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Union Budget 2026: Strengthening Logistics Corridors to Power India’s Farm Economy

February 05, 2026 3 min read
author Anamika Mishra, Sub Editor
Union Budget 2026 places logistics and connectivity at the heart of agricultural transformation, recognising that farm productivity and farmer incomes are increasingly influenced by how efficiently produce moves from field to market. By expanding freight corridors, inland waterways and coastal shipping, the Budget links infrastructure investment with lower logistics costs, reduced post-harvest losses and improved price realisation for farmers. Freight Corridors and Market Integration The proposal to establish a new dedicated freight corridor from Jalpaiguri to Surat holds strategic importance for agriculture. By linking eastern production regions with western consumption centres and export hubs, the corridor is expected to improve the movement of cereals, horticulture produce, fertilisers and agro-inputs. Faster and more predictable freight movement will help cut transit losses, stabilise prices across regions and strengthen national agricultural market integration. Waterways as Agricultural Arteries Budget 2026 also reinforces inland water transport through the expansion of National Waterway-5, connecting the Talcher–Angul industrial belt with the ports of Paradeep and Dhamra. For agriculture, this opens up a cost-efficient, low-emission logistics route for bulk commodities such as foodgrains, fertilisers, coal for fertiliser plants and processed agri-products.

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