GST Exemptions to Food and Agricultural Organisations (FAO)

As per the latest GST Council meeting held on 20th September 2019, the council announced exempted or reduced Goods and Services Tax in the interest of the public. Of which, the GST is exempted to

Food and Agricultural Organisations (FAO) of the United Nations for the execution of certain projects from 1st October 2019. The exemption is valid only when an officer of the rank of Deputy Secretary to the Government of India in the Ministry of Agriculture and Farmers Welfare certifies the goods supplied. The certificate should carry the following details or information:

the description and quantity of the goods; and
that the said goods are intended for the purpose of use in the execution of said projects.

The details of the projects are:

Strengthening Capacities for Nutrition-sensitive Agriculture and Food systems
Green Ag: Transforming Indian Agriculture for Global Environment benefits and the conservation of Critical Biodiversity and Forest landscape

Both the projects are from the United Nations which focus on Indian agriculture and

farmers. This is executed through the Ministry of Agriculture across all states of India. The entrepreneurs who supply to these projects are exempted from GST effective from 1st October 2019. Strengthening Capacities for Nutrition-sensitive Agriculture and Food systems: This project focus on the following:

Food handling, storage and processing
Food trade and marketing
Consumer demand, food preparation and preferences
Cross-cutting issues
- Nutrition value chains
- Empowerment of women and gender equality
- Prevention, reduction and management of Food loss and waste
- Food quality, safety and hygiene

Green Ag The "Green Ag" project is funded by the Global Environmental Fund program which focusses on the following:

Climate Change
Biodiversity
Land Degradation

The "Green Ag" is coordinated and executed by the Ministry of Agriculture (MoA) and Ministry of Environment, Forests, and Climate Change The exact notification is provided below:

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Frequently Asked Questions

Common questions about GST Exemptions to Food and Agricultural Organisations FAO India.

The two projects for which the GST exemption is applicable are "Strengthening Capacities for Nutrition-sensitive Agriculture and Food systems" and "Green Ag: Transforming Indian Agriculture for Global Environment benefits and the conservation of Critical Biodiversity and Forest landscape." Both these projects are from the United Nations and focus on Indian agriculture and farmers.

These projects are executed through the Ministry of Agriculture and Farmers Welfare across all states of India.

The "Strengthening Capacities for Nutrition-sensitive Agriculture and Food systems" project focuses on various aspects such as food handling, storage, processing, trade, marketing, consumer demand, food preparation, preferences, nutrition value chains, empowerment of women, gender equality, prevention of food loss and waste, food quality, safety, and hygiene.

The "Green Ag" project, funded by the Global Environmental Fund program, focuses on three main areas: climate change, biodiversity, and land degradation.

The "Green Ag" project is coordinated and executed by the Ministry of Agriculture (MoA) and the Ministry of Environment, Forests, and Climate Change.

To avail the GST exemption while supplying to these projects, an officer of the rank of Deputy Secretary to the Government of India in the Ministry of Agriculture and Farmers Welfare must certify the goods supplied. The certificate should carry the description, quantity of the goods, and confirm that the goods are intended for use in the execution of the said projects.

The GST exemption for entrepreneurs supplying to these projects is effective from 1st October 2019.

These projects are significant for Indian agriculture as they aim to strengthen capacities for nutrition-sensitive agriculture and food systems, transform Indian agriculture for global environmental benefits, and conserve critical biodiversity and forest landscapes.

Both these projects are from the United Nations and focus on Indian agriculture and farmers. The United Nations is likely providing funding, expertise, and guidance for the execution of these projects in India.

The GST exemption was announced for these projects by the GST Council in the interest of the public, as these projects are aimed at improving various aspects of Indian agriculture, food systems, and environmental conservation.