Orissa Economy

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Orissa Economy is characterized by the dominance of the agricultural sector. Agriculture continues to be the mainstay of the Orissa Economy contributing about 28.13% to net state domestic product during 2001-2002. Agriculture alone provides direct and indirect employment to around 65% of the total workforce of Orissa as per 2001 provisional census. Nevertheless, the sector continues to be characterized by low productivity.

Although the contribution of agriculture to state income has significantly declined, the percentage of work force engaged in agriculture has remained somewhat unchanged. This implies that there has been an overcrowding in agriculture without any perceptible increase in production. Therefore, agricultural growth holds the key to the overall development of the Orissa Economy by way of creating employment, generating income, providing raw materials to the industrial sector, and ensuring self-reliance in food production and food security to the deprived sections.

Orissa holds the promise of becoming one of India's major manufacturing hubs in the near future. The rate of growth in Orissa has been encouraging in comparison to the national average.

The Orissa Economy is witnessing unprecedented investment, both domestic and foreign. A whopping US$50 bn is expected to be invested in the state for building steel and aluminum producing capacity, power projects, ports, and other infrastructure. If things go as planned in Orissa, the state could emerge as one of the most significant FDI destinations in the world, rivaling Shenzhen in China

Orissa is also a major outsourcing destination for IT (Information Technology) and IT services firms. With the clogged highways of Hyderabad and Bangalore causing massive traffic jams, Orissa's still pristine Bhubaneshwar provides excellent opportunities for large IT firms to set up their shops.