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Industrial Development & Economic Growth in Haryana

Last updated on Mar, 9 2021

Economic Snapshot
Per capita Income


Haryana is one of the leading states in terms of industrial production, especially passenger cars, two- wheelers, mobile cranes, and tractors. Haryana is the second-largest contributor of food grains to India’s central pool and accounts for more than 60% of the export of Basmati rice in the country, third-largest exporter of software and one of the preferred destinations for IT/ITeS facilities.

With an area covering 1.3% of the country, Haryana contributed near 3.32% to India’s GDP in 2019-20. Between FY16-21, the state’s Gross State Domestic Product (GSDP) (in Rs.) is estimated to grow at a CAGR of 13.65% to Rs. 9.40 trillion (US$ 133.31 billion) in 2020-21.

Merchandise exports from Haryana reached US$ 12.06 billion in FY20 and US$ 6.74 billion in FY21 (until November 2020).

Haryana is a preferred destination for auto majors and auto-component manufacturers. The state is host to many large automotive players. The state produces two-thirds of passenger cars, 50% of tractors, 60% of motorcycles and 50% of the refrigerators manufactured in the country. Automobiles and auto component exports from Haryana were about US$ 1.070.81 million in FY20 and have reached US$ 515.3 million in FY21 (until November 2020).

Export of electric machinery and equipment for Haryana reached US$ 379.3 billion in FY20 and US$ 254.4 million between April and November 2020.

As of November 2020, Haryana had a total installed power-generation capacity of 13,305.58 MW, of which, 5,572.92 MW was contributed by the private sector, 2,929.30 MW by state facilities and 3803.36 MW by central facilities.

The state offers a wide range of fiscal and policy incentives for businesses under the Industrial and Investment Policy, 2011. Moreover, it has sector-specific policies, particularly for IT and tourism. The Haryana State Industrial and Infrastructure Development Corporation Ltd (HSIIDC) is the state's premier industrial promotion and investment facilitation agency, responsible for providing reliable and efficient facilities for entrepreneurs investing in the state.

The state* attracted Foreign Direct Investment (FDI) equity inflow worth US$ 90.9 billion between April 2000 and September 2020, as per data released by the Department for Promotion of Industry and Internal Trade (DPIIT).

The state has taken several steps for developing industrial infrastructure to achieve consistent economic growth, below are some of the initiatives:

  • Haryana is among the states having ~100% connectivity to rural areas with metalled roads. Haryana Roadways, with its fleet of ~3,651 buses, is one of India’s biggest state road transport undertakings. It operates ~10.67 lakh kms everyday, carrying an average 9.49 lakh passengers daily.
  • Haryana ranked first at the national level by the Ministry of Health and Family Welfare (MoHFW) to earn a bonus of Rs. 71.72 crore (US$ 10.17 million) for performing outstanding services in the healthcare sector.
  • Under its ‘Horticulture Vision’, the state government aims to double the area under horticulture from 7.5% to 15% and triple horticulture production by 2030. The state government has also notified the Haryana Agri-Business and Food Processing Policy 2018.
  • Single-window clearance mechanism was established under the Haryana Industrial Promotion Act, 2005. It has a three-tier structure to grant exemption/relaxation from any of the provisions/rules of the Act.
  • The state invested in the development of world class infrastructure facilities such as special economic zones (SEZs), Kundli-Manesar-Palwal (KMP) global corridor and Delhi-Mumbai Industrial Corridor (DMIC).
  • As of October 2020, the state had seven exporting Special Economic Zones (SEZs).
  • Haryana is the first state to have implemented its Statewide Area Network (SWAN) for voice, data, and video transmission.
  • The State Government has established a Regional Centre for Biotechnology (RCB), Gurgaon under the guidance of UNESCO as a Category II Centre.

*Includes Delhi, part of Uttar Pradesh

Haryana State Presentation

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