New Delhi, Apr 13 (BNP): India’s rural economy could face significant headwinds in 2026 due to the combined impact of a possible monsoon shortfall and increasing agricultural input costs, according to a recent report.

The study warns that uneven rainfall patterns may affect crop output, while higher prices of seeds, fertilizers, and other farming essentials could further strain farm incomes.

It notes that the twin challenges may weigh on rural demand and overall economic activity, especially in regions heavily dependent on agriculture.

However, the report also suggests that timely policy support, improved irrigation systems, and stable input supply chains could help cushion the impact on farmers and rural households.