CropLife India, an association of 16 research-driven crop science companies, has expressed its appreciation for the interim Budget 2024-25. The association welcomes the government's emphasis on Innovation and Research & Development (R&D) as an important step towards providing farmers with newer and environmentally friendly crop protection products. Key highlights of the interim budget include a proposal for a 200 percent weighted deduction on R&D expenses by agrochemical companies, a call for a uniform basic customs duty of 10 percent for both technical raw materials and formulations, and a recommendation to reduce GST on agrochemicals from 18 percent to 12 percent.
Unlocking Innovation for Farmers
Durgesh Chandra, Secretary General of CropLife India, lauded the interim budget's focus on promoting technologies and innovation in agriculture.
"While the interim budget has focused on the growth done towards the promotion of technologies and innovation in agriculture; the full Budget 2024-25 should look at reforms for augmenting the farmers’ income and overall growth of the sector. Indian farmers need newer & greener crop protection products. Formulation import of new for-India single molecules or their different combinations helps the farmers in combating resistance, climate change, and new invasive pests and in improving the competitiveness of Indian agricultural produce internationally. Once these new solutions get adopted by the farmers, local manufacturing commences and supports ‘Make in India’. Formulations Imports are then converted to the manufacture of formulation and then to the manufacturing of the technical in India,” Chandra stated
The Path to 'Make in India'
Chandra explained that the import of formulations for new single molecules or their combinations plays a crucial role in supporting Indian farmers. These solutions help farmers tackle resistance, adapt to climate change, and combat invasive pests, ultimately contributing to the competitiveness of Indian agricultural produce globally. Once adopted by farmers, these imported formulations drive local manufacturing, aligning with the 'Make in India' initiative.
While expressing gratitude for the steps taken in the interim budget, Chandra urged the Indian government to implement a science-based, progressive, and predictive regulatory regime to unlock the true potential of the crop protection sector.
Call to Action for Full Budget 2024-25
CropLife India and its members are urging the government to consider specific measures in the upcoming full Budget. As stated above, this includes various measures that, if implemented, are expected to directly benefit farmers and contribute to the advancement of sustainable agriculture.
