ABSTRACT The adverse implications of climate change can exacerbate socially uneven distributions of vulnerability. Therefore, climate adaptation programs are maladaptive if benefits are captured by privileged social groups, contributing to heightened socio-economic inequality and leaving the plight of highly vulnerable population segments unaddressed. This paper examines this potential using the case of Birsa Munda Krishi Kranti Yojana, an irrigation subsidy program for Scheduled Tribe farmers administered by the Government of Maharashtra, India. We investigated this scheme in Talasari block, an impoverished rural sub-administrative area 135 km north of Mumbai. The research shows that benefits from the scheme tended to flow towards more well-off agricultural households, notwithstanding checks-and-balances within the program that sought to prioritise the needs of poorer farmers. In turn, these distributional effects contributed to intensified agrarian class stratification by providing more well-off farmers with enhanced capabilities to respond to climate stresses, shedding important conceptual insights into the interplay of climate change and government policy for class mobility within smallholder and tribal populations. The evidence from this paper highlights the imperative for inclusive agricultural development and raises questions about agricultural subsidy programs as policy levers to address climate adaptation.