India’s Vision for a Green-Powered Agriculture System
As part of its long-term goal to become a major global food supplier by 2047, the country sees low-emission machinery as a foundational requirement. The next 5 to 10 years will bring new policy support encouraging farmers to gradually replace diesel engines with cleaner and more efficient options.
Agriculture Secretary Devesh Chaturvedi noted that this transition will not only reduce India’s dependency on imported fuels but will also significantly cut maintenance and daily running costs for farmers—improving farm profitability while supporting national sustainability commitments.
Announcements at EIMA Agrimach 2025
At the 9th EIMA Agrimach exhibition held from November 27–29, 2025, in New Delhi, the government highlighted its priority areas:
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Greater incentives for electric tractors and green-fuel-compatible machinery
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Policy reforms aligned with clean energy adoption in agriculture
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Increased support for innovation and industry collaboration
Italy emerged as a key partner, offering advanced mechanisation technology and working closely with Indian manufacturers to tailor European designs for local farming needs.
Support for Small and Marginal Farmers
With nearly 90% of Indian farmers operating on small landholdings, the government’s mechanisation plan focuses heavily on affordability and accessibility.
To avoid high upfront costs for individual farmers, the government is promoting:
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Rental and custom hiring centres
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Farmer Producer Organisations (FPOs)–managed machinery pools
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Shared-use models for electric and biogas-powered equipment
Reforms such as GST rationalisation and strengthening of the Sub-Mission on Agricultural Mechanisation (SMAM) will further ease machinery adoption by lowering effective costs through subsidies and tax adjustments.
Women-Friendly Farm Machinery
With 2026 designated as the International Year of Women Farmers, India is aligning its mechanisation strategy to better support women in agriculture.
Plans include:
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Lightweight and ergonomically designed tools
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Motorised equipment suited for women’s physical safety
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Targeted schemes enabling easier access to green-fuel machinery
The goal is to reduce physical strain, improve productivity, and empower women farmers with appropriate mechanised solutions.
India–Italy Partnership: A Boost for Innovation
India’s collaboration with Italy is expanding rapidly, supported by a dedicated EUR 500 million financing line to promote joint ventures, localisation, and technology transfer.
Key insights:
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Around 20 Italian companies already manufacture farm machinery in India
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India’s farm equipment industry could reach USD 20 billion by 2032
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Local production of advanced green-fuel equipment is expected to rise significantly
This collaboration is seen as crucial for both technology advancement and market growth.
Expected Impact on Indian Agriculture
Adopting electric and CBG-powered farm machinery is expected to bring substantial advantages:
Economic Benefits
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Reduced diesel consumption
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Lower fuel and maintenance costs
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More predictable operating expenses
Environmental Gains
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Lower greenhouse gas emissions
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Contribution to clean energy goals
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Reduced pollution from diesel engines
Social & Structural Improvements
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Enhanced inclusivity for smallholders
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Better access to technology for women farmers
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Stronger resilience and efficiency in food production systems