Global Horticulture Hub in Rayalaseema: A Boost to the Agriculture Sector

The Andhra Pradesh government has allocated ₹30,000 crore for the development of the Rayalaseema Global Horticulture Hub as part of the regional growth strategy in the state budget (2026–27). This hub project includes Anantapur, Sathya Sai, Chittoor, Tirupati, Kurnool, Nandyal, YSR Kadapa, Annamayya, Prakasam, and Markapuram. A total of 303 mandals and 5,869 villages in 10 districts come under this hub. This means that the government will focus on the development of the horticulture sector with the cultivation, production, and management of fruits, vegetables, flowers, ornamental plants, spices, and garden crops. Horticulture plays an important role in sustainable agriculture, especially in countries like India, as it provides nutrition security, employment generation, and export earnings.
Why has the government chosen the horticulture hub in Rayalaseema?
Rayalaseema accounts for about 43% of the horticultural area and 55% of the horticultural production in Andhra Pradesh. Although the region is traditionally a semi-arid region, it is one of the largest horticultural production centres in the state. Since the beginning, horticultural crops have been the main focus of horticultural expansion in the Rayalaseema contiguous districts (Ananthapuram, Chittoor, Kadapa, Kurnool). According to the official horticultural sector data of the Government of Andhra Pradesh (from AP Socio-Economic Survey and Horticultural Records 2023-24), the total area under horticultural crops in Rayalaseema is 19.50 lakh acres and the total production of horticultural crops is 189.69 lakh metric tonnes.
The major horticultural crops grown in Rayalaseema are banana, mango, papaya, pomegranate, sweet orange, and other citrus fruits grown in some areas. Tomato, chilli, onion, and other experimental & diversified crops like avocado, dragon fruit, strawberries, and dates are also included—farmers and research institutes are experimenting with these to diversify horticultural crops in the region. The Andhra Pradesh government has identified about 65 horticultural crops in the region, including 18 key export-oriented crops that are being promoted with support for irrigation, marketing, cold storage, and export linkages.
Targets and Infrastructure
The Rayalaseema Horticulture Centre Plan aims to expand the horticultural cultivation area from 8.41 lakh hectares to 14.41 lakh hectares by 2030, set up 201 clusters in 303 mandals to increase exports, create 9 lakh jobs, and increase production from 222 lakh tonnes to 445 lakh tonnes in three years. The project will spend Rs 24,000 crore under various programmes. The central and state governments’ share is Rs 15,500 crore, while the farmers’ share is Rs 8,500 crore.
Fast-track projects like the Veligonda project and the Galeru-Nagari project provide assured water for horticultural crops. The aim is to ensure international-grade production by adopting high-quality table varieties, organic farming, and global best practices, and to train farmers on traceability and certification to meet international market demands. The aim is also to improve roads, cold chains, logistics, and air cargo facilities to facilitate international exports, especially targeting markets like Dubai.
Horticulture Issues in Rayalaseema
The horticulture sector in Rayalaseema faces several persistent challenges that limit its growth potential. Chronic water scarcity and recurrent droughts in Rayalaseema severely affect fruit and vegetable cultivation. Dependence on monsoons and inadequate micro-irrigation coverage reduce productivity. Soil degradation, salinity, and declining groundwater levels further affect crop yields. Small and marginal lands limit the implementation of modern technologies and mechanization. The incidence of pests and diseases is increasing due to climatic variability and weak extension services.
Post-harvest losses are high due to poor cold storage and grading/processing facilities. Inadequate rural roads and transportation increase marketing costs. Price volatility and weak market linkages expose farmers to income uncertainty. Limited priority for institutional credit discourages investment. Awareness and utilization of government horticulture schemes is uneven. Value addition and export orientation are not fully developed. Overall, infrastructural, climatic, financial, and institutional constraints together hinder sustainable horticulture development in Prakasam and Markapuram districts of Rayalaseema. Integrated water, technology, infrastructure, and financial institutional support are crucial to address these issues for sustainable horticulture growth. The progress of this hub depends on the actual allocation of funds and commitment to the implementation of programs.
Transformative Role
The horticulture hub in Rayalaseema plays a transformative role in the overall development of the allied agricultural sectors of the region. By promoting high-value fruit and vegetable horticulture crops, it improves the income of farmers. The hub promotes resource utilization and the establishment of cold storages, pack houses, and processing units in this drought-prone region through the deployment of micro-irrigation and water-efficient technologies. It will generate large-scale rural employment in cultivation, grading, processing, transportation, and marketing activities. Allied sectors like food processing, dairy, poultry, logistics, and agri-inputs will benefit through backward and forward linkages. Export-oriented production will increase foreign exchange earnings and market access. Overall, the horticultural hub will act as a growth engine and reduce migration. This hub will achieve sustainable integrated development of agri-allied sectors in Rayalaseema.










