Announces Rs 1,878 crore capex
Srinagar, Feb 06: Chief Minister Omar Abdullah, while presenting the Jammu and Kashmir Union Territory Budget on Friday, laid strong emphasis on transforming agriculture and allied sectors into a modern, diversified and income-oriented economy, backed by massive public investment and technology-driven reforms.
The Chief Minister said the sector is witnessing a paradigm shift under the Holistic Agriculture Development Programme (HADP) and the J&K Competitiveness Improvement Project (JKCIP), supported by IFAD assistance. “Our focus has moved away from subsistence farming towards a climate-resilient, productivity-driven and remunerative agricultural ecosystem,” he told the House.
According to the Budget, the cultivated area in J&K has expanded from 12.71 lakh hectares to 13.50 lakh hectares, while the Seed Replacement Rate has nearly doubled from 12 per cent to 22 per cent, significantly improving crop productivity and resilience.
Protected cultivation has also received a major push, with 332 hi-tech greenhouses and 848 polyhouses established over nearly 30 hectares. These facilities have enabled farmers to increase cropping intensity up to 250 per cent while reducing risks from erratic weather.
The CM highlighted remarkable progress in oilseed cultivation, where the area has expanded from 1.4 lakh hectares to 2.1 lakh hectares, leading to a doubling of production and helping the UT reduce dependence on imported edible oils.
Digital empowerment of farmers has emerged as a key pillar of reforms. Through Kissan Khidmat Ghars (KKGs), over eight lakh farmers have been onboarded onto the Kisan Sathi and KKG mobile platforms, with 1,300 centres already operational.
Omar said the government aims for universal digital farmer coverage by March 2027 through the Digital Crop Survey.
Under the PM Fasal Bima Yojana, more than 2.01 lakh farmers covering over 75,000 hectares were insured during Kharif 2025, providing critical protection against crop losses.
Irrigation infrastructure, too, has seen massive expansion. The government has created irrigation potential for 4.53 lakh hectares by December 2025 under Command Area Development and Modernisation schemes, with another 16,207 hectares proposed for 2026-27.
Allied sectors are emerging as major income drivers. Mushroom production has risen by 31 per cent over three years, touching 2,742 metric tonnes through the establishment of 227 units. Apiculture has witnessed an impressive 77 per cent growth, with honey production crossing 3,895 metric tonnes, supported by the distribution of over one lakh bee colonies and the creation of 11 honey processing units.
In horticulture, the High-Density Plantation Scheme continues to transform orchard productivity. Over 1,119 hectares have been covered since 2017-18 with an investment of ₹139 crore, while nearly 18,915 hectares are under medium-density plantations. Fruit production increased from 26.43 lakh metric tonnes in 2023-24 to 26.92 lakh metric tonnes in 2024-25, with a target of 29.72 lakh metric tonnes by 2029-30.
To strengthen planting material quality, a mega fruit nursery has been commissioned at RS Pura, Jammu, with a capacity of five lakh saplings, while elite nurseries are being developed in Udhampur and Anantnag. During 2026-27 alone, over 8 lakh planting materials and nearly 18 lakh rootstock plants will be produced.
The Chief Minister also announced that SKUAST Jammu has established a state-of-the-art Ex-Situ Gene Bank, making it only the third such institution in India, aimed at conserving valuable plant genetic resources.
The dairy sector featured prominently in the Budget, with annual milk production already touching 28.75 lakh metric tonnes. Omar announced the setting up of seven milk processing plants of one lakh litres per day capacity, at a cost of around ₹770 crore, expected to benefit nearly 11 lakh dairy farmers.
“My target is to increase milk processing in J&K from the current 4 per cent to 25 per cent in the next few years,” he said.
To further boost organised dairy farming, the government will offer a 15 per cent top-up subsidy under the Integrated Dairy Development Scheme, form 4,000 new dairy cooperative societies, and deploy bulk milk coolers, testing labs, milk-o-chill units and insta-chillers across rural areas.
With these interventions, dairy cooperative turnover is projected to rise from ₹407 crore to nearly ₹1,898 crore annually, generating an additional ₹300 crore in income for around three lakh farmers each year.
Marketing reforms have also gained momentum through the e-NAM platform, now integrated with 17 of the UT’s 19 wholesale mandis. Since 2020-21, trade worth ₹1,721 crore has been conducted digitally, benefitting farmers by eliminating middlemen and improving price discovery.
The poultry and fisheries sectors are set for rapid expansion, with plans to establish 800 commercial poultry units and 50,000 backyard units to produce around 250 million eggs annually. Fish production is expected to rise from 31,000 metric tonnes in 2025-26 to 33,000 metric tonnes in 2026-27.
Capping the ambitious roadmap, the CM announced a capital expenditure allocation of ₹1,878 crore for agriculture and allied sectors in 2026-27, signalling the government’s strong commitment to making rural prosperity the backbone of Jammu and Kashmir’s economic growth.
“This Budget is about empowering farmers, strengthening rural livelihoods and building a resilient, modern agricultural economy for the future of J&K,” Omar Abdullah said—(KNO)
