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Horticulture Push: Powerful Pathway to Farm Diversification and Higher Incomes
Context: India’s farm sector is witnessing a policy and market shift from cereals to high-value horticulture, as highlighted in the RBI Bulletin. With states like Andhra Pradesh doubling subsidies for fruit crops in 2025–26 and Himachal Pradesh adopting geothermal storage for apples, horticulture is emerging as a key driver of farm incomes, nutrition, and employment in current times.
Why is it essential to augment horticulture production?
Despite its promise, horticulture faces challenges:
- Yield stagnation and climate risks: RBI Bulletin (2025) highlighted that crops like grapes and sapota showed declining yields between 1992–93 and 2021–22, worsened by erratic rainfall.
- Post-harvest losses: NITI Aayog estimates India loses produce worth ₹1.5 trillion annually due to weak cold-chain infrastructure.
- Market volatility: Boom-bust cycles of onions, tomatoes, and potatoes disrupt farmer incomes.
- Trade barriers: Stringent EU tariffs and non-tariff barriers affect exports.
Addressing these bottlenecks is essential for sustaining farm incomes, export competitiveness, and nutrition security.
What steps have been taken to enhance horticulture production?
- Schemes & Missions:
- Mission for Integrated Development of Horticulture (MIDH) – supports area expansion, nurseries, and post-harvest infrastructure.
- National Mission on Edible Oils – Oil Palm (NMEO-OP) – aims to reduce import dependency on palm oil.
- Rashtriya Krishi Vikas Yojana (RKVY) – promotes diversification into horticulture.
- Case Studies:
- Andhra Pradesh (2025-26): Doubled subsidies for crops like dragon fruit (₹30,000 → ₹1.62 lakh/ha), expanding 5,678 hectares under horticulture.
- Himachal Pradesh: Partnered with Iceland to build the world’s first geothermal-controlled storage facility in Kinnaur to extend apple shelf life.
- Market and Value Chain Reforms: Expansion of FPOs and e-NAM platforms for transparent price discovery, cold-chain investment, and promotion of GI-tagged produce like Alphonso mangoes.
What more needs to be done?
The way forward lies in a multi-pronged approach:
- Innovation & R&D: Weather-prediction tools, resilient varieties, and intercropping practices (FAO & CGIAR recommended).
- Post-harvest management: Adoption of WRI’s Target-Measure-Act framework to cut food waste.
- Export diversification: Expanding to West Asia, Africa, and ASEAN alongside branding Indian horticulture globally.
- Horticulture Tourism & High-Value Crops: Himachal’s push for dragon fruit and avocado farming can be replicated across states.
