Gujarat Economy

Gujarat Economy

Industries in Gujarat
There were 20,050 (provisional) registered working factories and about 2,56,388 small scale industrial units on March 31, 2001. Establishments engaged in the manufacture of cotton textiles provide employment to a major portion of the industrial workers followed by the manufacture of non-metallic mineral products. These two industries together provide employment to 31.49% of the industrial workers. There was a development of industries like Chemicals, petrochemicals, fertilizers, engineering, electronics etc. With the largest Petro-chemical complex in the country, Gujarat is a major producer of inorganic chemicals such as soda-ash and caustic soda as well as chemical fertilizers. The establishments engaged in manufacturing of machinery and machinery tools and parts except electrical machinery, manufacturing of wool, silk and synthetic fiber textiles and basic metal and alloys industries cover 30.50% of the total industrial workers. Other manufacturing products are rubber, plastic, petroleum and coal products, transport equipments and parts, food products etc.

A large number of small scale industries are pertaining to metallic work, chemical industries, machinery except electricity and transport, cotton industry and non metallic mineral work etc. The most remarkable feature of Gujarat's recent industrial development has been the growth of the dairy industry, much of it conducted on a cooperative basis. There are now 15 milk processing plants with a production capacity of 3.2 million litres per day, which is the first in India. The membership of the dairying cooperatives exceeds 1 million. Of these the Kaira District Coperative Milk Producers Union (Anand) is the best known. To support milk production there are over 10 factories processing 1500-2000 tonnes of cattle feed per day. There is production of oil and natural gas in Ankleswar, Cambay and Kalol and a oil refinery at Koyali. Gujarat Industrial Development Corporation (GIDC) have developed around 257 mega industrial estates at Jhagadia, Vagra, Savli, Dahej, Anklaseshwar etc. Jamnagar, Porbandar, Jafrabad, Bhavnagar are centers of industry and trade.


Agriculture in Gujarat
Agriculture in Gujarat forms a vital sector of the state's economy. It provides the required food grains for the state's population and raw materials for most of the agro-based industries. Unsuitable climatic conditions in some parts and rocky terrain with thin or no soils in others, have limited the area suitable for cultivation. The difficulty of drainage in coastal areas and in the two Ranns have made a large part of the state agriculturally unproductive. The state's agricultural productivity is low. The yields are poor and in most cases do not even meet the total average yield of the country. Low yields result from poor soils, inadequate rainfall, frequent drought and flood, bad drainage and undeveloped irrigation facilities. The main feature of the state's agriculture is its cropping pattern reflected by the variations in climate and topography. The high yield of cotton is the highest in the country, and reflects the overall emphasis on cash crops, which has claimed the best agricultural land. A higher percentage of the land is used for cultivation in central Gujarat. Kaira, Baroda, Broach and Surat districts are the main contributors to the agricultural production of the state. Valsad has become India's first integrated horticulture district. Groundnut (highest production in the country), Cotton, Tobacco (second highest production in the country), Isabgul, Cumin, Sugarcane, Jawar, Bajra, Rice, Wheat, Pulses, Tur and Gram are the important crops of Gujarat. Another cash crop which has recently entered the field in a few selected localities is banana. Plenty of mangoes for export as well as home consumption are part of cash crops. Honey, wax and bamboo are produced in fair quantities in different forests and medicinal herbs and fruits like Jamun and guava are produced in plenty. Forests also yield considerable quantities of teak, Khair, Sadad, Hadariyo, manual bamboos and good quality of wood.