The gross value added (GVA) in agriculture, forestry and fishing recorded a growth of 3.5 per cent in real terms in the second quarter of FY26, down from 4.1 per cent during the corresponding quarter of the previous fiscal, with nominal growth collapsing steeply, the quarterly GDP estimates released today showed.
The data showed that in nominal terms, GVA for agriculture and allied activities grew by just 1.8 per cent in the July to September quarter of FY26, down from 7.6 per cent in the corresponding quarter of the previous fiscal, largely due to a sharp dip in food price inflation.
In the first quarter of FY26, the GVA for agriculture and allied activities in nominal terms was 3.2 per cent, which too was down from 7.5 per cent in the corresponding period of FY25. “Agriculture was expected to do well and growth at 3.5 per cent is supported by a good kharif harvest expected, which will reflect more in Q3,” Madan Sabnavis, chief economist at Bank of Baroda, said.
Earlier, in the day, agriculture secretary Devesh Chaturvedi speaking at a panel discussion on FICCI’s 98th Annual General Meeting said that no major spike in food inflation is expected in the next six months on the back of strong kharif harvest and expected bumper rabi production. “Reservoir levels are full, while the soil moisture is also adequate and due to this rabi sowing is progressing well whatever dip in production was seen in kharif due to floods will be more than offset in rabi and we will have a good crop,” Chaturvedi said.
