Budget 2026: Agriculture Sector Seeks Strong Push for Technology and Climate Support

Key Highlights

• Agriculture employs 45% of the workforce but contributes 18% to output.

• Strong push sought for digital and climate-smart farming tools.

• Green irrigation and renewable assets are seen as critical needs.

• The dairy sector demands feed, vet training, and women-led unit support.

• Integrated data platforms can improve efficiency and investments.

As Budget 2026 approaches, leaders from India’s agriculture sector are urging the government to increase spending on digital infrastructure, climate-smart farming, and modern agricultural tools to improve farmer incomes and strengthen rural growth.

Industry experts highlighted that agriculture employs nearly 45% of India’s workforce but contributes only about 18% to the country’s economic output, showing the urgent need for focused and well-planned support. They believe the upcoming budget offers a key opportunity to boost productivity, resilience, and long-term growth in farming.

“Agriculture is now being recognised not just as a support sector, but as a major contributor to rural demand, employment, and economic resilience,” said Amit Vatsyayan, Leader – GPS Agriculture, Livelihood, Social and Skills at EY India.

Key Expectations from Budget 2026

Focus on Digital and Climate-Smart Infrastructure

Experts called for wider adoption of advanced tools such as drones, sensors, data analytics, and precision farming technologies. These solutions can help farmers increase yields, reduce input costs, and manage climate risks more effectively.

Investment in Green Farming and Irrigation

The sector is seeking higher investment in micro-irrigation, watershed management, and renewable energy-powered farm assets. Such measures can expand irrigation coverage, improve water efficiency, and lower the impact of climate change on crops.

Strengthening Public-Private Partnerships

Leaders also emphasized the need for enhanced collaboration between the government and private sector players to improve storage, logistics, and agricultural research. Better infrastructure can reduce post-harvest losses and increase farmers’ market access.

Industry Voices: Dairy and Digital Agriculture in Focus

Dairy Sector Demands Targeted Support

Brahmani Nara, Executive Director of Heritage Foods Ltd, highlighted rising demand for high-protein dairy products following recent GST changes. She urged the government to focus on:

• Easier access to quality cattle feed and breeding resources

• More veterinary training seats

• Capital support for small dairy units, especially those led by women entrepreneurs

Digital Tools to Improve Farm Productivity

Swapnil Jadhav, CEO of MapMyCrop, said that support for digital credit linkages and precision-based farming tools can help farms across India become more productive and climate-resilient.

Addressing Structural Challenges in Agriculture

Soumyak Biswas, Agriculture Partner at BDO India, pointed out persistent issues such as small and fragmented landholdings, high post-harvest losses, and limited research investment. He called for broader support to allied sectors like livestock and fisheries, along with stronger encouragement for crop diversification.

Need for Integrated Data Platforms

Amit Vatsyayan further emphasized the importance of a coordinated public data platform that links systems such as AGMARK-NET and e-NAM with farmer records, credit, insurance, and markets. Such integration could improve efficiency, reduce risks, and attract fresh investment into the agriculture sector.

Why Budget 2026 Is Crucial for Agriculture

With a large share of India’s population dependent on farming, experts agree that targeted investment in technology and climate-friendly infrastructure is essential. These measures can enhance productivity, improve farmer incomes, and drive sustainable rural development as the country looks ahead to Budget 2026.

Also Read: Domestic Tractor Sales Grow 29% in Apr–Dec 2025; State-Wise Performance Highlights

CMV360 Says

As Budget 2026 approaches, agricultural leaders are calling for focused investment in technology, climate-smart infrastructure, and related sectors to unlock the sector’s full potential. With nearly half of India’s workforce dependent on farming, experts believe digital tools, green irrigation, dairy support, and integrated data platforms can boost productivity, improve farmer incomes, reduce risks, and ensure long-term rural growth and economic resilience.