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Rayalaseema’s INR1 Lakh-Crore Global Horticulture Hub Launched

By Drooid · · How we work

Core Event: Foundation-stone ceremony and project outline

On October 2, 2026, Andhra Pradesh Chief Minister N. Deputy Chief Minister K. Pawan Kalyan, HRD minister Nara Lokesh, and Reliance Industries executive director Anant Ambani** attended the ceremony.

Background & Context

Rayalaseema, a drought-prone region, has previously benefited from water-security projects such as the Handri-Neeva canal (INR3,500 crore) and the diversion of 500 TMC of water from the Krishna delta. Over five decades the state has pursued micro-irrigation, groundwater-conservation measures and schemes like Jal Jeevan Mission and AMRUT.

Data & Statistics

  • Geographic scope: 10 districts covering 5,860 villages in 201 clusters.
  • Land: Existing horticulture area 8.41 lakh ha; plan adds 6 lakh ha to reach 14.41 lakh ha.
  • Production target: Increase from 222 lakh mt to 435 lakh mt.
  • Beneficiaries: 9.6 lakh farmers.
  • Investment: INR40,352 crore from government (INR20,884 crore irrigation, INR15,000 crore horticulture, INR4,562 crore roads) plus an anticipated INR60,000 crore from private partners.
  • Job creation: Reliance’s compressed-biogas plants could generate over 3 lakh jobs and bring nearly INR60,000 crore of revenue to the state.

Official Statements & Responses

  • Naidu stressed that irrigation is “crucial” to the horticulture plan and described a “seed-to-shipment” ecosystem linking farmers to processing, logistics and export markets.
  • Sitharaman highlighted central support through Kisan Credit Cards, PM-KISUM solar pumps and urea price caps, calling the hub a major leap toward precision farming and value addition.
  • Kalyan framed the initiative as a shift from a drought legacy to a development narrative, citing the creation of 9 lakh acres of new ayacut and stabilization of 4.3 lakh acres.

Verbatim Quotes

  • “Now, the sector is contributing INR1.5 lakh crore in gross value added. The new hub will add another INR1 lakh crore. Rayalaseema is set to become the fruit bowl of the world,” — Mr. Naidu, chief minister
  • “Reliance is partnering with the government to build rural enterprises, strengthen villages, and directly elevate the lives of local farmers. The Indian School of Agriculture will provide technology-driven guidance to farmers and develop solutions to address key challenges in the agricultural sector,” — Director Anant, Reliance

Conflicting Reports & Gaps

  • District count: Some outlets (e.g., IndiaTimes) describe the hub as covering eight districts, while government releases list ten districts, including Prakasam and Markapuram. No clarification is provided.
  • Private-sector investment breakdown: The total private commitment is cited as “around INR60,000 crore,” but detailed sector-wise allocations are not disclosed.

Why It Matters

The hub aims to transform Rayalaseema into a national “fruit bowl,” diversifying crops to include apples, strawberries, avocado, kiwi, dates, dragon fruit and berries. By integrating irrigation, agri-tech, cold-storage and export logistics, the plan seeks to raise farm incomes, reduce post-harvest losses and position Andhra Pradesh as a global supplier of high-value horticultural produce.

What’s Next

  • Execution will occur in three phases from October 2026 through 2029, with 72 clusters in the first phase, 67 in the second and 62 in the third.
  • The Indian School of Agriculture will begin operations after construction, delivering digital-agriculture training, precision-farming tools and market-intelligence platforms for farmers.
  • Discussions on a Godavari-to-Cauvery link continue to provide long-term water security for the region’s expanded horticulture activities.