Realizing the Growth potential of North East
Slow growth rate: NE states occupy 8% of India’s geographical area but contribute to only
2.3% of the country’s GDP.
Causes: 80% of GDP of state depends on agriculture.
Agronomy- Hidden potentials
•Rich bio-diversity, natural resources
•Rich potential to increase agricultural productivity
•Robust sustainable use of land resources
•Horticulture, Fishery, Farm power, plant resources,
livestock, shifting cultivation, agro forestry &
horticulture, Agricultural research & education
•Traditional agricultural practices.
•Vulnerability to natural calamities and degradation
of agricultural land.
•Poor irrigation infrastructure.
•Poor transportation & marketing management.
•Poor monitoring of public distribution system.
•Lack of entrepreneurship manpower in agro-
Developmental protocol against present
Entrepreneurship growth & development as no active such factor is
In hospitable agro-conditions, extensive commercialization of potential
crops like tea, coffee, rubber, fruits, vegetables, spices, nuts, floriculture,
livestock etc. to increase productivity , simultaneously will enhance GDP
Start of technology based traditional methods to yield maximum of
Bio-diversity research and innovation policy for creation of more institutes
in the line of Indian Council of Agricultural Research(ICARs),CSIR
laboratories in each of the eight states based on their geo-physical conditions
best suited for research in particular topics.
Agricultural products transportation via airways.
Protection of ‘Flora & Fauna’ resources by augmenting security forces to
combat poachers technically and increase in biotechnologically approved
bio-products to combat bio-diseases in ‘Flora & Fauna’.
Direct provision for selling of agro-goods.‚Production-Filtration-
Consumption‛ policy. Improved houses for proper storage of agro-products
in state-of-art storage houses . Infrastructure development is essential to
avoid losses in produced goods.
DONER, NEC, DST, ICAR, NEDFI to play a crucial factor in disbursing of
monetary funds timely without any flaws and check timely disbursement of
salary to earners.
GREEN Revolution impact in the ‘’8 sisters’’ which was a complete loss in
previous editions to promote extensive circulation o agricultural goods.
Requisite index to nourish-protocol
implementation & defend challenges
Well trained workforce to gain more advantage, agro-
policies illuminate wisely .
To improve public-private co-operation which will avoid
conflicts in post-production delivery of production goods.
R&D institutions, Rural institutions, Village panchayats
supervise the program and its implementation and provide
regular updates in sustainability of the plan.
Challenging factors- Combat!
Transforming age-old traditional farming methods
into technology constituted means.
Cultivate the basics of newly established agro-
practice methods to endemic farmers since ages.
Environmental areas- It’ll be better to cultivate
items based on favored locations to generate
Transportation in hilly regions.
An estimated potential of 63,253 MW of which only 6% is fulfilled.
Arunachal Pradesh has the potential of 50,000 MW making her ‘The future Power House of India’ by constructing
over 168 dams.
multi purpose hydel power projects enable the thermal and nuclear capacities to operate at base load, allowing the
overall system to operate more economically and contributing to system reliability.
All the north eastern states can be interconnected with power grids making the whole region a surplus region in
terms of power.
Supply of power to the border countries such as Bhuthan,Bangladesh and Myanmar improving bilateral relations
and national security from the threats of China.
Storage hydro schemes can also provide irrigation thereby boosting agriculture, flood control, and navigation
Enhances infrastructure and industrial sectors and tourism besides being UNESCO heritage site
Provides employment opportunities
Transportation of 22,000MW to northern India after fulfilling its own region
Power corridor from northeast to north India(8,000 MW)
Imbalances river profile and ecological
Havoc to few local tribal habitations
Triggers active seismic zone
Land acquisition form local habitations.
Disaster management such as flood control
China’s strategic measures on the upstream waters of the Brahmaputra power
transportation through 22km wide ‘chicken neck area’
•To decrease the construction of all proposed dams and increase the per capita dam potential
•Providing job opportunities to the effected people
•Develop agreed mitigation and resettlement measures to promote development
opportunities and benefit sharing for displaced and adversely affected people
•To strictly follow the recommendations of central water commission
•A large network of irrigation canals from the dams which ceases floods during release of water downstream
Scientific developments have enabled high dams to be built with confidence as at Nurek and Rogun (325 m high) in the Soviet Union,
Sussodha in Alaska (280 m) and Micain Canada (245 m high) although they are located in highly seismic zones.
•To work out a clear water resource sharing treaty over the Brahmaputra river. The treaty could be modelled over the 1997 UN Convention
on the Law of Non-navigational uses of International Watercourses or the 1960 Indus Water Treaty between India and Pakistan.
•Increase the free power to the home states from 12 percent to any other appropriate percentage to compensate for the additional
submergence and for the loss of power due to the exclusive flood cushion.
•To construct huge number of dams,the government can attract international funds and private enterprises with considerable share.
•Reduce the interest rate on capital investment by 1 percent or as required to cover the cost of the flood control component.
•Increase the income tax exemption limit on the power revenues from the present to 15 years.
•Access funds from international institutions for this component as a grant for social uplift of the affected region.
•Schemes with least problems of road access should be implemented first.
• As the schemes for implementation are large in number and size, participation of established public sector organizations operating in the power
sector would be required.
•Private sector interest and participation in hydropower development in some states, for example Sikkim, Uttaranchal, and Himachal Pradesh, is a
recent positive development. Such involvement of the private sector in schemes in the Northeast would accelerate progress towards implementation.
With emergence of globalization economic interactions among
the nations become necessary. Cross-world trade is the most imp
medium for this. Under the ‚LOOK EAST‛ policy India seeks
cooperation with neighbouring counties.
Out of $254.4 billion exports North east share is only about $0.01
billion. Nearly 94% of exports from this region consist of tea and
Trade with Bangladesh:
1. Over 15% Bangladeshi imports come from India. But only 1% of Indian imports from Bangladesh.
2. Illegal trade between the two countries amounts to 3/4 of regular trade.
3. Geographical proximity also makes the region lucrative for Bangladesh to invest in areas such as hydelpower, an area in
which the country has already expressed its interest since it will have to invest very less in transportation.
4. Another argument is that importing goods from Bangladesh will be cheaper than products which are brought in to the
region from other parts of the country as the cost of transportation will be minimal. This will implicitly impact the lives of
the people of the region as the cost of living will come down subsequently
1. Bangladesh and India have agreed to set up a number of ‘Border Haats’ (border markets) along the boundaries, which,
if opened, are expected to witness bilateral trade worth $20 million every year.
2. The border haats would be allowed to sell local agricultural and horticultural products, small agriculture and household
goods, e.g. spices, minor forest products (excluding timber), fresh and dry fish, dairy and poultry products, cottage
industry items, wooden furniture, handloom and handicraft items, etc. No local tax would be imposed on the trading, and
both Indian as well as Bangladeshi currencies will be accepted.
The North-East located at the crossroad between 3
major economics. (East Asia, South Asia, South East
Asia) but this geopolitical advantage, has however, not
really translated into regions economic development.
Trade with Myanmar:
Myanmar is India’s gateway to ASEAN as it is the only country of this grouping which has a land and maritime boundary with India.
With India becoming a summit level partner of ASEAN and a member of the East Asia Summit, improved relations with Myanmar
will be beneficial in many respects.
Benefit to the North-East:
1. Better connective will lead to better and faster development.
2. Living standards of the NE people will increases because of imports from ASEAN countries will be cheaper.
3. NE handmade and food materials would get better and compatible prise.
1. During Prime Minister Manmohan Singh’s visit to Myanmar (May 2012), memoranda of understanding (MoUs) were signed not
only to enhance border development, but also to increase connectivity between the two countries and through Myanmar with
Thailand and the Indo-Chinese states. Also, building infrastructure is on the top of the list.
2. India has agreed to upgrade an extensive network of roads and bridges in Myanmar that will effectively connect the region (and
the rest of India) to Thailand as soon as 2016.
3. There has been an agreement between India and Myanmar on the construction and up gradation of the Kalewa-Yargyi stretch of
the trilateral highway during recent meetings.
Problems with Look-East policy:
There is also a concern regarding illegal migration, which will also increase. Thus, there appears to be some incompatibility between
the various development initiatives and approaches adopted in the region and the needs of the local people. Many of the movements,
agitations and local protests being witnessed in the region are directly linked to such incompatible approaches.
1. If we can develop border haats like Bangladesh border, which will benefit local people as well.
2. If we see Amul cooperation in Gujarat , It is the best example how the cooperation market will get benefit . So same way if
government take initiative to development the local agro and food products will get international value.
Conclusion for the Border trade:
North-East has potential to develop with in their limit of resources. Government has to implement the
initiatives which have been taken till and policies should also concern with the sustainable development. Geographical
advantage has to be converted to real advantage.
The region will develop 2.6 million job with the current rate of development in 2011-2021.
The expected man power population will be around 16 million .
This implies we will be needing 13 million excess job in north east between 2011-2021.
Now the question arises, how to tap this excess human resources of north east for the
development of this region and in long term the whole country.
Resources and opportunities of skill development:
The literacy rate of the Northeastern states are high.
A great deal of possibilities for job creation in Northeast are as follows-
1.Tourism sector:- there are lots of tourist sports in north east which can be, if properly
developed, can generate a huge amount of revenue for the state.
2.Petroleum and natural gas industry:-there is a great possibility of petroleum and
natural gas industry to expand which can create lots of jobs for north east folks.
3.To improve connectivity:-investment in the field of transport and communication will
increase the overall trade of the north to other parts of India and also abroad which will ultimately
increase GDP of north east states and creates job opportunity for the people.
4.Tea plantation sector:-By increasing the skill set of tea plantation workers and making
them more productive economically.
For rural population:-
5.Rural art and craft industry:-There is lots of potential of traditional rural art and craft
industry for increasing family income. We can promote this sector in various ways, like:-better market
access of rural art and craft etc“.
6.Agricultural and allied activities:-The above two mentioned sectors are for
increasing the income of rural population as a huge population of north is dependent on agriculture.
We can encourage animal husbandry, cooperative initiative at grass root level like Amul of Gujarat.
7.Devloping skill set for natural disaster management:-Since every year huge
amount of money and capital are lost in natural disaster like:-flood, earth quakes. We can reduce
this loss by better equipping the youth of north east in disaster management skill set.
8.Flourishing call center:-Generally it is believed and also true that north east people
have better command in English language, so the call center industry can be a flourishing industry in
9.Music industry:-This is again a very promising industry in which north east people
have huge potential of developing a music industry of it’s own if proper facilitation of resources are
met. May be one or two inaugural of grand music carnival in this region kick start this aspiring
Financing or ways of meeting challenges for the development of above mentioned
The Govt. have to invest hugely in education and training particularly for vocational education.
The private investors can be encouraged to invest in human resource development along with
there core business activities, may be by providing some incentives to such business group.
Government can also open some new centers of existing institution in north east.
Investment in ppp mode can also add a lot to the skill development of north east people.
1.Roadways is the important mode of travel in the NR region since
other mode of transport is too difficult or expensive.
2.Road density per-capita of the region is higher than the rest of
3.But road length per unit area is higher only in 3 out of 7 north
4.Railway network is very poor throughout the region.
5.Significant growth in air navigation sector over the last 10 years.
6.Failure to realize that inland waterways can be used as a very good
and economic medium for transportation of freight thereby improving
the trade and commerce with other states.
1.Ministry of Road transport and highways has earmarked 10% of
total allocation for ner.
2.NHDP proposals to link east west corridor from Porbandar to Silchar
via Guwahati,improve connectivity of state capital towns,district
3.To develop the infrastructure of the region as a whole under the
4.Proposal of transforming the Guwahati airport as a strategic center
for connectivity with the south east Asian countries.
1.Complicated Topography of the region.
2.Delay in land acquisition.
3.Poor performance of the contractors(Inefficieny of the Central and respective State Governments to get the works completed in time).
4.Terrorist Organisations attempt to stagnate the development of the region.
5.Unsupportive weather conditions(mainly for the air navigation).
6.Stiff opposition from environmentalists to create infrastructure at the expense of damaging the forest ecosystem.
Possible ways to improve the infrastructure at a faster rate and in an efficient manner
1.Encouraging the PPP(Pubic-Private Partnership) type projects.
2.Welfare Schemes on the lines of MGNREGP(Mahatma Gandhi National Rural Employent Guarantee Program) should be
implemented on large scale since both the infrastructure creation and employment generation for the local tribes go hand in hand.
3.By focusing on developing the inland waterways(building ports at strategic places to facilitate freight transportation),by doing so
employment can be generated in tourism sector as well.
4.Connectivity(Airways and Roadways)with neighbouring countries is to be given prime importance as it can come to be very handy
for boosting economic situation of the region.
Hydropower in the Northeast; Potential and harnessing analysis by V.V.K Rao
Vision 2020: Northeast
Planning Commission of India
Indian Council of Agricultural Research