Answer the question in maximum 300 words. This question carries 15 marks. [MPPSC 2019]
Discuss in detail regarding slow industrialisation in Madhya Pradesh with facts and figures.
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Slow Industrialization in Madhya Pradesh
Madhya Pradesh has faced slow industrialization due to multiple factors despite having rich natural resources and a labor force.
Key Challenges
The state has faced a low rate of capital formation, restricting industrial growth. This is mainly due to limited investment in industrial infrastructure.
Inadequate transportation, both rail and road, has hampered industrial development. Many areas remain disconnected, limiting business expansion.
The state’s economy remains heavily reliant on agriculture, with poor agricultural performance limiting industrial growth. This dependency prevents diversification.
Public sector enterprises in the state have struggled, with many running at a loss. This poor performance reduces the potential for reinvestment in other sectors.
Conclusion
Despite having the potential for growth, these structural issues have led to slower industrial progress. Madhya Pradesh still lags behind other states in industrialization, facing challenges in capital investment, infrastructure, and diversification.