Telangana to allocate ₹147.99 crore for farm mechanisation scheme

Hyderabad: Telangana will allocate ₹147.99 crore to its Agricultural Mechanisation Scheme for 2026–27, Agriculture Minister Tummala Nageswara Rao said on Thursday. The State will use the funds to expand support for farm equipment.

Tummala said the Congress-led government had revived the farm mechanisation scheme during 2025–26. The government had allocated ₹71 crore during the first year. It utilised ₹63 crore from that allocation, he said.

Meanwhile, the State has aligned local and Central funds for the next phase of the scheme. However, Telangana is awaiting the Union government’s final operational guidelines, the Minister said.

Tummala directed officials to begin selecting beneficiaries as soon as they receive the Central guidelines. He said early action would help prevent delays in distributing farm equipment.

Farm mechanisation scheme gives farmers supplier choice

The Minister also directed officials to protect farmers’ freedom to choose equipment suppliers. Beneficiaries will not have to purchase machinery from specific manufacturers or designated dealers.

Instead, farmers can buy equipment from any empanelled supplier of their choice. This arrangement will allow beneficiaries to compare available equipment and prices before making purchases.

In addition, Tummala said the government would credit subsidies directly to farmers’ bank accounts through Direct Benefit Transfer. Farmers can therefore compare prices and quality across vendors while choosing equipment.

The Minister said the DBT system would allow farmers to seek competitive rates from suppliers. Officials will begin beneficiary selection after the Union government issues the final operational guidelines.