Union Budget 2026–27: Big Push to Livestock and Fisheries Growth

Context:

The Union Budget 2026–27 accords a major policy and fiscal push to livestock and fisheries, with allocations rising by 26.7%, recognising these allied sectors as the primary drivers of agricultural growth.
While crop agriculture grew at ~3.5%, livestock and fisheries expanded at ~7.1%, contributing nearly 16% of total farm income and sustaining overall agricultural growth of 4.6% in FY 2025–26.

What Is the Budgetary Shift?

• Allocation to the Ministry of Fisheries, Animal Husbandry and Dairying increased to ₹8,915.26 crore (FY 2026–27).
• Signals a structural transition in Indian agriculture:
  • From crop-centric support
  • To diversified, income-resilient, market-linked allied activities

This approach aligns with:

• Declining farm sizes
• Climate risks to crops
• Rising protein demand
• Export opportunities in animal-based products

I. Livestock Sector: From Subsistence to Professional Value Chains

The Budget emphasises “Saturation + Professionalisation” to improve animal health, productivity, and farmer incomes.

1. Veterinary Workforce Expansion

• Target: Addition of 20,000+ veterinary professionals
• Addresses India’s chronic shortage of vets, para-vets, and diagnostic capacity

Loan-Linked Capital Subsidy (New)

• Incentivises private sector participation in:
  • Veterinary colleges
  • Animal hospitals
  • Diagnostic laboratories
  • Breeding and AI centres

2. Rashtriya Gokul Mission (RGM)

• Allocation enhanced to ₹800 crore
• Focus on:
  • Genetic improvement of indigenous cattle breeds
  • Scientific breeding and conservation

3. Entrepreneurship & Livestock FPOs

• Integrated Scheme for Entrepreneurship Development
  • Outlay: ₹500 crore
  • Credit-linked subsidies for:
    • Livestock startups
    • Livestock-based Farmer Producer Organisations (FPOs)

4. Tax Relief for Cooperatives

• Tax deductions extended for:
  • Supply of cattle feed
  • Inter-cooperative dividends

II. Fisheries Sector: Blue Economy and Export Orientation

The fisheries sector receives its highest-ever allocation of ₹2,761.80 crore, positioning it as a key pillar of the Blue Economy.

1. Inland & Coastal Fisheries Infrastructure

Reservoir and Amrit Sarovar Development

• Integrated development of 500 reservoirs and Amrit Sarovars
• Objective: Boost inland fish production

2. Empowerment through FPOs & Startups

• Strengthening coastal value chains
• Special focus on:
  • Women-led groups
  • 200+ fisheries startups

III. Radical Export Reforms: Making Indian Seafood Globally Competitive

To counter global trade headwinds and enhance export competitiveness, the Budget introduces transformational tax and logistics reforms.

Key Export Reforms and Their Impact