Secondary, tertiary sectors growing in Eastern UP but overall development slow: LU study

Researchers emphasised the need for major public investment in education, health, and industry to lift the region out of a “low-equilibrium trap.” They suggested expanding schemes like ‘One District One Industry’ to help districts specialise in productive sectors, boost employment, and attract investment.

A recent study by economics faculty members of Lucknow University, Nagendra Kumar Maurya and professor Roli Mishra, has found that districts in eastern Uttar Pradesh -- Bahraich, Balrampur, Shravasti, and Siddharth Nagar -- remain among the most backward in the state.

The study by economics faculty members of LU has found that districts in Eastern UP-- Bahraich, Balrampur, Shravasti, and Siddharth Nagar -- remain among the most backward in the state. (File)

However, the researchers noted that the secondary and tertiary sectors have grown significantly in these areas over the last two decades, as per data calculated by the Directorate of Economics and Statistics (UP).

The researchers developed a composite development index for 28 districts based on 19 social and economic indicators, including income, education, agriculture, employment, and infrastructure.

Mishra pointed out that despite an increase in the gross district domestic product (GDDP) of these districts, their contribution to the state’s economy has remained low over the years.

“Bahraich had a GDDP of ₹4,949 crore in 2004-05 with a 1.11% contribution to the state, which rose to 6,935 crore in 2011-12 with a 0.96% contribution, 10,485 crore in 2018-19 with 0.92%, and 10,124 crore with 0.90% contribution. Similar trends are visible in other districts,” Mishra said.

Maurya said that although secondary and tertiary sectors were expanding, other regions of the state were growing at a faster pace, causing Eastern UP to lag in relative contribution. “It is positive that the region is developing secondary and tertiary sectors, which are crucial for economic growth,” he added.

Both researchers emphasised the need for major public investment in education, health, and industry to lift the region out of a “low-equilibrium trap.” They suggested expanding schemes like ‘One District One Industry’ to help districts specialise in productive sectors, boost employment, and attract investment.

Maurya further recommended integrating agriculture producers into the ‘One District One Product’ scheme, currently dominated by processors and traders. “If Eastern UP is to catch up with Western UP and contribute to India’s $1-trillion economy target, coordinated and balanced development across infrastructure, agriculture, and industry is essential,” he said.