UP Govt's Multi-Pronged Strategy to Transform Farm Economy

By By Rediff Money Desk, Lucknow
May 13, 2025 13:57
UP government unveils a multi-pronged strategy to transform its farm economy, focusing on export growth, food security, and job creation.
Lucknow, May 13 (PTI) The UP government on Tuesday said it has launched a multi-pronged strategy to transform state's farm economy, in a bid to boost exports and secure food & nutritional needs.

The UP government has introduced several schemes to expand horticulture, support local processing, and open global market access.

"Setting up fruit and vegetable processing units at the grassroots level is a key focus. These units create jobs across the value chain -- from nurseries and plantations to harvesting, grading, packaging, and marketing," the government said.

The state aims to establish at least 1,000 small and large-scale processing units in each district. Under the Pradhan Mantri Khadya Unnayan Yojana, beneficiaries setting up a unit can get a loan of up to Rs 30 lakh with a 35 per cent subsidy from the government, it said.

So far, around 17,000 units have already been set up. If the unit is owned by a woman entrepreneur and she wants to install a solar plant for it, the government provides up to 90 per cent subsidy on the solar plant, it added.

To further strengthen floriculture and vegetable farming, a new Indo-Dutch Centre of Excellence will be set up in Trivediganj, Barabanki, spanning seven hectares. Developed in collaboration with Dutch experts, this center will serve as a hub for research and hands-on training, the government said.

"A major Export Hub is being developed near the upcoming Jewar International Airport, Asia's largest, while Uttar Pradesh's first Gamma Irradiation Plant has been completed in Nadarganj, Lucknow, ensuring treated fruits and vegetables remain safe and have an extended shelf life -- meeting international standards," it said.

Post-COVID, with rising health consciousness, the global demand for clean and nutritious food has surged. Domestic consumption is also on the rise due to better education, growing income levels, and health awareness.

As per a State Bank of India report, per capita fruit and vegetable availability has increased by 7 to 12 kg annually in the past decade, with per capita production and consumption reaching 227 kg and 146 kg respectively, it said.

Uttar Pradesh has led this growth, with the highest contribution across the country in fruit and vegetable production, it added.

The government added that it is also building the infrastructure needed to boost exports to key markets like Europe and the United States.

From promoting demand-driven farming to setting up export-oriented processing hubs, every step is part of a comprehensive roadmap designed by the Yogi Adityanath government to make agriculture more profitable, employment-generating, and globally competitive, it said in a statement.

"Nearly 40 per cent of the country's workforce is employed in agriculture, yet disguised unemployment remains one of the sector's biggest challenges. A sustainable solution lies in transitioning from traditional farming to demand-driven agriculture, aligned with both domestic and global markets," it noted.

Sanjiv Puri, President of the Confederation of Indian Industry (CII), recently highlighted the need to focus on income-oriented farming and production based on international demand.

"This includes a strong push toward fruit and vegetable cultivation, which not only offers 2 to 2.5 times more income than conventional farming but also generates significantly more employment due to its labour-intensive nature. Moreover, this approach naturally enhances food and nutritional security -- effectively offering a bonus to both farmers and consumers," it said.
Source: PTI
Read More On:
agriculturehorticultureuttar pradeshfarm economyfood processing
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