |   2014- 2015 |   2015- 2016(Apr-Sep) |
|-------------|--------------|--------------|-----------------------|
|      700.99 |       667.39 |       683.33 |                320.01 |

The item wise detail is at at Annexure 1.

Concessional  duty  benefit  has  been  extended  to  the  imports  of  specified  agricultural machinery attracting concessional rate of Basic Customs Duty (BCD), as under:

|   S. No. | Equipment                                                                                                                                                                                                                                                                                                                       | Chapter Heading/Sub- Heading   | BCD rate applicable   |
|----------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------|-----------------------|
|        1 | Paddy trans planter; Laser & Leveler; Reaper cum binder; Sugarcane harvester; Straw of fodder balers; Cotton picker; Track used for manufacture of track type combine harvesters; Sugarcane planter; Root or tuber crop harvesting machines; Rotary tiller/weeder and parts/components required for manufacture of these goods. | 84 or any other chapter.       | 2.50%                 |
|        2 | Sprinklers and drip irrigation systems for agricultural and horticultural purposes; micro irrigation equipment.                                                                                                                                                                                                                 | 8424                           | 5%                    |
|        3 | Sugarcane crushers                                                                                                                                                                                                                                                                                                              | 8438 30 10                     | 5%                    |

Further, to make import of agricultural machinery cheaper,  machinery for soil preparation or cultivation ( Chapter heading 8432 );  Harvesting/threshing machinery ( Chapter heading 8433 )  and all other agricultural machinery ( Chapter heading 8436 ) as well as parts of mechanical appliances of a kind used in agriculture ( Tariff item 8424 90 00 ) are fully exempted from the payment of Central Excise/CV duty.

The Department of Agriculture Cooperation &  Farmers Welfare promotes agricultural equipment  and  machinery  (both  indigenous  and  imported)  through  subsidy  under  its  various schemes/ programmes subject to the condition that these machinery/equipment are satisfactorily tested by the Farm Machinery Training and Testing Institutes of the Department

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