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The Sindh Chamber of Agricultural (SCA) has announced it will challenge the 45 percent agricultural income tax, calling it “unconstitutional, illegal, and unethical.”
The chamber urged farmers across Sindh to boycott wheat cultivation for 2025-26 season in protest, as reported by Dawn News.
The decision was made during a meeting chaired by Dr. Syed Nadeem Qamar, patron-in-chief of SCA.
The chamber rejected the tax and claimed that it was imposed under International Monetary Fund (IMF) directives, despite local farmers not receiving fair prices for their production.
Farmers warned that they would refuse to pay the tax and were prepared to face arrest in large numbers. “We are ready for imprisonment, but will not pay this tax,” farmer leaders declared.
The SCA demanded similar tax exemptions given to industrialists and called for complete rejection of the agricultural income tax.
Due to low wheat prices and rising input costs, the chamber asked farmers to grow alternatives crops like mustard, kalonji, sunflower and oilseeds. Farmers said they could not even recover the cost of wheat production this year.
The SCA expressed concern over a 40 percent drop in cotton production, predicting the yield will not exceed 4 million bales. Farmers are reportedly getting Rs6,500 per maund, despite a government promise of Rs11,000.
The SCA demanded the withdrawal of 18 percent local tax on cotton and urged the government to impose a 25 percent tax on imported cotton to protect local farmers.
It also called for an immediate rollback of rising input prices, noting diesel has increased by Rs22 per liter and DAP fertilizer by Rs600 per bag within two weeks.
The chamber termed the price hikes a “deliberate destruction of agricultural” and demanded urgent action. It further requested that the Rs10,000 per acre subsidy for sunflower and canola be extended to mustard and rapeseed crops.
Farmers were also urged to register for the Benazir Hari Card by contacting their local administrative and officials.
