Kangra, famously known as the “Tea Capital of North India,” is home to nearly 5,900 small tea gardens in Palampur and surrounding areas
Himachal Pradesh’s agriculture, a backbone of the state’s economy, supports the livelihoods of hundreds of families across its diverse regions. Recent GST reforms have provided a welcome boost, making essential products more affordable while increasing income for farmers and workers. Kangra, famously known as the “Tea Capital of North India,” is home to nearly 5,900 small tea gardens in Palampur and surrounding areas. These plantations and factories employ thousands of workers, producing the famed GI-tagged Kangra tea. With the government now exempting loose tea from GST, buyers can enjoy lower prices, while growers benefit from increased sales in competitive markets. This tax relief not only helps households save but also strengthens traditional agricultural sectors in the region.
Kangra tea ; Kala Zeera: Boost for High-Altitude Farmers
Farmers and collectors in Himachal’s high-altitude districts cultivate the aromatic black cumin, or kala zeera, prized for its unique aroma and medicinal properties. The GST reduction from 12% to 5% is expected to lower retail prices and drive higher demand.. This change could lead to more orders and encourage expanded cultivation, benefiting farmers directly.
Chulli Oil: Supporting Himalayan Artisans
Artisans in the Himalayan belt extract Chulli tel, a traditional apricot kernel oil, which is known for its therapeutic benefits. The GST reduction to 5% makes this local product more affordable, potentially expanding its reach beyond the region. The move supports hundreds of rural producers who rely on this traditional industry for their livelihood.
*Apple Packaging and Farming Inputs: Easing Costs for Growers**
Himachal’s apple industry contributes around 80% of the state’s horticultural output. It employs thousands of growers. They depend on cartons, trays, and packaging materials to transport their produce across India. Reducing GST on these materials to 5% lowers input costs, directly benefiting growers and local packaging units.
Similarly, the tax cut on agricultural inputs such as fertilizers will encourage farm mechanization. This change will improve efficiency and output for hundreds of thousands of farms statewide.
With these reforms, Himachal’s farmers and small producers are seeing tangible support from the government, ensuring that traditional agricultural sectors and livelihoods continue to thrive while offering affordable products to consumers.
