Economy of Madhya Pradesh :

The economy of Madhya Pradesh grew at 12% GDP for annual year 2011–12. Madhya Pradesh received an award from President Pranab Mukharjee in January 2013 for improving its tourism, medical and infrastructural growth. After partition, the new Madhya Pradesh state produces about 70% of the output of the old Madhya Pradesh state – the rest is produced by Chhattisgarh. The state's debt was estimated at 51 per cent of its GDP by 2005.

Agriculture :

This is a chart of output of major commodities of Madhya Pradesh.

Commodity            National Share

Soybeans                 90%

Grams                      36%

Oilseeds                   25%

Pulses                       24%

Food grains               8%

Industry :

Until 2005, there was only one S&P CNX 500 conglomerate with its corporate office in Madhya Pradesh viz. Ruchi Soya Industries (2005 gross income Rs 49,661 million). Now there are many big industries having their base in the state. State-run NTPC will invest about Rs 20,000 crore to set up a 3,960-megawatt (Mw) coal-based power project in Madhya Pradesh. NTPC had signed a memorandum of understanding with the state government and MP Power Trading Company regarding this

Madhya Pradesh has 6 Ordnance Factories, 4 of which are located at Jabalpur (Vehicle Factory, Grey Iron Foundry, Gun Carriage Factory, Ordnance Factory Khamaria) and one each at Katni and Itarsi. The factories are run by the Ordnance Factories Board, and manufacture a variety of products for the Indian Armed Forces.

 Minor Forest Produce( MFP) :

MFP from the forests, such as Tendu leaves used to roll bidis, sal seed, teak seed and lak are a major contributor to the rural economy of the state. MFP-PARC (Minor Forest Produce - Processing & Research Centre) is located in the state capital - Bhopal. MFP-PARC is a unit of M P Minor Forest Produce (Trading & Development) Co-operative Federation Limited. "Vindhya Herbals" is the brand of various ayurvedic, herbal & fruit products produced by M P MFP Federation. Apart from MFP-PARC, these products are also produced in Rehti (Sehore District), Barman (Narsinghpur District), Katni, Panna & Dewas in Madhya Pradesh. Some more processing centres are in the pipeline.

 Economy of main districts :

Bhopal : Bhopal is the capital and the second largest city in the state both in terms of population and in terms of area. Initially the economic growth stalled because of the Bhopal Gas Tragedy but now has started growing again. Its economy is mainly based on Industries. It is an important Industrial center of the state. Electrical goods, cotton, chemicals and flour milling are the main source of economy. Zardaori and embroidery of Bhopal's old city is also famous. The district is highly urbanised with nearly 80% of the population marked as urban. Now being a metropolitan city, many Software/IT sectors companies are setting up offices in the city. Bhopal is also an important tourist place with the following destinations near the city.

Gwalior : Gwalior enjoys being at a very strategic position as being a main junction on New Delhi - Chennai railroad and being on NH-3 and NH-75. Gwalior is surrounded by 3 Industrial areas - Sitholi, Banmore and Malanpur. All these three sectors are on NH 75, National Highway 3 and NH 92 respectively. Malanpur is the biggest.The city earlier had big manufacturing industries such as Gwalior Grasim and J.C. MILLS of Birlanagar but now this sector is left with only one industry –J.B.Mangharam Ltd. But the other three sectors have many industries. The important ones are dairy, chemical, manufacturing, and textiles. Handicraft and small industries are also found such as Gwalior potteries. Gwalior is also an important historical and tourism sector of the country therefore tourism sector also puts an effect into the city's economy. Gwalior trade fair is an annual trade fair showcasing economy of Gwalior.

Indore : Indore is commercial capital of Madhya Pradesh with a bulk of its trade coming from large, medium and small scale manufacturing and service industries. These industries range from Automobile to Pharmaceutical and from Software to Retail and from Textile trading to Real estate. Major industrial areas surrounding the city include the Pithampur Special Economic Zone and the Sanwer Industrial belt. While the Textile manufacturing and Trading is the oldest business to contribute to economy, the Real Estate has emerged very fast in past few years. National Real Estate Players DLF Limited,Omaxe,Sahara, Parsvnath, Ansal API, Emaar MGF have already launched their residential projects in Indore. Pithampur near Indore houses production plants of various Pharmaceutical companies like Ipca Laboratories, Cipla, Lupin, Glenmark, Unichem.

Jabalpur :The Narmada river bringing in fresh water from the Vindyachal Ranges has developed Jabalpur district into an agrarian economy. The land of the Narmada basin with its fertile alluvial soil gives good yields of sorghum, wheat, rice and millet in the villages around Jabalpur. Important among  commercial crops are pulses, oilseeds, cotton, sugar cane and medicinal crops. The state is poised for a breakthrough in soybean cultivation. Jabalpur has a variety of industries largely based in mineral substances of economic value found in the district, although the ready-made garments industry is a substantial portion of production in Jabalpur. Defence establishments started in the early 20th century. Jabalpur has Vehicle Factory Jabalpur, Grey Iron Foundry, Gun Carriage Factory Jabalpur and Ordnance Factory Khamaria which belong to the Ordnance Factories Board manufacturing various products for the Indian Armed Forces. However the industrial growth of the area owes much to the defense establishments and the four ordnance factories. The presence of the military base and the ordnance factories have improved the infrastructure of the city. This has boosted the industrial development of Jabalpur.

Ujjain : Ujjain is the largest city in Ujjain district of the Indian state of Madhya Pradesh. It is the fifth largest city in Madhya Pradesh by population and is the administrative centre of Ujjain district and Ujjain division. Ujjain has been selected as one of the hundred Indian cities to be developed as a smart city under PM Narendra Modi's flagship Smart Cities Mission.

Dewas : In the recent years, modern industry has taken off in Dewas in a big way. The growth is industry sector has given jobs to local factories. At the same time, traditional crafts / Handicrafts as Mojri (Shoes), Synthetic Carpets, leather works (begs, belts, ladies purses, shoes, coats, briefcases etc.) remain important in the economy. Agriculture (specially Soybean, wheat, gram) is also the source of economy. Many high tech industries have been set up for oil extraction from Soyabean. To control the Indian economy, Bank Note Press, a Central Government Organization for printing of Indian Currency is also situated here.

Ratlam : The city of Ratlam located in northwestern part of the state of Madhya Pradesh since long has been known for its economic and commercial activities . The region which was once famous for its opium and tobacco trade has grown in its size and proportion. With agricultural background this city this is one of the most productive region of the state. In last two decades many small and medium-sized Agro- based industries has made appearances on the canvas of Ratlam. These industries have acted as generator of employment transforming the lives of peoples in Ratlam. The city is also home to many chemical factories namely IPCA, JVL, Hightech, Shaba Chemicals, Bordiya Chemicals, Sujjan Chemicals etc.

Rewa : Rewa district is particularly rich in mineral resources as a large variety of important minerals are found here. Limestone, Sandstone, industrial minerals like phosphate, asbestos, calcite, Talc (soap stone) are the major driving resources behind the industries based in the city. As for composition of industries is concerned, then large scale industries make up only 7 to 8 units amongst thousands of industries spread across the district.

Sagar : Agriculture forms the backbone of Sagar economy. Many districts completely rely on the income generated from the agriculture taken up in the city. The farmers use latest technologies pertaining to the sector of agriculture so that a healthy crop is obtained. A strong agriculture economy has led to the improvement in the living standards of people living in the city of Sagar. The chief crops grown here are chickpeas, wheat, oilseeds and soghum. Sagar is also into poultry farming, animal husbandry, dairy farming, fisheries, forestry and cattle fairs.With many proposed large and small scale industries, the economy of Sagar is bound to grow at a fast pace. It is also a major hub for useful minerals. Due to its scenic beauty and proximity to Khajuraho tourism also contributes in strengthening its economy. In Madhya Pradesh, Sagar is the sixteenth largest district in size.These small scale industries mainly manufacture steel utensils, detergent cake and powder, agricultural equipments, welding electrodes, plastic goods, alum, caustic soda, solvent plant, granitbillie stone, pipes, acrylic sheets, PVC cable, acrylic products, incense sticks, all purpose flour etc. Bidi (A traditional Tobacco used in India) making is one of the most traditional and eminent business in Sagar and is done almost all over Sagar.