AP allocates Rs 1,223 cr to boost horticulture in 2026-27 budget

Vijayawada: The Andhra Pradesh govt placed horticulture at the centre of its growth strategy, allocating ₹1,223.86 crore to the sector and its allied departments in the 2026–27 state budget. The move signalled an ambitious push to transform the state into a global horticulture hub through a proposed ₹1 lakh crore mega project involving the state, the Centre, and private partners.Andhra Pradesh already holds a prominent position in India's horticulture landscape, contributing 15.6% to the country's fruit production. The state ranks first nationally in the production of oil palm, papaya, cocoa, tomato and coconut, and stands second in chilli production. Banana exports witnessed strong global demand, with nearly 1.2 lakh metric tonnes shipped annually to various countries. In a recent milestone, pomegranates grown in the state fetched a record ₹2 lakh per tonne in the market.To ensure stable incomes for farmers, the govt plans to promote horticulture in regions where conventional agriculture is less profitable. A substantial ₹204 crore was earmarked to encourage oil palm cultivation. Additionally, West Godavari district will be developed as a cocoa hub, with plans to establish a dedicated "Cocoa City."The govt also intends to convert 5 lakh acres of general agricultural land into commercial horticulture cultivation by 2026–27 under a crop diversification programme, backed by ₹176 crore. Recognising that horticulture requires relatively less water, the govt allocated ₹475 crore to subsidise micro-irrigation systems, helping farmers achieve higher yields with efficient water use.Director of horticulture Side K Srinivasulu said farmers in nearly 10 districts are already benefiting from horticultural crops. The govt aims to expand horticulture by 2 lakh hectares annually, targeting 14.4 lakh hectares under cultivation, while also supporting farmers in marketing, branding and exports.Key Highlights₹1,223.86 cr allocated for 2026–27₹204 cr for oil palm promotion₹475 cr for micro-irrigation subsidy5L acres to shift to horticulture by 26–271.2 lakh MT bananas exported annuallyRecord ₹2 lakh/tonne for AP pomegranatesWest Godavari to become cocoa hub