The Punjab government has retained its decision to provide a 33% subsidy on certified BT cotton hybrids and desi cotton seed varieties recommended by the Punjab Agricultural University (PAU), Ludhiana. The scheme, which was launched in 2025, aims to encourage farmers to adopt high-yield, scientifically recommended cotton varieties.
Subsidy Details
Under the scheme, the state government will bear nearly one-third of the seed cost for growers who opt for any of the 87 approved BT cotton hybrids or four desi cotton varieties – LD1019, LD949, FDK124, and PBD88. The 33% subsidy will be credited directly to the bank accounts of beneficiaries after verification.
Cotton Cultivation Targets
In the last kharif season, the area under cotton cultivation surged by 19%, from one lakh hectare in 2024 to 1.19 lakh hectare in 2025. For the upcoming season, the government has set a target of cotton cultivation on 1.25 lakh hectare. The online application portal for availing the subsidy was made operational on April 20, and the ideal time for cotton sowing is considered up to May 15.
Punjab Agriculture Minister Gurmeet Singh Khudian stated that this move will encourage farmers to shift towards scientifically recommended, high-yield cotton varieties. The combination of desi cotton options and PAU-approved BT hybrid cotton seeds will help Punjab reclaim its traditional cotton belt.
Awareness Campaign and Digital Access
Khudian has directed all chief agriculture officers to run an intensive awareness campaign and ensure seamless access to the online portal for every eligible farmer. He emphasized that no grower should be left out due to lack of information or digital access. The minister also urged cotton growers to apply early on the portal to avail the full benefit of the scheme.
