Agrarian Transformation in Telangana: An Analytical Report on Telangana's Agricultural Development (2014-2024)

Since the formation of Telangana in 2014, the state has focused heavily on improving agriculture. The government followed two main strategies: giving direct financial help to farmers and restoring irrigation systems on a large scale. This chapter describes the major schemes and policies launched during this period, looking at their spending levels, economic impact, and effects on farmer incomes and crop production. The findings show that Telangana has made big gains in agriculture, but also faces some serious challenges.

Agriculture and related sectors increased their share in the state economy, rising from 17% of Gross State Value Added (GSVA)&Gross State Domestic Product (GSDP) in 2014–15 to about 17.9% in 2023–24, with a peak of 21% in 2021–22. This sector grew at an average of 11.9% per year between 2014–15 and 2022–23, higher than the national average. The area under cultivation expanded from 131.33 lakh acres in 2014–15 to 215.37 lakh acres in 2021–22.

The state invested heavily in this sector, spending more than ₹1.91 lakh crore since 2014. The flagship Rythu Bandhu scheme alone distributed ₹65,000 crore to farmers. These efforts boosted crop yields and slightly improved farmers’ living conditions. However, this success came at a cost—Telangana’s public debt has risen sharply, raising concerns about whether this high-spending model can be sustained in the long run