Karaikal is situated in the fag end of Cauvery delta. Cauvery and its tributaries fertilize the lands of Karaikal region. This is the rice bowl of UT of Puducherry.
The main cultivation is Paddy. Due to scarcity of Cauvery water and poor rainfall the area under cultivation has diminished and the majority in the region could raise only a single crop. In addition to paddy, pulses, groundnut, gingely, banana and vegetables are grown here.
With a view to boost the agriculture the Pandit Jawaharlal Nehru College of Agriculture and Research Institute was started in 1987. In addition to that first seed farm was started at Madur Which is producing high Yield seeds and helps the region to increase the yield and get more grains. The Agriculture Department was first started in the year 1955 which is giving ample advise and inputs to the ryots of the region. Necessary instructions are then and there given to them to follow Modern Techniques in their fields so as to increase the Agricultural Production.