The economy of Gujarat is one of the most prosperous state economies within the Indian Republic. If Gujarat is an independent nation, it's economic rank would be higher than the many developed economies of the European Union!
The principal revenue generation from agriculture comes from cotton-a cash crop. The agricultural economy of Gujarat is dependent upon the seasonal cotton yields.
Gujarat ranks high in the manufacturing sector. The natural entrepreneurship of the native Gujaratis has led to an enviable resurgence of the industrial economy of Gujarat.
The industrial economy of Gujarat has crossed several economic milestones:
- During the period from 1960 to 1990, Gujarat positioned itself as a leader in a variety of industrial sectors including textiles, engineering, chemicals, petrochemicals, drugs and pharmaceuticals, cement and ceramics among others.
- The liberal Indian economic regime saw the State Domestic Product (SDP) of Gujarat clock an average growth rate of 12.4% per year.
- The industrial economy of Gujarat is greatly dependent on the availability of power. Gujarat added 35% to its existing power generation capacity after liberalization of the Indian economy
- Construction of Special Economic Zones (SEZ)
Agriculture in Gujarat forms a major part of the state economy. Agriculture, which is the main stay of the people in Gujarat, provides Gujarat with the required food grains, as well as it also contributes a major share for the adjoining areas.
Owing to a rugged topography and an unfavorable environment, the total output of agriculture in Gujarat is not very high; yet it is enough as far as the requirement of the state and its abutting lot is concerned.Some of the factors that hinder the prospects of agriculture in Gujarat are:
- poor soil
- inadequate rainfall
- frequent droughts or flood
- fewer rivers
- undeveloped irrigation facilities
- dry-arid weather, etc.
Gujarat has excellent transportation infrastructure. Public transport is provided by both government and private operators. Gujarat State Road Transport Corporation (GSRTC) is the government organization providing bus services both within Gujarat and also to the neighboring states of Rajasthan, Madhya Pradesh and Maharashtra.
Gujarat State Road Transport Corporation also provides public transportation services to the Union Territories of Daman and Diu.
The mining industry of the state of Tamil Nadu is equipped with modern amenities and technologically oriented devices that helps in extracting minerals and raw materials from the core of the earth. Tamil Nadu is rich in mineral resources. The region is blessed with many mineral resources which contributes heavily to the industrialization of the state.
Tamil Nadu has ample reserves of Graphite of various attractive colors in the districts of Kancheepuram, Salem, Erode, Dharmapuri and many other places. The districts of Salem, Trivannamalai and Namakkal also have rich repository of Iron Ore which is used in many industries. Bauxite , Silica and Clay are found scattered in different regions of the state. Tamil Nadu also has some amount of Oil and Natural Gas in the sea of Nagapattinam and Ramanathapuram, where the "Oil and Natural Gas Corporation" has set up its plants to explore the oil rich areas of the state.
With such a rich deposit of Minerals, the state has become one of the most favorable destinations for the heavy Engineering, Iron and Steel, Electrical, Glass and Cement industries which contributes heavily to the state treasury and strengthens the financial position of Tamil Nadu
The Gujarat Industry has been completely revolutionized with respect to its visual aspect and also infrastructure in the last 42 years since the dawn of the state itself in 1960. Post its revival, there has been no looking back for the Gujarat Industry. The entire credit for lifting up Gujarat's industrial status and also for providing encouragement and assistance to the companies from Indian soil as well as foreign turfs who want to become an integral wing of the Gujarat Industry, goes to the State Government.
The Gujarat Industry has not only flourished in various fields but has also furnished employment to a major bulk of the masses. The appendages of the industry of Gujarat that deals in cotton and non-metallic mineral products are the prominent juggernauts who have created maximum employment opportunities.
Another train of industries are waiting in the pipeline to be unleashed so that they can take over the Gujarat market by storm. These industries include petrochemicals, chemicals, engineering, fertilizers, electronic goods and many more.
Tourism in Gujarat has a wide scope for the tourists, as it includes wide range of forts and museums, wild life sanctuaries, temples and mosques, and other places of interest. Gujarat tourism is, indeed, a treat to the sightseers!
The major part of Gujarat tourism forms the many forts and palaces that stand as live witnesses to the golden era in the history of India.
Some such forts and palaces that deserves special mention in Gujarat tourism are:
- Pawagadh Fort
- Dabhoi Fort
- Nazar Bagh Palace
- Kusum Vilas Palace
- Uparkot Fort, etc.
Banking and Financial institutions
The banking and financial institutions of Gujarat provides financial services to its customers. The banking and financial institutions is under the regulatory authority of the government. Banking and financial institutions in Gujarat include banks, stock brokers, asset management firms and similar function businesses.
The primary function of the banking and financial institutions in Gujarat is to act as intermediaries between the capital and debt markets. The banking and financial institutions transfer funds from the retail or institutional investor to those companies which require funding. The presence of banking and financial institutions in Gujarat ensure the proper flow of money through the regional economy.
Last Updated on : 09 January 2013