The agricultural GDP for 2026-27 is expected to contract, with falling crop output and rising food prices affecting both farmers and consumers. Farmers in drought-affected states like Maharashtra, Karnataka, and Rajasthan are particularly vulnerable, as water shortages discourage rabi crop planting. The decline in production is also impacting related sectors, such as tractor sales and rural demand for goods and services. Additionally, lower yields in key crops like sugarcane and cotton could lead to increased imports, further straining the economy. The lack of timely government intervention risks deepening the crisis for millions dependent on agriculture for their livelihoods.