Punjab's Ambitious Agriculture Overhaul: Paving the Way for Sustainable Farming

Punjab's 2026-27 budget focuses on sustainable agriculture with Rs 15,377 crore allocation. Initiatives include crop diversification, subsidies for stubble management, promotion of Direct Seeded Rice, and boosting horticulture with a 10-year roadmap supported by JICA, aimed at enhancing farmer welfare and environmental sustainability.

Punjab Finance Minister Harpal Singh Cheema has unveiled a significant agricultural budget for 2026-27, totaling Rs 15,377 crore, which is aimed at fostering crop diversification, market reforms, and farmer welfare. This initiative includes a pilot project promoting a shift from paddy to kharif maize across six districts with a financial incentive.

To combat the issue of crop residue burning, substantial subsidies are offered on stubble management machinery. The government utilized Rs 402 crore for this purpose in 2025-26, with Rs 600 crore earmarked for the next fiscal year, promoting machinery acquisition among farmers and panchayats.

Punjab is also targeting sustainable water use by advocating for Direct Seeded Rice (DSR), with funds allocated to encourage its adoption. Additionally, horticulture in the state is set for transformative changes with a 10-year, Rs 1,300 crore plan, aided by JICA, focusing on climate-resilient crop cultivation.