New Delhi, Dec. 6 -- Reduction in goods and services tax (GST) has made key agricultural inputs cheaper and hence lowered production cost for farmers, said Chemicals & Fertilizers Minister Jagat Prakash Nadda in written reply to a question in Lok Sabha.

Lower GST on Fertilizer Materials GST on sulphuric acid, nitric acid and ammonia has been cut from 18 percentto 5 percent after GST Council's decision to rationalise rates in August this year, while micronutrients now attract 5 percent instead of 12 percent .

The minister said the move will ease manufacturers' working-capital burden and translate into savings for farmers.

Industry estimates show per-acre savings of Rs 140 in paddy, Rs 199 in sugarcane, Rs 446 in potato and Rs 146 in whe...