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About Himachal Pradesh: Information on Tourism, Industries, Geography

Latest update: September, 2019

Economic Snapshot
Per capita Income

 

Factfile

  • Capital:Shimla
  • Geographical Area (sq km):55,673
  • State Language:Hindi and Pahari
  • Literacy Rate:82.8 per cent
  • Key Industries:Textiles, pharmaceuticals, food procurement and processing, light engineering, IT and electronics, cement, tourism and hydropower

Last Updated: September, 2019

HIMACHAL PRADESH State Report | September, 2019

Himachal Pradesh is located in the northern region of India. The state is surrounded by Jammu and 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 is one of the fastest growing states in India. At current prices, the Gross State Domestic Product of Himachal Pradesh reached Rs 1.6 trillion (US$ 24.18 billion) in 2019-20. The state’s per capita GSDP in 2018-19 was Rs 206,138.09 (US$ 2,857.08). GSDP increased at a Compound Annual Growth Rate of 11.11 per cent between 2011-12 and 2019-20. The tertiary sector witnessed the fastest growth at a CAGR of 12.40 per cent between 2011-12 and 2018-19.

Total merchandise exports from Himachal Pradesh were US$ 1,323.43 million in FY19. Between Apr-September 2019, merchandise exports from the state stood at US$ 659.67 million.

As of November 2019, Himachal Pradesh had a total installed power generation capacity of 4,096.47 MW. Hydro power accounted for 2910.48 MW of total installed power generation capacity, followed by renewable power (943.34 MW) and thermal power (213.70 MW). With a hydro power potential of 2910.48 MW (of which just 24,000 MW has been harnessed), Himachal Pradesh accounts for 25.9 per cent of the country's total hydro power potential. All the villages of Himachal Pradesh were electrified. The state has also attracted investments in other sectors including in pharmaceuticals, IT and food processing industries.

The State Government of Himachal Pradesh offers a wide range of policy and fiscal incentives for businesses under the Industrial Policy, 2017. The state has also undertaken other policies such as Tourism Policy 2005 and IT Policy 2001 for upgradation of these sectors in the state. Himachal Pradesh has announced a Revised Solar Policy 2016 under which it plans to establish 700 MW of solar photovoltaic cell capacity.

The state (including Chandigarh, Punjab and Haryana) has attracted Foreign Direct Investment (FDI) equity inflows worth US$ 2.15 billion during the period April 2000 to June 2019, according to data released by Department for Promotion of Industry & Internal Trade (DPIIT).

Key Sectors:

  • Agriculture is the main occupation and the major source of employment in the state, as 89.96 per cent of the population lives in rural areas. With suitable agro-climatic conditions, Himachal Pradesh has realised the importance of commercial crops, including off-season vegetables, potatoes and ginger. The foodgrain production is targeted at 1.67 million metric tonnes in 2018-19. Horticulture production in the state reached 2374.57 thousand metric tonnes in 2018-19, as per third advance estimates.
  • Himachal Pradesh is one of the fastest-growing regions in the pharmaceutical industry in India, driven by incentives announced by the state Government in its Industrial Policy, 2004. During 2018-19, exports of drug formulations and biologicals from the state stood US$ 533.4 million and have reached US$ 374.6 million between Apr-Sept 2019.
  • The tourism sector of Himachal Pradesh contributes to 6.6 per cent in the state GDP. Domestic tourist inflows in the state reached 16.09 million in 2018 while foreign tourist arrivals reached 356,000. As of 2018, there were 3,066 registered hotels in the state.

Factfile

  • Capital:Shimla
  • Geographical Area (sq km):55,673
  • State Language:Hindi and Pahari
  • Literacy Rate:82.8 per cent
  • Key Industries:Textiles, pharmaceuticals, food procurement and processing, light engineering, IT and electronics, cement, tourism and hydropower
Himachal Pradesh Map

Himachal Pradesh