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Budget 2026 Backs AI in Farming, AVGC Labs, New Design Institute

Budget 2026 Backs AI in Farming, AVGC Labs, New Design Institute

Union Budget 2026–27 proposes Bharat-VISTAAR AI farm advisory, 15,000 AVGC labs, a jobs-tech standing committee, and a new National Institute of Design to power India’s agri and creative economy.

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MUMBAI, 1 February 2026: India’s Union Budget 2026–27 has placed artificial intelligence and emerging technologies at the centre of its human capital and productivity agenda, outlining new digital infrastructure for agriculture, creative industries and skills development in what policymakers describe as a coordinated “education-to-enterprise” strategy.

The most immediate impact is expected in agriculture, where the government has proposed Bharat-VISTAAR (Virtually Integrated System to Access Agricultural Resources), a multilingual AI platform designed to integrate AgriStack databases with ICAR’s agronomic practices and real-time advisory engines. Officials say the system will provide customised, region-specific recommendations to farmers on crop management, input use and risk mitigation, aiming to improve yields and reduce income volatility.

Sector observers view the initiative as a step toward formalising farm-level data and enabling precision advisory services at scale, potentially opening opportunities for agri-tech providers, input companies and digital platforms seeking deeper integration with public infrastructure.

Beyond agriculture, the Budget has moved to strengthen India’s fast-growing Animation, Visual Effects, Gaming and Comics (AVGC) segment. The government plans to establish Content Creator Labs in 15,000 secondary schools and 500 colleges, supported by the Indian Institute of Creative Technologies, Mumbai. The sector is projected to require up to two million professionals by 2030, positioning AVGC as a key driver of the country’s “Orange Economy”.

Education and workforce alignment is another focus area. A High-Powered ‘Education to Employment and Enterprise’ Standing Committee will assess how AI and emerging technologies are reshaping job roles and skill requirements, and recommend policy responses. The move signals closer coordination between academia, industry and government to address automation risks and workforce readiness.

Complementing these measures, the Budget proposes a new National Institute of Design in eastern India, aimed at expanding capacity in industrial and product design — an area increasingly linked to manufacturing competitiveness and export potential.

Together, the initiatives underscore a broader policy shift: embedding AI and digital capabilities across primary sectors and creative industries to drive productivity, employment and innovation-led growth.


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