Economy of Bihar.
Bihar is waiting for the election results today, but in the meantime another big question is whether the new leadership will be able to bring any concrete change in the industrial condition and employment situation of the state? Bihar’s economy presents a mixed picture of old challenges, slow improvement and new hopes.
Bihar was counted among the ‘sick’ states for a long time, and the reasons for this have not been completely eradicated even today. The state’s per capita income is still only around Rs 60,000, which is about one-third of the country’s average. Urbanization is also only 12%, whereas in the country it is about 36%. This means that economic opportunities are limited to select areas, and most people are trapped in rural, low-income structures.
Disintegration of old industrial heritage
The condition of areas once bustling with industrial life now looks deserted. Marhaura of Saran district is a big example of this. The famous Morton Toffee factory, engineering units and sugar mills here are now closed. Local people are still struggling in search of employment.
Bhagalpur, once known as the ‘Silk Capital of India’, is now struggling to regain its old glory. About 60,000 weavers are still working, but the size of the business is not increasing. Although new Eri-Silk projects have been started, the results are slow.
New investments: expectations but also caution
In recent years the government has started some important industrial projects. Food processing and small manufacturing units are opening in Bihta, Patna, which are expected to provide employment to a few hundred people. A big change is being seen in Gaya. Bihar Integrated Manufacturing City, which is being built on 1,670 acres, is expected to provide employment to thousands of people. Similarly, investment of more than Rs 2,000 crore is proposed in new projects in the food processing sector.
Major investments are also being made in energy and heavy industries, such as a 2,400 MW power plant in Bhagalpur and a cement unit in Nawada, which may bring new employment opportunities in the future.
Why is employment not increasing rapidly?
The numbers show that unemployment has reduced in Bihar, but the real problem is the ‘quality of employment’. There are very few regular salary jobs. Most of the people are engaged in such jobs in which both salary and security are very low. This simply means that people are working, but the dream of a better life is still far away. A large part of the young population of Bihar has been waiting for better opportunities at their own place.
Big question amid election results
As soon as the boxes of election results are opened and the new leadership will emerge, the public’s eyes will not only be on the winners but will also be on whether they will be able to give a new impetus to the industries of Bihar. Will old factories be restarted? And will the youth find employment in Bihar itself or will migration continue?