₹500 Crore Allocation for Use of Artificial Intelligence (AI) in Agriculture This Financial Year – Deputy Chief Minister Ajit Pawar

Baramati, Aug 2025: In this year’s state budget, ₹500 crore was allocated over two years to promote the use of Artificial Intelligence (AI) technology in agriculture. However, given the immediate need and proven benefits of this technology, the entire amount will be made available within the current financial year itself, and necessary allocations will continue in the future as required, announced Deputy Chief Minister and Pune District Guardian Minister Ajit Pawar.

He was speaking at a farmers’ convention and agricultural exhibition organized at Shri Chhatrapati Mangal Karyalaya, Bhavaninagar, by Shri Chhatrapati Co-operative Sugar Factory, under the theme “Use of AI Technology in Sugarcane Cultivation.” Present on the occasion were Agriculture Minister Dattatraya Bharne, Agricultural Development Trust Chairman Rajendra Pawar, Sugar Factory Chairman Prithviraj Jachak, and Vice Chairman Kailas Gawde, among others.

Appreciating the initiative of the sugar factory in organizing the exhibition and convention, Pawar said that declining soil fertility, rising fertilizer costs, water scarcity, reduced sugarcane productivity, climate change, and decreasing yields have put both farmers and factories in difficulty. AI technology has already proven to increase sugarcane yield by up to 40 percent, he noted. Therefore, AI will be a “gamechanger” in making farming more cost-effective. Preparations are also being made to extend AI applications to orchards, cotton, and soybean cultivation, he added.

Pawar highlighted that with a growing population, urbanization, and increased land use for development works, farmland is shrinking. Hence, it is vital to produce more on existing land, which requires modern technology.

For sugarcane farmers adopting AI, the estimated cost per hectare is ₹25,000. Of this, ₹9,000 will be borne by Vasantdada Sugar Institute, ₹7,000 will be advanced by the sugar factory, and the farmer will contribute ₹9,000. He urged farmers to step forward and avail this technology.

The Deputy CM also assured that state government will ensure timely release of drip irrigation subsidies for farmers. Since drip irrigation is essential for AI-based farming, this will help tackle climate-related challenges. He further advised farmers to replace sugarcane seeds every three years, avoid excessive use of herbicides to preserve soil fertility, and adopt climate-resilient practices.

Pawar also announced ₹10 crore for road development works around the sugar factory area. Additionally, he stated that the factory should provide 81 R land to Rayat Shikshan Sanstha for building a school. Senior MP Sharad Pawar, through Rayat Shikshan Sanstha, has planned a budgetary provision of ₹4 crore for constructing the school building. The state government and district bank have already extended support to the sugar factory, and further assistance will continue, Pawar assured.

Speaking on the occasion, Agriculture Minister Bharne said that farmers in the region are achieving good yields of various crops. The government will continue to address their challenges and take decisions in their interest through the agriculture department. He emphasized that traditional farming methods must change, and new technologies like AI should be adopted to reduce water and fertilizer consumption. He also informed that drip irrigation subsidies for 2024–25 have been disbursed and that the pending ₹54 lakh subsidy for this year for district farmers will be released soon. The central research center at Padegaon will also receive necessary support, he added.

On the sidelines, dignitaries visited the agricultural exhibition, which featured stalls from the Agriculture Department showcasing schemes, VSI, various drip irrigation and pipe manufacturers, tractor and farm equipment suppliers, drone technology providers, AI solutions, modern farming tools, and food processing units.

The event was attended by District Superintendent Agriculture Officer Sanjay Kachole, ATMA Project Director Suraj Madke, directors of the sugar factory, agriculture department officials, and farmers.