Rajasthan Budget 2026–27: Major Push for Agricultural Growth and Farmer Welfare

Placing agricultural development and farmer welfare at the heart of the state budget, the Rajasthan government has announced a series of measures aimed at strengthening irrigation, farm mechanization, protected cultivation, storage, and market expansion. More than ₹11,300 crore will be spent on various irrigation-related projects across the state.

Interest-Free Crop Loans for 35 Lakh Farmers

In a significant relief measure, 35 lakh farmers will receive ₹25,000 crore in interest-free crop loans. Additionally, ₹800 crore has been allocated toward interest subsidies. Political observers are linking this major announcement to the upcoming Panchayat elections.

Relief on Land Lease Dues

To ease the financial burden on farmers, the government announced a 100% waiver on interest for pending installments of agricultural land leases, provided the dues are cleared in a lump sum between April 1 and September 30, 2026.

Boost to Farm Mechanization

To promote agricultural mechanization, the state will provide ₹160 crore in subsidies for equipment such as power tillers, disc ploughs, cultivators, harrows, and reapers. Around 50,000 farmers are expected to benefit directly from this initiative.

Additionally, 500 Custom Hiring Centers will be established, allowing farmers to access modern farm equipment at affordable rates.

Under the Chief Minister Seed Self-Reliance Scheme, a target has been set to distribute 70,000 quintals of seeds at a 90% subsidy. To further modernize agriculture, an Agri Stack PMU (Project Management Unit) will be formed to provide farmers with data-driven advisory services and market intelligence.

Protected Farming and Storage Expansion

Under the protected farming initiative, ₹200 crore will be provided as subsidies for greenhouses, polyhouses, and shade nets.

To strengthen storage and value addition, the government will promote the construction of new warehouses and facilitate GI tagging of agro-processing products. Centers of Excellence will also be established in various districts to enhance research and innovation in agriculture.

Farmer Exposure and Skill Development

Under the Knowledge Enhancement Programme, 3,300 farmers will be sent outside Rajasthan next year to gain exposure and hands-on experience in advanced agricultural practices.

Support for Cooperative and Non-Farming Sectors

The budget also includes 5% interest subsidy on loans worth ₹590 crore for cooperative agriculture and non-farming sectors. Approximately 26,000 farmers and small entrepreneurs are expected to benefit from this scheme.

Moreover, in 200 newly formed Gram Seva Cooperative Societies that currently lack storage facilities, warehouses with a capacity of 100 metric tonnes along with office buildings will be constructed.

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Overall, the agricultural package in Rajasthan’s 2026–27 Budget signals a comprehensive approach — combining financial relief, modernization, infrastructure creation, and market expansion — aimed at strengthening the rural economy and improving farmers’ livelihoods.