Go Back

About Assam: Tourism, Industries in Assam, Agriculture, Economy & Geography

October, 2017

Assam is located in the northeast of India. The state shares its borders with Arunachal Pradesh, Nagaland, Manipur, Mizoram, Meghalaya, Tripura and West Bengal. The state shares international borders with Bangladesh and the Kingdom of Bhutan. Assam is India's gateway to Northeast India and acts as a vital link for trade with Southeast Asian countries. The state is known for its tea, petroleum resources, muga silk and bio-diversity. It is also becoming an increasingly popular destination for wildlife tourism.

At current prices, the Gross State Domestic Product (GSDP) of Assam was US$ 30.72 billion in 2015-16 while the average annual GSDP growth rate from 2004-05 to 2015-16 was 9 per cent.

The 12th Five Year Plan estimates the growth rate to be around ten per cent overall, while estimating industry and services sub-sectors to grow at 9 per cent and 13 per cent respectively.

The state is rich in water resources and has vast tracts of fertile land. Assam is also the third-largest producer of petroleum and natural gas in the country and has ample reserves of limestone. With its five national parks and 18 wildlife sanctuaries, the state is a biodiversity hotspot. Other potential areas of investment include power and energy, mineral-based industries, tourism and crude oil refining.

Assam has adopted numerous investor-friendly policies to attract investments and accelerate industrial development. Key areas of focus include the IT, tourism and power sector along with several other initiatives such as the North East Industrial and Investment Promotion Policy (NEIIPP) 2007 and the Industrial and Investment Policy 2014. Assam stands 22nd among Indian states in rankings based on ease of doing business and reforms implementation, according to a study by the World Bank and KPMG.

According to the Department of Industrial Policy & Promotion (DIPP), cumulative FDI inflows during April 2000 to March 2016 totaled to US$ 94 million.

Recent Developments:

  • The Government of India signed the agreement for third and last tranche of US$ 273 million loan, out of total US$ 800 million loan agreement with The Asian Development Bank (ADB), for constructing 6,000 kms of all-weather rural roads in Assam, Chhattisgarh, Madhya Pradesh, Odisha and West Bengal
  • The first passenger train was flagged off from Silchar to Guwahati that will ply on the newly converted Silchar-Lumding section in Assam

Key Sectors:

  • Tea: During 2015-16, the state government provided Assam State Electricity Board (ASEB) with US$ 1.52 million for the electrification of quarters of the Tea Workers. The state government has proposed to construct a Tea Museum in Dibrugarh, in 2016-17.
  • Energy-Coal, Oil, and Gas: The Assam-Arakan Basin in Northeast India is an important oil-producing region and contains more than 15 per cent of the country’s reserves. Assam has over 1.3 billion tonnes of crude oil and 156 billion cubic metric tonnes of natural gas reserves.
  • Medical Herbs and Plants: Assam, with its vast area under hills and forests, is home to a variety of medicinal herbs and plants. About 300 types of medicinal herbs and plants are found in abundance in the state with the Brahmaputra valley alone having 150 varieties of herbs and plants of commercial value.
  • Sericulture: Assam enjoys global monopoly in terms of Muga silk (also known as golden silk) production. The state accounts for around 95 per cent of global Muga production. Moreover, Assam is the country’s major Eri silk producer (accounts for 65 per cent of the country’s Eri silk production). Raw silk production in the state during 2015-16 was recorded to be 3,325 MT whereas during 2016-17 (up to May 2016), the raw silk production was 1,137 MT.


  • Capital: Dispur
  • Geographical Area (sq km): 78,438
  • State Language: Assamese, Bodo, Bengali and English
  • Literacy Rate: 73.18 per cent
  • Key Industries: Tea, coal, oil and gas, Limestone and Cement, agriculture, horticulture, food processing and tourism


Download File Download PDF   (Size: 1.77 MB )