Goa On The Go

It is a state that has everything going for it. Natural riches, highest per capita GDP in the country and an extraordinary record in key HDI measures. For it to remain paradise, though, the state now needs to diversify its growth drivers and reduce the gap between the coastal districts and the hinterland

- Ajit Kumar Jha

It may have only 160 km of a coastline compared to Maharashtra’s 720 km and Karnataka’s 320 km, but it is Goa that is called the ‘Pearl of the Orient’. Its 450-year-old Portuguese colonial history gives it a unique cultural ethos, reflected in its liberal, tolerant and progressive attitude and its food. Its azure skies and golden, palm-fringed beaches make it the ultimate holiday destination for the domestic and foreign, hippie and high-end tourist alike.

Tourist arrivals in Goa, therefore, have only been increasing every year. In 2018, Goa attracted 7,081,559 domestic tourists, among the highest in all states, with the number of foreign tourists standing at 933,481 in the same year.

Besides tourism, the mining and pharma sectors have been the mainstays of the Goan economy. The state’s gross domestic product for 2017-18 is estimated at $9.95 billion (about Rs 70,000 crore) at current prices, much less than Maharashtra’s (over $300 billion) and Karnataka’s (over $200 billion). Yet, Goa scores because it has the highest per capita GDP in the country—two and a half times the national figure. Not just that, Goa’s GSDP at current prices increased at a compound annual growth rate of 10.65 per cent from 2011-12 to 2017-18.

Mining riches to rags

Goa has achieved these distinctions not only on the back of tourism. The land away from the coast is rich in minerals, making mining the second largest industry in the state. In 2017-2018, Goa accounted for 32 per cent of India’s iron ore production. The state is also home to some of the country’s key mining companies, such as Sesa Sterlite Limited, V.M. Salgaocar and Brothers and Fomento Resources. Approximately 150,000 people in Goa came to depend on the mining industry for their livelihood.f