Latest update: April, 2018
Last Updated: April, 2018
PUNJAB State Report | April, 2018
Punjab, one of the northernmost states of India, is bordered by the Pakistani province of Punjab to its west, Jammu & Kashmir in the north, Himachal Pradesh in the northeast, Haryana in the south and southeast, and Rajasthan in the southwest.
The confluence of five rivers makes Punjab’s agricultural land rich and productive. Approximately 82 per cent of the state’s land is under cultivation compared with the national average of 40 per cent.
Punjab is also known as the ‘Bread Basket of India’ and led to first Green Revolution in the country. By 2025, it is expected that the state will be among the leading producers of non-food grains as well as exporter of various agri-products. The state occupies only 1.5 per cent of India's geographical area. Rice production in Punjab is estimated at 12.64 million metric tonnes during 2016-17 & the state accounted for over 10 per cent share of rice produced across the country and also produced 17.6 million tonnes of wheat in the same year. This makes it suitable for agro-based industries, dairy farming and products, and other food processing industries. During 2016-17, total vegetable production in the state was 4.64 million tonnes and fruit production stood at 1.86 million tonnes.
Punjab has strong agriculture base with the huge production of principal crops. In 2016-17, production of sugarcane was recorded at 7,252 thousand metric tonnes. Punjab has been ranked first in India in terms of infrastructure facilities offered. Punjab’s road, rail and air transport network, connectivity, construction of bridges and infrastructure facilities are rated among the best. As of January 2018, Punjab had a total installed power generation capacity of 14,245.86 megawatt (MW).
The state has attracted Foreign Direct Investment (FDI) equity inflows worth US$ 1.472 billion during the period April 2000 to December 2017, according to data released by Department of Industrial Policy and Promotion (DIPP). Punjab has easiest procedures to set up a business, according to a study by the World Bank and KPMG. Punjab had set up a Bureau of Investment Promotion (BIP) in December 2013 for one-stop clearance of investment proposals. BIP has powers to give approvals related to pollution control, excise and taxation, labour issues, factory licences, boiler registrations, town and country planning, land and power-related issues.
Punjab has emerged as a key hub for textile-based industries including yarn, readymade garments and hosiery. With the development of apparel parks, favourable textile policy and other incentives for the creation of textile infrastructure, the state offers opportunities for investment.
The average gross state domestic product (GSDP) growth rate for the state of Punjab was about 9.92 per cent between FY12-17. The state provides investment opportunities in sectors such as textiles, agro-based industries, IT & ITeS, automotive and auto components, sports goods and light engineering goods.
Last Updated: May 17, 2018