A.P. Minister Atchannaidu presents agriculture budget in Legislative Assembly with an outlay of ₹53,753 crore

Minister for Agriculture K. Atchannaidu presented the Agriculture and Allied Sectors Budget for 2026-2027 in the Legislative Assembly, for the third time, on Saturday (February 14) with a total outlay of nearly ₹53,753 crore, including ₹14,277 crore for the maintenance and construction of irrigation projects, ₹13,722 crore for electricity subsidy requirements, ₹500 crore for the Price Stabilization Fund and an equal amount for agriculture and allied works under the Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin). 

He noted that Andhra Pradesh’s contribution to the country’s agricultural production stood at 10% and the sector accounted for 33.20% (₹5,39,454 crore) of the Gross State Domestic Product of ₹17,62,357 crore as per full advanced estimates, at current prices, in 2025-26. Promotion of natural farming, encouraging the adoption of digital practices, facilitating crop diversification (from traditional to high-income crops), ensuring remunerative prices, reducing post-harvest losses and giving a fillip to food processing were mentioned as the thrust areas. 

Allocations

The Agriculture department got ₹12,153 crore mainly consisting of ₹250 crore for crop insurance scheme, ₹250 crore for interest-free loans, ₹240 crore for seed subsidies, ₹208 crore for A.P. Community-based Natural Farming Project, ₹40 crore for fertilizer buffer stock management. A sum of ₹1,123 crore has been allocated to the Horticulture department. This includes ₹475 crore for micro irrigation, ₹204 crore for the development of oil palm plantations, ₹177 crore for the Mission for Integrated Development of Horticulture. 

The Animal Husbandry, Fisheries (a 20% growth rate has been set for 2026-27), Cooperation and Sericulture departments have been earmarked ₹1,121 crore, ₹524 crore, ₹210 crore and ₹96 crore respectively. The budget provided approximately ₹805 crore for Acharya N.G. Ranga Agricultural University (₹504 crore), Sri Venkateswara Veterinary University (₹163 crore), Dr. YSR Horticultural University (₹97 crore) and AP Fisheries University (₹39 crore). 

Mr. Atchannaidu stated that the allocation of ₹14,277 crore for irrigation projects was in tune with the government’s commitment to ensure water security by completing the pending projects and desilting the canals wherever necessary. Steps were taken to leverage modern technologies such as AI, Internet of Things, deep tech, drones, robotics and satellite-based systems to transform agriculture into a profitable and high – income generating sector, he added.