Last updated on Feb, 9 2021
MADHYA PRADESH State Report | December, 2020
Madhya Pradesh is located in central India. The state is bound on the north by Uttar Pradesh, on the east by Chhattisgarh, on the south by Maharashtra, and on the west by Gujarat and Rajasthan. It is among the fastest growing states in the country.
At current prices, the Gross State Domestic Product (GSDP) of Madhya Pradesh for 2019-20 stood at Rs. 9.07 trillion (US$ 129.73 billion). State’s GSDP grew at a CAGR (in rupee terms) of 13.78% between 2015-16 and 2019-20. Net State Domestic Product (NSDP) of Madhya Pradesh was about Rs. 8.27 trillion (US$ 117.32 billion) in 2019-20. Between 2015-16 and 2019-20, state’s NSDP grew at a CAGR of around 14.21%.
Madhya Pradesh is rich in natural resources - fuel, minerals, agriculture, and biodiversity. It is also the only diamond producing state in the country. Diamond production in the state stood at 38,437 carats in 2018-19.
Madhya Pradesh offers distinctive monetary and strategy/policy incentives for organizations under the Industrial Promotion Policy-2014 other than strategies/policies for information technology (IT), biotechnology, tourism, and special economic zone (SEZs). To pull in investors and promote entrepreneurs, the State Government has selected TRIFAC, an agency that encourages a single window system, for speedy approvals of different clearances and consents.
As of November 2020, Madhya Pradesh had a total installed power generation capacity of 25064.53 MW, comprising 7187.62 MW under state utilities, 6926.09 MW under central utilities and 10950.82 MW under private sector.
The state is home to five operational SEZs, six notified SEZs, and 12 formally approved SEZs.
Exports from the state stood at US$ 3.95 billion in FY21 (until November 2020). Madhya Pradesh exported two key items including marine products and petroleum products. In FY21 (until November 2020), the total drug formulations, biologicals products exports from Madhya Pradesh accounted for US$ 947.86 million, which was 24% of the total exports.
According to the Department for Promotion of Industry and Internal Trade (DPIIT), the cumulative FDI inflows in Madhya Pradesh were valued at US$ 225.70 million between October 2019 and September 2020.
Agriculture is the main source of livelihood for the people of Madhya Pradesh. Primary sector’s contribution to the state’s GVA increased from 33.85% in 2011-12 to 56.70% in 2019-20.
Textiles industry is one of the key sectors of Madhya Pradesh. The state is one of the major cotton producing states in India. In 2018-19, cotton and silk production in the state reached 24 metric tonnes^ and 100 million metric tonnes, respectively. Exports of cotton yarn is estimated at US$ 218.58 million in FY21 (until November 2020) and accounts for 6% of the state’s total exports.
In 2019, foreign tourist arrivals and domestic tourist visits in the state stood at 0.33 million and 88.71 million, respectively.
Note: ^in lakhs bales of 170 kgs each, MMT - Million Metric Tonne