Budget boost for high-yield, climate-resilient seeds likely

Govt looks to boost R&D for hybrid seeds as industry eyes 10% of global market share by 2028

- Dhirendra Kumar

The Union budget for FY26 is expected to announce a substantial increase in funding for research and development of high-quality and high-yield hybrid seeds for pulses, edible oils and cotton—essential commodities whose shortages have led to an import spike, two people in the know said.

The Centre plans to develop climate-resilient seed varieties to boost productivity and improve farmers' incomes.

The agriculture sector, employing about 42.3% of the population and contributing 18.2% to the GDP, is facing challenges such as climate change, leading to inconsistent yields.

A case in point is cotton, as imports are set to rise by 42% to 2.5 million bales in FY25, even as exports drop by 37% to 1.8 million bales, according to the Cotton Association of India (CAI).

In FY25, the ministry of agriculture is expected to spend ₹1.36 trillion, including an additional ₹13,407 crore for which Parliament's nod was secured in January, showing a more-than-16% jump in spending.