Updated: 3 October 2026
Tamil Nadu does subsidise tractors for farmers. The 2026-27 state budget plans 855 tractors, 8,870 power tillers, 5,090 power weeders and 1,400 rotavators for 24,000 farmers under the Agricultural Mechanisation scheme, with ₹227.20 crore allotted and women farmers given priority. The scheme is run by the Agricultural Engineering Department (AED), and the percentage and rupee ceiling for a tractor of each horsepower band for 2026-27 are not published on the pages reached.
What the pages do show is below, with the year or the lack of one. Older tractor ceilings are reported for Adi Dravidar farmers. Confirm the current rate with the AED office before booking a tractor. The national picture is on the tractor subsidy overview.
Rates found, by machine
| Machine | Farmer category | Rate or ceiling | Source and year |
|---|---|---|---|
| Tractor, state mechanisation programme | All farmers | 25% of cost or the Government of India ceiling, whichever is less | TNAU Agritech page, no year shown |
| Tractor up to 20 hp | Adi Dravidar | ₹1.00 lakh each | Press report via India Agronet, undated |
| Tractor up to 70 hp | Adi Dravidar | ₹1.25 lakh each | Press report via India Agronet, undated |
| Tractor | General category | ₹1.25 lakh per beneficiary | Press report via India Agronet, undated |
| Power tiller | Adi Dravidar, tribal, women and small farmers | 50%, at most ₹85,000 | DT Next, July 2023 |
| Power tiller | Other farmers | 40%, at most ₹70,000 | DT Next, July 2023 |
| Power weeder | Adi Dravidar, tribal, women and small farmers | At most ₹63,000 | DT Next, July 2023 |
| Power weeder | Other farmers | 40%, at most ₹50,000 | DT Next, July 2023 |
The 2023 report adds that SC and ST farmers get a further 20% on top of these amounts. The Ariyalur district page lists tractor, rotavator and power tiller (8 BHP and above) under the Sub Mission on Agricultural Mechanization, funded 60% by the Union Government and 40% by the State, open to all farmers, without giving a tractor rate. Treat the tractor rows as indicative, since the sources carry no current guideline year.
Other support in the 2026-27 budget
- Women: women farmers get priority and 30% of the scheme allocation is earmarked for women self-help groups.
- Village custom hiring centres: 50 planned, with up to 80% subsidy capped at ₹8 lakh per centre.
- Integrated machinery hiring business centres: 50 planned, with 75% subsidy for SC, ST, women entrepreneurs and agricultural engineering graduates and 50% for others.
Portal and how to apply
Farmers are asked to register on the Uzhavan App to get machinery under the subsidy scheme. The older TNAU page says to contact the Assistant Executive Engineer (AED) of the revenue division, the Executive Engineer of the district or the Superintending Engineer of the region. Steps as reported:
- Register your details on the Uzhavan App.
- Choose the machine and the dealer from the scheme's list.
- Pay only your own share, the machine cost less the subsidy, directly to the manufacturer or distributor by RTGS, NEFT or demand draft. This early subsidy plan was introduced in July 2023 for power tillers and power weeders, and whether it applies to tractors is not stated.
Menu labels are not described on the pages reached, so follow the app screen.
Selection and after selection
How applicants are chosen (first come, lottery or district targets) is not published on the pages reached. The budget gives a statewide target of 855 tractors, and the TNAU page says the programme is completed within the financial year, so places are limited. Dealer rules, bill upload and physical verification steps are not published.
Application window
No opening or closing dates for 2026-27 are published on the pages reached. Ask the district AED office when applications are taken.
Hire before you buy
The AED owns machines that farmers can book through the e-Vaadagai app from home or the field. The Ariyalur page gives a tractor hire rate of ₹400 per hour with attachments. A hire day is a cheap way to test whether owning a tractor pays.
If you are buying without subsidy
- Compare tractor loans and test the instalment in the EMI calculator.
- Check tractor prices, the on-road price tool and tractor dealers. For attachments, see implements. Other schemes are in the subsidy finder.
Who to contact
- Chief Engineer, Agricultural Engineering Department, Nandanam, Chennai 35: 2435 2686 and 2435 2622, as listed on the TNAU page (no year shown).
- District office: for example the Executive Engineer (AED) at Tiruvarur, 04366 241577, as listed on the district page. Your own district has a similar office.
Sources
- DT Next, TN Agri Budget 2026: mechanisation drive to get Rs 227 crore fillip
- DT Next, 24 July 2023, early subsidy plan to buy agri machinery (Uzhavan App, power tiller rates)
- TNAU Agritech Portal, Agricultural Engineering schemes (state mechanisation programme, 25% rule, Chennai contacts; no year shown)
- Ariyalur district, Agricultural Engineering Department (SMAM funding, e-Vaadagai, tractor hire rate)
- Tiruvarur district, Agricultural Engineering Department (district office contact)
- India Agronet, tractor subsidy news citing The Hindu, undated (secondary source for tractor ceilings)