Economy of Andaman and Nicobar Island

Industry

The Union Territory of Andaman and Nicobar Islands has a vast forest resource base with 7,171 sq km of the total area of island covered by forests. A large variety of timber is found in the Andaman group of islands.

The Islands have reported the occurrence of diatomaceous earth, gold, limestone, nickel, selenite and sulphur. The Oil And Natural Gas Commission is continuing the exploration for oil and gas there.

The Union Territory has a number of small scale, village and handicrafts units. The number of export-oriented units is also increasing in the agro-processing sectors. The Andaman and Nicobar Integrated Development Corporation has made its presence felt in civil supplies, tourism, fisheries, industries, and industrial financing activities.

Agriculture

Around 50,000 hectares of land is under cultivation here. Paddy is the main food crop and is mostly cultivated in the Andaman group of islands, whereas coconut and areca nut are the main cash crops of the Nicobar group of islands. Different kinds of fruits such as mango, sapota, orange, banana, papaya, pineapple and some root crops are also grown on the islands.