A Lesson on Production Structural Changes and Sector-Wise Performance among Indian States

Abstract

Main focus of the present study is to investigate the overall performance of different sector of Indian states during the post reforms period. It is found that the production structure of Punjab, U.P. and Bihar had remained transitional during 2015 to 2020 as in these economies the contribution of service sector is higher than agriculture share and agriculture share is higher than their industry contribution. It indicates these states are legged behind in their industrial production. But there are eleven states such as Chhattisgarh, Goa, Gujarat, Haryana, Jharkhand, Karnataka, Kerala, Maharashtra, Orissa, Rajasthan and T.N. which have entered into modern stage of transformation as revealed by sectoral share in the period 2015-20. It means these states are enjoying better services and more industrial production. W.B., A.P. and M.P. fall under transitional stage. It may be pointed out that first five ranks are mainly occupied by the states such as Punjab, Haryana, A.P., U.P. and W.B. these states had common feature of their dominance are in agriculture production, and developed agriculture sector. The states like Maharashtra, Gujarat, Chhattisgarh, Karnataka, A.P. and Haryana are the achiever of top rank in industrial advancement comparison other remaining states. Two states namely Haryana and A.P. were identified for better performance in both agriculture and industry sector. In case of service sector most dominating states were Maharashtra, T.N., Karnataka, Goa, and A.P. It needs to be highlighted that Maharashtra state stands for 1^st place in both industry and service sector performance.