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The economy of Punjab is characterized by a productive, increasingly commercial agriculture, a diversity of small and medium-scale industries, and the highest per capita income in the nation.
The state's economy is characterized by agriculture and small and medium-scale industry. With about 70 percent of its people engaged in agriculture, Punjab accounts for as much as one-quarter of India's output of wheat. Other crops include corn (maize), rice, millet, barley, and edible seeds, together with cotton, sugarcane, potatoes, and oilseeds. Most of the land is irrigated through various river-valley projects. The area's great success in increasing agricultural production since the 1960s is largely attributable to the so-called Green Revolution, which has stressed the introduction of modern farming methods, new seeds and fertilizers, and irrigation.
Punjab lacks mineral and fossil-fuel resources, and the state's industrial development has consequently been associated with agriculture and consumer goods. The principal industries produce cotton, woolen, and silk textiles; sugar; machine tools; fertilizers and agricultural implements; and such consumer goods as sewing machines, bicycles, sports equipment, automotive parts, and flour and milk products.
Punjab State, with only 1.5 percent of geographical area of country, produced 20 percent of wheat, 9 percent of Rice and 14 percent of Cotton of the total produce under these crops in country. Punjab is 1st in average per hectare yield of rice, wheat & Cotton. It consumes 10% of total fertilizer consumption in India. State topped in Kinnow Fruit production, topped all other states in per hectare yield of grapes. Per Capita availability of Milk in the state is 845 gms. Per day, this is highest in country.
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