SCA Rejects Agricultural Income Tax, Calls for Boycott

The Sindh Chamber of Agriculture (SCA) has voiced its strong opposition to the 45% agricultural income tax, deeming the measure both unconstitutional and unlawful. The organization has declared its intention to contest the tax in court and has urged farmers throughout Sindh to abstain from cultivating wheat this year as a form of protest.

Under the guidance of Chief Patron and Central President Professor Dr. Syed Nadeem Qamar, the Sindh Chamber of Agriculture convened a meeting at its Hyderabad headquarters earlier today. Numerous farmers from across the province participated in the assembly.

During the session, farmers voiced strong objections to the government’s imposition of a 45% agricultural income tax, which they believe is a result of directives from the IMF. They proclaimed the act to be illegal, unconstitutional, and unethical and stated that they would challenge it in court. The farmers claimed the tax is unjustifiable because they do not receive equitable compensation for their products.

The Chamber has implored all Sindh farmers to decline payment of the agricultural income tax. They cautioned that if the government takes punitive measures, such as arrests for non-compliance, millions of farmers in Sindh stand ready to be imprisoned rather than pay the tax. They declared a comprehensive boycott of the agricultural income tax and further appealed to the government to grant farmers tax exemptions comparable to those afforded to industrialists.

The Chamber also encouraged all farmers in Sindh to boycott wheat farming for the forthcoming 2025-2026 season, citing insufficient support prices. They advised growing alternate crops, such as mustard, sunflower, nigella (kalonji), and other oilseed crops, instead. The farmers stated that because of the extremely low cost of wheat, they are unable to recoup even their production expenses, thus this year will be considered a boycott year for wheat production.

The Chamber voiced significant worries about the 40% drop in cotton output this year, predicting that the yield would not surpass 4 million bales. Farmers are earning just approximately Rs. 6,500 per maund for cotton, despite the Sindh Agriculture Minister’s assurance of Rs. 11,000, which has not happened.

The Chamber has also requested the elimination of the 18% local tax on cotton, lowering it to 0%, and the imposition of a 25% tax on imported cotton to discourage imports and encourage domestic output.