Finance Minister Nirmala Sitharaman has an opportunity to make use of Budget 2026-27 to aid innovation in agriculture, promote climate friendly farming, and strengthen supply chain efficiency and rural infrastructure, agro-industry stakeholders say. In their pre-Budget expectations, companies that represent various segments within the agriculture domain were almost unanimous in their demand for government support to help boost agri-sector growth.

Income, credit support needed for farmers in budget

“At Bayer, we believe that the sector needs stronger income and credit support for farmers, predictable trade policies, and sustained investment in agri-logistics, value addition, and post-harvest infrastructure to create scalable impact”, Simon Wiebusch, Country Divisional Head, Crop Science Division of Bayer in India, Bangladesh & Sri Lanka, says.

“Equally critical is accelerating innovation in seeds, crop protection, and digital, climate-smart farming to drive productivity and resilience. Aligned with the Viksit Bharat 2047 vision, these measures can position Indian agriculture as a globally competitive growth engine and a cornerstone of rural prosperity”, he adds.

Govt must position agriculture as growth engine

Sanjiv Kanwar, MD, Yara South Asia says the government should position Indian agriculture as a strategic growth engine, not merely a welfare priority.

“Amid rising climate uncertainty, strengthening farmer income security through predictable markets, higher productivity, affordable credit and effective crop insurance-supported by investments in climate-smart, technology-led agriculture- is essential. A simplified, nationally harmonised regulatory framework for agricultural inputs will accelerate innovation and ensure timely access to high-quality, science-based solutions, enabling modern crop nutrition, better agronomy and digital advisory to enhance productivity, profitability and resource use efficiency for farmers", Kanwar says.

Dairy sector needs a fillip in budget

Some others have proposed more sector specific measures. For instance, Ranjith Mukundan, CEO and Co-Founder, Stellapps Technologies  wants the government to take note that India, despite being the world’s largest producer of milk, has a disproportionately low share in global dairy exports. He proposes to strengthen the dairy value chain from farm to market to convert scale into value.

“With over 80 million smallholder dairy farmers, greater emphasis on agri-tech adoption, digital dairy procurement, and robust cold-chain infrastructure is essential to improve productivity, milk quality, and consistency. A clear push towards value-added dairy products can help India move beyond liquid milk to export-ready formats that meet global standards for safety, nutrition, and traceability. This shift will enable farmers to scale productivity and herd size, improve quality and cost competitiveness, and position India as a credible supplier of value-added dairy products in international markets”, he says.

Sparsh Sachar,  Director and Business Head, FMCG, Nutrica wants Budget 2026 to tackle one of India’s most persistent food vulnerabilities, its dependence on imported edible oils. “We are hoping to see a sharper push on oilseed productivity and procurement, stronger agri-credit and climate-resilient farm infrastructure, and a more predictable import-duty framework that protects farmers without whiplashing consumers”, he says.

Stating that the next wave of growth in food will be nutrition-led, Sachar wants the government to offer incentives that strengthen food processing, modern storage, and value-added categories like honey and peanut butter to help build healthier choices at scale while creating better realisations for farmers.