AGRICULTURAL MACHINERY AND IMPLEMENTS

MANUFACTURING POLICY’2022

Engineering Development Board

Ministry of Industries &Production
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 AGRICULTURAL MACHINERY & IMPLEMENTS MANUFACTURING POLICY

Table of Contents
1.0 Overview Of Global Agricultural Machinery Market

2.0 Agricultural Machinery and Equipment Manufacturing in Pakistan

2.1 Overview

2.2 Opportunities

2.3 Government Support Available

2.4 Agriculture Transformation Plan (ATP)

2.5 Industry Infrastructure

2.6 Industry Categorization

2.7 Material Requirements

3.0 Why Farm Mechanization

3.1 Current Status of Mechanization

3.2 Existing Tariff & Tax Structure

4.0 Policy Support for development of Agricultural Implements

4.1 Rationalization of Tariff & Tax Structure

4.2 Other Recommendations.

5.0 Annexures
5.1 Pakistan Import – Export data of Agricultural machinery and implements… .... Annex-I
5.2 Tariff Structure on Import of Agricultural Machinery and Implements .............. Annex-II
5.3 Tariff Plan for Duty increase on Imports ............................................................ Annex-III
5.4 List of Hi-Tech Agri Implements ........................................................................ Annex-IV
5.5 List of 78 Agri-Implements and machinery with minimum specifications ......... Annex-V

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1.0 Overview Of Global Agricultural Machinery Market

The Agricultural Machinery Market is segmented by type (Tractors, Ploughing and Cultivating
Machinery, Planting Machinery, Irrigation Machinery, Harvesting Machinery, and Other Types) and
geography.

The global agricultural machinery market was valued at USD 138.59 billion in 2020, and it is anticipated
to reach USD 194.94 billion by 2026, registering a CAGR of 5.4% during the forecast period. With
advent of COVID-19, as global supply chains were disrupted and manufacturing industries closed down
in accordance with government measures to prevent the spread of the virus, the market has slowed down.
Tractors accounted for over 43.6% of the market share in the global agricultural machinery market in
2020.

The Asia-Pacific region is expected to grow rapidly due to the high demand for agricultural products,
mainly from India and China, over the forecast period. Within Asia, China dominates in terms of
production and sale of agriculture equipment, while India, Japan, and Australia are expected to contribute
a significant share in the global market in the coming years, surpassing Europe as the largest market. The
population in the region is rising, driving the need for the mechanization of agriculture.

Growing Demand for Farm Mechanization in Developing Countries

The market is driven by increasing rates of
mechanization in developing countries. The
shrinking land, water resources, and labor force
have increased the need for farm mechanization in
developing countries. Farm mechanization in
developing countries such as India and China
accounts for 45-55%, whereas it accounted for 95%
in developed nations such as the United States in
2018. The farm mechanization level in India was
recorded at 40-45% in 2017.

The penetration of farm equipment is slow since almost 80% of small and marginal farmers own less than
five hectares of land. The market for farm machinery in developing countries is anticipated to grow as
farmers demand access to the latest farm technologies to enhance their farm operations and cut production
costs.

Developing nations still have a low penetration level. Hence, the farm mechanization market has a
lot of potential for increasing farm equipment penetration, and therefore, increasing the market
size.

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2.0 Agricultural Machinery and Equipment Manufacturing in Pakistan

2.1 Overview
Pakistan’s agriculture sector is the mainstay of the economy and a primary source of livelihood. During
FY 2020-21, the agriculture sector contributed 19.2 percent to the country’s GDP and employed 38.5
percent of the total workforce. During the fiscal year 2020-21 the sector grew by 2.77 percent against the
target of 2.8 percent.

According to the Pakistan Agriculture Machinery Census, the total land area under cultivation is 79.6
million acres, which has increased 3.2 percent over the last year. According to industry sources, the total
size of the agricultural machinery sector is approximately $1.2 billion, consisting of a combination of
tractors, harvesters, irrigation equipment, and other small-scale agricultural machinery.

According to the Economic Survey, Pakistan Vision 2025, food security is one of seven top priority
action areas. Among the top five objectives for achieving food security are, “Create a modern, efficient
and diversified agricultural sector that can ensure a stable and adequate provision of basic food supplies
for the country’s population and provide quality products for export.” The provision of modern
agricultural machinery and equipment is essential to the government’s plan.

Trade data of Agricultural Machinery and Equipment

(US$ Million)
Agricultural Machinery and 2018 2019 2020 2021*
Equipment (Estimated)
Total Local Production 1,190.73 1,200.85 1,211.05 1,244.59
Total Exports 42.50 41.00 37.72 39.63
Total Imports 177.03 168.17 147.98 153.45
Imports from the US 6.25 7.30 6.42 7.20
Total Market Size 1,325.26 1,328.02 1,321.01 1321.31
Exchange Rates 124.50 152.34 158.82 159.02
* Sources: Pakistan Economic Survey 2020-21, Pakistan Bureau of Statistics

In terms of market share, there are five countries that supply more than 70 percent of the total imported
agricultural machinery and equipment to Pakistan. These include the United States, China, Japan, Italy,
and Germany, with U.S. alone accounting for around 30 percent.

Pakistan’s domestic production of tractor units increased by approximately 57.5 percent from 23,266
units to 36,653 units during FY 2020-21. According to Pakistan Economic Survey, there are 612,000
tractor units operational in the country, translating to approximately 0.09 horsepower (HP) per acre,
which is still very low as compared to the desired requirement of 1.4 HP per acre.

Domestic industry has the indigenous capacity to produce agricultural machinery and equipment to meet
only 15 percent of the country’s total requirements whereas the rest of the demand is met through imports
of used agricultural machinery including harvesters and smart irrigation systems.
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Local production is expected to remain contained in the current volumes over the next 1-2 years mainly
due to decreasing demand amid global pandemic and its impact on overall macroeconomic growth. Most
of the locally produced machinery is based on older technology, with low efficiency. A wide variety of
more sophisticated equipment is imported, but agriculturists prefer replacement and spare parts
manufactured locally due to the relatively low cost of domestically manufactured equipment.

The most promising agricultural machinery used globally, which have a significant impact on farm
productivity includes Tractors, Combine Harvesters, Cultivators, Cultipacker, Harrow, Subsoiler, Rotator,
Broadcast seeder, Planter, Seed Driller, Fertilizer Spreader, Trans-planter, Drip Irrigation Systems,
Weight Sorter, Round Baler, Sprayers, Irrigation Pumps, Pickers, Fruits, Hand, Base Metal, Diggers,
Seeders, Sprinklers, Cotton Gins and Parts

2.2 Opportunities
With 79.6 million acres of arable land, there is a great potential for improving efficiencies and
productivity of the agriculture sector by using latest equipment and machinery. The Government of
Pakistan is committed to support this sector, with the hope that Pakistan can increase yields and exports
of primary crops like fruit and vegetables, poultry, and dairy products; and in doing so become an
important supplier for the region. To achieve this objective, the government is encouraging investment by
offering low-interest project and equipment financing. Both the public and private sectors have or are in
the process of taking advantage of these incentives by setting up small- to large-scale projects. According
to industry experts, the local market will continue to offer sizeable business opportunities for local and
foreign companies for the next several years.

2.3 Government Support Available

To better develop the agriculture sector, the Government of Pakistan, both at the federal and provincial
levels, has launched several programs and incentives to modernize and expand existing capacity. These
initiatives include easy and long-term credit facilities, farmer education programs, and subsidized inputs.
In addition, the government through budgetary support programs offers low taxation programs on
agricultural machinery to boost agricultural modernization.

The present government has launched an ambitious plan for transformation of the agriculture sector for its
growth. Several measures have been adapted in this context. The State Bank of Pakistan has set the
agriculture credit target of Rs1.7 trillion for the year 2022-23. Farm modernization and mechanization is a
crucial element of the programme, considered essential for enhanced crop productivity and
diversification, aiming at national food security.

2.4 Agriculture Transformation Plan (ATP):

In order to increase agricultural productivity, exports and to ensure uninterrupted supply of basic food
items at affordable prices in the country, the Prime Minister of Pakistan has approved “Agriculture
Transformation Plan (ATP)” with the objective to enhance national agricultural output and livelihood
of farmers.

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Under this plan provinces will work on re-tweaking of machinery given under National Agriculture
Emergency Projects (NAEP) on wheat, rice, sugarcane, and oilseeds for maximum distribution of
implements among farming community on following aspect:
 Design of intervention and pre-qualification mechanism
 Additional implements
 Subsidy mechanism to be aligned with Kissan Card
 Service providers to be registered
 Unique implement ID
 Farmers share

The Ministry of Industries and Production (MoIP), having the Lead Role under this plan, after extensive
stakeholders consultation and feedback from leading manufacturers of the implements constituted
Standards Development Committee (SDC), under the Chairmanship of CEO-EDB “To review the
current implements plan and its re-tweaking to ensure maximum uptake”. The Committee after detailed
deliberations recommended the minimum specifications of 78 Agricultural implements.

Punjab is providing subsidy of over Rs12 billion and various incentives to farmers for use of modern
agricultural machinery under the National Plan, primarily to increase wheat production. Likewise, Sindh
is providing Rs3 billion subsidy during the current fiscal year for small farmers, with focus on promoting
the use of agricultural farm machinery.

2.5 Industry Infrastructure

Infrastructure for manufacturing agricultural machinery
is already available, with need for only capital
investment and incentives for entrepreneurs.
Around 500 units are producing agriculture implements
in Pakistan out of which 200 units are registered with
Pakistan Agricultural Machinery and Implements
Manufacturer Association (PAMIMA). (Province-wise
detail of registered agriculture implements
manufacturers is given in graph. Majority of the
agriculture implements manufacturing units are
concentrated in the Punjab region. Sargodha, Faisalabad, Daska, Okara and Hafizabad are the major
agricultural implements manufacturing cities in Pakistan. The units are categorized into Large, Medium
and Small-Scale Units as per their production capacity.

2.6 Industry Categorization

Description Large Scale Unit Medium Scale Unit Small Scale Unit
Installed Capacity (No. of Units) 1,000 500 200
Avg. No of Employees 40~50 20~30 3~5
Book of Accounts Formal Semi-Formal No Formal Accounts
Having Bank Accounts (in the name of Yes Yes No

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Business)
Area (Kanals) 6~10 3~6 Less than 3
Plant and Machinery Worth on Average (Rs.) 3,500,000 1,500,000 500,000
Source: SMEDA

As per industry practice, the units having capacity to produce over 1,000 units a year will be considered
as large-scale unit. The units that have capacity to produce around 500 units a year will be considered as
medium-scale units and the units which have the capacity to produce less than 200 units a year will be
considered as small-scale units.

2.7 Materials Requirements

Raw materials required for implements manufacturing can be divided into three broad categories:
 Mild (structural) steel section, e.g., flats, bars, sheets, squares, pipes, plates, and round
 Casted products like bearing brackets, v-shape pulley, round circle weight, wheel hub, bush,
bracket tikki, blades, harrow disc, cultivator shovel, cultivator tynes and springs etc.
 Other standard parts including bearings, gears, chains, paints, nut bolts etc.

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3.0 Why Farm Mechanization?

Farm mechanization implies the use of mechanical technology in various farming operations. Currently,
Pakistan has selective farm mechanization, limited to use of imported combined harvesters and locally
manufactured tractors. Thus, per hectare (ha) use of horsepower (hp) in the country remains one of the
lowest in the region, at 1.02 hp/ha. Comparatively, China has 4.10 factor of hp/ha. Resultantly, harvests
of almost all crops in Pakistan have been low in any year compared with that of the regional countries.
Mechanization is critically important for ensuring timely field operations, increased productivity,
minimized crop losses, and improved quality of produces that historically has been neglected in the
context of developing countries. It is estimated that mechanization can increase agriculture produce by 30
percent and reduce the cost by 20 percent. Currently, general-purpose tractors account for most of the
farm machinery mechanization. Local industry produces about 70,000 tractors annually, in the range of
55-85hp. However, there is underutilization of tractors employed by the farmers due to absence of local
availability of its implements for various agricultural activities.

3.1 Current Status of Mechanization:

Agricultural tools and implements produced locally, mostly in informal sector, are limited in types and
applications and are poor in quality, though cheaper than the imported ones. The farm machinery
produced locally includes power tiller, thresher, reaper, seeder, etc.

On the other hand, some 25,000 combined harvesters are in use in the country, which are used for
reaping, threshing, and winnowing/sifting operations. These units were imported during the last two
decades or so. Most of these are outdated and old combined harvesters, while still working in the field,
often breakdown, with availability of spares and after-sales service facility non-existent in Pakistan. This
causes significant loss of crops. (Pakistan Import – Export data of Agricultural machinery and implements
is given at Annex-I).

Development and adoption of modern, cost-effective agricultural machinery can enhance production and
efficiency, and also lead to increasing farmers’ profitability.

3.2 Existing Tariff & Tax Structure

Present tariff structure on import of major agricultural implements except for “Combine harvestor-
threshers” is zero per cent, as under; (details at Annex-II).

Custom Duties:
- Combine harvestor-threshers: Customs Duty (CD) = 3%, Additional Customs Duty (ADC) = 2%
and Regulatory Duty (RD) = 10% (5 to 10 years old) 20% (Above 10 years old).
- Other agricultural implements & Parts: CD = 0%, ADC = 0% and RD = 0%

Taxes:
- With Holding Tax = 1% and Sales Tax = 17%.

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4.0 Policy Support for development of Agricultural Implements

4.1 Rationalization of Tariff & Tax Structure
The local manufacture of agricultural machinery and implements is not availing any concessions on
import / procurement of input materials and components and are subject to 3% to 20% CD, 2-6% ACD
and multiple rates of RD; Major common inputs are given as under;
 Mild (structural) steel section, e.g., flats, bars, sheets, squares, pipes, plates, and round
 Casted products like bearing brackets, v-shape pulley, round circle weight, wheel hub, bush,
bracket tikki, blades, harrow disc, cultivator shovel, cultivator tynes and springs etc.
 Other standard parts including bearings, gears, chains, paints, nut bolts etc.

In order to promote localization of Agricultural machinery and implements, the following is

proposed;
i) Reduction in Customs Duty on import of inputs (raw materials, sub-components, components and
sub-assemblies, as are not manufactured locally) for the manufacture of agricultural implements
under SRO 655(I)/2006 by adding following entry in the Table of SRO:

TABLE
S. Raw Sub- Sub-
Description of Vehicle Components
No. materials components assemblies
(1) (2) (3) (4) (5) (6)
14. Agricultural Implements 0% 0% 0% 0%

ii) Reduction in Customs Duty on import of CKD (which include sub-components, components, sub-
assemblies and assemblies but exclude consumables) for the assembly of complete Agricultural
machinery under SRO 656(I)/2006 by adding following entry in the Table-I of SRO:

TABLE
Rate of Customs
S. No. Description of vehicles Description of imported input goods
Duty
(1) (2) (3) (4)
16. Agricultural Machinery Components for assembly/ manufacture 0%
in any kit form

iii) Removal of ACD and RD on the import of inputs required for manufacturing/assembly of
agricultural machinery and implements.
iv) Removal of CD, ACD & RD on import of plant and machinery required for agricultural
implements manufacturing.
v) Gradual increase of Customs Duty/ Regulatory Duty on Import of finished Implements, as per the
Roadmap attached as Annex-III.
vi) It is also recommended to add locally made agricultural machinery and implements under SRO
693(I)/2006 by creating APPENDIX-III, for the purposing of applying Regulatory Duty as most
of the agricultural machinery and implements are at zero.

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vii) Equal treatment on sales tax may be provided to the local manufacturers viz the imported
machinery and implements.
viii) Local assembly/manufacturing of the following hi-tech machinery and implements may be
facilitated (Details along with pictures at Annex-IV); In the second phase other machinery and
implements need to be facilitated (List of 78-Implements at Annex-V);
a) Walk-behind rice transplanter
b) Rice transplanter riding type
c) Wheat combine harvester
- Rice combine harvester
- Full feed rice combine harvester
- Rice specific combine harvester
d) Sugarcane planter
e) Maize picker-cum-de-husker (self-propelled)/ tractor Mounted
f) Olive oil extraction machine
g) Potato digger-cum-collector
h) Whole stalk sugarcane harvester
i) Corn picker
j) Garlic planter
k) Vegetable nursery transplanter

4.2 Other Recommendations

i) Agricultural sector may be included in the CPEC for promoting the indigenization of farm
machinery and Implements.
ii) Subsidy proposed for acquisition of farm mechanization equipment by farmers under the
Agriculture Transformation Plan may be linked to procurement of locally produced equipment.
iii) Used Agriculture machines and implements of 3 years older may be banned under a phased
manner.
iv) Loan facility at minimum mark-up may be extended to the local manufacturers of agricultural
machinery and implements
v) Evolving leasing scheme to provide midterm financial loans on low mark-up to local
manufacturers for replacement of new and old/obsolete machinery with modern machinery, to
compete with global challenges of quality for export.
vi) Reverse engineering of the hi-tech implements and machinery need to be supported through
initiatives by concerned government departments under ministries of Industries and Agriculture.
vii) Labor skilled development need to be promoted at clustered in all the provinces through
concerned provincial/federal government agencies like provincial TEVTA and Agricultural
universities.
viii) Technology and R&D support from Chinese Farm machinery manufacturers / government to
establish plants in Pakistan along with JV Partner for modernization of Agriculture sector.
ix) Awareness through workshops and training courses to the industry owners and proprietors to
enhance their managerial and marketing skills for export market.

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x) Facility of following Government policies should be available for agriculture implement
industry;
 Agriculture Transformation Plan (ATP)
 Agricultural Implements Subsidy Scheme 2019-20
 Duty and Tax Remission for Exports (DTRE) (S.R.O. 450(I)/2001)
 Drawback on Local Taxes and Levies (DLTL) (S.R.O. 711(I)/2018)
 Export Finance Scheme
 Long Term Financing Facility (LTFF)
 Refinancing Facility for Moderation of SMEs
 SME Bank Loan Regime

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Annex-I

Pakistan Import – Export data of Agricultural machinery and implements

Pak Imports Pak Exports Global Imports

HS Code DESCRIPTION
2020-21 2019-20 2018-19 2020-21 2019-20 2018-19 2020 2019
843200 Agricultural, horticultural -- -- -- -- -- -- - -
or forestry machinery for
soil preparation or
cultivation; lawn or
sports- ground rollers.
84321000 - Ploughs: -- -- -- -- -- -- 349,757 374,854
84321010 - - - Chisel ploughs 1.1 24.0 2.6 533.2 428.5 231.1 - -
84321090 - - - Other 10.2 6.4 25.1 859.7 1,048.2 788.3 - -
- Harrows, scarifiers, cultivators, weeders and hoes:
84322100 - - Disc harrows
93.5 134.2 134.1 930.7 237.6 100.7 461,245 424,268
84322900 - - Other: -- -- -- -- -- --
1,337,546 1,225,322
84322910 - - - Cultivators - -
107.7 78.7 44.7 23.5 43.8 0.7
84322990 - - - Other -- - -
12.3 17.4 60.6 162.1 40.3
84323000 - Seeders, planters and -- -- -- -- -- --
transplanters: 1,502,614 190,604
84323010 - - - Seeding drills -- -- -- -- -- -- - -
84323090 - - - Other -- -- -- -- -- -- - -
84323100 - - No-till direct seeders, -- -
planters and transplanters 423.8 439.3 142.3 83.3 7.4 499,139
84323900 - - Other -
1,284.1 1,222.2 536.1 185.5 13.0 4.1 728,864
84324000 - Manure spreaders and -- -- -- -- -- --
fertiliser distributors : 508,556 12,424
84324100 - - Manure spreaders -- -- -- -
58.6 9.7 217.0 191,401
84324200 - - Fertiliser distributors -- -- -
0.2 1.9 20.3 3.8 251,731
84328000 - Other machinery: -- -- -- -- -- --
1,125,306 1,105,491
84328010 - - - Rotavators -- - -
14.0 1,041.2 60.8 4.5 6.8
84328090 - - - Other - -
3,390.3 3,118.0 5,405.8 413.5 242.0 375.2
84329000 - Parts
1,891.5 2,916.6 2,997.2 347.1 317.3 466.1 2,875,868 2,795,985
843300 Harvesting or threshing -- -- -- -- -- -- - -
machinery, including
straw or fodder balers;
grass or hay mowers;
machines for cleaning,
sorting or grading eggs,
fruit or other agricultural
produce, other than
machinery of heading
84.37.
- Mowers for lawns, parks -- -- -- -- -- -- -
or sports- grounds:

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84331100 - - Powered, with the
cutting device rotating in 130.5 111.5 112.3 0.7 4.4 0.5 4,648,705 4,436,053
a horizontal plane
84331900 - - Other
587.9 1,125.5 116.0 38.7 17.9 48.8 390,556 378,446
84332000 - Other mowers, including -- --
cutters bars for tractor 125.9 141.9 169.5 69.1 1,254,153 1,212,058
mounting
84333000 - Other haymaking -- -- --
machinery 26.6 27.0 108.5 562,890 563,580
84334000 - Straw or fodder balers,
including pick- up balers 799.8 1,493.9 1,367.8 10.0 14.2 34.3 1,249,999 1,204,569
- Other harvesting -- -- -- -- -- -- -
machinery; threshing
machinery:
84335100 - - Combine harvestor-
threshers 13,671.3 13,551.8 14,683.5 556.5 232.3 129.0 3,503,718 3,537,578
84335200 - - Other threshing
machinery 2.7 46.8 79.1 537.5 200.8 113.7 201,696 187,829
84335300 - - Root or tuber -- --
harvesting machines 27.3 32.7 26.1 5.8 396,753 374,207
84335900 - - Other
7,224.5 7,214.4 10,496.0 445.5 59.1 41.1 1,919,756 1,960,769
84336000 - Machines for cleaning, -- --
sorting or grading eggs, 1,013.2 660.2 3,715.0 34.7 910,663 924,109
fruit or other agricultural
produce
84339000 - Parts
1,430.4 1,540.7 1,285.5 117.9 207.9 95.9 5,741,595 5,593,965

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Annex-II
Tariff Structure on Import of Agricultural Machinery and Implements

S. No. Description PCT Code Customs Duty ACD RD

(%) % %
(1) (2) (3) (4) (5) (6)
A) Tillage and seed bed preparation equipment.
1. Rotavator. 8432.8010 0% 0% 0%
2. Cultivator. 8432.2910 0% 0% 0%
3. Ridger. 8432.8090 0% 0% 0%
4. Sub soiler. 8432.3900 0% 0% 0%
5. Rotary slasher. 8432.8090 0% 0% 0%
6. Chisel plough 8432.1010 0% 0% 0%
7. Ditcher. 8432.1090 0% 0% 0%
8. Border disc. 8432.2990 0% 0% 0%
9. Disc harrow. 8432.2100 0% 0% 0%
10. Bar harrow. 8432.2990 0% 0% 0%
11. Mould board plow. 8432.1090 0% 0% 0%
12. Tractor rear or front blade. 8430.6900 0% 0% 0%
13. Land leveler or land planer. 8430.6900 0% 0% 0%
14. Rotary tiller. 8432.8090 0% 0% 0%
15. Disc plow. 8432.1090 0% 0% 0%
16. Soil scrapper. 8432.8090 0% 0% 0%
17. K.R. Karundi. 8432.8090 0% 0% 0%
18. Tractor mounted trencher 8701.9220 2% 0% 0%
8701.9320
19. Land leveler. 8430.6900 0% 0% 0%
20. Laser land leveler comprising of laser Respective 0% 0%
transmitter, laser receiver, control box, headings 0%
rigid mast pack, with or without scrapper
B) Seeding or Planting Equipment.
1. Seed-cum-fertilizer drill (wheat, rice 8432.3100 0% 0% 0%
barley, etc).
2. Cotton or maize planter with 8432.3900 0% 0% 0%
fertilizer attachment
3. Potato planter. 8432.3900 0% 0% 0%
4. Fertilizer or manure spreader or 8432.4100 0% 0% 0%
broadcaster. 8432.4200 0% 0%
5. Rice transplanter. 8432.3900 0% 0% 0%
6. Canola or sunflower drill. 8432.3100 0% 0% 0%
7. Sugar cane planter 8432.3900 0% 0% 0%
(C) Harvesting, Threshing and Storage Equipment.
1. Wheat thresher 8433.5200 0% 0% 0%
2. Maize or groundnut thresher or Sheller. 8433.5200 0% 0% 0%
3. Groundnut digger. 8433.5900 0% 0% 0%

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4. Potato digger or harvester. 8433.5300 0% 0% 0%
5. Sunflower thrasher. 8433.5200 0% 0% 0%
6. Post hole digger. 8433.5900 0% 0% 0%
7. Straw balers. 8433.4000 0% 0% 0%
8. Fodder rake. 8201.3000 0% 0% 0%
8433.5900
9. Wheat or rice reaper. 8433.5900 0% 0% 0%
10. Chaff or fodder cutter. 8433.5900 0% 0% 0%
11. Cotton picker. 8433.5900 0% 0% 0%
12. Onion or garlic harvester. 8433.5200 0% 0% 0%
13. Sugar harvester. 8433.5200 0% 0% 0%
14. Reaping machines. 8433.5900 0% 0% 0%
15. Combined harvesters (Upto five 8433.5100 0% 0% 10% (5 to 10
years old). years old) and
20% (> 10
years old)
16. Pruner/sheers. 8433.5900 0% 0% 0%
17. Fodder/forage wagon. 8716.8090 5% 0%
th
Source: Pakistan Custom Tariff, 5 Schedule
1. INTERVENTIONS

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 Annex-III

Tariff Plan for Duty increase on Imports

CD RD ACD CD RD ACD To CD RD ACD Tot CD RD ACD Tot CD RD ACD Tot CD RD ACD
Total
HS Code DESCRIPTION (%) (%) (%) (%) (%) (%) tal (%) (%) (%) al (%) (%) (%) al (%) (%) (%) al (%) (%) (%)
2021-22 2022-23 2023-24 2024-25 2025-26 2026-27
843200 Agricultural, horticultural or forestry machinery for soil preparation or cultivation; lawn or sports- ground rollers.

84321000 - Ploughs:
84321010 - - - Chisel ploughs 0 0 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84321090 - - - Other 0 0 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
- Harrows, scarifiers, cultivators, weeders and hoes:
84322100 - - Disc harrows 0 0 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84322900 - - Other: 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84322910 - - - Cultivators 0 0 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84322990 - - - Other 0 0 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84323000 - Seeders, planters and
transplanters: 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84323010 - - - Seeding drills 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84323090 - - - Other 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84323100 - - No-till direct 0 0
seeders, planters and
transplanters 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84323900 - - Other 0 0 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84324000 - Manure spreaders
and fertiliser
distributors : 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84324100 - - Manure spreaders 0 0 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84324200 - - Fertiliser 0 0
distributors 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84328000 - Other machinery: 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84328010 - - - Rotavators 0 0 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84328090 - - - Other 0 0 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84329000 - Parts 0 0 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
843300 Harvesting or threshing machinery, including straw or fodder balers; grass or hay mowers; machines forcleaning, sorting or grading eggs, fruit or other agricultural produce, other than machinery of heading
84.37.
 AGRICULTURAL MACHINERY & IMPLEMENTS MANUFACTURING POLICY
- Mowers for lawns, parks or sports- grounds:
84331100 - - Powered, with the 0 0
cutting device rotating
in a horizontal plane 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84331900 - - Other 0 0 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84332000 - Other mowers, 0 0
including cutters bars
for tractor mounting 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84333000 - Other haymaking 0 0
machinery 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84334000 - Straw or fodder 0 0
balers, including pick-
up balers 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
- Other harvesting
machinery; threshing
machinery:

84335100 - - Combine harvestor- 3 10% (5 2

threshers to 10
years
old)
20%
(Above
10 years
old) 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84335200 - - Other threshing 0 0
machinery 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84335300 - - Root or tuber 0 0
harvesting machines 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84335900 - - Other 0 0 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84336000 - Machines for 0 0
cleaning, sorting or
grading eggs, fruit or
other agricultural
produce 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
84339000 - Parts 0 0 0 2 0 2 0 3 0 3 0 4 0 4 3 4 2 9 3 5 2 10
 Annex-IV

List of Hi-Tech Agri Implements

1. WALK-BEHIND RICE
TRANSPLANTER

2. RICE TRANSPLANTER
RIDING TYPE

3. WHEAT COMBINE
HARVESTER

4. A) RICE COMBINE
HARVESTER
B) FULL FEED RICE
COMBINE
HARVESTER
C) RICE SPECIFIC
COMBINE
HARVESTER
 AGRICULTURAL MACHINERY & IMPLEMENTS MANUFACTURING POLICY

5. SUGARCANE PLANTER

6. MAIZE PICKER-CUM-
DE-HUSKER (SELF-
PROPELLED)/
TRACTOR
MOUNTED

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 AGRICULTURAL MACHINERY & IMPLEMENTS MANUFACTURING POLICY

7. OLIVE OIL
EXTRACTION
MACHINE

8. POTATO DIGGER-CUM-
COLLECTOR

9. WHOLE STALK
SUGARCANE
HARVESTER

10. CORN PICKER

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 AGRICULTURAL MACHINERY & IMPLEMENTS MANUFACTURING POLICY

11. GARLIC PLANTER

12. VEGETABLE NURSERY

TRANSPLANTER

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 AGRICULTURAL MACHINERY & IMPLEMENTS MANUFACTURING POLICY

Annex-V
List of 78 Agri-Implements and machinery with minimum specifications
S.No. Name of Machine / Equipment Status Page #
1 Disc Harrow (16-Discs) Local 4-5
2 Rotavator (42-Blades) Local 6-7
3 Disc Plow (03-Disc) Local 8-9
4 Border Disc Local 10-11
5 Potato Planter Local 12-13
6 Vegetable Ridger Local 14-15
7 Tractor drawn Groundnut Digger Local 16-17
8 Cultivator Local 18-19
9 Land Leveller (Karah)/Front and Rear Blade Local 20-21
10 Seed Drill with Fertilizer attachment (Rabi) Local 22-23
11 Chisel Plow Local 24-25
12 Tractor Mounted Post Hole Digger Local 26-27
13 Knapsack Manual Sprayer Imported/ Local 28-29
14 Knapsack Power Mist Blower Sprayer Imported 30-31
15 Citrus/Guava/Mango/Pomegranate Pruner-Revised Local 32-33
16 Wheat Seed Cleaner/Grader Local 34-35
17 Wheat Bed and Furrow Drill. Local 36-37
18 Pak Seeder. Local 38-40
19 Happy Seeder. Local 41-43
20 Wheat Reaper. Local 44-45
21 Nursery Raising Machine (Moving) Imported /Local 46-47
22 Walk-behind Rice Transplanter. Imported 48-49
23 Rice Straw Shredder. Local 50-51
24 Precision Pneumatic Planter. Local 52-53
25 Maize Dehusker cum Sheller. Local 54-55
26 Knapsack Hydraulic Power Sprayer (Battery operated). Imported 56-57
27 Rice Transplanter Riding Type. Imported 58
28 A. Rice Combine Harvester. 59
B. Full Feed Rice Combine Harvester. Imported 60
C. Rice Specific Combine Harvester. 61
29 Wheat Combine Harvester. Imported 62
30 Laser Leveller. Local 63-66
31 Multi Crop Thresher. Local 67-68
32 Sugarcane Planter Imported/ Local 69-70
33 Groundnut Thresher Local 71-72

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 AGRICULTURAL MACHINERY & IMPLEMENTS MANUFACTURING POLICY

34 Sugar Cane Crusher (High efficiency) Local 73-75

35 Olive Picker/Harvester (Branch shaker) Type Imported 76
36 Maize Corn Picker cum De-husker (self-propelled)/ Tractor Imported 77-78
mounted
37 Power Tiller with set of attachments/ implements Imported 79-80
38 Walk Behind Maize Harvester-Windrower Imported 81
39 Zero Tillage Drill Local 82-83
40 Olive Oil Extraction Machine Imported 84-85
41 Garlic Harvester Imported/ Local 86-87
42 Potato Digger-Cum-Collector Imported 88-89
43 Wheat Straw Chopper Blower Local 90-92
44 Sugarcane Ridger Local 93-94
45 Potato Digger Shaker Local 95-97
46 Tractor Operated Carrot Washer Local 98-99
47 Maize Sheller with Conveyor Local 100-101
48 Fodder Cutter (Sickle type) Local 102-103
49 Fodder Cutter (Disc mower) Local 104-105
50 Fodder Chopper (Stationary) Local 106-107
51 Silage Baler cum Wraper Local 108-109
52 Boom Sprayer Local 110-111
53 Tractor Mounted Mist Blower Sprayer (Canon type) Local 112-113
54 Whole Stalk Sugarcane Harvester Imported 114
55 A) Corn Picker Imported 115
B) Corn picker Local 116
56 Fodder Cutter cum Chopper Imported/ Local 117
57 Forage Harvester Local 118-119
58 Cotton Bed Drill Local 120-121
59 Paddy/Rice Thresher (7 ft.)-additional Local 122-123
60 Reversible Hydraulic M.B. Plow Local 124-125
61 M.B. Plow Local 126-127
62 Double Coulter Drill with Fertilizer Attachment Local 128-129
63 Wheat Reaper Cum Binder Local 130-132
64 Cotton Boll Stripper Local 133-134
65 Inter-row Cultivator Local 135-136
66 Maize Bed Planter Local 137-138
67 A) Garlic Planter Imported / Local 139

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 AGRICULTURAL MACHINERY & IMPLEMENTS MANUFACTURING POLICY

B) Garlic Bed Planter Local 141-142

68 Onion Harvester Local 142-143
69 Groundnut Drill Local 144-145
70 Knapsack Hydraulic Power Sprayer (Engine Operated) Imported 146-147
71 Tractor Mounted Gun Sprayer Local 148-149
72 Tractor Mounted Air Blast Sprayer Local 150-151
73 Multi Crop Drill Local 152-153
74 Vegetable Nursery Transplanter Imported / Local 154
75 Hay Baler Imported / Local 155
76 A) Rotavator (48 blades) Local 156
B) Rotavator (54 blades) Local 157
C) Rotavator (60 blades) Local 159
D) Rotavator (66 blades) Local 160
77 Chisel Plow Local 162-163
78 Disc Harrow (18 discs) Local 164-165

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