Punjab launches tractor subsidy scheme for farmers

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Web Desk: The government of Punjab to support farmers and boost agriculture productivity has started tractor scheme. In the scheme 10,000 tractors ranging from 50 to 75 horsepower are being provided to farmers in the first phase. And the second phase is underway in which the balloting and distribution of 10,000 tractors with 75 to 85 horsepower will ben given.

Subsidies of up to Rs 1 million per tractor has been offered by the government. In January the third phase will begin in which applications for 50 to 55 horsepower tractors will be invited.  In free interests’ loans tractors with 100 to 120 horsepower will be given to farmers additionally.

Chief Minister Punjab Maryam Nawaz has said that the purpose of the scheme is to increase agriculture output and ensure economic self-reliance and the government is supporting farmers through practical measures rather than hollow slogans.  

Also read: CM Punjab green tractor scheme: waiting list farmers given deadline

Earlier it was reported that the Department of Agriculture, Punjab (DAP) has issued a warning to farmers on the waiting list for the CM Punjab High Power Green Tractors Program.

It has been stated that applicants must submit their share of the payment by December 22. If not, they may risk losing their tractor allotment, according to a social media notice from DAP.

Under the Green Tractor Scheme, farmers receive a subsidy of PKR 1 million per tractor.

It has allowed them to purchase modern tractors ranging from 50 to 85 horsepower. All of it is manufactured locally.

Eligible manufacturers include Millat Tractor Company, Al-Ghazi Tractors Limited, and other domestic producers.

Farmers can select their preferred tractor through the online registration portal.

To qualify, applicants must own 1 to 50 acres of agricultural land. The initiative is designed to support Punjab’s rural economy.

It relies heavily on agriculture but has traditionally faced challenges due to outdated farming methods and the high cost of equipment.

Launched in 2025, the Green Tractor Scheme aims to make modern tractors more accessible. Additionally, to promote mechanisation across the province.

The government is investing over PKR 60 billion to deliver 20,000 new tractors to farmers.

It has marked a record effort in Pakistan to enhance farm mechanisation and agricultural productivity.

CM Punjab green tractor scheme

The Chief Minister of Punjab Green Tractor Scheme 2025 is a major initiative launched by CM Maryam Nawaz Sharif. It aims to promote farm mechanisation and modernise agriculture in the province.

As of December 2025, the program has entered its second phase, with more than 8,554 allotment letters already issued to successful farmers.

The scheme aims to distribute a total of 20,000 tractors across Punjab in 2025. It offers a flat subsidy of PKR 1 million per tractor.

Digital balloting for Phase 2 was held on September 18, 2025. During which 9,500 farmers were selected for high-power tractors from over 734,000 applicants.