Relief for makhana farmers and traders as CM scraps 1% market tax

Update: 2025-05-25 18:15 GMT

Malda: In a major policy decision welcomed by farmers and traders alike, Chief Minister Mamata Banerjee has announced the waiver of the 1 per cent Agricultural Marketing Tax on makhana (fox nut), a key produce of Harishchandrapur in Malda district. The declaration came during her visit to Siliguri on Monday, following long-standing demands from local business communities.

The tax waiver has generated a wave of optimism among local farmers and entrepreneurs of Harishchandrapur which alone contributes significantly to the state’s makhana output, with around 23,500 acres under cultivation and an annual trade volume of nearly Rs 250 crore. Farmers across Harishchandrapur blocks 1 and 2, where makhana cultivation is concentrated, stand to benefit from increased profitability.

Until now, makhana traders in Bengal were required to pay a 1 per cent tax on their produce, unlike their counterparts in Bihar, where no such tax existed. This had placed Bengal traders, especially those in Harishchandrapur — one of the country’s major makhana-producing regions — at a competitive disadvantage.

The Chief Minister’s decision is being seen as a turning point for the local economy. “It’s a long-awaited relief,” said Basant Kedia, a leading trader. “Nearly 20 per cent of India’s makhana comes from just two drying units in Harishchandrapur. With this tax removed, our business will finally become more competitive in the national market,” he stated. “This is more than just a tax decision,” said Pawan Kedia, secretary of the Harishchandrapur Traders’ Association. “It shows that the government is serious about supporting our industry. We now hope this step will encourage further investment and the development of a makhana-based industrial hub,” added Kedia.

District officials also view the move as a boost to employment and regional development. With the state government already setting up a Rs 80 lakh makhana processing unit in Harishchandrapur — now in its final stages of construction — the tax waiver complements broader efforts to industrialise the makhana sector. State Minister Tajmul Hossain confirmed that this tax relief is part of a larger vision to support local industries under the MSME framework. “Training programmes for youth and more infrastructure development are also being planned,” he added.

The tax waiver is expected to reduce costs, attract new markets, and stimulate the makhana trade in Bengal — especially in Harishchandrapur, where the industry now looks toward a brighter, more prosperous future.

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