No tax on outside veggies hits farmers

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Jammu: The decision of the previous PDP-BJP government to abolish toll tax on the vegetables coming from other states may have stabilised prices and benefited consumers but small farmers in the state are facing a ‘financial ruin’.

The toll was revoked in February 2018 and since then, cultivators in the state are facing tough competition from Punjab and other northern states which are dumping tonnes of additional vegetables in the mandis of J&K at lower rates.

Many farmers are abandoning vegetable cultivation due to diminishing returns and selling land for housing colonies or commercial complexes to ensure their survival.

“Earlier, Re 1 was levied as tax on one kg of vegetables coming from other states. This was abolished and now, big landlords and middlemen are flooding markets in J&K. Many small farmers are facing a threat to their existence,” said Tejinder Singh, a progressive farmer and activist from RS Pura.

He said farmers were not against produce coming from outside the state as J&K was not able to meet its demands locally but there should be enough safeguards for local producers.

After the introduction of the Goods and Services Tax (GST) Act in J&K, the government abolished toll on several items to unify the markets.

“Consumers are getting benefits of lower prices but farmers having small land holdings are getting into debt. The government talks of doubling the income of farmers but this is just plain rhetoric,” said Sudesh Kumar Sharma, a cultivator from the Marh block, who is planning to sell his land and start a business. Similar is the story of Baldev Singh from RS Pura, who has stopped vegetable cultivation.

Senior officials in the agriculture department said cultivators had repeatedly raised the issue with the authorities and wanted that certain levy should be imposed on the import of vegetables so that small farmers are protected.

Director, Agriculture, HL Razdan said the department had received representations from farm unions raising their concern about large-scale dumping of vegetables. “The cultivators are demanding reintroduction of some tax. It’s up to the government to take a decision,” Razdan said.