Economy of Jharkhand
Jharkhand was carved out of Bihar on November 15th 2000. Though the government and administration are comparatively new, the state has successfully established a progressive economic growth. Covered by long stretches of forest, Jharkhand’s economy primarily depends upon natural resources and agriculture. Jharkhand is blessed with rich deposits of various minerals and this forms the major backbone of the industrial sector. Home to many famous industries, Jharkhand one of the biggest industrial belts in India with highly industrialized cities like Jamshedpur, Bokaro Steel City, Ranchi, and Dhanbad. Predominantly dominated by tribes, agriculture also plays important role in Jharkhand’s economy. Tourism is another important source of revenue. The state, blessed with exotic locations, attracts many tourists towards it, facilitating the inflow of foreign currency. State tourism department had taken many initiatives to promote tourism and increase the revenue. Read the following section to learn more about Jharkhand’s economy.
Agriculture sector plays an important role in the state’s economy. It is highly dependent on the climatic conditions. Farmers depend on monsoon rain for water for their agriculture needs. Low lands of the state are supplied by natural water round-the year and hence, paddy is the major crop. It is the staple food of the people of Jharkhand. As they are not supplied by any other irrigation facilities, they cannot cultivate other crops. Important crops are paddy, wheat, pulses, oilseeds, maize, Sesame, sugarcane, bajra (pearl millet) etc. Agriculture supports the socio-economic condition of the people, majority of whom belongs to tribes. Jharkhand is divided into different agro-climatic zones namely Central North Eastern Plateau, South Eastern Plateau and Western Plateau.
The major industrial city in Jharkhand like Jamshedpur, Bokaro steel city, Dhanbad, and Ranchi are one of the highly industrialized areas in the country. Main Industries in the state are Iron & steel factory at Jamshedpur, explosives and natural gas. Major Industries of Jharkhand depend upon the natural resources.
Jharkhand being a state with lush forest and majestic waterfalls, tourism plays an important role in its economy. Tourism brings considerable amount of foreign currency to the state. The exotic landscape of Jharkhand with rolling hills, foaming rivers beautiful plateaus and lush forest etc. attract good number of tourists to the state. There are national parks, wildlife sanctuaries, holy shrines and museums as well which attracts tourists. Jharkhand Tourism Development Corporation had taken many initiatives to develop this sector. The department runs a number of hotels like Hotel Shital Vihar, Natraj Vihar, Ratan Vihar, Aranya Vihar, Tourist Bungalow, Baidyanath Vihar etc.
Jharkhand being blessed with rich mineral deposit, mining has become an important industry here. Mineral wealth of Jharkhand includes coal, iron ore, copper ore, bauxite, mica, limestone, manganese, fire clay, china clay, kainite, graphite, chromite thorium, asbestos, uranium, silliminate, silver gold and several other minerals. It is notable that the major industries in Jharkhand are based on the mineral wealth of the state. Mining is monitored by the Mines and Geology Department of the government of Jharkhand. The department checks the depletion of minerals resources while at the same time develop policies to utilize the mineral resources to the maximum. The department grant lease for mining and encourage foreign investment and joint venture in this area. Also, the department encourage using modern technology in mining.
Banking And Finance
Banking and finance are another important part of the state’s economy and is rapidly growing within the territory. There are about 1500 branches of Scheduled Commercial Banks, Regional Rural Banks and Private Banks in Jharkhand. These financial institutions play major role in agriculture finance, Industries finance, trading finance, small scale industries finance, and personal banking etc.