GUNTUR: Amid growing concerns over the viability of traditional crops like chilli, which occupy 46,000 out of 48,000 hectares of horticulture land in Palnadu district, the State government has significantly increased subsidies for horticulture crops for the 2025-26 financial year. The move is expected to boost the income of farmers and also horticulture.
Speaking to TNIE, Palnadu District Horticulture Officer (DHO) Ramana Reddy said that over 90,000 farmers are engaged in horticulture in the district, out of which over 85% farmers are involved in chilli cultivation.
However, the plummeting price of various chilli varieties led to widespread losses. “To prevent losses and benefit the farmers, the State government has doubled subsidies for horticultural crops in 2025-26. This substantial increase will encourage more farmers to shift to horticulture, which offers better returns than traditional crops,” he said.
The revamped support scheme includes not just the distribution of fruit saplings, but a comprehensive three-year subsidy covering maintenance, irrigation, fertilisers, and pesticides. Under the National Rural Employment Guarantee Scheme (NREGS), small and marginal farmers with up to five acres of land are eligible for 100% subsidy-including free saplings and full support for orchard development.
Horticulture department officials, in coordination with DRDA and DWMA teams, are educating farmers about the enhanced subsidies and guiding them through the application process.
Upland areas in the district, considered ideal for orchard development, are a key focus, with efforts underway to ensure farmers understand the long-term benefits of shifting to fruit crops. The total subsidy for each crop will be released in phases.
Subsidy allocations for 2025-26 have seen steep hikes. For instance, mango cultivation now receives Rs 50,000 per acre, up from Rs 13,300 last year.
Dragon fruit growers will receive Rs 2.7 lakh over two years, while guava and pomegranate each will receive Rs 50,000. Banana farmers will get Rs 44,000, and flower crops like marigold, chrysanthemum, and crossandra will receive Rs 20,000. Jasmine growers are eligible for Rs 30,000 in total.
“With these efforts, we expect a significant shift toward horticulture during the upcoming Kharif season and a notable increase in acreage,” Ramana Reddy added.