Himachal pegs 5.6% growth, fall by 1.5% from last fiscal

Source : IANS
Author : IANS
Last Updated: Thu, Mar 5th, 2020, 15:03:18hrs
Himachal pegs 5.6% growth, fall by 1.5% from last fiscal

Shimla: Himachal Pradesh's economic growth is expected to be 5.6 per cent this fiscal as against 7.1 per cent during the previous year and its per capita income is estimated at Rs 183,108, Chief Minister Jai Ram Thakur informed the Assembly on Thursday.

The state's per capita income at current prices as per the first revised estimates witnessed an increase of 11 per cent in 2018-19 from Rs 165,025 in 2017-18.

The national per capita income is pegged at Rs 1,26,521 in 2018-19.

As per the second revised estimates of Gross State Domestic Product (GSDP) at current prices, it is estimated at Rs 1,53,845 crore in 2018-19 against Rs 1,38,351 crore in 2017-18, showing an increase of 11.2 per cent during the year.

The GSDP at constant (2011-12) prices in 2018-19 is estimated at Rs 1,17,851 crore against Rs 1,10,034 crore in 2017-18, registering a growth of 7.1 per cent during the year as against the growth rate of 6.8 per cent of the previous year.

Himachal's economy is highly dependent on hydroelectricity, horticulture and tourism.

The Economic Survey 2019-20 report was tabled in the assembly by Thakur, who also holds the finance portfolio, a day before the presentation of the state Budget.

The increase in total state domestic product is mainly attributed to 13.3 per cent in community and personal services sectors, 7.3 per cent in finance and real estate, 4.6 per cent in transport and trade, 8.2 per cent in manufacturing, eight per cent in construction and 7.3 per cent increase in electricity, gas and water supply.

The primary sector has negative growth of 1.7 per cent.

The foodgrains production, which was 15.81 lakh tonnes during 2017-18, increased to 16.92 lakh tonnes in 2018-19 and is targeted at 16.36 lakh tonnes in 2019-20.

However, the fruit production declined to 4.95 lakh tonne in 2018-19 against 5.65 lakh tonne in 2017-18, showing a fall of 12.4 per cent in 2018-19.

The fruit production in 2019-20 (up to December 2019) is almost double at 7.07 lakh tonne.

The state's economy has shown a shift from agriculture sector to industries and services as the percentage contribution of agriculture in total state domestic product has declined from 57.9 per cent in 1950-51 to just 8.4 per cent in 2018-19.

The share of industries and services sectors respectively has increased from 1.1 and 5.9 per cent in 1950-51 to 29.8 and 44 per cent in 2018-19.

However, the contribution of other remaining sectors declined from 35.1 per cent in 1950-51 to 26.2 per cent in 2018-19.

Apple -- the country's fruit basket -- yield in Himachal constitutes about 74 per cent of its annual fruit production. In this fiscal, 6.64 lakh tonnes of apple were produced till December against 3.68 lakh tonnes in the previous financial year.

Growing off-season vegetables has also picked up in the state.

In 2018-19, 17.22 lakh tonnes of vegetables were produced against 16.92 lakh tonnes in 2017-18 -- a growth of 1.8 per cent.

In 2019-20, the vegetable production is expected about 16.56 lakh tonnes.

State's tourist footfall last year increased to 172.12 lakh, that included 3.83 lakh foreigners, from 164.50 lakh in 2018. The highest arrival in 14 years was at 196.02 lakh in 2017.