Reducing Farmers' Burden... Tax-Exempt Fuel Allocation for Agricultural LPG Cargo Vehicles Increased to 569 Liters
On September 29, the government announced that it will increase the allocation of tax-exempt agricultural fuel for liquefied petroleum gas (LPG) cargo vehicles from the current 379 liters to 569 liters, a 50% increase.
This measure aims to reduce the burden on farmers, considering the rapid increase in the use of LPG cargo vehicles by farmers after new registrations of diesel cargo vehicles were suspended from 2024 due to stricter environmental regulations, and the fact that LPG vehicles have lower fuel efficiency compared to diesel vehicles. The number of agricultural LPG cargo vehicles rose from 6,634 in 2022 to 12,622 as of August this year.
The revised notice will also newly establish allocation standards for tax-exempt fuel for long-distance sprayers, which are now included as eligible machinery, and for facilities cultivating bean sprouts and mung bean sprouts, which were added following the amendment of the 'Regulations on Tax-Exempt Agricultural Materials' in February this year.
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Yoon Wonsup, Director of Agricultural Policy at the Ministry of Agriculture, Food and Rural Affairs, said, "We will continue to review measures to reduce farm management costs, such as tax-exempt fuel, by reflecting feedback from the field."
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