Govt Announces Annual Licensing Policy for Opium Poppy Cultivation for 2025-26 Crop Year

The government on Friday announced the annual licensing policy for the 2025-26 crop year for opium poppy cultivation in Madhya Pradesh, Rajasthan and Uttar Pradesh.

Nearly 1.21 lakh farmers are eligible to receive licenses -- a 23.5% rise in farmer licenses -- with the inclusion of 15,000 additional farmers over and above the previous crop year in these three states.

"The Union Government today announced the annual licensing policy for crop year 2025-26 during the Opium Crop Year from October 1, 2025, to September 30, 2026, of license for cultivation of opium poppy, for the farmers in the states of Madhya Pradesh, Rajasthan, and Uttar Pradesh," a finance ministry statement said.

The central government continues to ensure an adequate supply of alkaloids to meet medical and palliative care needs.

Concurrently, efforts are underway to augment processing capacity through indigenous and self-reliant measures, with a view to meeting the requirements of alkaloids for the production of essential narcotic drugs, the statement said.

The government proposes to incentivise high-performing farmers, who have achieved yields of 900 kg/hectare and above of unlanced poppy straw, by offering them the option to switch to the traditional method of opium gum cultivation.

"This transition is intended to promote higher yields of opium from their holdings, while also serving as a positive reinforcement mechanism to reduce the risk of diversion from the field," the statement said.

Simultaneously, the government will suspend licenses for the crop year 2025-26 for farmers under CPS cultivation, who did not meet the prescribed Minimum Qualifying Yield (MQY) of 800 kg/hectare during the previous crop year (2024-25), it added.