Andhra Pradesh Unveils Rs 1 Lakh Crore Horticulture Hub for Rayalaseema
AMARAVATI: Andhra Pradesh is embarking on an ambitious nearly Rs 1 lakh crore horticulture development programme aimed at transforming drought-prone Rayalaseema and adjoining areas into a major fruit-production, processing and export hub, with the initiative set to cover 5,869 villages and benefit about 9.6 lakh farmers.
The three-year Global Horticulture Hub — Rayalaseema Rising, structured as an Integrated Horticulture Development Plan (IHDP), will be implemented through 201 clusters across 303 mandals in 10 districts.
Union Finance Minister Nirmala Sitharaman, Chief Minister N. Chandrababu Naidu and Deputy Chief Minister Pawan Kalyan are scheduled to formally launch the initiative at Madanapalle on October 2.
The programme envisages Rs 40,352 crore in public investment, while the government aims to mobilise approximately Rs 60,000 crore from the private sector, taking the planned investment to about Rs 1 lakh crore.
5,869 Villages Across 10 Districts
The massive programme will cover Anantapur, Annamayya, Chittoor, Kurnool, Nandyal, Sri Sathya Sai, Tirupati, YSR Kadapa, Prakasam and Markapuram districts.
Together, the project encompasses 303 mandals and 5,869 villages.
The objective goes beyond simply increasing the acreage under fruit and vegetable cultivation. The government plans to build an integrated horticulture economy connecting irrigation, cultivation, rural roads, post-harvest handling, cold-chain infrastructure, food processing, logistics, marketing and exports.
The larger goal is to turn a region historically associated with drought and water scarcity into a high-value agricultural production centre.
Horticulture Area Targeted to Rise to 14.41 Lakh Hectares
Under the plan, horticulture cultivation in the project region is targeted to increase from the existing 8.41 lakh hectares to 14.41 lakh hectares, an expansion of 6 lakh hectares.
Horticultural production is targeted to almost double — from about 222 lakh metric tonnes to 435 lakh metric tonnes.
Around 9.6 lakh farmers are expected to benefit directly from the initiative.
The crops proposed for expansion include mango, sweet orange and other citrus varieties, pomegranate, guava, banana, papaya, avocado, fig and pepper, among other horticultural crops.
Rs 20,884 Crore for Irrigation
Water availability is central to the programme because large parts of Rayalaseema are drought-prone.
Of the Rs 40,352 crore public investment component, about Rs 20,884 crore is earmarked for irrigation, approximately Rs 14,906 crore to Rs 15,000 crore for horticulture development and Rs 4,562 crore for rural roads, according to current project reports.
The plan proposes creating irrigation potential for an additional 9 lakh acres and stabilising irrigation for another 4.3 lakh acres.
Micro-irrigation, including drip systems, is also expected to play an important role because horticultural expansion in a water-stressed region will depend on efficient use of available water.
Three-Year Rollout
The programme is designed for implementation in phases between 2026 and 2029.
The source material provides annual public-investment targets of approximately Rs 12,066 crore in 2026-27, Rs 15,036 crore in 2027-28 and Rs 13,250 crore in 2028-29.
Rather than expanding cultivation first and creating infrastructure later, the plan seeks to coordinate irrigation, road connectivity, horticulture development and post-harvest infrastructure.
That integration will be crucial because increasing fruit production without adequate cold storage, processing and market access can expose farmers to price crashes and post-harvest losses.
Private Sector Expected to Invest About Rs 60,000 Crore
The second major component is private investment.
The Andhra Pradesh government aims to attract approximately Rs 60,000 crore from private companies, particularly for post-harvest infrastructure, processing, cold chains, logistics and marketing.
If realised, that investment would make the private-sector component larger than the government's Rs 40,352 crore infrastructure programme.
The government's vision is to create a complete value chain in which farmers are connected not only to production support but also to grading, storage, processing, domestic markets and exports.
That distinction is important: the headline Rs 1 lakh crore represents a combination of planned public expenditure and private investment the government hopes to mobilise, rather than Rs 1 lakh crore already committed as government spending.
Indian School of Agriculture Planned at Madanapalle
The horticulture-hub launch will also be accompanied by the foundation stone for an Indian School of Agriculture at Madanapalle.
According to the Andhra Pradesh government release reported by news organisations, Reliance has come forward to work with the state government in establishing and managing the institution.
The proposed school is intended to provide technology-driven guidance to farmers and develop solutions to agricultural challenges.
The initiative adds an agricultural education and technology component to the wider horticulture strategy, which otherwise focuses heavily on irrigation, production and market infrastructure.
Can Rayalaseema Become India's 'Fruit Bowl'?
The Andhra Pradesh government says its ultimate ambition is to establish Rayalaseema as a major horticultural production centre and position the region as India's “Fruit Bowl.”
Agriculture and Horticulture Minister K. Atchannaidu has said the programme is ultimately intended to increase the income and living standards of approximately 9.6 lakh farmers.
For a region where recurrent drought and irrigation shortages have historically constrained agriculture, the scale of the proposal is significant.
But the programme's eventual impact will depend on execution: completing irrigation infrastructure, achieving the planned expansion in cultivation, securing the targeted private investment and creating reliable processing and market linkages for the additional horticultural production.
The next three years will therefore determine whether the Rs 1 lakh crore vision translates into a durable transformation of Rayalaseema's agricultural economy.
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