Punjab’s ‘Green Tractor Programme’: CCP may take suo motu notice of exclusion of imported tractors

ISLAMABAD: The Competition Commission of Pakistan (CCP) is likely to take suo motu notice of the exclusion of certain categories of imported tractor models from the Punjab government’s upcoming “Green Tractor Programme,” a move that could potentially violate Pakistan’s competition laws by limiting market access and reducing consumer choice.

Sources confirmed Business Recorder that the CCP is legally empowered to check any move restricting competition in Pakistani market or abuse of domestic position as well as restricted choices to the consumers.

According to reliable sources, the Government of Punjab has approved PC-1 for the provision of 9,500 subsidised tractors (ranging from 75 to 125 horsepower) to farmers during the fiscal year 2025-26 under the “Chief Minister’s Programme for Provision of High-Powered Tractors.” A pre-qualification meeting of original equipment manufacturers (OEMs) and importers was also held recently.

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However, stakeholders have raised concerns that the scheme selectively includes only locally manufactured tractors in the 50–65 HP category, while excluding imported models of similar specifications. The basis for this exclusion remains unclear and may amount to discriminatory treatment in violation of Section 3 and Section 4 of the Competition Act, 2010, which prohibit abuse of dominant position and restrictive agreements, respectively.

According to the Punjab Government’s Portal, “The Green Tractor Scheme” gives farmers a subsidy of Rs0.1 million per tractor. Through balloting, the scheme will provide 9,500 tractors to farmers at subsidised prices. Farmers can choose tractors with 50 to 85 horsepower, all manufactured in the country.

Locally manufactured tractors and any other local tractor manufactures, Kisan Bhai can get these tractors by just selecting in the online available registration form, according to the Punjab Government’s Portal.

Sources note that imported tractors—especially those in the 50–65 HP range—often feature advanced fuel-saving technology and other competitive advantages.

Copyright Business Recorder, 2025