UP Budget 2026-27: Agri & Rural Development Focus

Lucknow, Feb 11 (PTI) The Uttar Pradesh government has proposed an allocation of Rs 10,888 crore for agriculture, Rs 25,500 crore for rural development and Rs 32,090 crore for Panchayati Raj in the 2026-27 Budget tabled in the Assembly on Wednesday.

Finance Minister Suresh Khanna presented the Budget.

An amount of Rs 2,400 crore has been proposed under the Rapid Economic Development Scheme to strengthen infrastructure in rural areas, while the state said it is working to achieve Sustainable Development Goals by 2030, an official statement said.

Under the 'One Family, One Identity' initiative, Family IDs have been generated for 4 crore families and 15.62 crore individuals, with 98 key schemes of 32 state and central departments integrated with the database.

For rural development, Rs 5,544 crore has been earmarked for MGNREGA and Rs 4,580 crore for the National Rural Livelihood Mission, to be implemented as the Viksit Bharat Gramin Rozgar Evam Aajeevika Mission Guarantee Scheme. A provision of Rs 6,102 crore has been made for the Pradhan Mantri Awas Yojana (Gramin), under which 36.37 lakh houses have been completed against a target of 36.56 lakh since 2016-17. Under the CM Awas Yojna (Gramin), 3.67 lakh houses have been completed against a target of 4.61 lakh.

The Budget proposes Rs 822 crore for the Pradhan Mantri Gram Sadak Yojana.

Panchayati Raj schemes have been allocated Rs 32,090 crore, 67 per cent higher than 2025-26. Provisions include Rs 2,823 crore for Swachh Bharat Mission (Gramin) Phase II, Rs 454 crore for digital libraries at gram panchayat and ward levels, Rs 130 crore for rural stadiums and open gyms, Rs 57 crore for 1,000 multipurpose panchayat buildings, and Rs 100 crore for Panchayat Utsav Bhawans/Barat Ghars in rural areas of each assembly constituency.

In agriculture, the allocation of Rs 10,888 crore is 20 per cent higher than the previous year. The state has set a production target of 753.55 lakh metric tonnes of foodgrains and 48.18 lakh metric tonnes of oilseeds for 2026-27.


Provisions include Rs 155 crore for aquaculture infrastructure under the UP-AGREES project, Rs 245 crore for agri-export hubs, Rs 75 crore as revolving fund support for Farmer Producer Organisations, Rs 637.84 crore for conversion of diesel pump sets into solar pumps, Rs 298 crore for the National Mission on Natural Farming covering 94,300 hectares, and Rs 2,400 crore for assured power supply to private tubewells.

An amount of Rs 251 crore has been proposed for a Seed Park under the UP Seed Self-Reliance Policy 2024 and Rs 103 crore for the Pt Deendayal Upadhyay Kisan Samriddhi Yojana.

In horticulture and food processing, Rs 2,832 crore has been proposed, over 7 per cent higher than last year, including Rs 715 crore for the National Horticulture Mission, Rs 478 crore for the PM Formalisation of Micro Food Processing Enterprises scheme and Rs 300 crore for the implementation of the UP Food Processing Industry Policy 2022.

The statement said 90 per cent of the state's farmers are small and marginal, and horticulture and post-harvest activities generate large-scale employment.

In sugarcane development, 47 lakh farmers cultivated cane over 29.51 lakh hectares in the 2024-25 crushing season. The state's 122 sugar mills crushed 956.09 lakh tonnes of cane, producing 92.45 lakh tonnes of sugar.

Modernisation of over 44 mills and new units at Pipraich, Munderwa and Ramala have added 1.25 lakh tonnes crushing capacity per day, generating over 10 lakh jobs.

For dairy development, Rs 23 crore has been proposed for a new one lakh litre-per-day dairy plant in Mathura. Around Rs 107 crore has been earmarked for the formation of 220 new dairy committees and the reorganisation of 450 committees.

Under livestock, Rs 2,000 crore has been proposed for the maintenance of stray cattle and Rs 100 crore for large cow protection centres. Currently, 12.38 lakh cattle are housed in 7,497 shelters. Allocations include Rs 253 crore for animal disease control and Rs 155 crore for strengthening veterinary hospitals, besides the inclusion of mobile veterinary units under a central umbrella scheme, according to the statement.

In fisheries, Rs 195 crore and Rs 115 crore have been proposed for male and female components, respectively, under the Pradhan Mantri Matsya Sampada Yojana, along with Rs 190 crore for an integrated aqua park and Rs 100 crore for a modern fish wholesale market, integrated aqua park and fish processing centres.