Jammu And Kashmir

Recent Developments in Key Sectors

• In June 2025, the Centre approved a Rs. 4,224 crore (US$ 488.49 million) PMGSY-IV package for 316 rural road projects covering 1,781 km in Jammu and Kashmir.
• As of FY26, Jammu & Kashmir's sericulture sector supported nearly 27,000 families and produced around 800 metric tonnes of bivoltine cocoons annually, contributing significantly to rural livelihoods and women's participation in economic activities.
• In FY26, 19 National Highway projects worth Rs. 10,637 crore (US$ 1.20 billion) were sanctioned, including the Pir Ki Gali Tunnel, Sadhna Tunnel, Lal Chowk-Parimpora Flyover and Magam Flyover, to improve regional connectivity and urban mobility.
• As of FY26, 29 projects with an outlay of Rs. 5,013 crore (US$ 567.24 million) were under implementation under the Holistic Agriculture Development Programme (HADP) to transform Jammu & Kashmir's agriculture sector over five years. The programme is projected to increase GSDP by around Rs. 28,000 crore (US$ 3.17 billion), create 2.88 lakh jobs and benefit nearly 13 lakh families.
• In March 2025, the Government invested Rs. 29,903 crore (US$ 3.46 billion) to develop 1,003 km of national highways in J&K.
• Prime Minister Mr. Narendra Modi inaugurated, dedicated, and laid the foundation for numerous development projects worth over Rs. 46,000 crore (US$ 5.32 billion) in Jammu, spanning sectors like connectivity, aviation, healthcare, infrastructure, and petroleum.
• The government has placed a strong emphasis on highway development, particularly in regions such as Jammu and Kashmir, the northeastern states, and the hilly areas of Himachal Pradesh and Uttarakhand. Currently, road construction projects valued at Rs. 2,00,000 crore (US$ 23.31 billion) are in progress in Jammu and Kashmir, which includes the construction of 105 tunnels. Additionally, the government is undertaking the construction of the Zojila tunnel, recognized as Asia's longest tunnel designed for sub-zero temperatures, with an estimated investment of around Rs. 6,000 crore (US$ 699 million).
• Between FY20 and FY25, over Rs. 5,400 crore (US$ 624.49 million) worth of road and infrastructure projects have been implemented or proposed across Jammu and Kashmir under NABARD and RIDF schemes.
• Union Minister for Road Transport & Highways, Mr. Nitin Gadkari allocated of Rs. 1404.94 crore (US$ 169 million) for the Widening and Strengthening project of the Rafiabad – Kupwara – Chowkibal – Tangdhar – Chamkot section of National Highway-701.
• Union Minister of State for Science and Technology Mr. Jitendra Singh highlighted Jammu and Kashmir's emergence as an agricultural start-up hub, particularly in Bhaderwah, where lavender cultivation has flourished.
• As of March 2026, J&K had a total installed power-generation capacity of 3479.45 MW, comprising 1917.23 MW under central utilities, 1372.9 MW (state/UT utilities) and 189.25 (private utilities). Jammu and Kashmir’s total installed power generation capacity stood at 3, 607.09 MW, comprising 2345.88 MW from hydropower, 706.22 MW from thermal power, 2678.10 MW from renewable sources, and 95.13 MW from nuclear power.
• According to the Telecom Regulatory Authority of India, J&K had 13.27 million wireless and tele-density of 96.89%, as of March 2026.
• Under the State/UT Budget 2023-24, Rs. 2,928.04 crore (US$ 357.4 million) has been allocated for housing and urban development.
• As of FY26, Jammu & Kashmir's sericulture sector supported nearly 27,000 families and produced around 800 metric tonnes of bivoltine cocoons annually, contributing significantly to rural livelihoods and women's participation in economic activities.
• In FY26 (up to November 2025), 17 functional mandis linked to the National Agriculture Market (e-NAM) portal traded fruits and vegetables worth Rs. 634.09 crore (US$ 71.75 million), compared with Rs. 596.55 crore (US$ 67.50 million) in FY25.
• The Kashmir region is known for its horticulture industry. The industry plays a vital role in the UT’s economic development. In 2023-24, the total production of vegetables and fruits in the UT was estimated at 1,996.18 thousand metric tonnes and 2,643.24 thousand metric tonnes, respectively.
• The Handicrafts industry has been receiving priority attention from the Government in view of its large employment base and exports potential.
  • This is a significant step towards fostering the rural economy and boosting sale of authentic exotic handicraft and handloom products and seeking new destinations for niche handmade Jammu and Kashmir products.
  • The Government of India's newly constituted Union Territory of Jammu and Kashmir has announced a fresh plan to revitalise the region's crafts sector in August 2021. The project, known as Karkhandar, aims to improve trainee learning techniques and help artisans better their living standards.
• J&K SIDCO is the nodal agency for promotion and development of medium- and large-scale industries in the UT.

Note: P - Provisional, ** - As per 3rd Advance Estimates, * - Includes Fruits, Vegetables, Spices, Honey, Plantation, Aromatic and Flowers, #- Including Ladakh Union Territory