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Himachal Pradesh is a hilly region; hence the scope of agriculture is very limited in the state. Yet there are many places in the state where people earn their livelihood through farming, which reflects on the industry and enterprise of its people. Agriculture is the fulcrum of the business and economy of Himachal Pradesh. Agriculture accounts for 45 percent of the net domestic product of Himachal Pradesh and 71 percent of the state's labour force are employed in agriculture. Wheat, rice, maize and barley are the main cereals being produced in the state. Seed-potato, mushrooms, ginger, chicory seeds, olives and fig are the important sources of revenue to the Himachal farmers. Apple is another major income generator for Himachal Pradesh. Fruit cultivation in Himachal Pradesh is presently yielding an annual income to the tune of Rs.30 million.
However, the development of the industrial sector in Himachal Pradesh too has been very well planned. The cool and unpolluted environment of Himachal Pradesh is very much suitable for electronic industries, and as such many electronic complexes are dotting the state. Industrial areas have been established at Parwano, Barotiwala, Paonta Sahib, Baddi, Mehatpur, Shamshi, Nagrotu Bagwan, Bilaspur, Reckong-Peo, and Sansar Pur Tera, which are giving a fillip to the industrial climate in the state. Though the state is poor in minerals, but it has abundant and uninterrupted supply of electricity. Furniture making and bamboo products industries also do have their presence in the state. Himachal Pradesh has a tradition of producing exquisite handicrafts, which have considerable demand outside the state and country. Pasmina shawls, embroidered footwears, silver and metal ware are some of the important export-friendly items of the handicrafts industry of Himachal Pradesh.
But Himachal Pradesh has taken care to see that industrial growth doesn't trample on its pristine eco-system. The industries which have potential for air or water pollution are not given an encouraging response. Moreover, clearance of the Environment Protection Organization is necessary before establishment of any industry in the state.
Despite its inhospitable terrain, and the fact that majority of the state's populace reside in remote areas, the people of the state have overcome the odds to make Himachal Pradesh one of the most economically developed states of the union. Presently Himachal Pradesh ranks fourth among the Indian states, in terms of per capita income. It is also the only state in India to achieve the distinction of having one bank account per family.
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