Assam is the largest economy in the entire North Eastern
region. It is primarily an agrarian economy with majority of its population
engaged in agriculture and allied activities. It has one of the most fertile
stretches of land in India, along the Brahmaputra valley, which is suitable
for the cultivation of a wide variety of cash and food crops on a commercial
basis. It is rich in natural resources like oil and natural gas, coal,
rubber, etc.; minerals like granite, limestone, etc; forests and water
resources. Moreover, the State is more industrially developed than other
North Eastern States. It is known for its large industries in the tea
and oil/ petroleum sectors. The State is renowned for its arts and crafts,
associated with the cottage industries. Cottage industries include handloom,
sericulture, cane and bamboo articles, carpentry, brass and bell-metal
crafts. Assam produces varieties of silk like Endi, Muga, Tassar, etc.
Besides, there is easy availability of skilled and qualified labour at
reasonable cost. Also, attractive tourism potential exists in the area
of nature tourism as well as cultural heritage.
Agriculture and Horticulture
Agriculture occupies an important place in the economy
of the State. The principal food crop is rice and the cash crops are jute,
tea, cotton, oilseeds, sugarcane, etc. The State has an estimated 39.44
lakh hectares gross cropped area, of which net area sown is about 27.01
lakh hectares. Assam is known for her rich forest wealth which constituted
22.21 per cent of the total forest area. It has several national parks
and wildlife sanctuaries. The Kaziranga National Park and the Manas Tiger
Project (National Park) are internationally famous for one horned Rhino
and Royal Bengal Tiger, respectively.
The agro-climatic condition of the State favour the growth
of a variety of fruits and vegetables/ spices including orange, banana,
pineapple, arecanut, coconut, guava, mango, jackfruit, citrus fruits,
ginger, turmeric, chillies, potatoes, etc. Until recently, horticulture
was practiced as a largely non-commercial activity. However, with better
quality planting material, sufficient research support and better know-how,
the State could easily be poised for a major boom in the fruit growing
and food processing industry.
Tea Industry
Assam is the largest producer of tea in India. Assam tea
is well known for its distinct quality, especially for its strong liquor,
rich taste and colour. It is sold as a single estate tea and used in tea
blends bearing many distinguished labels. Assam accounts for nearly 53%
of the all India production and about 1/6th of the tea produced in the
world. Around 80 million kgs of tea are exported annually from Assam.
Tea is grown both in the Brahmaputra and Barak plains of the State. Tinsukia,
Dibrugarh, Sibsagar, Jorhat, Golaghat, Nagaon and Sonitpur are the districts
where tea gardens are mostly found. For a better marketing of the tea
produced in Assam and the entire North Eastern States, a Tea Auction Centre
- Guwahati Tea Auction Centre - has been established. This is the world's
second largest tea auction centre in terms of total tea. Besides, about
17 percent of the workers of Assam are engaged in the tea industry. Thus,
the tea industry has contributed substantially to the economy of Assam.
Oil Industry
Assam has the oldest oil refinery in the country (set up
at Digboi). It has the oldest and the longest cross country crude oil
pipeline (about 1158 km). It is endowed with oil shale reserves, estimated
at 137 billion tonnes with a recovery factor of 20.35%, which is capable
of sustaining its crude oil production in the years to come. It also has
a significant reserve of low ash high sulphur coal. Oil Exploration in
Assam has the highest success ratio in the world. Assam also accounts
for one of the biggest pool of professional and skilled manpower engaged
in the oil and petroleum industry. Thus, with the State’s inherent strength
built over a century and with the future potential, Assam offers opportunities
for exploration in the oil and gas sector. It has opened up the oil sector
to private participants. Also, the declaration of the Brahmaputra as a
national waterway has facilitated transportation of raw materials and
project equipment for growth of the oil sector.
Minerals
Assam is widely known for its abundant mineral resources.
The exploitation of minerals in the State mainly comprises of petroleum
(crude), natural gas (utilised), coal, limestone and minor minerals. Petroleum
(crude) is the principal mineral produced in the State. Assam coal is
friable in nature and has a high sulphur content. It is mainly utilised
by local railways, steamers and hydro power stations. Coal is found in
Koilajan, Umrangshu and Khota-Arda in the Hills District of Assam.
Limestone is an important mineral which is used in the
manufacture of cement, as flux in iron and steel production, and as raw
materials for chemical industries. There are several opportunities for
investment in this area. Assam holds great potential for the rational
utilisation of limestone in various industries. Like petroleum, natural
gas is also a valuable source of power and various other chemical by-products.
In Assam, almost all the petroleum producing areas of the Brahmaputra
Valley, especially Naharkatia, Moran, Lakuwa and Rudrasagar, contains
'associated natural gas'. The important industries built up on the basis
of the natural gas of Assam are Namrup Fertilizer Factory, Namrup Thermal
Power Project, Assam Petrochemicals and Assam Gas Company (which provides
liquefied petroleum gas for domestic use).
Assam is endowed with granites of variegated colours, ranging
from off-white to grey and pink. It is found in central and lower parts
of Assam. The grey granite is extensively used in road making and as a
railway ballast.
Tourism
The State of Assam is one of the most beautiful regions
of India. Its natural landscape, rich flora and fauna, lush green forests
and wild life sanctuaries offer a wide choice to cater to the tastes of
tourists. It is known for historical monuments, pilgrimage spots, tea
gardens and its colourful cultural festivals. It is one of the best destinations,
where one can encounter a great variety of rare and endangered wildlife
species as well as can enjoy sports like angling, trekking, rock climbing,
mountaineering, etc.
The National Parks in the State Include:- Kaziranga National
Park; Manas National Park; Dibru-saikhowa National Park; Nameri National
Park; and Orang (Rajiv Gandhi) National Park. While, the Wildlife Sanctuaries
in the State include:- Pobitora Wildlife Sanctuary; Sonai Rupai Wildlife
Sanctuary; Bura-chapori Wildlife Sanctuary; Laokhowa Wildlife Sanctuary;
Pobha or Milroy Sanctuary; Chakrashila Wildlife Sanctuary; Bornadi Wildlife
Sanctuary; Gorampani Wildlife Sanctuary, Golaghat; Nambor Wildlife Sanctuary;
East karbi Anglong Wildlife Sanctuary; Karbi Anglong Wildlife Sanctuary;
Panidihing Bird Sanctuary, Sibsagar; Deeporbeel Bird Sanctuary, Guwahati
(proposed); and Bordoibam Bilmukh Bird Sanctuary, Lakhimpur, Dhemaji (proposed).
Other places of tourist interest in the State are: Sibsagar
(Shiv Temple-Rangghar-Karengghar), Tezpur (Bhairavi temple and scenic
beauty), Bhalukpung (Angling), Haflong (health resort with Jatinga hills),
Majuli (largest river island in the world), Chandubi lake (picnic spot),
Hajo (meeting point of Buddhism, Hinduism and Islam), Batadrava (birth
place of great Vaishnava saint Sankaradeva) and Sualkuchi (famous for
silk industry). Important places of tourism in and around Guwahati are
Kamakhya temple, Umananda (Peacock Island), Navagraha (temple of nine
planets), Basistha Ashram, Dolgobinda, Gandhi Mandap, State Zoo, State
Museum, Sukreswar temple, Gita Mandir, Madan Kamdev temple, a magnificent
archaeological place of interest, and Saraighat Bridge.
Other Sectors
Investment potential also exists in the following industries:-
- In case of cane and bamboo, the State Government has
accorded priority to the sector as a key element responsible for State's
development. Cane and Bamboo are used to make large varieties of products.
Cane furniture of Assam is much sought after both in the national and
international markets. Bamboo is used mostly to make domestic products
such as chalani (sieve), kula (winnowing pan), khorahi (small basket),
etc.
- In case of brass and bell metal sector, Assam is famous
worldwide for strength, beauty and utility of the sector's products. Brass-work
is an important traditional handicraft of Assam. Brass articles are produced
not only for day-to-day use, but also for interior decoration. The principal
items of brass are the kalah (water pot), sarai (a platter or tray mounted
on a base), kahi (dish), bati (bowl), lota (water pot with a long neck)
and tal (cymbals). Bell-metal work is a traditional cottage industry of
Assam. The normal products of bell-metal are the traditional plates, cups,
tumblers, pitchers, bowls, sarais, dwarf pitchers, pots, hookahs and musical
instruments. Gold, silver and copper also forms a part of traditional
metalcraft in Assam.
- In case of sericulture and handloom industry, Assam
is the home of several types of silks. The climatic condition of Assam
is well suited for the growth of the sector. Traditional varieties of
silk cultured include eri, muga and mulberry. However, now a variety known
as Tassar is being cultured on an experimental basis. The muga silk, known
for its fine shine and golden colour is used by the local silk weaving
industry and this has contributed to the development of the muga culture
in the State. It is produced only in Assam in the world. With further
infusion of capital and modern methods, the State offers a tremendous
potential for the development of a large-scale industry based on silk.
Besides, Assam has the largest concentration of handlooms and weavers
in India. The traditional handloom silks hold a prominent position in
the world markets and score over factory-made silks in the richness of
their textures and designs, in their individuality, character and classic
beauty. The number of looms in the State stands at around eight lakhs
which works out to around 16 per cent of the looms in the entire country.
Cotton, muga, paat (mulberry silk) and endi are the basic raw materials
for hand-woven fabrics in Assam.
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