Agricultural Machinery Industry Development Policy Released to Expand Corporate ** Channels

In order to promote the healthy and orderly development of the agricultural machinery industry and better serve agricultural production and agricultural modernization, the Ministry of Industry and Information Technology publishes the “Agricultural Machinery Industry Development Policy”.

The "Policy" proposes to actively support qualified agricultural machinery companies to raise funds through various means such as listing and issuing bonds, encourage agricultural machinery manufacturing enterprises to develop toward a group, and through mergers and acquisitions based on the combination of market competition and macroeconomic regulation. , restructuring, etc., to establish a comprehensive large-scale enterprise group with international competitiveness.

In order to achieve this goal, the competent authorities actively support qualified companies to raise funds through various means such as listing and issuing bonds, broaden the channels for direct financing, encourage private capital and foreign investment to invest in companies that meet the direction of industrial development, and encourage financial institutions to comply with Industrial policies for agricultural machinery industry projects provide credit support, give full play to the role of financing guarantee agencies, and provide loan guarantee services for enterprises.

The fiscal and taxation support policies for the agricultural machinery industry include: The central government should comprehensively use fiscal and taxation levers to implement a stable tilt policy for the agricultural machinery industry. The agricultural machinery products continue to apply the 13% value-added tax rate; the agricultural machinery manufacturing enterprises that meet the requirements of the national high-tech enterprises are classified as: The preferential tax rate of % is levied on corporate income tax; key components and raw materials that are imported for new-type, high-power agricultural machinery products supported and supported by the state are indeed exempted from import duties and value added tax on import links. For foreign-invested agricultural investment projects that are encouraged by the state, agricultural machinery products that cannot be produced domestically are exempted from tariffs within the prescribed scope.

The "Policy" also proposes that the expenses for scientific research and experimental design can be regarded as daily production expenses and deducted before tax; investment in the construction of scientific research facilities and experimental research required for the development of products shall be in accordance with the relevant national tax regulations. Can be listed before income tax.

Although the total volume of China's agricultural machinery has developed rapidly, the huge population base still leaves China's per capita agricultural machinery below the world average, and the comprehensive mechanization level is only about 48%, and it shows a clear structural imbalance.

Yao Hongguang believes that with the full support of policies, agricultural machinery as the main way to support the upgrading of agricultural production will obviously benefit the high prosperity of the industry, among which, fine agricultural machinery adapted to rice, maize, and economic crops will face faster Industry growth.