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Himachal Pradesh has gradually emerged as an economic super power since its formation as 18th state on 25th January 1971. the state is complete with immense natural resource, such as water, minerals, forests and many more. Himalchal Pradesh has established well developed infrastructure with due course of time. From a very drastic state of economy initially to a very fast emerging state economy, Himachal Pradesh has grown in to a model for other states in the country.

Source: Economic Review 2003-04, www.indiastat.com
The Gross State Domestic Product (GSDP) in Himachal Pradesh was recorded to be USD 4.97 billion in 2005-06, where as the per capita income was USD 751.2. The major industries contributing to the growth are food products, textile, especially spinning, chemical and chemical products, electronics, paper and paper products and precision and mechanical engineering. Small Scale industries (SSI) constitute a larger section of the economic growth in the state. The small scale industries largely operate in the field of food and allied products, hosiery, wood and wood products and mechanical items.

Source: www.indiastat.com
The secondary sectors in the state have also a very significant impact on the overall economic growth of the state. The share of the sector in the GSDP increased from 32.8 per cent in 1999-00 to 36.6 per cent in 2005-06. The highest growth of sustained industrialisation coupled with rising construction activities are the reasons for the growth in the secondary sector.

Source: www.indiastat.com

Source: www.indiastat.com

Source: www.indiastat.com

Source: www.indiastat.com
The manufacturing sub-sector grew at a CAGR of 14.6 per cent with the highest share of 47 per cent in the secondary sector. Construction sector, which has a share of 38 per cent in the secondary sector, grew at a CAGR of 11.7 % between 1999-00 and 2005-06. The growth in the services sector has been driven by sub-sectors, such as transport, storage, communication, trade and hotels. Himachal Pradesh recorded a gross state domestic product of USD 4.97 billion in the year 2005-06 compared to GSDP of $2.62 billion in 1999-00. The over all growth of the state is contributed by sectors, such as agriculture and livestock, forestry and logging, fishing, mining and quarrying, manufacturing, construction and electricity, gas and water supply, trade, hotels and restaurants, transport, storage and communication, financial services, real estate and related services, public administration and other services.
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