Gujarat cabinet revises diesel VAT relief scheme for fishermen, removes boat length restriction
Gandhinagar, July 8
The Gujarat government has removed the 20-metre length restriction for mechanised fishing boats to avail of VAT relief on diesel, extending the benefit to all eligible mechanised fishing vessels, including deep-sea boats, in a move expected to benefit more than 18,000 registered boats across the state.
The decision was taken at the State Cabinet meeting chaired by Chief Minister Bhupendra Patel on Wednesday.
Announcing the decision, government spokesperson and Minister Jitu Vaghani said the amendment had been made to the existing scheme providing VAT relief on diesel used by mechanised fishing boats to support the economic development of the state's fishing community.
Vaghani noted that under the previous rules, only mechanised fishing boats measuring less than 20 metres in length were eligible for the scheme.
"In the larger interest of the fishing community, the government has decided to completely remove the 20-metre length restriction. As a result, all mechanised fishing boats in the state, including deep-sea fishing boats, will now be eligible to avail of the scheme," he said.
He added that more than 18,000 registered mechanised fishing boats in Gujarat are now expected to qualify for the diesel VAT relief following the amendment.
To receive the benefit, fishing boats must be registered on the Real Craft Portal and possess a valid fishing licence. "These conditions would remain mandatory for eligibility under the scheme," he said.
Under the revised scheme, all eligible mechanised fishing boats will be issued a 'Diesel Card' by the state government. Cardholders will receive VAT relief on diesel of up to Rs 15 per litre.
Where the applicable VAT is less than Rs 15 per litre, the subsidy will be restricted to the actual VAT amount.
"The revised policy would ensure that fishermen operating small, medium and large mechanised boats receive the same benefit, reducing their daily expenditure on diesel and strengthening their livelihoods," Vaghani asserted.
He also urged fishermen who have not yet registered their boats on the Real Craft Portal or obtained a valid fishing licence to complete the required formalities at the earliest so that they can avail of the scheme.
— IANS
Reader Comments
Finally! The 20-metre restriction made no sense. Our deep-sea fishing boats are fuel guzzlers and we were paying the full VAT. My father has been a fisherman in Veraval for 40 years, and this subsidy will make a real difference. Now if only the government could also look at modernizing our fishing infrastructure and cold storage facilities. 🙏
Good politics before elections? But whatever the reason, it's a welcome step. Fishing communities in Saurashtra and Kutch have been demanding this for years. The Rs 15 per litre subsidy is significant - a deep-sea boat consumes around 500-1000 litres per trip. That's real savings. Hope other coastal states take note and implement similar schemes. 👍
As someone from the fishing community in Diu, I appreciate this move. But I have a concern - what about those who can't afford to get their boats registered on the portal? Many small fishermen are illiterate and don't have access to computers. The government should set up help desks and awareness camps in coastal villages to ensure everyone can benefit. 😊
Smart move by Gujarat government. Fishing is a tough profession with uncertain income, and diesel is the biggest operational cost. Removing the length restriction ensures all mechanized boats get equal treatment. But I'm skeptical about the implementation - will the subsidy actually reach the fishermen or will there be middlemen? Need strong monitoring. ✌️
This is exactly the kind of targeted relief we need. Not just freebies, but practical schemes that reduce input costs for
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