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Maharashtra has declared drought conditions in about three-quarters of its 358 sub-districts, and announced more than 67 billion rupees ($695 million) of relief measures, including restructuring farm loans and emergency funding for rural employment
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Moneycontrol•06-10-2026, 13:55
Maharashtra Rations Water After Worst Monsoon in Decades
  • •Maharashtra will cut residential water supplies by at least 10% starting October 16 following the weakest monsoon in over a decade.
  • •The state government has instructed local authorities to curb consumption and prioritize drinking water, industrial demand, fodder, and seed-production programs.
  • •Factories must recycle at least 30% of their water use as part of emergency measures to ensure supplies last through August next year.
  • •The severe water scarcity and poor rainfall have depleted reservoirs, threatening key crops like rice, sugarcane, wheat, and cotton, and raising inflation risks.
  • •Drought conditions have been declared in about three-quarters of Maharashtra's sub-districts, with neighboring Karnataka and Andhra Pradesh also severely affected.

Key Questions Answered

Maharashtra is rationing water supplies due to a powerful El Niño that resulted in the weakest monsoon in over a decade, with rainfall 12.6% below the long-term average.

The state government ordered local authorities to curb water consumption by at least 10% starting October 16, prioritized water for fodder and seed programs, instructed farmers to grow less water-intensive winter food crops, and mandated that factories recycle at least 30% of their water. Additionally, the state declared drought conditions in about three-quarters of its sub-districts and announced 67 billion rupees in relief measures.

Maharashtra accounts for about 14% of national output and is home to major companies, banks, and top producers of sugar cane, wheat, and cotton. The severe drought threatens crop production and hydropower generation, raising the risks of rising food prices, inflation, and potential policy rate hikes by the central bank.