Rs.40,000 cr push to make Seema horticulture hub

Vijayawada: The state government advanced a large-scale plan on Tuesday to reposition Rayalaseema and parts of Prakasam district as a high-value horticulture hub, with Chief Minister N Chandrababu Naidu reviewing an extensive investment blueprint under the Purvodaya Scheme at the Secretariat.

The administration has designed 92 cluster zones to lift farm incomes, expand crop diversity and strengthen value-chain linkages for an estimated 5.98 lakh horticulture farmers.

The proposed Rs 40,000-crore programme integrates road connectivity, irrigation works, Panchayat road upgrades and logistics infrastructure across the region. The plan aligns with World Bank financing options and NITI Aayog recommendations covering horticulture, rural roads, irrigation and crop-specific infrastructure in nine districts.

Naidu said Rayalaseema already cultivates 18 horticulture varieties having global demand, and the government intends to scale the crop basket to 65 varieties, with an immediate goal of introducing eight additional demand-driven crops.

He emphasised certification, traceability, micro-irrigation and cluster-level organic farming as prerequisites for capturing export premiums. The Chief Minister told officials to provide full support to farmers transitioning from low-value traditional crops to high-margin table and processing varieties that meet international standards.

The administration wants Rayalaseema produce to enter global markets through direct air-cargo channels. Officials outlined a plan to move fresh fruit consignments through Dubai, enabling onward distribution to Europe, West Asia and East Asia under specialised cold-chain handling. Naidu said such market access could alter the region’s long-term economic trajectory. The government is also finalising a Rs 14,800 crore package covering cultivation-to-market infrastructure, including cold storage, logistics lanes, processing units and local road connectivity.

Of this, Rs 9,000 crore will be extended as subsidies to farmers. The administration plans to launch an information drive to explain the financial structure and market opportunities to growers.

The review noted that groundwater availability in Rayalaseema has improved due to recent irrigation projects such as Handri-Neeva, a development that finance minister Payyavula Keshav said has already boosted incomes and land values in several pockets of Anantapur. He added that strengthened water supply has made horticulture more viable than in previous decades.

Senior officials from finance, agriculture, horticulture, irrigation, Panchayat Raj and R&B departments attended the review meeting.