Puducherry Budget: Financial assistance announced for Karaikal farmers

The Puducherry government announced financial assistance of ₹1,500 per hectare for Karaikal farmers to support summer crop cultivation. The budget also includes funding for agricultural infrastructure and processing units.
Why it matters
This policy aims to mitigate the economic impact of water scarcity on the agricultural sector in the Union Territory.
The Puducherry government has proposed to provide financial assistance of ₹1,500 per hectare for farmers in Karaikal undertaking summer crop cultivation, in the wake of uncertainty in Cauvery water supply, Chief Minister N. Rangasamy said on Monday.
According to the Budget for 2026-27 presented by him in the Assembly, agriculture in Karaikal is heavily dependent on Cauvery water, and farmers face severe hardships when water availability is uncertain during the summer months. To address, this the government proposes to provide a financial assistance of ₹1,500 per hectare. This will entail an annual expenditure of ₹1.13 crore.
An Integrated Centre of Excellence for Fruit and Vegetable Processing and a Custom Hiring Centre for Farm Machinery will be established at the Pandit Jawaharlal Nehru College of Agriculture and Research Institute in Karaikal under the Rashtriya Krishi Vikas Yojana.
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