Importance of Local Drinks in the Economic Development of Himachal Pradesh

Abstract

Himachal Pradesh is located in the Himalayan regions of the northern part of India. Its climate varies from humid subtropical to dry tropical alpine because of its geographical conditions. The economy of Himachal Pradesh is an agriculture-predominated economy. However, it seems rat race to term the Himachal economy as an agriculture economy, as it is abundant with precipitous cliffs and the gradation of a large portion of land is more than 40 degrees. It has only 10.4 percent agriculture land out of its total geographical area of 55,673 square meters. Eighty percent of this meagre agricultural land depends upon the rain, and 10% is irrigated with the irrigational resources. Its contribution to the state gross domestic product is 13% in 2020 (economic survey report 2020). Thus, it is not an agriculturally predominated economy; however, it must be termed a human resource-predominated economy. It's always spent on the revenue expenditure. It is estimated to spend Rs. 33, 463 crore on committed expenditure, which includes salaries, pensions, and interest payments. The debt of the state has been budgeted at 425% of gross domestic product in the financial year 202044-25. It is higher than the 15^th Finance Commission indicative debt estimate of 32.8% of the gross domestic product of the state. It beckons towards the poor financial condition and serious financial concerns of Himachal Pradesh. It necessitates finding new modes of resources.