The Biz Reporter

Srinagar, Feb. 7— The Kashmir Valley Fruit Growers Cum Dealers Union has cautiously welcomed the J&K Budget 2026-27 while demanding immediate compensation for catastrophic losses suffered during last year’s extreme weather events that devastated orchards across the region.

Budget Provisions Appreciated

The umbrella body representing fruit growers across the Valley praised Chief Minister and Finance Minister Omar Abdullah for introducing key agricultural measures, particularly the Crop Insurance Scheme for apples and expansion of Controlled Atmosphere storage facilities.

“The announcement of Crop Insurance is a positive and much-needed step that can protect growers against unforeseen risks,” said representatives of the Kashmir Valley Fruit Growers Cum Dealers Union in a statement issued on Friday. “The expansion of CA storage infrastructure will help improve post-harvest management, reduce distress sales, and enhance returns to farmers.”

Rs 2,000 Crore Losses Unaddressed

However, the Union expressed disappointment that several critical demands remain unmet in the budget estimates.

“Fruit growers and dealers across Kashmir have suffered heavy losses in recent years due to untimely rains, hailstorms, and snowfall, pushing many orchardists into financial distress,” the Union stated. “The Valley-based fruit growers have suffered massive losses approximately to the tune of Rs 2,000 crores. There was an expectation that the Budget Estimates 2026-27 would provide a special relief or compensation package for affected growers, but unfortunately no such provision has been made.”

The Union highlighted that weather-related disasters in 2025 caused unprecedented damage to orchards, leaving thousands of farmers in acute financial distress.

Insurance Scheme Needs Expansion

While welcoming the apple-focused insurance scheme, the Union demanded its immediate expansion to cover other major fruit crops.

“There is an emergent requirement of inclusion of cherry, plum, peach, pear, and babagosha under the Crop Insurance Scheme,” the statement emphasized, noting that these crops are equally vulnerable to climate risks but remain unprotected.

Import Duty Threatens Local Industry

The Union raised alarm over reduced import tariffs on foreign apples, which they say threatens the survival of domestic horticulture.

“The fruit growers of the Valley, Himachal Pradesh, and Uttarakhand fear the slashing down to 0% import tariff on American and European apples,” the Union warned. “Kashmir Valley Fruit Growers Cum Dealers Union had been seeking a hike in apple import duty for long to compete with imported apples, but it is unfortunate the same had been reduced from 50% to 25% under FTA on New Zealand apples, which adversely impacts prices of local produce and threatens the livelihood of fruit growers.”

The Union demanded imposition of “over 100% import duty on American and European apples so that the horticulture industry of J&K (UT) may not take the shape of a ‘sick industry.'”

Call for Comprehensive Support Package

Among the 11-point demand list submitted to the government, the Union sought:

• Reintroduction of the Market Intervention Scheme (MIS)
• Establishment of a dedicated Horticulture Estate
• Subsidies on packaging materials and fertilizers/pesticides
• Waiver or restructuring of Kissan Credit Card loans
• Development of fruit mandis across the Valley
• Establishment of testing laboratories

“The government should hold consultations with fruit growers’ representatives to announce a comprehensive relief and support package including compensation for weather-related crop losses, pesticide subsidies, and KCC loan relief in the larger interest of sustaining the horticulture industry of J&K (UT),” the Union appealed.

Hope for Future Support

Despite the concerns, the Union expressed confidence in the current administration.

“We reiterate our confidence in the present leadership of the government machinery and express our hope that continued support of the government with regard to left-out demands would help to revive the horticulture sector and safeguard the livelihoods of the Valley-based fruit growers and dealers,” the statement concluded.

The Union has specifically requested the Chief Minister to take up the import duty matter with Prime Minister Narendra Modi and the Union Ministry of Agriculture.

The horticulture sector, particularly apple cultivation, forms the economic backbone of Jammu and Kashmir, employing hundreds of thousands of families and contributing significantly to the region’s GDP.