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About Nagaland: Information on Tourism, Agriculture, Industries & Economy

April, 2018

Nagaland is among the seven North-Eastern states and is located in India’s farthest east side. The state is flanked by Myanmar in the east, Arunachal Pradesh in the north, Assam in the west and Manipur in the south.

The state has considerable resources of natural minerals, petroleum and hydropower. It has unexploited reserves of around 600 million metric tonnes (MT) of crude oil and more than 20 MT of hydrocarbon. Moreover, the state has 315 MT of coal reserves and 1,038 MT of limestone reserves. Nagaland’s estimated hydropower generation potential is 1,574 megawatt (MW), while the state has a total installed power generation capacity of 154.87 MW.

The agro-climatic conditions in Nagaland provide commercial opportunities for floriculture and horticulture. The state has 650 indigenous species of medicinal and aromatic plants. The state is estimated to have the potential to produce 15,000 MT of honey and 100 MT of wax, which together could generate around US$ 100 million annually. Moreover, the production of honey during 2016-17 was recorded to be 0.45 thousand tonnes.

Bamboo is found extensively in Nagaland, with bamboo growing stock covering nearly five per cent of the total stock in the country. During 2016-17, production of raw silk in the state of Nagaland stood at around 678 MT.

The gross state domestic product (GSDP) of Nagaland was about US$ 3.28 billion in 2016-17, increasing at a compound annual growth rate (CAGR) of around 9.61 per cent between 2011-12 and 2016-17. Agriculture sector contribution to the economic output stood at 28.42 per cent in 2016-17. About 72 per cent of the state’s population is engaged in farming.

The state provides institutional support through various central and state government agencies viz., North East Council, Ministry of Development of North Eastern Region and Nagaland Industrial Development Council.

The state offers excellent policy and fiscal incentives for agro-based and forest-based industries, horticulture, food processing, mining, tourism, and the handlooms and handicrafts sectors. Industrial centres and special economic zones (SEZs) are being developed to enhance the marketability of products.
According to the DIPP, cumulative FDI inflows to the North-eastern states, during April 2000 to September 2017, stood at US$ 100 million.

Key Sectors:

  • Nagaland promotes bamboo processing as an enterprise, covering various applications such as food-based, medicinal usage, handicraft, art, tiles and flooring. Nagaland Bamboo Development Agency (NBDA) is the nodal office that coordinates with other offices for all bamboo-related research, development and business applications.
  • Nagaland has a rich wealth of flora and fauna. Favourable climatic and geographical conditions in the state offer tremendous scope for floriculture.
  • Nagaland has a suitable climate for agricultural and horticultural produce. It supports multiple crops viz., rice, maize, millet, gram, mustard, bean, sugarcane, rubber, tea, banana, pineapple, orange, jackfruit, pear, plum, passion fruit, litchi, mango, lemon, sweet lime, potato, sweet potato, tapioca, tomato, pea, chilly, ginger, garlic, cardamom, etc.
  • Nagaland has a potential for 1,574 MW of hydropower generation, while the installed hydropower generation capacity in the state, as of January 2018, was 53.37 MW.
  • The handicraft and handloom sector in Nagaland has enormous growth potential due to the abundant availability of skilled labour and raw materials, coupled with rich cultural traditions that people follow. Handicraft and handloom products from the state are renowned for their beauty and intricate design. 

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