Economy of Goa

Goa is India’s richest state with a GDP per capita one and a half times that of the country as a whole, and one of its fastest growth rates: 8.23% (yearly average 1990-2000).

Tourism is Goa’s primary industry: it handles 12% of all foreign tourist arrivals in India. Goa has two main tourist seasons. Tourism is particularly focussed in the coastal areas, while its impact is more limited in the outer parts.

The land away from the coast is rich in minerals and ores and mining forms the second largest industry. Mining in Goa focuses on ores of iron, bauxite, manganese, clays, limestone and silica. Agriculture, while of shrinking importance to the economy over the past four decades, offers part-time employment to a sizable portion of the populace.

Rice is the main agricultural crop, followed by areca, cashew and coconut. The fishing industry provides employment for about forty thousand people, though recent official figures indicate a decline of the importance of this sector and also a fall in catch, perhaps coupled with the fact that traditional fishing has given way to large-scale mechanised trawling.

Medium scale industries include the manufacturing of pesticides, fertilisers, tyres, tubes, footwear, chemicals, pharmaceuticals, wheat products, steel rolling, fruits and fish canning, cashew nuts, textiles, brewery products. Goa is also notable for its low liquor prices due to its very low excise duty on alcohol. Another source of cash inflow into the state comes from many of its citizens who work abroad and remit money to their families.