YSRCP (Agriculture and Farmer Welfare) general secretary MVS Nagi Reddy claimed that agriculture in Andhra Pradesh is in deep crisis and declining rural incomes are dragging down the state’s finances, contrary to optimistic forecasts in the budget.
Addressing the media at the party headquarters, Mr Nagi Reddy said the revenue projected at ₹2,17,976.53 crore for 2025-26 has been revised to ₹1,96,903.53 crore, a shortfall of over ₹21,000 crore. Despite this, the government has now projected ₹2,34,140.14 crore, an 18.91% increase, which it termed unrealistic.
Similarly, state tax revenue was reduced from ₹1,28,126 crore to ₹1,11,865 crore, but fresh estimates put it at ₹1,37,320 crore.
Mr. Nagi Reddy claimed that declining farm incomes due to poor implementation of SMEs, lower yields and marketing failure have reduced rural purchasing power. He noted that despite increased paddy acreage during Kharif 2025-26, production saw only a marginal increase, indicating declining productivity. Cotton farmers reportedly suffered losses due to Cyclone Montha, while groundnut and maize farmers faced a sharp fall in prices below the MSP.
He also highlighted the limited purchases of chickpeas by the National Agricultural Cooperative Marketing Federation of India Ltd. (NAFED) and warned of further problems.
Andhra Pradesh, he said, slipped to the national 10th position in paddy procurement, while Telangana offered a bonus of ₹500 per quintal.
He called the projections “ready” and urged urgent remedial measures to prevent irreversible damage to the rural economy.
Published – 22 Feb 2026 19:26 IST
