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Business and Economy of Goa

After the independence from the Portuguese rulers, Goa became an integral part of India. Before tourism flourished in Goa, mining industry was the backbone of the economy of Goa. Now business and economy of Goa depends upon many other industries besides mining and tourism, which include agriculture, electronics, IT industry and fisheries. However, tourism and mining are still the main industries of Goa.

Though Goa is dependent on Karnataka and Maharashtra for its need of agricultural products for day-to-day usage, Goa grows substantial amounts of rice and other cereals such as small millets, pulses, etc. Rice is the major agricultural crop of this state. In Goa, cashew nuts, areca nut, coconut, sugarcane and fruits like bananas, jackfruits, pineapple and mango are the major plantation crops. The forest wealth is also important from the point of view of Goa's economy. Chillar barks, Maratha barks, and bamboo canes are some of them.

Business and economy of Goa is developed due to the efforts of Goa Chamber of Commerce, which was established in 1908. It is a guiding organization for the businesses and industries of Goa. Goa Chamber of Commerce has enabled many local industries of Goa to stand in the competitive markets. Many nationalized banks have their branches all over Goa. They provide for foreign currency exchange facilities. Credit cards of all major national and international banks are honoured at major hotels and shops in Goa, which undoubtedly propels a consumerist culture; so essential for the industrial growth. Currently there are 16 SEZs in Goa.

Tourism is the most important industry of Goa, in terms generation of revenue. It accounts for 12 percent of foreign tourist arrivals to India. During 2004, more than 2 million tourists flocked to Goa. Being a tourist paradise, Goa attracts domestic traffic too in thousands. Goa with its beaches, churches, forts and festivities create a wonderful tourism option to explore.

Tourists in Goa are given a wide choice of hotels, resorts, private cottages, and beach side huts. The water sports activities are also well developed and they provide good entertainment options for the tourists. Government has also given good support by organizing many festivals, carnivals, etc. Goa is connected internationally by airways and many foreign tourists prefer Goa because of its warm, but comfortable climate. Goa is also a popular destination for holding business meetings and annual conferences, and thus, besides leisure tourists, it also attracts a galore of business tourists year round, which gives a fillip to its tourism industry.

Besides tourism, Goa boasts of other industries too. IT industry in Goa is progressing. Policies of the state government like action plans, IT governance and development of software industry have strengthened this sector. The first Software Technology Park complex in Goa is coming up at Verna.

Fisheries industry is well developed because of the abundance of water bodies in the state of Goa. Goa has 105 km coastline. In Goa, sea food is found in abundance. Fishing industry supports the business and economy of Goa with its significant share. Large number of people is employed in this industry. Though now at number two, mining industry is still the mainstay of the economy. Besides iron and manganese ores, the state has mines of bauxite, limestone and clay. Fertilizers, distilling of feni and shipping are other important industries of Goa.

Last Updated On: 2011/07/01