Agriculture sector anchors J&K economy: Economic Survey

Srinagar, Feb 17: The Economic Survey Report 2025–26 has underscored the central role of agriculture in Jammu and Kashmir’s economy, describing the sector as the primary source of livelihood for a large segment of the population and a key driver of rural income and economic stability.

The report states that the Government of Jammu and Kashmir has undertaken wide-ranging reforms to modernise agriculture, enhance productivity, improve irrigation coverage, diversify crops and strengthen market access, with a focused emphasis on sustainability, youth engagement and value addition.

The survey highlights the Holistic Agriculture Development Programme (HADP) as a flagship intervention aimed at structural transformation of the sector. Under HADP, 29 projects with a total outlay of Rs 5,013 crore are being implemented over five years.

According to the report, the programme is projected to sustainably increase the Gross State Domestic Product (GSDP) by approximately Rs 28,000 crore. It is expected to create around 2.88 lakh additional jobs and facilitate the establishment of nearly 19,000 new enterprises. Nearly 13 lakh families are projected to benefit through improved livelihood opportunities, while skill development initiatives are expected to cover about 2.5 lakh youth.

The survey notes that implementation of these projects has already begun yielding results.

Another major initiative cited in the report is the Jammu & Kashmir Competitiveness Improvement Project (JKCIP), launched in 2024 with a total outlay of Rs 1,800 crore. The seven-year project is being implemented across 90 selected blocks in the Union Territory.

The project aims to benefit approximately 3 lakh families, reaching an estimated 15 lakh individuals. The survey mentions that implementation has commenced in selected blocks and is supported by a dedicated online portal that enables application processing, monitoring and real-time reporting to ensure transparency and efficiency.

The Economic Survey records a 1.33 percent increase in total food grain production, rising from 20,904 thousand quintals to 21,181 thousand quintls over the last year.

Vegetable production reached 496.09 thousand quintals during 2024–25, bringing the Union Territory closer to self-reliance. The report highlights expansion into high-value and exotic vegetables such as broccoli and asparagus, along with value-addition initiatives including maize processing into corn flakes and sweet corn.

Under the Yellow Revolution initiative, mustard cultivation covered 1.80 lakh hectares.

Mushroom production increased by 11.98 percent, from 33,848 quintals in 2023–24 to 37,903 quintals in 2024–25. Honey production recorded a significant 48 per cent increase during the same period, rising from 17,701 quintals to 26,301 quintals.

The area under High Yield Variety (HYV) seeds expanded by 12.5 percent, from 11.04 lakh hectares to 12.42 lakh hectares.

Market reforms and digital integration have strengthened price realisation. Seventeen out of 19 wholesale mandis in Jammu and Kashmir are now integrated with the e-NAM platform. The system has recorded 55,355 registrations, trade volume worth Rs 1,680.34 crore, and 2.83 million quintals traded.

The survey states that adoption of e-NAM has led to a 14 per cent increase in farm income and productivity.

Seven Geographical Indication (GI) tags were awarded since 2023–24, including for Kashmir Saffron, Mushkbudji rice, Bhaderwah Rajmash, Sulai Honey and Basmati rice, with 20 additional products in the pipeline.

Agriculture universities — SKUAST-Jammu and SKUAST-Kashmir — registered 164 patents over the past four years, including 47 in 2025–26.

Under the Pradhan Mantri Fasal Bima Yojana (PMFBY), coverage was extended to all 20 districts. In 2024–25, 2.08 lakh farmers covering 80,884 hectares were insured, with claims amounting to Rs 26.92 crore, benefiting more than 94,000 farmers. During Kharif 2025, 2.015 lakh farmers covering 75,735 hectares were insured.

Under PM-KISAN, Rs 3,907.49 crore was disbursed to 9.19 lakh farmers in 2024–25. Additionally, 11.39 lakh Kisan Credit Cards were issued, and loans amounting to Rs 10,290 crore were extended up to December 2025.

The Economic Survey concludes that sustained public investment, digital governance, infrastructure expansion and diversification strategies are collectively strengthening agriculture and allied sectors, reinforcing their role in rural development and overall economic growth in J&K.