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<h1>Government cuts GST on many agricultural goods and machinery to 0%/5% to lower costs and boost processing</h1> The government has revised GST rates reducing multiple agricultural and allied goods and services from higher slabs to primarily 5% or 0%, including tractors and parts, irrigation and solar equipment, bio-pesticides, fertiliser inputs, prepared/preserved fruits/fish, dairy (milk and cheese zero-rated; butter/ghee 5%), honey, tendu leaves, and selected transport goods. The amendments aim to correct inverted duty structures, lower input costs, encourage bio-based inputs and mechanisation, and boost food processing and exports. Legal effects include immediate tariff reclassification, altered tax liabilities for suppliers and manufacturers, potential state revenue impacts, and the need for businesses and cooperatives to update GST compliance, invoicing and input tax credit practices.