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Economic Survey of Himachal Pradesh 2013-14

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Economic Survey of Himachal Pradesh 2013-14 ECONOMIC SURVEY OF HIMACHAL PRADESH 2013-14 Economics & Statistics Department FOREWORD Economic Survey is one of the budget documents which indicates the important economic activities and achievements of the Government. The salient features of the State of the economy of Himachal Pradesh during 2013-14 are presented in Part-I, and statistical tables on various subjects are given in Part-II. I am thankful to all the departments and public undertakings for their co-operation in making available the material included in the Survey. The burden of collection and updating the huge and voluminous data and its presentation in a concise and inter-related form was borne by the Economics & Statistics Department. I appreciate and commend the work done by the officers and officials of this department. Dr. Shrikant Baldi Principal Secretary (Finance, Plg., and Eco. & Stat.) to the Govt.of Himachal Pradesh. I N D E X Contents Pages 1. General Review 1 2. State Income and Public Finance 10 3. Institutional and Bank Finances 14 4. Excise and Taxation 29 5. Price Movement 32 6. Food Security and Civil Supplies 34 7. Agriculture and Horticulture 39 8. Animal Husbandry and Fisheries 52 9. Forest and Environment 61 10. Water Resource Management 65 11. Industries and Mining 67 12. Labour and Employment 70 13. Power 74 14. Transport and Communication 101 15. Tourism and Civil Aviation 106 16. Education 110 17. Health 124 18. Social Welfare Programme 130 19. Rural Development 141 20. Housing and Urban Development 147 21. Panchayati Raj 152 22. Information and Science Technology 155 ------------------------------------------ Part-I ECONOMIC SURVEY-2013-14 ------------------------------------------ 1 GENERAL REVIEW Economic Situation at National Level 1.1 THE Indian economy has estimated at ` 93.90 lakh crore as experienced a slowdown for the past against ` 83.90 lakh crore in 2011-12 two years and country is passing showing an increase of 11.9 percent through a difficult phase caused by the during the year. Real Gross Domestic increase in global prices for oil, natural Product witnessed a growth of 4.5 gas and other commodities. The percent during 2012-13 (Base 2004-05) consequence of this is the rise in the against the growth rate of 6.7 percent cost across the board and erosion of during the previous year. The growth real disposable incomes which resulted rate in real Gross Domestic Product in decline of growth of 6.7 percent in during 2012-13 has been achieved due 2011-12 to 4.5 percent in 2012-13. to the growth in financing, insurance, real estate & business services (10.9 1.2 With the various measures percent), transport, storage and taken by the government which include communication (6.0 percent). liberalisation of FDI in retail, aviation, broadcasting and insurance, reduction in withholding tax on overseas borrowings 1.5 The per capita income at by domestic companies brought fiscal current prices is estimated at `67,839 in balance on track to stabilisation and with 2012-13 as against `61,855 for the the inflation coming off, the economy previous year recording an increase of seemed to be setting in for a recovery. 9.7 percent. The per capita income in The pace of economic growth in the first real terms i.e at 2004-05 prices, is and second quarters during 2013-14 estimated at ` 38,856 for 2012-13 as has been estimated at 4.4 and 4.8 against ` 38,048 in 2011-12 registering percent respectively. an increase of 2.1 percent. 1.3 The Eleventh Five Year Plan target was pegged at an average 1.6 Headline inflation, year – annual growth of 9 percent but it has on-year, as measured by the Wholesale registered a growth of 8.0 percent which Price Index (WPI), remained low in the is more than the Tenth Plan growth of current financial year (2012-13) in 7.8 percent. The target for the Twelfth comparison to the previous years in five year has been kept at 8 per cent. which it was as high as 8.96 percent. The inflation rate in terms of Whole Sale 1.4 The Gross Domestic Price Index was 6.2 percent in the Product (GDP) at factor cost at constant month of December, 2013 against 7.3 prices, with new Base year i.e. 2004-05, percent in the month of December in 2012-13 is estimated at ` 54.80 lakh 2012. The All India Consumer Price crore as against `52.50 lakh crore in Index Number for Industrial workers was 2011-12. At current prices 11.5 percent in November, 2013 as Gross Domestic Product in 2012-13 is 1 against 9.6 percent during the period estimated at `44,480 crore as against November, 2012. `41,908 crore in 2011-12 registering a growth of 6.1 percent during the year as Economic Situation in against the growth rate of 7.3 percent Himachal Pradesh during the previous year. At current 1.7 The economy of Himachal prices, the GSDP is estimated at Pradesh has transformed rapidly from ` 73,710 crore as against ` 64,957 crore the most backward State of India to one in 2011-12 showing an increase of 13.5 of the most advanced State. The pace percent during the year. of such transformation has emerged Himachal Pradesh as a leader in Hill 1.9 The Per Capita Income at Area Development. Himachal is an ideal current prices witnessed an increase of destination for investment in Power and 11.6 percent as it increased to ` 83,899 Tourism sector. Responsive in 2012-13 from ` 75,185 in 2011-12. administration and conducive macro- The increase in total State Domestic economic conditions have induced a Product is mainly attributed to 9.5 competitive environment in the economy percent increase in Primary sector, of Himachal Pradesh. The economy of 10.0 percent in Community & Personal the state is expected to achieve a Services sectors, 6.2 percent in growth rate of 6.2 percent in the current Transport and Trade, 4.8 percent in financial year which will be Finance & Real estate. Whereas the comparatively better than the national Secondary sector increased by only 3.4 growth. percent. Food-grains production, which was 15.44 lakh MT during 2011-12 has Growth Rate increased to 15.68 lakh MT during 2012-13 and is expected at 15.16 lakh 7.3 MT (anticipated) in 2013-14. The fruit production has also increased by 49.1 percent i.e from 3.73 lakh MT in 6.2 6.1 2011-12 to 5.56 lakh MT in 2012-13 and percent during 2013-14 (up to December, 2012) production was 8.28 lakh MT. 2011-12 2012-13 2013-14 Years 1.10 As per the advanced estimates and on the basis of economic conditions 1.8 The State Gross Domestic up to December, 2013, the likely Product (GSDP) at factor cost at growth rate for 2013-14 will be around constant (2004-05) prices in 2012-13 is 6.2 percent. 2 TABLE 1.1 Key Indicators Indicators 2011-12 2012-13 2011-12 2012-13 Absolute Value %age change over previous year G.S.D.P.( ` in crore) (a)At current prices 64957 73710 14.0 13.5 (b)At constant prices 41908 44480 7.3 6.1 Food grains production 15.44 15.68 4.3 0.9 (lakh tonnes) Fruit production (lakh tonnes) 3.73 5.56 (-) 63.7 49.1 Gross Value Added from Industrial Sector*( ` in crore) 12721 13440 14.9 5.7 Electricity generated (Million Units) 1906 1815 (-) 6.8 (-) 4.8 Wholesale Price Index 156.1 167.6 8.9 7.4 C.P.I. for Industrial Workers(HP) 175 193 7.4 10.3 *At current price 1.11 The economic growth in shift i.e. from 35.1 percent in 1950-51 to the State is predominantly governed by 39.84 percent in 2012-13 agriculture and its allied activities showed not much fluctuations during 1.13 The declining share of nineties as the growth rate remained agriculture sector do not, however, more or less stable. The decade affect the importance of this sector in the showed an average annual growth rate State economy as the state economic of 5.7 percent, which is at par with growth still is being determined by the national level. The economy has shown trend in agriculture and horticulture a shift from agriculture sector to production. It is the major contributor to industries and services as the the total domestic product and has percentage contribution of agriculture overall impact on other sectors via input and allied sectors in total State linkages, employment and trade etc. Domestic Product has declined from Due to lack of irrigation facilities our 57.9 percent in 1950-51 to 55.5 percent agricultural production to a large extent in 1967-68, 26.5 percent in 1990-91 still depends on timely rainfall and and to 14.42 percent in 2012-13. weather conditions. High priority has been accorded to this sector by the 1.12 The share of industries and Govt. services sectors respectively has increased from 1.1 & 5.9 percent in 1.14 The State has made significant 1950-51 to 5.6 and 12.4 percent in progress in the development of 1967-68, 9.4 & 19.8 percent in 1990-91 Horticulture. The topographical and to 18.23 and 41.93 percent in 2012- variations and altitudinal differences 13. However, the contribution of other coupled with fertile, deep and well remaining sectors showed a favourable drained soils favour the cultivation of 3 Temperate to sub-tropical fruits.
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