Himachal Pradesh (HP) is located in the Northern region of India. The state is surrounded by Jammu & Kashmir on the North, Punjab on the West and the South-West, Haryana on the South, Uttar Pradesh on the South-East and China on the East.
Himachal Pradesh has attracted investments in the pharmaceuticals, IT and engineering industries. Agriculture also plays a significant role in the state’s economy. The state has a robust food processing sector.
The state has well-developed social, physical and industrial infrastructure and virtual connectivity. It has a strong hydro-power base because of its water resources and topography. It is supported by enabling policies. The State Government is committed towards creating a progressive business environment.
The rich natural resources of the state are favourably suited for investments in major sectors such as procurement of agricultural produce, hydroelectric power, cement and tourism. Himachal Pradesh is naturally suited for hydro-power generation and accounts for around 25 per cent of India’s total hydro-power potential.
Besides, the state has a prominent horticulture industry. Apple production stood at 892,110 metric tonnes in 2010-11 (as of December 2010) and accounted for approximately 92 per cent of the state's total fruit production.
The GSDP of the state increased at a compound annual growth rate (CAGR) of 11.4 per cent between 2004-05 and 2009-10. The State has received cumulative foreign direct investment (FDI) inflows worth US$ 1030 million (including investments in Chandigarh, Punjab and Haryana) during April 2000 to April 2011, according to Department of Industrial Policy & Promotion (DIPP).
Tourism industry comprises as one of the most important sectors for the state economy in terms of foreign exchange earnings as well as creation of employment opportunities.
The state offers a wide range of fiscal and policy incentives for businesses under the Industrial Policy, 2004. Additionally, the state has well-drafted sector-specific policies for the biotechnology and IT. In addition the state also has a large base of skilled labour, making it a favourable destination for knowledge-based sectors. Further, the state has a large pool of semi-skilled and unskilled labour.
Click here to Download File (Size: 1.54 MB )