India’s Agriculture Budget Rises Fivefold, Boosts Farmer Support and Foodgrain Output

Key Highlights

• Agriculture ministry budget increased from ₹27,663 crore in 2013-14 to ₹1.4 lakh crore for FY 2026-27
• Over 3,000 climate-resilient crop varieties released and 26 crore Soil Health Cards distributed since 2014
• PM-KISAN scheme provided ₹4.3 lakh crore in direct income support to farmers since 2019
• Fertilizer subsidy rose to ₹2.21 lakh crore in 2024-25 with urea sold at ₹266 per 45 kg bag
• India achieved record foodgrain production of 3,577 lakh tonnes and ₹5 lakh crore in agri exports

Key Government Initiatives

Between 2014 and 2025, the government released 3,000 climate-resilient crop varieties. These varieties help farmers adapt to changing weather patterns and reduce crop losses. The distribution of around 26 crore Soil Health Cards has enabled farmers to use fertilizers more efficiently. These cards provide detailed information about soil quality, helping optimize fertilizer application and reduce costs.

Under the PM-KISAN scheme, the government has provided over ₹4.3 lakh crore in direct financial assistance to farmers since 2019. Eligible farmers receive ₹6,000 per year, paid in three equal installments. This scheme aims to provide income support and improve the financial stability of farming households.

Fertilizer Subsidies and Price Support

The fertilizer subsidy has increased from ₹75,000 crore in 2014-15 to ₹2.21 lakh crore in 2024-25. The government continues to offer urea to farmers at ₹266 per 45 kg bag, while the actual cost is about ₹2,200 per bag. This subsidy covers nearly 90% of the cost, ensuring that fertilizers remain affordable for farmers.

Over the past 12 years, the government has procured crops, mainly wheat and paddy, at the minimum support price (MSP). The total value of these purchases exceeds ₹26 lakh crore. MSP procurement helps protect farmers from market price fluctuations and ensures a stable income.

Record Production and Export Growth

India achieved a record foodgrain production of 3,577 lakh tonnes in 2024-25. This growth reflects the combined impact of increased budget allocations, improved crop varieties, and better access to inputs. The government also reported that agriculture exports reached ₹5 lakh crore last fiscal year, marking a 37% increase compared to 2013-14.

These measures have contributed to higher productivity, increased farmer incomes, and stronger export performance. The government states that its continued focus on agriculture aims to improve farm productivity, ensure income security, and build a resilient agricultural sector.