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Budget - FICCI for One Nation One Licence for agri related inputs across country
Monday, 19 January, 2026, 08 : 00 AM [IST]
Ashwani Maindola, New Delhi 
Industry body FICCI has sought creation of 'One Nation One Licence' for agriculture related inputs valid across the country. 

FICCI says that the current regulatory framework governing the marketing and licensing of agriculture inputs (such as seeds, fertilisers, and pesticides) is fragmented and companies need to navigate complex, state-specific processes. 

"Firms operating in multiple districts or states need to obtain multiple licences across different regions. Also, the process of developing and registering new products is a lengthy and time-consuming endeavour that often spans several years. Launch of 'One Nation, One Licence' system will simplify and standardise licensing requirements across states for agri inputs to help industry alleviate the aforementioned challenges and enhance ease of doing business," reads the recommendation paper submitted by the FICCI to the Union Ministry of Finance for the upcoming Union Budget. 

FICCI's paper added that the Government should also, launch a national programme to develop 3 million farm technicians (5 technicians in approximately 6 lakh villages of India) in 5 years (specialised in technologies such as soil testing, micro irrigation, drones, sensors, farm machinery and post-harvest technologies). 

These projects can be scaled at the national level by the government through a PPP model, with participation of Central and State Governments and industry players.

On the tariff front, FICCI recommended that the tariff structure must be strategically aligned so that raw materials and essential inputs face the lower duty, followed by intermediate products, and finished goods carry higher duty. This cascading duty structure creates a logical and fair tariff system that supports domestic value addition. Any duty distortions that create inverted duty structures should be corrected promptly. 

"Import duties should be calibrated to support domestic manufacturing competitiveness and reduce cost disabilities. It is recommended that the Customs Duty structure across value chains be rationalised to eliminate inverted duty situations. As a guiding principle, higher duties should apply to finished goods, while intermediates and raw materials should attract lower duties, especially where we do not have enough domestic capacity yet," reads the FICCI recommendation paper.
 
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