In her Union Budget 2026-27 speech, Finance Minister Nirmala Sitharaman highlighted a renewed focus on high-value agriculture . Part of this strategy includes giving attention to several nut crops that have strong growth potential, can improve farmer incomes, and help India compete better in global markets. This initiative aligns with the government’s broader goals under the “Sabka Sath, Sabka Vikas” framework, aiming to expand opportunities for farmers across different regions of the country.
Here’s a closer look at the six nut crops that were mentioned in the Budget and why they matter for agriculture, rural livelihoods, and exports.
1. Walnuts: Temperate Nut With Export Potential
Walnuts are one of the most important nut crops in India’s temperate regions such as Jammu & Kashmir, Himachal Pradesh, and Uttarakhand. The government noted that Indian walnuts come in a variety of shell types, from paper-shelled to hard-shelled, and are widely cultivated across these areas.
In FY24, walnut cultivation covered a substantial area, and exports reached over 2,100 metric tonnes, with major markets including the United Arab Emirates, Turkey, and Singapore. Supporting walnuts can boost farmer incomes in hilly regions and position India more strongly in international trade.
2. Cocoa: Plantation Crop With Processing Advantage
Cocoa was also highlighted in Budget 2026 as a nut crop with commercial significance, particularly in southern India. Cocoa grows well alongside taller crops like coconut and arecanut, making it suitable for mixed plantation farming without needing a separate growing climate.
India exported more than 45,000 tonnes of cocoa products in FY25, indicating solid global demand. With government attention, the aim is to scale up processing, enhance quality, and strengthen export competitiveness.
3. Coconut: A Staple Nut With Big Rural Impact
The Union Budget 2026 also underscored support for coconut production. India is one of the world’s largest producers of coconuts, and this crop supports livelihoods for an estimated 30 million people, including nearly 10 million farmers.
Under Budget proposals, a coconut promotion scheme will promote productivity by replacing unproductive trees and encouraging adoption of improved varieties in major coconut-growing states. This is expected to strengthen incomes and rural employment opportunities.
4. Cashew: Coastal Crop With Growth Scope
Cashew cultivation is concentrated mainly in coastal regions of India. As part of the high-value crop push in Budget 2026, the government proposed dedicated programmes for Indian cashew production and processing.