Maharashtra growth measures higher in FY14

Debt stock rose by 10.19% to Rs 2,71,845 cr

Maharashtra’s gross state domestic product (GSDP) at constant 2004-05 prices is estimated to have grown 8.7 per cent in 2013-14 against 7.1 per cent in 2012-13.

Agriculture and allied activities grew four per cent against minus 2.1 per cent in the earlier period, industry sector by 8.8 per cent against seven per cent earlier and services at 9.3 per cent against 8.5 per cent.

According to the Economic Survey for 2013-14 tabled in the state legislature on Wednesday, the GSDP at constant (2004-05) prices was Rs 825,832 crore during 2012-13 against Rs 777,791 crore in 2011-12, an increase of 6.2 per cent in the first revised estimate. GSDP during 2012-13 at current prices will be Rs 13,23,768 crore, a rise of 12.6 per cent over the previous year. (ON GROWTH RADAR)

Per capita state income was Rs 103,991 during 2012-13 against Rs 95,339 in 2011-12. The Survey has estimated a 21 per cent rise in the production of cereals, five per cent in pulses, three per cent in oilseeds and 11 per cent in cotton. Sugarcane production is expected to fall by three per cent.

The rise in GSDP, per capita income and agriculture growth will cheer the ruling Congresss-National Congress Party combine. Elections to the 288-member legislative assembly are slated for September-October.

Total irrigation potential created by end-June 2012 was 4.9 million hectares, of which 2.7 mha was from major irrigation projects, 867,000 ha from medium ones and 1.3 mha from minor irrigation.

Foreign direct investment of Rs 97,799 crore in 4,246 projects was approved between August 1991 and March 2012 in Maharashtra. Of these projects, 45 per cent were commissioned and 10 per cent are under implementation, with a share of investment of 51 per cent and eight per cent, respectively. Maharashtra’s debt stock rose to Rs 271,845 crore in 2013-14 (revised estimate) compared to Rs 246,692 crore in 2012-13, a rise of 10.2 per cent. This is 18.4 per cent of GSDP, within the 23 per cent limit fixed by the 13th Finance Commission. In 2007-08, debt stock was Rs 142,382 crore.

The state’s revenue deficit is estimated at Rs 3,017 crore and the fiscal deficit at Rs 26,563 crore, about 1.8 per cent of GSDP. The revenue expenditure is projected at Rs 161,427 crore against Rs 138,736 crore in 2012-13.

Subsidies are expected to rise to Rs 13,143 crore in 2013-14 against Rs 11,738 crore in 2012-13. The major ones include Rs 5,276 crore for compensation to Maharashtra State Electricity Distribution Company for subsidised rates to agriculture and powerlooms, Rs 2,250 crore to industrial units, Rs 1,358 crore to Maharashtra State Road Transport Corporation for providing concessional fares to certain categories of passengers and Rs 300 crore for foodgrain distribution and Antyodaya Anna Yojana and Annapurna Scheme.