Union Budget: Govt may carve out a dedicated R&D corpus to boost pulses, cotton output

Despite being world’s largest producer of pulses and the second-largest cultivator of cotton, India’s productivity in both crops remains well below global averages, leaving domestic supplies exposed to weather disruptions and external market swings even as demand continues to rise.

While the average yield in pulses was 926 kg per hectare as against a global average of 1,015 kg in FY25, the country’s cotton yield was 440 kg per hectare compared with a global average of around 820 kg during the period. India produced 25.6 million tonnes of pulses and 29.7 million bales of cotton in FY25, way below the country's domestic demand.

As per the agriculture ministry's annual report for FY25, pulses were cultivated over 27.52 million acres, while cotton covered 13 million hectares across the country.

“These new seed varieties will strengthen our pest and disease management systems, and expand field trials to speed up adoption at the farm level. In the case of pulses, the emphasis will be on improving yields through better genetics and region-specific agronomic practices," said one of the two government officials cited above requesting anonymity. “For cotton, additional support is expected to target persistent challenges such as bollworm resistance, water-efficient cultivation and fibre quality improvement, amid stagnant yields and rising input costs."

As per a Niti Aayog report released in September 2025, using 2022 as the base year, the static or household approach estimates that pulses demand will rise to 26.8 million tonnes by 2030 and 29.3 million tonnes by 2047, based on population growth projections and a base-year per capita net availability of 17.69 kg per year, which translated into a total demand of 24.89 million tonnes in 2022. In contrast, the normative approach projects a much sharper increase, with pulse demand at 46.33 million tonnes by 2030 and 50.26 million by 2047.

The normative approach estimates future food demand by assuming what people should ideally consume, rather than what they now do.

India’s total cotton demand was at 35.45 million bales in FY24 and declined marginally to 33.60 million bales in FY25, according to an estimate by the textiles ministry in March 2025.

“Yields in both these crops remain well below global averages and are even lower than the potential yields achieved on trial farms," said Anil Kumar S.G., founder of the Samunnati Group, an agri value chain solutions provider. "The government should consider a challenge-fund model, inviting both public and private sector players to invest in long-term research aimed at raising yields in these crops. This approach can later be extended to other priority crops such as oilseeds."

For FY26, there was a ₹9,772.8 crore budgetary allocation for agricultural research and education. India also recently released 187 climate-resilient seeds on the first day of 2026.

“Pulses yields in Myanmar range between 1.0 and 1.3 tonnes per hectare, which is around 10-30% higher than India’s average yields," said the second government official cited above.

India currently imports tur from Mozambique, Tanzania, Malawi and Myanmar; urad from Myanmar and Brazil; and masur from Canada, Australia, Russia and Türkiye. Cotton is imported from the US, Australia, Brazil, Egypt, Chad, and Burkina Faso.

At present, there is no fund earmarked exclusively for research and development in pulses and cotton, with most seed-related research being undertaken by the Indian Council of Agricultural Research (ICAR) under the ministry of agriculture and farmers welfare.

While the government launched ₹11,440-crore Mission for Aatmanirbharta in Pulses (Dalhan Aatmanirbharta Mission) to be implemented from FY26 to FY31 for boosting domestic pulses production, there is currently no outlay announced for the proposed Cotton Productivity Mission, even as yields have remained largely flat in recent years.

“Any fresh R&D support is expected to be carved out of existing schemes announced alongside the pulses and cotton missions, which are currently focused on boosting productivity through a mix of research, extension services and on-field interventions," said the second government official.

Queries emailed to the ministries of finance; consumer affairs, food and public distribution; textiles, and agriculture and farmers welfare on 1 January remained unanswered till press time.

Experts say higher public investment in agricultural research and development is critical to improving productivity and long-term supply stability, especially in crops where India continues to lag global yield benchmarks.

“The increase in R&D spending would ensure better seed quality and help narrow India’s yield gap with global producers. Research-backed agronomic practices improve input-use efficiency, reducing costs while raising output," said Aditya Sesh, an agriculture expert and a member of the expert committee on e-National Warehouse Receipt Systems (eNWRS) in the agriculture ministry. "In pulses, stronger R&D support will help increase productivity while maintaining nutritional value. Overall, higher investment in R&D will stabilize production, reduce farmers' risks, and encourage greater on-farm investment."

“India needs sustained investment in crop research to raise yields without stressing land and water resources. Stronger breeding programmes, climate-resilient varieties and better agronomic practices are essential to meet rising food demand while protecting farmer incomes," said Dr B.B. Singh, an agriculture scientist and former assistant director general, pulses, at the Indian Council of Agricultural Research (ICAR).

“Given the demand for pulses projected by Niti Aayog, increasing yields has become far more important, and this can only be achieved through dedicated research and development of better, climate-resilient pulse seeds. India needs to invest more in R&D to develop high-yielding and climate-resilient varieties, as domestic demand for pulses continues to rise," added Bimal Kothari, chairman of the India Pulses and Grains Association, the apex trade body representing pulse and grain processors, traders and exporters.