The State government has issued a notification exempting the newly set up agro based industries and food processing units from payment of Agriculture Produce Market Committee tax for the purchase of agriculture commodities for their manufacturing units.

Exemption of APMC tax for the agro based and food processing industries is one of the several incentive measures announced by the State government in its industrial policy for the period 2006-11. The order for exempting the units from the APMC Tax has been issued after passing and notifying The Karnataka Agriculture Produce Marketing (Regulation) (Amendment) Bill 2007. An order to this effect has been issued recently, an official press release said.

 As per the new amendment agro based industries and food processing units such as pulses processing, rice mills, oil mills, cotton ginning units, etc started from April 2006  will get tax benefit upto March 31, 2011.
Joint Director of the District Industries Centre (DIC) Neelkanth Rathod said the tax exemption certificate and additional information can be had from the DIC.