Farmers can get benefits like this in the budget
New Delhi. The budget is going to be presented in a few days. Every year before the budget, different industries place their demands before the government. This year, before the Budget (Union Budget 2026), the Indian Micro-Fertilizer Manufacturers Association has also put forward some demands before the Central Government, which will also benefit the farmers.
What is IMFMA's demand?
The Indian Micro-Fertilizers Manufacturers Association (IMFMA) has demanded the Central Government to implement 5% GST rate on all fertilizers listed under the Fertilizer Control Order and clear the pending refund of excess GST credit. There has also been a demand to start a unified licensing system before the Union Budget.
On which products was GST reduced?
IMFMA had welcomed the reduction in GST on Schedule 1G fertilizers and their mixtures from 12% to 5% under GST 2.0. However, now industry traders say that manufacturers are facing a reverted duty structure, where some raw materials and services attract higher GST than the final products, which is putting financial pressure on the industry.
What will be the benefit to farmers?
In its pre-Budget recommendations, IMFMA has asked the Central government to apply 5 per cent GST uniformly on all fertilizers notified under the Fertilizer Control Order (FCO). If this happens, farmers will benefit from reduced cost of farming. This will increase their savings and increase their earnings and profits. This step reduces input costs, improves cash flow and makes micronutrients required for production more easily available.
Also read - Union Budget 2026: Where does the government get the money for the budget? Funds are raised through these methods including borrowing