Madhya Pradesh - Economy
Madhya Pradesh, India's second largest state, which occupies 9.38% of the country's area, is also the second richest state in terms of its mineral resources. Primarily, it has an agricultural and pastoral economy. Industrial development is primarily concentrated in the more advance districts like Indore, Bhopal, Gwalior and Jabalpur.
Major industry of this state are paper, newsprint, cement, steel, aluminium etc. This state entered into the era of high-tech industries such as petro-chemicals, telecommunications, automobiles, electronics . Recently a large number of automobile industries have been established in Pithampur near Indore. An air cargo complex, Indo-German tool room and Inland container depot are being established in Pithampur. Madhya Pradesh produces optical fibre for telecommunication needs. Major public sector industries are Bhilai Steel Plant, Bharat Heavy Electricals Limited at Bhopal, Bharat Aluminium Company at Korba, Security Paper Mill at Hoshangabad, Bank Note Press at Dewas, Newsprint factory at Nepanagar and Alkaloid factory at Neemuch. Besides, the textile mills, handlooms and powerlooms contribute a notable share in cloth production.
A large part of the mineral production of India is contributed by Madhya Pradesh. Big reserves of Manganese are found in Balaghat and Chhindwara districts. The state also produces about 45% of Bauxite in India with Jabalpur, Mandla, Shahdol, Satna and Rewa being the important Bauxite producing centers. Iron ore deposits are found in Balaghat, Jabalpur and Mandla districts. The State of Madhya Pradesh also has rich reserves of coal in the northeastern and Satpura regions. The state has the distinction of being the only diamonds producing state in India, with production in Panna and Chhatishgarh districts.
Over 30% of the State's total area is enveloped by the forest. The eastern districts of Balaghat, Mandla, Shahdol, Sidhi have dense forest cover. The abundantly found trees include Teak, Sal, Bamboo and Tendu. Agriculture is the main occupation of villagers, Wheat, Soybean and Jowar (Sorghum) are the main Crops. Paddy and Coarse Millets are also sown in large parts. Pulses, Cereals and Groundnut are also grown. Important among the cash crops are Cotton, Sugarcane and Oil Seeds. Mandsaur is the largest opium producing district in the country.
The irrigation of land is mostly dependent on major rivers like Narmada, Chambal, Tapti, Betwa, Sone, Shipra, Kali Sindh and Tava. The Chambal valley and the Narmada valley offer good potential for hydroelectric power generation. Besides Thermal and Hydro power generation, numerous other conventional and non-conventional power projects are in place or in the stages of progress. Road density is increasing continuously with present road length being over 80 thousand kms. Communications are well developed.
Development of Irrigation in Madhya Bharat started long back by construction of water storage tanks in 1st century AD by Chandel kings in Khajuraho (Chhatarpur). Later on, tanks had also been constructed by Kalchuri dynasty in Bilaspur district during 1120-35 AD.
Recent development in irrigation in Twentieth century started in district Durg, now in Chhatisgarh state, when Tandula canal system was completed on 26th march’ 1921 first time in the British era. At the same time, Wainganga canal system in Balaghat district was also started and completed in June’1923. The year-1927 was the milestone in the history of irrigation development in the State as Mahanadi canal system in Raipur and Pagara dam in Gwalior were commissioned. Irrigation tanks, namely Kharang and Maniyari in Bilaspur district, Bori in Balaghat district and Bohribund in Jabalpur were constructed in 1931 and 1927 respectively. During the years 1929-34, in the erstwhile Gwalior state, Sank-Asan Project, Kaketo dam, Aoda dam, Harsi dam and Tigara dam were also constructed. These projects created an irrigation potential of 1.70 lakh acres in the State.
Before the Independence, the irrigation works were executed keeping in view the security aspects only. C.P. Irrigation Committee (1927-29) imposed a complete ban on new irrigation activities until the scheme already completed proved remunerative. This has, however, not promoted the irrigation activities unless a new era of development started in the year 1951-52.
The State is not short of water resources. The estimated annual runoff from all the basins in the state (after the formation of new Madhya Pradesh) is about 81,719 hm3. It is estimated that about 49,743 hm3 can be harnessed for irrigation purpose in Madhya Pradesh. The Plan wise irrigation potential created and utilised is given under.
Rail route connecting different parts of India passes through Madhya Pradesh. Major airports link all major cities like Delhi, Mumbai, Varanasi, Nagpur, Bengaluru, Hyderabad, Chennai etc. Telephone and cellular service provider BSNL and other private operators are operational; internet access is easy across the state. The big industries are mostly in districts of Indore, Bhopal, Gwalior and Jabalpur. Cement, sugar, paper, textile, steel, soya, vehicles and medicine are the major industries today. BHEL in Bhopal, Government Ordnance Factory Jabalpur, Currency Printing Press at Dewas, Alkaloid Factory at Neemuch, Rail Coach Factory Bhopal are notable Central Government managed organisations. Mineral development, industries based on agricultural and forest produce continue to be the mainstay of industrial production in the state.
Madhya Pradesh has enormous potential and resources to become a major tourism destination. Numerous monuments of historical, archaeological, architectural and pilgrimage importance dot the state. The forests are teeming with all kinds of wildlife. Because of its central location and easy accessibility, tourism is becoming a major attraction.
The state is seeking to attract more investments in future, with a fast improving infrastructure, peaceful industrial climate, and progressive industrial policies based on incentives. At the same time, it is also aspiring to revitalize the traditionally rich handloom, khadi and village handicraft and sericulture industries as well as develop agri-food processing and herbal processing industries (considering the state’s abundant non timber forest produce). The state’s energy requirement is currently dependent on conventional energy sources-thermal and hydel, with a total installed generation capacity of 8539 MW available for the state. The state has accorded priority to the promotion of renewable energy, particularly solar energy to reduce the energy shortage and ensure sustainable development. The state offers viable sites having potential for production of more than 5.5 kWh/sq. m. for installation of solar based power projects.
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