Tractor Subsidy Scheme 2025: Complete Details, Eligibility, and Application Process
The Tractor Subsidy Scheme 2025 is one of the most impactful initiatives launched by both the Central and State Governments of India to support farmers in mechanizing their agricultural operations. With modern technology driving the agriculture sector, owning a tractor is essential for every small and marginal farmer. However, due to high purchase costs, many farmers are unable to afford one. To address this challenge, the government provides financial assistance and subsidies under various tractor subsidy programs to make mechanized farming affordable and efficient.
This article provides complete details about the Tractor Subsidy Scheme 2025, including eligibility criteria, documents required, subsidy percentage, online application process, and state-wise implementation details.
Objectives of the Tractor Subsidy Scheme 2025
The main goal of this scheme is to improve agricultural productivity and reduce manual labor by enabling farmers to access tractors and modern farm equipment at subsidized rates. The government aims to:
- Encourage mechanized farming among small and marginal farmers.
- Increase crop yield and reduce dependency on labor.
- Support farmers in purchasing tractors and power tillers for cultivation, irrigation, and transportation.
- Provide financial relief through subsidy assistance of up to 50–75% based on category and region.
Implementing Agencies
The Tractor Subsidy Scheme is jointly managed by:
- Department of Agriculture, Cooperation & Farmers Welfare (DAC&FW) – Central Government.
- State Agriculture Departments – for regional implementation.
- National and State Agricultural Banks – like NABARD, SBI, and cooperative banks for financial support.
- Direct Benefit Transfer (DBT) System – to ensure subsidy is credited directly to the farmer’s bank account.
Key Features of Tractor Subsidy Scheme 2025
- Subsidy up to 50–75% of the tractor cost depending on the state and category of farmer.
- Available for individual farmers, groups, and cooperative societies.
- Farmers can purchase tractors from approved dealers and manufacturers only.
- Subsidy is provided under schemes like PM Kisan Tractor Yojana, State Tractor Subsidy Programmes, and Agricultural Mechanization Schemes.
- Farmers can apply online through their respective state agriculture portals.
- Preference is given to SC/ST, women farmers, and small landholders.
Eligibility Criteria
To avail of the tractor subsidy, applicants must fulfill certain eligibility conditions:
| Criteria | Details |
|---|---|
| Farmer Type | Small, marginal, or medium farmers |
| Landholding | Applicant must own agricultural land (minimum 1 acre recommended) |
| Age Limit | 18 to 60 years |
| Category | Priority to SC/ST, OBC, women, and economically weaker farmers |
| Usage Purpose | Tractor should be used for farming only |
| Financial Status | Applicant should not have availed a tractor subsidy in the past 7 years |
| Bank Account | Must have a valid account linked with Aadhaar for DBT |
| Residency | Applicant should be a permanent resident of the state applying from |
Documents Required
Applicants must upload or submit the following documents:
- Aadhaar Card – Identity proof.
- Land Ownership Documents – RTC, Pahani, or Record of Rights.
- Caste Certificate – For SC/ST/OBC farmers (if applicable).
- Residence Proof – Voter ID, Ration Card, or Driving License.
- Bank Passbook Copy – For DBT transfer.
- Passport-size Photographs – Recent color photos.
- Quotation or Proforma Invoice – From authorized tractor dealer.
- Mobile Number – Linked with Aadhaar for OTP verification.
- Income Certificate – For small and marginal farmers.
Subsidy Amount and Financial Assistance
The percentage of subsidy varies depending on the state, category, and tractor type. The general subsidy pattern is as follows:
| Category | Subsidy (%) | Maximum Limit (Approx.) |
|---|---|---|
| Small & Marginal Farmers | 40–50% | ₹1.25 lakh to ₹3 lakh |
| SC/ST Farmers | 50–75% | ₹1.5 lakh to ₹4 lakh |
| Women Farmers | 50% | ₹2 lakh to ₹3.5 lakh |
| General Category | 25–40% | ₹1 lakh to ₹2 lakh |
| Farmers’ Group/Cooperatives | 40–50% | ₹3 lakh to ₹5 lakh |
Note: Actual subsidy may vary from state to state depending on policy changes.
Tractor Models Covered Under Subsidy
Only government-approved tractors qualify for the subsidy. These include popular brands such as:
- Mahindra
- TAFE (Massey Ferguson)
- John Deere
- New Holland
- Swaraj
- Sonalika
- Escorts
- Eicher
- Powertrac
Farmers can select tractors ranging from 20 HP to 75 HP, depending on landholding and crop type.
How to Apply for Tractor Subsidy Online
Farmers can apply for the tractor subsidy online through their respective state agriculture department’s official portal. Below is the step-by-step process:
Step 1: Visit the Official Portal
Go to your State Agriculture Department website or the Central Mechanization Portal (agrimachinery.nic.in).
Step 2: Register as a Farmer
- Click on “Farmer Registration.”
- Enter details like name, Aadhaar number, mobile number, and land details.
- Verify using OTP.
Step 3: Login to the Portal
Use your registered credentials to log in and access the tractor subsidy section.
Step 4: Fill Application Form
Provide complete details such as:
- Personal and land information
- Tractor make and model
- Dealer details
- Quotation and cost estimate
Step 5: Upload Documents
Upload scanned copies of all required documents in the prescribed format.
Step 6: Submit Application
After verifying the entered details, click on “Submit” and note down your application reference number.
Step 7: Verification and Inspection
- Agricultural officers will verify your documents and may conduct a field inspection.
- Once approved, you will receive confirmation via SMS.
Step 8: Tractor Purchase and Subsidy Disbursement
- Purchase the tractor from the approved dealer.
- Submit the purchase bill and tractor chassis details.
- Subsidy will be transferred directly to your bank account under Direct Benefit Transfer (DBT).
Offline Application Process
For farmers without internet access, the offline procedure is also available:
- Visit the nearest Agriculture Office or Krishi Vigyan Kendra (KVK).
- Collect the Tractor Subsidy Application Form.
- Fill in all details and attach the required documents.
- Submit the form to the Agriculture Officer.
- Upon verification and approval, subsidy details will be shared.
Benefits of the Tractor Subsidy Scheme 2025
- Affordable Mechanization – Farmers can buy modern tractors at a reduced cost.
- Improved Productivity – Faster plowing and sowing increase crop yield.
- Reduced Labor Dependence – Cuts down on manual work and saves time.
- Economic Growth – Enhances rural income and agricultural development.
- Employment Generation – Opens opportunities for tractor service providers.
- Encourages Women Farmers – Special incentives for women beneficiaries.
Common Reasons for Application Rejection
- Incomplete application or missing documents.
- Providing incorrect land or Aadhaar details.
- Duplicate applications from the same farmer.
- Non-eligibility (landless or previous subsidy availed).
- Unapproved dealer purchase or delayed submission.
Farmers are advised to double-check all documents and fill out accurate information to avoid rejection.
Helpline and Contact Information
For assistance, farmers can contact their district agriculture office or use the official helplines:
- Central Agriculture Mechanization Helpdesk: 1800-180-1551
- Email: customercare@agrimachinery.nic.in
- State Helpline Numbers: Available on respective agriculture department portals.
Latest Updates (2025)
- The Government of India has increased the budget allocation for farm mechanization under the Sub-Mission on Agricultural Mechanization (SMAM).
- Priority will be given to farmers applying through FPOs and cooperative groups.
- E-voucher-based subsidy disbursal is being introduced to ensure transparency.
- Women-led Self-Help Groups (SHGs) are eligible for up to 75% subsidy on small tractors and power tillers.
State-wise Tractor Subsidy Details 2025
State Subsidy Percentage Application Website Karnataka 50% for SC/ST, 40% for others raithamitra.karnataka.gov.in Telangana 50% subsidy under Rythu Bandhu Tractor Scheme agriculture.telangana.gov.in Andhra Pradesh 40–60% under YSR Yantra Seva Pathakam http://apagrisnet.gov.in Tamil Nadu 40–60% for small farmers http://tnagrisnet.tn.gov.in Maharashtra 40% subsidy under Agri Mechanization http://mahaagri.gov.in Gujarat 50–60% for small & marginal farmers ikhedut.gujarat.gov.in Madhya Pradesh 40% subsidy under MP Krishi Yantra Scheme mpagrisnet.gov.in Uttar Pradesh 50% subsidy under Krishi Yantra Anudan upagriculture.com Rajasthan 50% subsidy for SC/ST farmers agriculture.rajasthan.gov.in Punjab 40–50% under Mechanization Scheme agrimachinerypb.com
The Tractor Subsidy Scheme 2025 is a revolutionary step towards empowering Indian farmers with modern agricultural technology. By offering substantial financial assistance, the government ensures that even small and marginal farmers can adopt mechanization to increase productivity, reduce workload, and improve profitability.
Farmers should carefully review eligibility conditions, collect necessary documents, and apply through the official agriculture department website of their state. With proper application and verification, they can receive up to ₹4 lakh in subsidy directly credited to their bank account.
This initiative not only supports the backbone of India’s economy—the farmers—but also promotes sustainable and efficient farming practices across the country.