Nagaland

Nagaland is one of the seven northeast states and is located on 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 hydrocarbons. Moreover, the state has 315 MT of coal reserves and 1,038 MT of limestone reserves.

The agro-climatic conditions in Nagaland provide multiple commercial opportunities for floriculture and horticulture. The state has 650 indigenous species of medicinal and aromatic plants. The state's horticulture sector remains a major contributor to agricultural diversification, led by vegetable production of 456,027 MT, fruit production of 317,661 MT and spice production of 54,645 MT in 2024-25.

As of April 2026, Nagaland has a total installed power generation capacity of 219.27 MW, of which 183.02 MW was under the central sector, 32.67 GW under state utilities, and 3.58 GW under the private sector.

Out of the total installed power generation capacity, 106.03 MW was contributed by thermal, 76.99 MW by hydro, and 36.25 MW by renewable energy.

Total exports from Nagaland in FY26 stood at Rs. 21.29 crore (US$ 2.34 million).

Major items exported from Nagaland in FY26 are Minerals, handicrafts, and chemicals.

The modernization of Dimapur Railway Station gained momentum in March 2026, with the Government of India allocating Rs. 283 crore (US$ 30.8 million) for the project.

Nagaland is strengthening its international engagement with Japan through the launch of Nagaland–Japan Connect 2026, an initiative aimed at promoting investment, skill development, employment opportunities and long-term bilateral cooperation.

Under the NESIDS (Roads) programme, Nagaland received Rs. 5.61 crore (US$ 0.61 million) for construction of the road connecting Jalukie (NH-129A) to the New DC Complex Model Township in Peren district.

The state achieved a significant milestone in renewable energy development with the completion of Phase I (5 MW) of the proposed 10 MW Solar Power Plant at Hovukhu village in Niuland district.

In September 2025, Medanta, in partnership with IDAN and the Nagaland Government, launched “A Guide to Better Health” to promote preventive healthcare and wellness. The initiative, unveiled by Chief Minister Mr. Neiphiu Rio, was followed by a three-day medical camp in Kohima benefiting over 400 people.

In September 2025, the Government of Nagaland signed an MoU with the Centre for Cellular and Molecular Platforms (C-CAMP) to strengthen the state’s public healthcare system through innovative indigenous health technologies. The partnership aims to develop sustainable, locally relevant healthcare solutions, enhance medical infrastructure, and promote research-driven innovations for improved health outcomes across Nagaland.

The first-ever inward freight rake arrived at Molvom station in Nagaland on September 24, 2025, carrying 41 wagons of cement from Telangana. The first outward rake was dispatched from Molvom to Jirania on September 29, 2025, with 42 wagons of stone chips, marking the beginning of freight operations from Nagaland.

In August 2025, Chief Minister of Nagaland, Mr. Neiphiu Rio virtually inaugurated 51 school infrastructure projects across Nagaland under the Samagra Shiksha scheme, including new school buildings, classrooms, teachers’ quarters, and a hostel, marking a key step in upgrading the state’s education facilities.

As of August 2025, 37 households in Nagaland have been benefited under the PM Surya Ghar: Muft Bijli Yojana, with 584 applications submitted on the national portal.

The state provides institutional support through various central and state government agencies viz., the North-East Council, the Ministry of Development of North Eastern Region and the 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 handloom and handicraft sectors. Industrial centres and special economic zones (SEZs) are being developed to enhance the marketability of products. As of April 2025, the state has two formally approved SEZs.

On March 19, 2024, Construction activities have commenced at Portal 1 of Tunnel number 7 of the Dimapur-Kohima new rail line project in Tsiepama village, marking the beginning of the construction of the longest tunnel in the entire rail line.

On October 14, 2023, Union Minister of Health and Family Welfare Dr. Mansukh Mandaviya inaugurated Nagaland's first medical college, NIMSR, in Kohima, offering 100 MBBS seats with 85 reserved for state students and 15 for students nationwide, emphasizing research, international opportunities, and healthcare accessibility initiatives.

Nagaland promotes bamboo processing as an enterprise, covering various applications such as food-based, medicinal usage, handicraft, art, tiles, and flooring. The Nagaland Bamboo Development Agency (NBDA) is the nodal office that coordinates with other offices for all bamboo-related research, development, and business applications. In FY23, the annual allocation for implementing the ‘National Bamboo Mission’ in Nagaland stood at Rs. 40 million (US$ 0.48 million).

Nagaland has a suitable climate for agricultural and horticultural produce. It supports multiple crops like rice, maize, millet, gram, mustard, bean, sugarcane, rubber, tea, banana, etc. In the State Budget 2023-24, Rs. 958.76 crore (US$ 116 million) was allocated for the agriculture & allied sector.

Agro-climatic conditions in the state are conducive to the development of sericulture. Mulberry, muga, eri, oak-tussar and silk are widely cultivated in Nagaland.

The pleasant climate, green hills, criss-crossing rivers, interspersed lakes, vibrant culture, colourful handicrafts and weavings, and numerous festivals make Nagaland a tourist’s paradise. The creation of tourist complexes, eco-tourism, adventure tourism, ethnic culture tourism, health farms, hotels, convention centres, tourist travel services, etc. are various avenues for investment in the sector. In 2022, domestic tourist arrivals in the state were 97,431 and foreign tourist arrivals were 2,923. Under the State Budget 2023-24, the Department of Tourism was provided with an allocation of Rs. 21.01 crore (US$ 2.5 million).

Nagaland, located in India’s far eastern Northeast, borders Myanmar, Arunachal Pradesh, Assam and Manipur, and is rich in natural resources including crude oil, hydrocarbons, coal, limestone and hydropower. The state has strong agro-climatic advantages for horticulture, floriculture and medicinal plants, with extensive bamboo resources and a steadily growing sericulture sector. As of September 2025, Nagaland’s installed power capacity stood at over 200 MW, led by thermal, hydro and renewable sources. Exports remain modest, led by minerals, cotton yarn and handicrafts. The state offers attractive policy and fiscal incentives for agro-based, forest-based, mining, tourism, handloom and handicraft industries, supported by agencies such as the Northeast Council and IDAN. Recent developments include new freight rail operations, healthcare partnerships, education and skilling initiatives, renewable energy projects, and expanding road and rail connectivity, strengthening Nagaland’s investment and growth potential.

Note: MW - Megawatt