MINISTRY OF AGRICULTURE, FISHERIES AND MINING INCENTIVES PROGRAMME
THE MINISTRY of Agriculture, Fisheries & Mining realises the critical role incentives have on the enhancement and expansion of the output and productivity of our farmers/ farming enterprises and has strategically crafted programmes to engender growth within the sector.
INCENTIVES
Under the Fiscal Incentives (Miscellaneous Provisions) Act 2013, the General Consumption Tax, and guidelines by the Ministry of Finance & the Public Service, a farmer/farming enterprise may be eligible for the following incentives:
• 20% Duty Concession on Trucks commonly known as pick-ups for use in agricultural related activities;
• Productive Input Relief (PIR); and
• Income Tax Relief.
20 % DUTY CONCESSION
Qualified farmers may be entitled to up to three vehicles every five years to aid with agricultural-related activities. Currently, these vehicles are pick-ups and have a restricted cc rating of 3,000 for gasolene and 3,200 for diesel. Commonly requested vehicles include, but are not limited to, the Toyota Hilux and the Ford Ranger Raptor 3.0.
The number of vehicles an applicant is eligible for are as follows:
• Small farms (1-10 acres) – one motor vehicle;
• Medium farms (11-49 acres) – two motor vehicles; and
• Large farms (50+ acres) – three motor vehicles.
PRODUCTIVE INPUT RELIEF
This incentive allows farmers/farming entities a waiver on applicable duties and taxes on certain inputs imported for the production of primary products used for farming operations in five categories stipulated in the Fiscal Incentives Act. In simpler terms, once primary inputs are imported, the applicable duties and
taxes are not charged at the port, effectively making these inputs cheaper. Examples of eligible inputs include, but are not limited to, poultry houses, shade cloth, greenhouse equipment/inputs, and irrigation equipment, etc. The five stipulated areas of production are:
(a) Agricultural crops, livestock, poultry, or dairy;
(b) Apiculture (bees);
(c) Forestry;
(d) Horticulture; and
(e) Aquaculture.
REMOVAL OF GENERAL CONSUMPTION TAX WAIVER ON LIVE ANIMALS (SMALL RUMINANTS – GOAT AND SHEEP, PIGS, AND HORSES) FOR BREEDING
In 2023, the Ministry of Agriculture, Fisheries & Mining, through the Ministry of Finance and the Public Service, got approval for the removal of GCT valued at J$160 million on live animals (pigs, sheep, goats, and horses for breeding purposes) for a three-year period. This is facilitated under the Productive Inputs Relief.
INCOME TAX RELIEF
This incentive allows farmers/farming enterprises to write off losses incurred on their farm or in a farming activity against profits gained in another registered owned trade or business for a given accounting period.
It is important to note that the Rural Agricultural Development Authority plays the pivotal role of assessing the eligibility of farmers/farming enterprises. Thus, prior to receiving any agricultural incentive, a farmer/ farming enterprise must be registered with the agency.
Additional information may be obtained from calling the Ministry at (876) 927-1731-50, visiting rada.gov.jm or your nearest RADA office.