PMO Flags Agricultural Slowdown Ahead of Budget 2026

The Prime Minister’s Office has taken cognisance of the slowing growth trajectory in India’s agriculture sector, which has declined from 4.6 percent in 2024–25 to an estimated 3.1 percent in 2025–26. In response, the upcoming Union Budget is expected to outline targeted policy interventions aimed at revitalizing the sector through cooperative farming models and enhanced value addition.

Government sources indicate that the budget may focus on strengthening farmer collectives, improving post-harvest infrastructure, and expanding agro-processing capabilities to boost rural incomes and employment. Integrating small and marginal farmers through cooperatives is being viewed as a key strategy to achieve economies of scale, modernize supply chains, and enhance market competitiveness. These measures are expected to align with the broader rural development and inclusive growth agenda.