Chandigarh, March 9 -- Punjab finance minister Harpal Singh Cheema on Sunday allocated Rs.15,377 crore for agriculture and allied sectors in the state budget for 2026-27, with a focus on crop diversification, market reforms and farmer welfare. Presenting the budget, Cheema said 50% of the allocation will be spent on providing free power to around 14.5 lakh agricultural tubewells, which irrigate 32-35 lakh hectares of farmland during the rabi and kharif seasons. "Punjab accounts for nearly 3% of the country's total cultivated area, yet contributes about 40% of wheat and 31% of rice to the central grain pool," Cheema said, adding that the state continues to play a critical role in ensuring national food security. During the 2025-26 fiscal, the state extended a 33% subsidy on Bt cotton hybrid seeds recommended by the Punjab Agricultural University. The scheme benefited over 52,000 farmers, with Rs.11 crore transferred directly to cultivators, leading to a 19% increase in cotton acreage this season. To promote water conservation, farmers adopting Direct Seeded Rice (DSR) receive Rs.1,500 per acre as financial assistance. The government distributed Rs.35 crore under the scheme in 2025-26, and has proposed Rs.40 crore for 2026-27 to further encourage the technique, which reduces labour demand and conserves groundwater, said Cheema. To encourage water-efficient cultivation practices, financial assistance of Rs.1,500 per acre is being provided to farmers adopting direct seeded rice (DSR) technique. During the 2025-26 fiscal, assistance amounting to Rs.35 crore was given to farmers and for the upcoming year, realizing the benefits in addressing labour shortages and conserving groundwater, a provision of Rs.40 crore is proposed for year 2026-27 to further promote paddy transplantation that conserves subsoil water. To promote sustainable cropping pattern, a pilot project encouraging a shift from paddy to kharif maize has been implemented in six districts - Pathankot, Gurdaspur, Bathinda, Sangrur, Jalandhar and Kapurthala with an incentive of Rs.17,500 per hectare, an allocation of Rs.15 crore has been made during the financial year 2026-27. To curb crop residue burning during the paddy harvest season, the government continues to subsidise stubble management machinery, providing 80% subsidy to panchayats and 50% subsidy to individual farmers. While Rs.402 crore was allocated in 2025-26, the provision has been increased to Rs.600 crore for 2026-27. To promote high-value crops, the state will implement a Rs.1,300 crore horticulture programme over the next 10 years with assistance from the Japan International Cooperation Agency (JICA). Cheema also announced Rs.100 crore to stabilise milk procurement prices, aimed at ensuring better returns for dairy farmers and protecting them from market fluctuations....