Sectoral Growth Trends in Bangaru Telangana

​Sectoral Growth Trends:

The growth rate of GSDP denotes the performance of economy of the State and changes in the magnitude and composition of GSDP of the State economy over time. The economy is broadly classified into three sectors, i.e., primary, secondary and tertiary. The primary sector consists of crops; livestock; forestry & logging; fisheries; and mining & quarrying. The secondary sector consists of manufacturing; electricity, gas, water supply & other utility services; and construction sectors. The tertiary sector consists of trade & repair services; hotels & restaurants; transport, including railways, road, water, air & services incidental to transport; storages; communications & services relating to broadcasting; financial services; real estate, ownership of dwellings & professional services; public administration; and other services. The sectoral growth rates based on GVA at basic prices are given in Table 2.2.

Table 2.2: Growth in GSDP and Major Sectors (in percent)

Sl. No.	Item	2012-13 (SRE)	2013-14 (SRE)	2014-15 (SRE)	2015-16 (AE)
1.	Agriculture, forestry and fishing	8.8	2.1	-5.3	-4.5
1.1	Crops	9.8	1.7	-14.2	-18.2
1.2	Livestock	8.0	2.3	8.2	12.2
1.3	Forestry and logging	-0.6	-2.5	1.4	-2.7
1.4	Fishing and aquaculture	10.4	14.4	8.5	17.8
2.	Mining and quarrying	4.1	-4.3	21.7	6.9
	Primary	7.9	0.9	-0.4	-1.9
3.	Manufacturing	-14.7	5.3	5.8	9.5
4.	Electricity, gas, water supply & other utility services	-31.9	35.9	-14.7	8.4
5.	Construction	1.8	-3.5	4.9	6.2
	Secondary	-12.2	4.8	3.8	8.6
6.	Trade, repair, hotels and restaurants	5.7	14.1	11.9	9.5
7.	Transport, storage, communication & services related to broadcasting	8.5	5.3	8.8	9.2
8.	Financial services	8.9	4.6	8.8	9.6
9.	Real estate, ownership of dwelling & professional services	12.8	9.5	11.4	12.5
10.	Public administration	1.9	5.4	35.7	7.6
11.	Other services	1.1	8.8	8.2	14.6
	Tertiary	7.7	8.9	11.8	11.0
	Total GSVA at basic prices	2.3	6.2	7.5	8.1

Table 2.3: Sectoral Contribution to GSDP at Constant Prices (in percent)

Sl. No.	Item	2011-12 (SRE)	2012-13 (SRE)	2013-14 (SRE)	2014-15 (SRE)	2015-16 (AE)
1.	Agriculture, forestry and fishing	16.1	17.2	16.5	14.5	12.9
1.1	Crops	9.6	10.3	9.8	7.8	5.9
1.2	Livestock	5.6	5.9	5.7	5.7	5.9
1.3	Forestry and logging	0.6	0.6	0.5	0.5	0.4
1.4	Fishing and aquaculture	0.4	0.5	0.5	0.5	0.6
2.	Mining and quarrying	4.1	4.1	3.7	4.2	4.2
	Primary	20.2	21.3	20.2	18.7	17.0
3.	Manufacturing	18.4	15.3	15.2	14.9	15.1
4.	Electricity, gas, water supply & other utility services	2.3	1.5	2.0	1.6	1.6
5.	Construction	6.7	6.6	6.0	5.9	5.8
	Secondary	27.3	23.5	23.2	22.4	22.5
6.	Trade, repair, hotels and restaurants	11.1	11.4	12.3	12.8	13.0
7.	Transport, storage, communication & services related to broadcasting	7.4	7.9	7.8	7.9	8.0
8.	Financial services	6.3	6.7	6.6	6.7	6.8
9.	Real estate, ownership of dwelling & professional services	16.4	18.1	18.6	19.3	20.1
10.	Public administration	3.4	3.3	3.3	4.2	4.2
11.	Other services	7.9	7.8	8.0	8.0	8.5
	Tertiary	52.5	55.2	56.6	58.9	60.5
	Total GSVA at basic prices	100.0	100.0	100.0	100.0	100.0

While the sectoral analysis in terms of GVA at basic prices reveals that during the year 2015-16 (AE), growth rate at constant (2011-12) prices is highest in tertiary sector with 11%, followed by secondary sector with a growth of 8.6% and primary sector expected a negative growth of 1.9%. The GSDP growth estimates of 9.2% would have been better, but for the negative growth recorded in crops sector, attributed mainly to the adverse seasonal conditions prevailing in the State since last two consecutive years. Crops sector per se was badly affected due to these reasons and recorded a negative growth of 18.2%. But growth in primary sector was partially compensated by the positive growths registered in Livestock (12.2%), Fisheries (17.8%) and mining & quarrying (6.9%) sectors.

Note: (i) EGW implies Electricity, gas, water supply & other utility services and (ii) TSC& B indicates Transport, storage, communication & services related to broadcasting.

Broad sectoral classification of GVA reveals that tertiary sector has contributed about 60.5 percent of total State's GVA, followed by secondary sector with 22.5 percent and primary sector with 17 percent. At sub-sector level, highest contribution is made by real estate, ownership of dwellings and professional services with 20.1 percent of State GVA at basic prices, followed by manufacturing (15.1 percent), agriculture & allied (12.9 percent) and trade, repair, hotels and restaurants (13 percent). Detailed sub-sector contributions are shown in Figure 2.2.

Trend in Sectoral Growth rates: Trend in broad sectors growth reveals that primary sector has been decreasing since 2012-13 to 2015-16, mainly due to the negative growth in the production of crops. Secondary sector has registered a negative growth of -12.2 percent in 2012-13, has picked up in 2013-14 with growth rate of 4.8 percent and showed a robust growth of 8.6 percent in 2015-16. Tertiary sector is the main contributor of GVA growth of the State. It has registered a growth of 7.7 percent in 2012-13 and peaked up in 2014-15 by growing at 11.8 percent. As per the advanced estimates of 2015-16 services sector is poised to grow at 11.0 percent.

G.Rajendera Kumar