The Jharkhand Economic Survey for 2013-14 released today showed impressive improvements in the Gross State Domestic Product (GSDP).
The value of GSDP is expected to reach Rs 188,225 crore at the current prices and Rs 113,127 crore at constant prices in 2013-14 respectively; a 7.58 per cent per annum growth at constant prices and 14.39 per cent at current prices in NSDP, said the Survey which was released today.
For the year 2014-15, the GSDP is expected to reach Rs 218,251 crore at the current prices and Rs 123,885 crore at constant prices, respectively.
The Net State Domestic Product (NSDP) at constant (2004-05) prices was Rs 53,056 crore and has grown a Compound Annual Growth Rate (CAGR) of 6.55 per cent to Rs 88,107 crore by the year 2012/13, the survey said.
The NSDP is expected to grow at the same impressive pace this year and the coming year and reach the levels of Rs 96,530 crore in 2013-14 and Rs 105,896 crore in 2014-15.
As the growth rate of Jharkhand has not been stable, the survey said, between 2004-05 and 2012-13, it reflected in the relatively high coefficient of variation in the GSDP at constant prices.
The survey said the economic slowdown in 2008-09 triggered by the global financial crisis and the frequent droughts in Jharkhand were the two main contributors to the volatility of its growth rate.
"For the last two years, however, the growth rate of the state has remained almost stable at about 7 per cent per annum," the report said.
The main driver of the growth in GSDP, it said, was the services or tertiary sector which grew at a CAGR of 11.37 per cent in real terms between 2004-05 and 2012-13.
Though growth in the tertiary sector benefited from all its components, the report said banking and insurance, communication, storage and public administration, in particular, achieved notable growth in this period -- by more than 14 per cent per (CAGR) annum during 2004-05 to 2012-13.
The secondary (industry) sector, it added, grew at a much slower pace at 3.07 per cent per annum during 2004-05 and 2012-13 and during the 11th Plan period, its CAGR was much lower at 1.86 per cent.
The report attributed to the poor performance of the secondary sector to very low growth in manufacturing, especially in registered manufacturing and a negative growth in electricity, gas and water supply.
"Within primary sector, both agriculture and allied sub sector of mining and quarrying have achieved satisfactory growth," it said.
Despite absence of perennial water sources and recurrent drought, it said fishing in the state made rapid progress.
The survey also said the state had succeeded in managing its fiscal situation well, was successful in substantially boosting its revenue -- both tax and non-tax.
