Jammu and Kashmir (J&K) is a Union Territory (UT) of India, located in the country’s northern part, and a global tourist destination. In addition to traditional recreational tourism, a vast scope exists for adventure, pilgrimage, spiritual, and health tourism.
The economy is primarily services based and agri-oriented. The Gross State Domestic Product (GSDP) increased at a CAGR (in Rs.) of 8.51% between 2015-16 and 2020-21 to reach Rs. 1.76 trillion (US$ 24.28 billion). J&K’s NSDP increased at a CAGR (in Rs.) of 8.61% from 2015-16 to 2020-21 and reached Rs. 1.49 trillion (US$ 20.49 billion).
A vast natural resource base has enabled J&K to develop land for cultivating major fruits. With varied agro-climatic conditions, the scope for horticulture is significantly high in J&K. Food processing and agro-based industries (excluding conventional grinding and extraction units) thrive in the UT. J&K has an ideal climate for floriculture and an enormous assortment of flora and fauna. J&K has Asia’s largest tulip garden.
J&K’s handicrafts are world famous and the traditional handicraft industry has emerged as a large industry. Due to its large employment base and export potential, the industry has been receiving priority attention of the government. The UT is also famous for its small-scale and cottage industries such as carpet weaving, silks, shawls, basketry, pottery, copper and silverware, papier-mâché, and walnut wood. The cottage handicrafts industry provides direct and gainful employment to around 340,000 artisans.
As of April 2021, J&K* had a total installed power generation capacity of 3482.11 MW, comprising 1866.08 MW under central utilities, 1535.98 MW (UT utilities) and 80.05 MW (private utilities).
Total export from J&K stood at US$ 188.18 million in 2019-20. In FY21 , exports from J&K stood at US$ 159.64 million.
The following are some of the major initiatives taken by the Government to promote Jammu & Kashmir as an investment destination:
Note: P - Provisional, T - Target, MT - Million Tonnes, * Including Ladakh Union Territory
Cabinet Committee on Economic Affairs approved the proposal of Department for Promotion of Industry and Internal Trade for Central Sector Scheme for Industrial Development of Jammu & Kashmir, for a total outlay of Rs. 28,400 crore (US$ 3.88 billion) upto 2037.