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Odisha Economic Survey 2011-12

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Odisha Economic Survey 2011-12 Government of Odisha Economic Survey Economic Survey 2011-12 2011-12 Planning and Coordination Department Economic Survey 2011-12 ODISHA Planning & Coordination Department Directorate of Economics & Statistics Government of Odisha February 2012 Copyright-2012 Government of Odisha Bhubaneswar Published by Planning & Coordination Department Government of Odisha This Report does not necessarily reflect the views of the Government of Odisha, All rights reserved. No part of this publication may be reproduced, stored or transmitted in any form or by any means without the prior permission of the Government of Odisha. Price : Rs 100/- Prepared by Planning & Coordination Department Bhubaneswer Designed and Printed by New Concept Information Systems Pvt. Ltd. ODISHA STATE Foreword I am glad to learn that the Planning & Coordination Department has brought out the Odisha Economic Survey 2011-12. The Odisha Economic Survey 2011-12 takes note of the efforts of the State Government to bring visible improvements in the state finances, to reduce Debt-GSDP ratio, to create fiscal space for higher plan and capital outlays to propel growth in the economy and to accelerate the pace of development. There is a perceptible structural change in Odisha’s economy which has been following a high growth trajectory in recent years. Odisha’s real per capita incomes are rising and the gap with national averages has been narrowing. The Survey 2011-12, inter alia, also highlights challenges faced by, and opportunities available to Odisha. I sincerely hope that the Odisha Economic Survey 2011-12 will be useful to policy makers, academics and the general public. (NAVEEN PATNAIK) Economic Survey, Odisha 2011-12 iii Preface The Odisha Economic Survey is very useful document and attracts attention of legislators, policy makers, academics, researchers and others. The Planning & Co-ordination Department has prepared the Odisha Economic Survey, 2011-12 with a view to providing a clear idea of past performance of Odisha’s economy and its outlook for the future. Odisha’s economy has been undergoing a structural change, with the Service Sector becoming more and more pronounced. As per “quick estimates” for 2010-11, the share of this sector in the real Gross State Domestic Product (GSDP) of the State is 56.7 percent, that of the Industry Sector 25.7 percent and Agriculture Sector 17.6 percent. This has significant implications for those who depend on these sectors for their employment and livelihoods. The State economy has been following a high growth trajectory in recent years. In the first four years of the 11th Five Year Plan, Odisha’s economy has grown, in real terms at 2004-05 prices, at an average rate of 8.5 percent despite global economic slow down. The real per capita income has been rising and the gap with the national average has been declining. In recent years, Odisha has witnessed faster poverty reduction. With a view to improving the quality and extent of productive infrastructure, the Government has focused on Bijli, Sadak and Pani. There are, however, acute regional, social and gender disparities. This is a matter of serious concern and has attracted attention of the Government. Development of backward regions and that of the marginalized sections including women, scheduled tribe and scheduled caste communities has been accorded a very high priority. The social sectors including eductation, health, drinking water, nutrition, sanitation as well as livelihood sectors have gained importance with the emergence of the concept of human development index. The State’s achievements in these sectors have been impressive in the recent years. Several scholars have contributed to the richness of this Survey. The officers and staff of Planning & Coordination Department, Finance Department and Directorate of Economics & Statistics have added their efforts to this Survey. It is hoped that the Odisha’s Economic Survey, 2011-12 will be more useful to various stakeholders including legislators, policy makers, academics, researchers and others. (Smt. Usha Devi) Economic Survey, Odisha 2011-12 v Acknowledgement Several persons and officials have contributed to the preparation of the Odisha Economic Survey, 2011-12. We are very grateful to Sj. Naveen Patnaik, Hon’ble Chief Minister, Odisha who inspired us to undertake the task of preparation of the survey in a more professional manner. We are also grateful to Sj. A.U. Singh Deo, the then Hon’ble Minister, Planning & Coordination and Excise and Smt. Usha Devi, Hon’ble Minister, Textile & Handloom and Planning & Coordination, who encouraged and guided us for preparation of the survey. Shri B. K. Patnaik, Chief Secretary and Chief Development Commissioner, guided us through the tedious process of preparation of the survey. This task of preparation of the survey would not have been possible without full support and guidance from Dr. R. N. Senapati, Development Commissioner- cum-Additional Chief Secretary. Their efforts and support are gratefully acknowledged. Shri J. K. Mohapatra, Principal Secretary, Finance lent his support to this undertaking. He provided considerable intellectual inputs to improve the quality and content and readily spared the services of Shri D.K. Jena, Joint Secretary and Shri S. Rath, Under Secretary, both Finance Department, who reviewed the Chapter on Public Finance. They provided us desired data for different components of the survey. We are grateful to them all for their support. This work would not have been possible without the active cooperation of my colleagues in Planning & Coordination Department and Directorate of Economics & Statistics (DES). Their efforts are sincerely appreciated and acknowledged. Shri M.K. Nanda, Director; Shri H.M. Routray, Shri S.S. Mishra and Shri K.D. Sahu, all Joint Directors; Dr. Dillip Ray, Md. Firoz Khan and Shri S.R. Mahanta, all Deputy Directors; Shri P.K. Dash and Miss Sujata P. Parida, both Assistant Directors and Shri B.K. Nayak, S.A. in the DES took Great Pains and made untiring efforts from beginning to the end of the process of revision of the survey. Shri G.C. Paul, Director- cum-Additional Secretary (Plan) Shri A.K. Mishra, Director (DFC)-cum-Additional Secretary, Shri J.K. Mishra, Dr. N.K. Panda, Shri G.C. Dash and Smt. J. Mohapatra, all Joint Directors, Shri D. Das Mohapatra, Shri A.C. Sarangi, Shri B.N. Dash and Smt. S. Das, all Deputy Directors and others from Planning & Coordination Department also assisted in varying degrees. Shri C.R. Satapathy, Deputy Director, Shri B.K. Sahu, Specialist (MIS), Shri N. Mishra, Chief Accounts Officers and others from Poverty and Human Development Monitoring Agency (PHDMA) also made untiring efforts and assisted us at different stages of this task. We are also grateful to Dr. Manoj Panda, Director, CESS, Hyderabad for his support and intellectual inputs. PHDMA funded the entire exercise and shared other responsibilities for completion of the task. M/s New Concept Information Systems Pvt. Ltd. helped us in cover and layout design, typesetting and printing of this document. We sincerely thank them all for their cooperation in finalising this document in a time bound manner. The process of preparation of this report has been an interactive and enriching experience. We hope this report will be helpful to all those, who intend to use it. We welcome suggestions for further improvement in this document. (R. V. Singh) Officer on Special Duty Planning & Coordination Department Government of Odisha. Economic Survey, Odisha 2011-12 vii Contents Foreword iii Preface v Acknowledgement vii Abbreviation xxv CHAPTER 1: OVERVIEW 1 1.1 Executive Summary 1 1.2 The Agriculture Sector 2 1.3 The Industrial Sector 3 1.4 The Service Sector 3 1.5 Infrastructure 4 1.6 Poverty 5 1.7 Social Sectors 5 1.8 Public Finance 7 CHAPTER 2: ODISHA’S ECONOMY: A MACRO GLANCE 9 2.1 Aggregate Income 9 2.2 Relative Standards of Living 9 2.3 Broad Sectoral Decomposition 10 2.4 Performance of Districts 13 2.5 Employment 14 2.6 Child Labour and Bonded Labour 18 2.7 Employment Programmes 19 2.8 Consumption Expenditure 20 2.9 Cost of Living 25 CHAPTER 3: AGRICULTURE AND ALLIED SECTORS 81 3.1 Agriculture 81 3.2 Animal Husbandry 90 3.3 Fisheries 94 3.4 Forestry and Environment 96 CHAPTER 4: THE INDUSTRIAL SECTOR 141 4.1 Manufacturing 141 4.2 Mining and Quarrying 155 Economic Survey, Odisha 2011-12 ix CHAPTER 5: THE SERVICE SECTOR 181 5.1 Institutional Finance 181 5.2 Construction 191 5.3 Tourism 192 5.4 Trade, Hotel and Restaurant Industry 194 5.5 Policies for Promotion of Tourism and Hospitality Industry 194 CHAPTER 6: INFRASTRUCTURE 211 6.1 Power 211 6.2 Transport 219 6.3 Mail and Telecommunication 228 6.4 Science and Technology 229 CHAPTER 7: HUMAN DEVELOPMENT AND POVERTY 251 7.1 Poverty: Its Multiple Dimensions 251 7.2 Literacy Levels 254 7.3 Health Conditions 255 7.4 Development Approach for Odisha 257 7.5 Composite Human Development Status for Odisha 261 CHAPTER 8: SOCIAL SECTOR 273 8.1 Education 273 8.2 Health and Family Welfare 283 8.3 Water Supply and Sanitation 291 8.4 Welfare Programmes 294 8.5 Women’s Development and Welfare 298 8.6 Welfare of Scheduled Castes and Scheduled Tribes 301 CHAPTER 9: PUBLIC FINANCE 339 9.1 Overview of Public Finances 339 9.2 Own Revenues 342 9.3 Central Transfers 343 9.4 Revenue Expenditures 344 9.5 Capital Expenditures 346 9.6 Adequacy of Developmental Expenditure 347 9.7 Public Debt 348 9.8 Institutional Measures 350 CHAPTER 10: LOOKING AHEAD 357 10.1 Development Approach for Odisha 358 x Economic Survey, Odisha 2011-12 LIST OF ANNEXURES Annexure 2.1: Gross/Net State Domestic Product (GSDP & NSDP): (a) Total and Per Capita, (b) at Current and Constant Prices and (c) from 1950-51 to 2011-12 (A) 27 Annexure 2.2: GSDP at Current Prices by Detailed Categories (Rs.
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