Union Budget 2026: Big Support for Farmers and Villages

Published on: 01-Feb-2026
Updated on: 01-Feb-2026

What is Union Budget 2026?

The Union Budget of India, or the Annual Financial Statement under Article 112 of the Constitution, is the comprehensive, yearly report of the Central Government's estimated revenues and expenditures for the upcoming fiscal year (April 1 to March 31).

On 1 February 2026, Finance Minister Nirmala Sitharaman presented the Union Budget 2026. It explains how the government plans to use money starting 1 April 2026. This year, the main focus is on farming and village development. The government aims to help farmers earn more, create jobs in villages, and improve rural life.

Direct Assistance to Farmers and Villagers

The government said that all new schemes will provide direct benefits to farmers and village families. Some of the key steps are:

  • Increasing farmers’ income
  • Creating more jobs in farming and related work
  • Improving crop and livestock care

These steps have already helped farming grow by about 7%, and poverty in many villages has reduced.

Challenges Farmers Face

The Budget also discussed the problems farmers face today:

  • Low demand for Indian crops in foreign markets
  • Problems in getting good seeds and fertilizers
  • Delays in supply chains and transport
  • Shortage of water, electricity, and other resources

At the same time, farming is changing with new tools like modern machines and AI technology, which can help farmers make better decisions.

More Money for Agriculture

Union Budget 2026 gives a big increase in funding for agriculture. The Department of Agriculture and Farmers Welfare received ₹21,937 crore in 2013–14. This has increased to ₹1,27,290 crore in 2025–26. This shows that the government considers farming very important for India’s development. About 46% of India’s working population still depends on farming and related work.

New AI Tool for Farmers

One of the most useful announcements in Union Budget 2026 is a multilingual AI-based farming tool. This tool will help farmers:

  • Decide which crops to grow
  • Get weather updates
  • Control pests and fertilizers
  • Check market prices

It will be available in local languages, making it easy for farmers to use and take timely decisions.

Support for High‑Value Crops

The Budget provides special help for high-income crops, including:

  • Coconut
  • Sandalwood
  • Walnuts
  • Cashew and cocoa

Some key programs are:

  • Planting new coconut trees in major producing states to replace old or non-yielding trees
  • Restoring sandalwood farming with the help of states, including planned planting and better market access
  • Increasing cashew and cocoa production to reduce imports and boost exports by 2030

These steps are expected to increase farm income and support farmers in forest-based communities.

Support for Livestock Farmers and Farmer Groups

The Budget also focuses on livestock farming.

  • Farmers will find it easier to get loans through a credit-linked subsidy scheme.
  • Additional help will be provided to Farmer Producer Organisations (FPOs).
  • This will encourage group farming, improve access to loans, and create more jobs in villages.

Conclusion: What It Means for Farmers

Union Budget 2026 provides more funding, new tools, and support for farmers. ₹1.27 lakh crore has been allocated for agriculture. Farmers will get better help for planning their crops with new AI tools. Special schemes will increase earnings from crops and livestock. In short, the Budget aims to make farming more profitable, create jobs in villages, and improve rural life. Farmers now have more support, more opportunities, and better guidance to grow crops and earn more money.