The Assam economy and development depend on the production of the state. The economy is prevalently agrarian in nature. The government makes continuous efforts to develop the already existing agrarian economy and to improve the other sectors of the economy in the state of Assam.
The secondary sector of the economy comprises of the industries in Assam with large and medium scale productions. Agro based industries prevail in the state coupled with the tea industry that has a major contribution to the economy of the state of Assam. Other industries include the petroleum industry with one of the oldest oil ventures of the world situated in Digboy. The state also earns revenue from the mining industry that produces the four important industrial minerals of coal, limestone, sillimanite and oil.
Some of the other industries of the state are mentioned below:
- Forest and wood industry
- Chemicals and fertilizers industry.
- Handloom and textile industry
Agriculture in Assam depends on the availability of proper funds. Banks ensure that the loans are available to the agricultural sector at easy interest rates. Infrastructure of the state supports the proper marketing of the produce of the agricultural sector.
The Assam Agriculture faces certain problems due to floods in the region. The government attempts to resolve these problems and to support the sector to achieve optimal production in agriculture in the state.
In Assam, Social Banking policies are spearheaded by the burgeoning network of Scheduled Commercial banks act as a buttress to the core sectors of the economy. The Regional Rural Banks that are fast proliferating through the state are an offshoot of the Scheduled Commercial Banks.
The state's diversified banking system is classified and grouped under the following heads:
- State Bank of India and its Associates
- Nationalized Banks
- Foreign Banks
- Regional Rural Banks
- Other Scheduled Commercial Banks
Business in Assam is mainly related to the silk and tea that are produced here in large quantity. There is a large amount of revenue and investment involved in the business related to packaging and production of these two items.
Assam is very famous for its tea. A large quantity of Assam Tea is exported abroad. This business in turn earns a lot of revenue for the state. Assamese tea is famous world wide for its wonderful flavor and taste.
The state's department of fisheries in Assam aims to promote and develop economic farming of fish in the state. This wing of the state government wants to promote the idea of commercially producing fish in almost all the water bodies in the state.
The mission of the fisheries department in Assam is to ensure a stable income from the fish market. They also want to restore indigenous species of fish in the state. They are planning to produce fish of such quality so that the state production can compete with the imported ones. In such cases they will have to consider the cost of production as well.
Forestry in Assam is one of the most important economic activities of the state. This has been possible due to the vast stretch of forests in Assam. A total area of 26,781.91 sq. km is under forests in this state. As a result about 34.14% of the total area of Assam is under forests. Thus a variety of flora and fauna are available in the state.
The State Forest Department is also considering social forestry in Assam very seriously. Their main objective is to enhance afforestation in the residential areas of the Indian state of Assam. The number of seedlings planted in order to promote this scheme was 96.76 lakh during the year 2001-2002.
The Industries and Commerce Department of the state is trying to overcome all the hurdles and promote a right industrial climate in the state. There are about 12 industrial estates under this department in Assam.
Mineral and Energies
Minerals and Energy Assam play an important role in the industrial development of the state. The mineral resource of Assam is very rich. The diversity in the flora of the state has made it possible. Due to this richness of resource the state is expected to flourish very well in the industrial field.
The energy sources of Assam are mainly the rivers and lakes. This is also one of the basic facts behind the expected industrial boom in the state. The tenth five-year plan has been designed to productively exploit the wealth that is present in the state.
Last Updated on 10 January 2011