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Economy of Mizoram

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Economy ofMizoram
Aizwal - the capital of Mizoram
Statistics
PopulationIncrease 1,308,967 (2025)[1]
GDPIncrease $4.24 billion[2] (nominal; 2025 est.)Increase $17.8 billion[3] (PPP; 2025 est.)
GDP rank32nd
GDP growth
6% (FY 2025)[4]
GDP per capita
Increase $3,396[5] (nominal; 2025 est.)Increase $14,312[6](PPP; 2025 est.)
GDP per capita rank
19th
GDP by sector
Agriculture 18%
Industry 33%
Services 49%  (FY 2023-24)[7]
Positive decrease 3.16%[8] (2025)
Population belowpoverty line
Positive decrease 3.77%[9] (2023)
All values, unless otherwise stated, are inUS dollars.

Mizoram is one of the fastest growing economies among the states of India with a per capital income of Rs 308571. Mizoram had the second highest GSDP growth during the 11th Five Year Plan (2007–2012) in Northeast India at 11% exceeding the target of 7.8% which is also much higher than the national average of 7.9%. During the 10th Five Year Plan (2002–2007), the Gross State Domestic Product (GSDP) was expected to grow at around 5.3% but grew at 5.7%. The biggest contributors to GSDP growth are agriculture, public administration and construction work.[10] The tertiary sector of the service sector continued to have the contribution to the GSDP with its share hovering between 58% and 60% during the past half a decade.[11]

History

[edit]

The Mizos had long been open to the outside world before the advent of the British in the 1870s. In former times the Mizos used to collected rubber and barter that with salt. During the Lushai expedition of 1871, a rupee would have given a fowl. The initial traders after British invasion of 1872 were Bengali Traders in Bepari Bazar near Sairang. in 1922 there were only 91 shops in all of Mizoram. There were only 2 shops in Lunglei in 1914. The Colonial state encouraged people to stop barter and encouraged monetary exchange so that it would be easier to collect household tax. The cash economy encouraged the Mizos to explore new trade routes in Kachin. The practice of shifting cultivation or jhumming started in Mizoram after they learned that their crops could earn them money, earlier agriculture was practised purely for sustenance. Wet rice cultivation was started only in 1809 at Champhai by the British Colonial rulers to boost agriculture so that they could supply rice to their soldiers without having to import them. Chief Khamliana was among the first to plant oranges, pineapples, rubber, jackfruit and guava in Mizoram.

Mizoram's cash economy also quickly expanded to labour. Mizos have a practice of voluntary labour which they do to help those in distress and people in need, the British relied on forced labour and the missionaries on child labour. Later the authorities introduced labour from the 1900s onward and wage was initially paid in the form of salt and later in terms of money. Wage labour catalysed Mizoram's economy and encouraged many to join a career in the army.[12]

Agriculture

[edit]

Around 65% of the population of the state depended on agriculture, the sector's contribution to the GSDP was only 19.84% during the same period and that of the industry was 20.20%. The Economic Survey indicated that 32% of the cultivated area was under jhum and only 20%t of the demand for rice could be met within the state while a total of 1,428,600 tonnes of rice was lifted by the state government from outside. More than 70% of the total population is engaged in some form of agriculture. The age-old practice ofJhum is being discouraged by the state government with schemes like the New Land Use Policy a Policy to help farmers move away from the traditionalslash-and-burn method of cultivation.[13] Recently, Mizoram Government has entered into a new venture whereinOil Palm andJatropha cultivation, forbiofuels is being promoted.[14]

Education

[edit]
Main article:Education in Mizoram

Education is an important industry for Mizoram. It boasts of a large number of schools in the state which employ a number of people. Mizoram has one Central University,Mizoram University andNIT Mizoram which is still functioning out of a rented place. The investment in Education sector other than Government in the state areICFAI University, Mizoram and Church institutions likeSt. Xavier's College, Lengpui,Higher and Technical Institute of Mizoram,Helen Lowry College of Arts & Commerce. These quality Education investment not only help in producing quality education but also provide education and save tuition fees which would otherwise be remitted outside the state.

Energy

[edit]

Mizoram has 2 Hydr Power Plants, the 60 MWTuirial Dam and 12 MWSerlui B Dam. Mizoram's current power demand is now only 115 MW. With other power Projects like 24 MW Tuirini Hydel Project, 210 Tuivai Hydel Project in the pipeline, Mizoram is soon expected to be not only power surplus but exporter of power.[15] There is also plan for a 20 MW solar park in Mizoram.[16] It is estimated that Mizoram still spends 25–28 crores for buying power from outside the state every month[17]

Tourism

[edit]
Main article:Tourism in Mizoram

Mizoram is yet to establish itself as a tourist destination for both Indians and non-Indians alike. Tourists mostly visit such attractions as thehill stations ofLalsavunga Park,Reiek andHmuifang. National parks and wildlife sanctuaries such asPhawngpui National Park,Murlen National Park andDampa Tiger Reserve.Vantawng Falls andTuirihiau falls inThenzawl. Growth in tourism is abysmal due to lack of policy and incompetence of Government officials. The tourism industry is mainly concentrated in building tourist Lodges and highway restaurants without invitation of foreign or outside of the state investment in building up the Tourism infrastructure. During 2009–14 against only Rs 266.85 lakh was collected as revenue from these Lodges and highway restaurants.[18]

Alcohol

[edit]

The Mizoram Liquor (Prohibition and Control) or MLPC Act of 2014 allowed opening of liquor shops and bars in the State and replaced the Mizoram Liquor Total Prohibition (MLTP) Act of 1995. As of March 2017, the State of 1.1 million people had 71,158 liquor card holders. A card holder is entitled to six 750ml bottles of IMFL and 10 bottles each of wine and beer a month from 51 operational outlets.[19] Mizoram collected Rs 19.44 crore tax revenue from the sale of liquor in 8 months after the MLPC Act 2014 came into force in the state from January 16, 2015.[20]

Industry

[edit]

Mizoram is facing a number of difficulties in the advancement of industries. Lack of means of dependable surface transport and poor accessibility is one of the major drawbacks. Other problems faced by the state were the poor mineral resources, non-availability of good infrastructure and communication facilities, shortage of capital and lack of modern skills. A Software Technology Park is however being established in Mizoram University campus.[21] A Steel Plant is also being established in Mizoram.[22]

Macro-economic trend

[edit]

Below is a chart of trends ingross state product of Mizoram at market prices estimated[23] byMinistry of Statistics and Programme Implementation with figures in millions of Indianrupees.

YearNominal GDP (in rupees)
1980680,500,000
19851,810,000,000
19903,410,000,000
19959,370,000,000
200017,690,000,000
2022345600,000,000

References

[edit]
  1. ^"Mizoram Population 2025". IndiaCensus.net. Retrieved21 May 2025.
  2. ^"Budget 2025-26 Speech of Pu Lalduhoma, Finance Minister of Mizoram". Directorate of Information & Public Relations, Government of Mizoram. 4 March 2025. Retrieved21 May 2025.
  3. ^"Budget 2025-26 Speech of Pu Lalduhoma, Finance Minister of Mizoram". Directorate of Information & Public Relations, Government of Mizoram. 4 March 2025. Retrieved21 May 2025.
  4. ^"Budget 2025-26 Speech of Pu Lalduhoma, Finance Minister of Mizoram". Directorate of Information & Public Relations, Government of Mizoram. 4 March 2025. Retrieved21 May 2025.
  5. ^"Budget 2025-26 Speech of Pu Lalduhoma, Finance Minister of Mizoram". Directorate of Information & Public Relations, Government of Mizoram. 4 March 2025. Retrieved21 May 2025.
  6. ^"Budget 2025-26 Speech of Pu Lalduhoma, Finance Minister of Mizoram". Directorate of Information & Public Relations, Government of Mizoram. 4 March 2025. Retrieved21 May 2025.
  7. ^"Budget 2025-26 Speech of Pu Lalduhoma, Finance Minister of Mizoram". Directorate of Information & Public Relations, Government of Mizoram. 4 March 2025. Retrieved21 May 2025.
  8. ^Government of India, Ministry of Statistics and Programme Implementation. "Statewise Inflation Rates (%) for April 2025 (based on CPI)". Retrieved fromhttps://mospi.gov.in on 21 May 2025.
  9. ^National Multidimensional Poverty Index 2023(PDF) (Report). NITI Aayog. July 2023. Retrieved21 May 2025.
  10. ^"Mizoram GSDP a thang chak NLUP inrêlbawlna sum a tam lo".Vanglaini. Archived fromthe original on 17 October 2013. Retrieved24 August 2012.
  11. ^"Mizoram per capita income".Indian Express. Retrieved20 August 2012.
  12. ^Pachuau, Joy (13 April 2015).The Camera as a witness. Cambridge. pp. 168–186.ISBN 9781107073395.
  13. ^"Mizoram to implement new land use policy".Sify News. Archived fromthe original on 10 May 2013. Retrieved20 August 2012.
  14. ^"Mizoram soon to have an Oil Palm industry".The Northeast Times. Archived fromthe original on 18 February 2013. Retrieved20 August 2012.
  15. ^"Mizoram becomes third power-surplus state in the North-East".Economic Times. Retrieved7 December 2018.
  16. ^"Mizoram to set up 20 Megawatt solar park".Economic Times. Retrieved7 December 2018.
  17. ^."Solar energy chungchanga hmalakna Sorkar department hotu lúte zirtir an ni".Vanglaini. 15 November 2017. Retrieved7 December 2018.
  18. ^"Absence of policy badly affected tourism in Mizoram: CAG".Economic Times. 8 July 2015. Retrieved7 December 2018.
  19. ^Karmakar, Rahul (3 July 2018)."Liquor brewing as a political issue in Mizoram".The Hindu. Retrieved7 December 2018.
  20. ^"Mizoram Govt collects Rs 19.44 crore tax revenue in 8 months from liquor".E Pao. Retrieved7 December 2018.
  21. ^"Northeast's fourth software technology park in Mizoram".Assam Tribune. Archived fromthe original on 16 July 2015. Retrieved20 August 2012.
  22. ^"Mizoram steel plant ready to roll".WebIndia. Retrieved20 August 2012.
  23. ^National Accounts Division: Press Release and statements, M/O Statistics & PIArchived 13 April 2006 at theWayback Machine
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