Arunachal Pradesh Economy

Arunachal Pradesh Trade & Commerce

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Arunachal Pradesh Trade & Commerce

The entire North-east India had a long tradition of trade relations with eastern Himalayan sub-region comprising Bhutan, Tibet, China and Myanmar (Burma). It is more so in case of Arunachal Pradesh, because most of the tribes of Arunachal Pradesh migrated from these countries. Therefore, they had maintained ethnic, cultural, commercial and even matrimonial relationships with their neighboring territories through ages.

The tribes of Arunachal Pradesh living along the international border had trade connections with China, Tibet, Bhutan and Myanmar through several trade routes). While the tribes living along the southern border of Arunachal Pradesh had trade relations with Assam, the eastern part of Arunachal Pradesh had trading relations

With Burma, and the western and the northern part of Arunachal Pradesh had well developed trade links with the Tibetans.

Arunachal Pradesh Trade & Commerce

Trade Dynamics

History has recorded a number of trade routes between Arunachal Pradesh and its neighbouring countries. As many as 27 trade routes (passes) including the famous

Tawang route which passed via Tawang and Tsona Dzong have been identified between Arunachal Pradesh and Tibet. Local goods of Tibet and Bhutan were brought through these trade routes to be exchanged for local goods of Arunachal and Assam at different trade fairs (Mela) held annually coinciding with certain religious festivals in the foothills.

 

On the eastern border of Arunachal Pradesh four trade routes have been identified including the famous Pangsu Pass between Arunachal Pradesh and Burma. A large number of hill tribes from the present Tirap district of Arunachal Pradesh used to carry on trade in tea, blankets, matches, etc., at various places in Burma including in Bhamo, the most important trading centre on the bank of river Irrawaddy in Burma. The major articles from Burma side were amber (Jangphi), gum, nora cloth, silver, etc.

 

To speed up the process of development in the State, the present ‘inward looking’ paradigms of developmental policy is to be supplemented by an ‘outward looking’ approach based on market and trade. The changing scenario in international trade under WTO regime, India’s emphasis on signing trade agreements with several foreign countries including the South and South-east Asian countries (a few of which share common border with Arunachal Pradesh) and the ‘Look East’ policy of India can be of great help for Arunachal Pradesh in its efforts to introduce this ‘outward looking’ development strategy. ‘The global pattern of agrarian transformation initiated by GATT/WTO suggests that the major portion of third

world peasantries have no future simply as subsistence cultivators’

 

Prospects of Trade with Neighbouring Countries—Exploring New Frontiers

 

Arunachal Pradesh has potentials for producing some of the goods which currently India is exporting to various countries including those bordering Arunachal Pradesh.

China, the ASEAN region, Bangladesh and other SAARC countries which are geographically close to Arunachal Pradesh import substantial portion of each of

the above items in which Arunachal Pradesh has export potential.

 

Biodiversity:

Arunachal Pradesh with 2.54 per cent of country’s geographical area is custodian of more than 23.52 per cent of the flowering plants of India. It is one of the richest botanical treasure houses of the country. A few valuable items of such rich biodiversity of the State, identified on the basis of market demand, could be commercially exploited for economic benefit of the State.

 

Orchids:

Out of 925 varieties of orchids available in India, more than 500 varieties are found in Arunachal Pradesh due to its favourable soil and climatic conditions.

In fact, approximately 200 varieties are unique to the State and 60 per cent of these are ornamental in nature with high demands in international markets. Thus,

Arunachal Pradesh can be a major exporter of orchids.

 

Horticultural Crops:

Arunachal Pradesh is famous for production of apple, orange, pineapple, banana, walnut, kiwi and several spices (cardamom, black-pepper, ginger, etc.) including 4500 species of flowering plants. Nearly 55,000 hectares of land is under horticultural crops including spices. At present, Arunachal Pradesh is selling some of these fruit crops only to Assam and neighboring North-eastern states, but its soil and climate are so rich for flower and fruit crop plantation that it can be a major exporter of flowers, fruits and fruit products even to the neighboring countries.

 

Major Forest Products:

The vast area of forests of Arunachal Pradesh covering 51,540 sq km, which forms

about 62 per cent of the total geographical area of the State, are full of valuable timber trees like hollock, pine, chir, teak, etc., which grow naturally. The commercial use of these trees along with its scientific captive plantation can earn substantial revenue for the State. Value added products from such trees can also be exported to the neighboring countries.

 

Minor Forest Products (MFP)

 

(i) Herbal Plants: Arunachal Pradesh has a rich tradition of herbal health care. The tribes have so far identified over 500 species of plants, having medicinal properties. However, some of these ‘medicinal’ plants are yet to be authenticated by appropriate scientific testing. Due to lack of awareness, the State is yet to harness the full potentials of this wealth

 

(ii) Aromatic Plants: Arunachal Pradesh forests offer a vast array of aromatic plants such as citronella, lemon-grass, vanilla, patcholi, agaroo, etc., which can be used in aromatic industry for the manufacture of perfumes, incenses, etc., for export purposes.

 

Economic Mineral Resources of Arunachal Pradesh Trade & Commerce

Among the valuable minerals spotted in Arunachal Pradesh are petroleum, limestone, marble coal, dolomite, fuller’s earth and natural gas reserves are worth mentioning.

If properly assessed and explored with required infrastructural development, the products of some of these minerals can be used for making several value-added products locally in small and medium scale industries. Some of the value-added products can be exported to the neighboring countries.

 

Tourism Products

The State’s unique natural beauty, different species of wildlife, religious places, historical and heritage sites, diverse attractive tribal cultures, friendly and hospitable people could make Arunachal Pradesh, the Switzerland of the East. The sites which can be developed into world class tourist spots are Tawang for religious, adventure and eco tourists; Parusuramkunda and Malini Than, for religious and eco tourists; Namdapha Tiger Project, Mowling National Park, and ten wildlife sanctuaries of the State for wildlife tourists; ‘Lake of No Return’ on the border of Arunachal Pradesh and Myanmar near Phangso Pass.

 

Hydro-electric Power

Arunachal Pradesh possesses immense potential of powers, primarily in the form of hydel. But the progress of this sector has not taken place on a scale proportionate to resource availability. The total unexploited hydel potential of the State is estimated to be 49000 MW. The National Hydro Power Corporation (NHPC) has undertaken survey and investigation works of Siang and Subansiri basins for establishing mega hydro power project with an installed capacity of 20700 MW. When this project will be completed, Arunachal Pradesh can be a major exporter of cheap hydel power not only to the entire North-east, but also to its neighbouring countries having power deficit like China and Myanmar.

 

Trade Routes

 

(i) Tezpur-Bomdila-Towang-Bum La (China)

(ii) Lakhimpur-Daparijo-Nacho (China)

(iii) Jonai-Sadiya-Mekha-Malvinil-Tajobum (China)

(iv) Sadiya-Tezu-Chirangal-Kahao (China)

(v) Tinsukia-Winstong-Mogung (Myanmar)

(vi) Khonsa-Wakha (Myanmar)

(vii) Ledo-Pangsou Pass-Myitkyina-Bhamo-Kunming

(Myanmar and China)

Out of these seven old border trade routes of Arunachal Pradesh, the most useful and economic route is the Ledo-Pangsou Pass-Myitkyina-Bhamo-Kunming route,

popularly known as StilWell Road.

 

 

An Introduction to Arunachal Pradesh Economy

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An Introduction to Arunachal Pradesh Economy

Arunachal Pradesh – State profile

  • Covering an area of 83,743 sq km, Arunachal Pradesh is the largest state in the Northeast India.
  • The state is located in the extreme Northeastern corner of the country. It shares its border with the neighbouring countries of Bhutan in the West, China (Tibet) in the North and Northeast, Myanmar in the East and Southeast and the Indian states of Assam and Nagaland in the South.
  • Itanagar is the state capital. Arunachal Pradesh has 16 administrative districts.
  • Naharlagun, Tawang, Tezpur, Bomdila, Ziro, Pasighat and Tezu are the major towns in the state.
  • Brahmaputra is the major river flowing through the state. Other smaller rivers include Kameng, Subansiri, Lohit and Tirap.
  • The most commonly spoken languages are Assamese, Bengali and Hindi. English is the primary medium of education in the schools

Rich and varied agro-climatic conditions

  • Undulating topography and varied agro-climatic conditions offer vast potential for horticulture and growing a variety of fruits, vegetables, spices, aromatic and medicinal plants, flowers and mushroom.

Policy and fiscal incentives

  • The state offers a wide range of fiscal and policy incentives and assistance for businesses under the State Industrial Policy, 2008. Additionally, the state has sectorspecific policies for industries related to power and agriculture.

Facilitating industrial infrastructure

  • The state has 12 industrial estates, established across districts. To support industrial growth, the State Government has also notified integrated infrastructure development centres, industrial growth centres and industrial areas.

International trade opportunities

  • The geographic location of the state provides immense opportunities for international trade with the South Asian countries through its shared borders with Myanmar, Bhutan and China.

Key industries in Arunachal Pradesh

  • The resources, policy incentives and climate in the state support investments in mining and mineral products (including cement), tissue culture and floriculture, plantation crops (tea, rubber, etc.) and agro-based industries.
    • The North Eastern Development Finance Corporation Limited is engaged in catalysing the industrial growth of the Northeastern region (including Arunachal Pradesh) by providing counselling, timely advice and assistance for building quality enterprises.
    • The Department of Industries, Government of Arunachal Pradesh, is responsible for promoting industrial activities in the state to provide employment opportunities to the rural and urban people.
    • The Department of Industries has set up district industries centres (DICs) and sub-district industries centres (sub-DICs) for the industrial development of small scale, tiny and village industries.
  • Key industries in Arunachal Pradesh
  • Art and crafts
  • Weaving
  • Cane and bamboo
  • Carpet weaving
  • Wood carving
  • Ornaments
  • Tourism
  • Horticulture
  • Saw mills and plywood

Employment profile of Arunachal Pradesh

  • The primary sector employs around 67.4 per cent of the total workforce in Arunachal Pradesh, followed by tertiary sector (23.9 per cent) and secondary sector (8.7 per cent).
  • Around 94 per cent of the state‟s population lives in the rural belt. Thus, agriculture is the main occupation of the people of Arunachal Pradesh.
  • Of the total workforce, 60.4 per cent are cultivators with self-owned land and only 5.1 per cent of the workforce falls in the agricultural labourer category.

Cereals, oil seed and sugarcane are the key agricultural products

  • In 2009-2010, total production of cereal crops was 325,000 tonnes, compared to 306,500 tonnes in the previous year.
  • Major cereal crops of the state are rice, maize, millet, wheat and pulses (pea, kidney-bean and black-gram).
  • Non-cereal crops include ginger, oil seed and sugarcane, apart from vegetables.

Road network

  • Arunachal Pradesh has a road density of 17.36 km per 100 sq km.
  • Six National Highways run through Arunachal Pradesh, connecting the state with the rest of India as well as the international borders with China (Tibet), Myanmar and Bhutan.

Airports and railways

  • In December 1995, the State Government introduced passenger flight services by nine-seat Dauphin helicopters to overcome the constraints posed by the hilly terrain.
  • Later a 23-seat MI-172 type helicopter had been added to the fleet, primarily to operate between Guwahati in Assam and Tawang in Arunachal Pradesh.
  • The service also connects 29 major towns including Naharlagun, Tawang, Ziro, Pasighat, Bomdila, Seppa, Daporijo, Along, Yingkiong, Roing and Tezu.
  • A greenfield airport has been proposed near Itanagar, for which environmental clearance has been received in April 2010. Ministry of Civil Aviation has also planned to operationalise airports at Daporijo and Tezu.
  • The nearest railway station is located at Harmoti in Assam, 23 km from Naharlagun and 33 km from Itanagar.

Industrial infrastructure

  • Arunachal Pradesh has 12 industrial estates located in different districts and spread over total area of 55.6 hectare. These industrial estates have been developed in land-areas ranging from 4,540 to 202,325 square metre, with the primary objective of growth and development of small scale industries.
  • In addition, the State Government has also notified integrated infrastructure development centres, industrial growth centres and industrial areas to support industrial growth.
  • The State Government has set up district industries centres (DICs) in all 16 districts. These DICs play a vital role in the industrial development by providing services to the entrepreneurs viz., identification of suitable schemes, preparation of project report, arrangement for providing required plant, machinery and raw-material, assistance in availing incentives and facilities provided by both central and state governments, liaison with all development departments and financial institutions to provide assistance to the prospective entrepreneurs.
  • Based on availability of resources, the State has identified thrust areas for industrial development:
  • Industries based on agricultural, horticultural and plantation produce.
  • Industries based on non-timber forest produce such as bamboo, cane (rattan), medicinal plants/herbs, aromatic grass, tea and coffee.
  • Industries based on locally available raw-materials except timber.
  • Textiles (handlooms and power-looms), handicrafts and sericulture.
  • Electronics and IT-based enterprises.
  • Mineral-based industries (such as ferro-alloys, cement, etc.)
  • Facilitation and development of industrial infrastructure including power, communications, etc., under public private partnership
  • Food processing industries.
  • Engineering and allied industries (rolling mill, steel mill, etc.).

State Industrial Policy, 2008

  • Aim: To facilitate and promote the growth of industry, employment and investment in the state.

Key initiatives:

  • To create an investment-friendly environment in the state for industrial growth in the private, joint and cooperative sectors for sustainable economic development of Arunachal Pradesh.
  • To generate employment opportunities in the state.
  • To make Arunachal Pradesh a preferred destination for outside investors.
  • To encourage local entrepreneurs to set up enterprises based on locally available raw-materials.
  • To promote export-oriented industrial units.
  • To take steps to promote the handloom and handicrafts industry.
  • To promote local investors through joint ventures with outside investors.
  • To encourage industrial units producing high value products.
  • To ensure fast-track clearance of industrial proposals

Hydro Power Policy – 2008

Objectives:

  • To harness hydropower potential of the state in a manner that is consistent with the provision of the Electricity Act, 2003 and the National Electricity Policy and other policies formulated in the Act.
  • To develop hydropower projects in eco-friendly manner causing minimum distress to the affected people.
  • To accelerate the pace of hydropower development through participation of both the central public sector undertakings and private power developers, as also by formulating public private partnership.
  • To provide for creation of social and development infrastructure through hydropower development.
  • To ensure proper rehabilitation and resettlement of people affected by projects in order to improve their living standards.
  • To create job opportunities for local tribal people specially for those affected by the project

Small Hydro Power (SHP) Policy, 2007

Aim: To facilitate and promote the growth of small hydro power plants and, thereby, increase employment opportunities in the state.

Key initiatives:

  • Private participation in development of SHPs with targeted incentives.
  • Formulation and notification of an action plan for SHP generation. The action plan to provide programmes for capacity addition and determine the extent of involvement of various stakeholders of State Government or agencies in the field.

North East Industrial and Investment Promotion Policy (NEIIPP), 2007

Aim: To promote the Northeast region as an attractive investment region through concessions and incentives.

Key features:

  • Industries covered under this policy are eligible for incentives for a period of 10 years from the date of commencement of commercial production.
  • All new units as well as existing units that undergo substantial expansion (minimum 25 per cent increase in fixed capital) and start production before 2017 would qualify for incentives.
  • Incentives would be available for all existing industrial units and upcoming units anywhere in the Northeast.
  • A high-level monitoring committee or advisory committee would oversee the implementation of the NEIIPP.
  • NEIIPP would not be applicable to peripheral activities such as preservation while in storage, cleaning, packing, re-packing, labelling or re-labelling, sorting, etc.
  • North Eastern Development Finance Corporation Ltd (NeDFI) to act as the nodal agency for disbursal of subsidies.
  • NEIIPP, 2007, has replaced the North East Industrial Policy, 1997

Agriculture Policy, 2001

Aim: To achieve higher economic growth and create job opportunities for the rural unemployed through agriculture and allied sectors.

Key initiatives:

  • Top priority to be accorded on increasing farmers‟ income.
  • Addressing problems related to shifting (jhum) cultivation.
  • Location-specific strategy development – area specific and differentiated strategy.
  • Convergence of allied activities by making a shift from a commodity approach to a system approach in agriculture.
  • Technology transfer.
  • Supply of inputs such as seed, fertiliser, pesticides, agri-tools and implements and credit to farmers at reasonable rates.
  • Facilitating private investment in agriculture, especially for establishing agro-based industries.
  • People‟s participation through formation of “self-help groups” and village committees at several levels.
  • Research and technology package for location-specific agricultural research based on identified agro-climatic zone.
  • Marketing infrastructure and techniques, especially for preservation, storage and transportation.
  • Priority on setting up agro-processing units in key production areas.
  • Market intervention scheme involving procurement by a notified agency to assure remunerative prices to farmers

Mineral-based industry

  • Arunachal Pradesh has considerable mineral reserves, which offers immense potential.
  • The state has reserves of coal at Bhalukpong; graphite at Tahila, Bopi and Khetabari; limestone at Hunli, Tidding, Menga and Pagin; marble at Hunli, Tezu, Pyuli and Dora; dolomite at Kaspi and Rupa; and lead and zinc at Shergaon.
  • These minerals are useful in the gasified form or in cooking, fertiliser plants, refractory units and calcium carbide manufacturing units.
  • The state‟s mining activities are managed by the Arunachal Pradesh Mineral Development and Trading Corporation Limited (APMDTCL ).
  • Parsuram Cements, a subsidiary of APMDTCL, is one of the oldest resource-based companies, based out of Lohit.

Agriculture and forest-based industries

  • Major agro- and forest-based industries in the state relate to tea, fruit, timber and plywood industries.
  • Non-timber based industries include bamboo, cane and medicinal plants.
  • The industry is characterised by many regional players; several units have been set up by Arunachal Pradesh Forest Corporation (APFC), a government organisation.
  • APFC has taken up a project on capacity building for production of bamboo-based industrial intermediates at Poma village near Itanagar.
  • The State Industrial Policy, 2008 of Arunachal Pradesh lists agriculture and non-timber forest produce-based industries as thrust sectors.

Textile

  • Textile is a grass-roots industry in Arunachal Pradesh and provides employment to mainly, women. Most of the units are home-based and have small scale of operations.
  • Carpet making is one of the important occupations in the districts of Tawang, West Kameng, Changlang and Upper Siang. The state‟s carpets have received national and international repute owing to their quality.
  • The carpet weaving industry is promoted through the Government Craft Centre.
  • The state has unique and appealing handloom designs from each of its tribes. The products include skirt (gale), shirt (galuk), cotton shawl, side bag and curtain cloth.

Key nodal agencies in Arunachal Pradesh

Department of Industries

  • The Department of Industries is the main executive and regulatory agency, functioning under the State Government. It oversees and monitors the over all industrial development activities in the state.
  • The department is engaged in various activities such as:
  • Registration of industries regulation and development of industries.
  • Providing finance to small scale and other industries.
  • Distribution of scarce and indigenous raw-materials to different industrial units.
  • Other industrial development related activities.

Arunachal Pradesh Industrial Development and Financial CoAn Introduction to Arunachal Pradesh Economyrporation Limited (APIDFC)

  • APIDFC was incorporated under the Companies Act,1956, in August 1978, to promote and finance industries in Arunachal Pradesh.

Arunachal Pradesh Energy Development Agency (APEDA)

  • APEDA is the state designated agency (SDA) for implementation and enforcement of the Energy Conservation Act, 2001, in coordination with the Bureau of Energy Efficiency (BEE), Ministry of Power, Government of India.
  • APEDA is also the state nodal agency for projects connected with clean development mechanism (CDM)

Arunachal Pradesh Khadi and Village Industries Board (APKVIB)

  • APKVIB was constituted by the Government of Arunachal Pradesh in 1989, with the mission to create employment opportunities in the non-farm sector in the rural areas, to promote saleable articles and support rural development to improve quality of life.
  • The industries under its purview include khadi (silk, cotton, woollen), minerals, forest- and agro-based industries, polymer and chemical, engineering and non-conventional energy, textile industry and service sectors.

North Eastern Development Finance Corporation Limited (NeDFI)

  • NeDFI was promoted by Industrial Development Bank of India (IDBI), Small Industries Development Bank of India (SIDBI), Industrial Finance Corporation of India (IFCI), Industrial Credit and Infrastructure Corporation of India (ICICI), Unit Trust of India (UTI), Life Insurance Corporation of India (LIC), General Insurance Corporation of India (GIC) and its subsidiaries and State Bank of India (SBI).
  • Incorporated in August 1995, NeDFI has its headquarter in Guwahati, Assam.
  • NeDFI provides facilities such as project and equipment finance, working capital finance, schemes for development of entrepreneurial skill and market development for products from the Northeast.

Power

  • Arunachal Pradesh had a total installed power capacity of 201.9 MW, under the state and central sector. While 83.3 MW of installed capacity was under state sector, 118.6 MW was under central sector.
    • Hydro power is the major source of electricity generation in the state, contributing around 97.6 MW, followed by 67.4 MW of renewable energy resources and 36.9 MW of thermal power.
    • Arunachal Pradesh has been focusing on developing its huge hydro power potential. The state has set up the Department of Hydro Power Development to oversee, coordinate and monitor hydro power development.
    • The Government of Arunachal Pradesh has signed a memorandum of understanding (MoU) with central sector power generators and integrated power developers (IPD) for the development of 135 hydroelectric power plants, with an aggregate capacity of 25,722 MW

 

Human Development in Arunachal Pradesh

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Human Development in Arunachal Pradesh

The human development index (HDI) is basically a composite index based on three dimensions of human development—income, health and education. In conventional analysis a country is called rich or poor mainly on the basis of a single indicator—the per capita income. The HDI, on the other hand, puts equal emphasis on all the three dimensions of development. Thus, different indicators of development like per capita income, life expectancy, adult literacy and enrolment ratio are used to construct a single index—the human development index.

In terms of HDI the position of Arunachal Pradesh is dismal, ranking 14th among the 16 major states of India. At a disaggregated level, in Arunachal Pradesh, the district East Siang with an HDI of 0.660 ranks first among the 13 districts, followed by Dibang Valley with an HDI of 0.659. The district of Papum Pare in which the capital complex, Itanagar is situated ranks third with an HDI of 0.573. Further it has been observed that the hilly districts have a lower HDI compared to that of the plain districts.

The spatially uneven process of development in the State has created new challenges and constraints. Usually, the districts or areas bordering Assam, and within the district areas near the urban, administrative centres have better infrastructural facilities than the interiors.Human Development in Arunachal Pradesh

Arunachal Pradesh has been the home of a number of tribes and sub-tribes, and many of them have limited mobility beyond their well-defined local boundaries. Interregional disparities in the State, therefore, have an additional implication—as in many cases, it may reflect inter-tribal disparities to a certain extent.

Though the state has been relatively free from secessionist violence and insurgency, its development performance, particularly in terms of the human development indicators, has not been satisfactory.

Health of Human Development in Arunachal Pradesh

The right to lead a long, healthy and productive life is one of the fundamental prerequisite for human development. In fact, it is one of the essential indicators of peoples’ well-being and quality of life. Apart from the low levels of food and nutrition security, access to health care, education and income, critically conditions the survival and well-being of individuals.

Life Expectancy of Human Development in Arunachal Pradesh

The life expectancy at birth in Arunachal Pradesh is estimated to be 54.05 years, which is less than the national average of 63.30 years. Although, the health conditions in Arunachal Pradesh, by and large, have improved in the post-Independence decades, yet there are no reliable estimates of the changes in the health condition of people in the State.

Papum Pare is the district with the highest life expectancy at birth indicating the best of health status of the people among all the 15 districts of the State, followed by East Siang. At the other extreme is Kurung Kumey, which has a life expectancy of only 42.50 years.

Infant and Child Mortality of Human Development in Arunachal Pradesh

Infant mortality rate measures the health conditions in infancy and it is intricately enmeshed with the low economic conditions of the population. In general, a high IMR in a high fertility society is associated with illiteracy, low level of technology in production and poverty. As per the HDR survey, Arunachal Pradesh has a high IMR of 77.

The IMR in Arunachal Pradesh varies from 113 in Kurung Kumey to 53 in Lower Dibang Valley, the inter-district variation being quite large. In Arunachal Pradesh there are six districts with IMR higher than 90. There are five districts in Arunachal Pradesh with IMR higher than that of Orissa’, the state having the largest IMR.

Immunisation of Human Development in Arunachal Pradesh

The universal immunisation programme (UIP) was introduced by the Government of India in 1985-86 with the objective of covering at least 85 per cent of infants against six vaccine-preventable diseases by 1990. Subsequently, the programme was expanded to cover all the districts of the country and the target now is to achieve 100 per cent immunisation coverage. In spite of the programme being universal, a number of states in the country including Arunachal Pradesh have failed to really ‘universalise’ it.

Educational Attainments of Human Development in Arunachal Pradesh

Literacy Rates

The literacy rate for Arunachal Pradesh, according to 2001 census, is only 54.34 per cent, much lower than the national average of 64.80 per cent. Nevertheless, the State has made some progress in raising the literacy rate—from only 25.55 per cent in 1981 to 54.34 per cent in 2001. However, literacy rate in rural areas is as low as 47.8 per cent, and the rural-urban gap in literacy continues to be very high. Among the ST population literacy has gone up from 14.04 per cent in 1981 to 34.45 per cent in 1991 and further to 49.62 per cent in 2001. Adult literacy rate went up from 23.77 per cent in 1981 to 37.53 per cent in 1991, but in rural Arunachal Pradesh literacy was only 32.61 per cent, which was much below the other northeastern states.

Gender Gap in Literacy

The gender gap in literacy in Arunachal Pradesh as per 2001 census is 20.30 per cent points which is lower than the national average of 21.5 percentage points. The gap between male and female literacy rates in the State declined very slowly during 1981 to 2001. In rural areas, gender gap in literacy is sharper than that in urban areas. Although the gender gap in literacy has been narrowing down in the urban areas; it has remained at around 20 per cent points during the past two decades in rural areas—a fact that needs to be addressed in all future initiatives.

Enrolment

In Arunachal Pradesh, the educational infrastructure continues to be inadequate, but its expansion over the past three decades or so has been impressive. Children, as a result, have better access to schooling today in comparison with the past. Enrolment ratio in the age group 6-11 has gone up from 31.9 to 38.1 per cent, while in 11-14 age group it improved from 42.8 to 61.5 per cent during 1981 to 1991.

Dropout Rates

Improvements in enrolment, however, do not guarantee access to adequate levels of education. The dropout rates in relatively underdeveloped regions are very high. Dropout rates in classes I-V for children in Arunachal Pradesh have come down substantially from 73.9 per cent in 1981-82 to 46.85 per cent in 2004-05. It is still higher than the national average, but there seems to be very little improvement in reducing dropout rate at this stage in the past few years. The dropout rate at this stage had already reduced to 46.89 per cent in 1998-99.

 

Arunachal pradesh human development index

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Arunachal pradesh human development index:-

Human development an integral part of economic development is fastly catching of various stakeholders around the world. It is also about people’s active engagement in shaping development, equity and sustainability, intrinsic aspects of freedom of people have to lead lives they have reason to value. Human development index is a tool devised by United Nations for ranking countries for measuring levels of social and economic development measuring life expectancy, education , literacy and standard of living.

The concept of human development emerged in the late 1980s based on the conceptual foundation provided by Dr. AmartyaSen and Dr. MahbubulHaq. The human development approach puts people at the centre of the development agenda, where economic growth and wealth are considered means to development, not an end by itself. Basically, human development is concerned with the advancing the richness of human life, rather than the richness of the economy in which human beings live. The starting point for the human development approach is the idea that the purpose of development is to improve human lives by not only enhancing income but also expanding the range of things that a person can be and can do, such as be healthy and well nourished, be knowledgeable, and to participate in community life. Seen from this viewpoint, development is about removing the obstacles to what a person can do in life, obstacles such as lack of income, illiteracy, ill health, lack of access to resources, or lack of civil and political freedoms.

There are scores of economic and social indicators which have been used to measure different aspects of socio-economic progress. The Human Development Index (HDI) is a composite index developed to measure the average achievement in basic dimensions of human development. These basic dimensions, as defined by UNDP3 are – a long and health life, knowledge and decent standard of living. While there exists a general consensus on these core dimensions, there could be slight variations in the choice of indicators depending upon the focus and also on availability of feasibility data.

State Profile:-

Till 1972, Arunachal Pradesh was known as the North-East Frontier Agency (NEFA). It gained the Union Territory status on January 20, 1972 and renamed as Arunachal Pradesh. On February 20, 1987, it became a full-fledged state. Its capital is located in Itanagar in the Papumpare district. Itanagar is named after Ita fort meaning fort of bricks, built in the 14th century AD.Arunachal pradesh human development index

Arunachal Pradesh constitutes 2.55 per cent of India’s total geographical area and 31.94 per cent of that of the Northeast. The State is divided into five river valleys: the Kameng, the Subansiri, the Siang, the Lohit and the Tirap. Part of the Eastern Himalayan ranges, Arunachal Pradesh is one of the most picturesque tourist destinations in India.

Human development trends in Arunachal Pradesh:-

  • The State of Arunachal Pradesh is significantly rich in mineral resources, oil and natural gas. The State is also rich in forest products such as bamboo, cane and timber. But in human development index state has been poor performance.
  • The per capita Gross Domestic Product (GSDP) in 2004-05 for the State stands at Rupees 21,919 and the Net State Domestic Product (NSDP) in 1999-2000 is Rupees 14338. Arunachal Pradesh ranks 29 th in the human resource development index and 30th in the poverty index in India, as per the Human Development Report 2001.
  • In 2001 the literacy rate of Arunachal was only 55 percent. Although there has been a remarkable growth of education and health facilities in the state, the performance of the state in the area of human development has come in for a great deal of criticism, as there are considerable interdistrict variations in the levels of services and performance.

Arunachal Pradesh as per Human development report 2005:-

·         The faculty of the Rajiv Gandhi University at Itanagar prepared the report, sponsored by the Planning Commission, for the Arunachal Pradesh government.

 

·         More than a quarter of the population of Arunachal Pradesh will not live beyond 40 years of age.

·         The report shows that 28 per cent of the people are not expected to survive beyond the age of 40, as compared to 16.7 per cent at the national level.

·         It points out that the hilly and steep terrain, inaccessibility and scattered habitations result in poor access to medical facilities and consequently to poor health status.

·         Not surprisingly, districts located at high altitudes or less accessible areas record more premature deaths. In KurungKumey, East Kameng and Dibang Valley (New), more than 40 per cent of the population are not expected to survive beyond the age of 40.

·         In contrast, the well-connected districts, particularly those in the plains, have substantially higher rates of life expectancy. For example, in Papum Pare, a district with good connectivity and access to healthcare facilities, only around 23 per cent of the people are not expected to live beyond 40 years of age.

·         The report noted with surprise that ‘in the cases of premature deaths, variables such as medical facilities or the distance of the village from the health centres, doctor-population ratio and hospital beds per 1,000 people, did not have any significant bearing on premature deaths’.

·         This suggests that the creation of medical facilities alone is not sufficient: awareness, willingness and road connectivity are the more important variables in improving the health status of the population.

·         It also revealed that there was a high degree of inter-district variation in life expectancy among the 15 of the total 16 districts of the state surveyed.

·         Though the people of Arunachal Pradesh strive to remain healthy by following appropriate diets and maintaining regulated lifestyles, their health status is not commendable when measured by conventional indicators, in absolute terms and in comparison with other states and regions.

·         The report said in the past few decades, the state has made significant progress in moving from an absence of hospitals, dispensaries and diagnostic facilities to a relatively wide network of healthcare facilities.

·         However, the increase in health coverage and services has been at a slower pace than the expansion of educational facilities and the growth of the economy.

·         Fortunately, Arunachal Pradesh is relatively free from the problem of discrimination against girl children that many other states in the country face. While the people of Arunachal do have some preference for sons, it is not as deep-rooted as in other regions.

·         This is partly responsible for the relatively better infant mortality rate here than in many other parts of the country. Arunachal Pradesh has an infant mortality rate of 77 per 1,000 live births. Among the 15 big states, Orissa has the highest such rate at 95.