Largest agricultural area under irrigation in India

Punjab has an excellent network of irrigation facilities with 99.9% of net area sown covered under irrigation. 

Punjab, called the "Granary of India", is bounded on the west by Pakistan, on the north by Jammu and Kashmir, on the northeast by Himachal Pradesh and on the south by Haryana and Rajasthan. The state has one of the highest road densities amongst Indian states at 133 km per 100 sq. km. It is well connected to all major markets with 72,212 km of total road network, 2,830 km of rail track network and 5 airports. It is a power surplus state with a total installed capacity of 14,246 MW. It also offers a strong logistics backbone with five container freight stations (CFSs) and four inland container depots (ICDs); thereby easing exports and imports for the state. 

The state has a total cultivable area of 4.2 mn ha, which constitutes 3% of the net area sown in India. With this area, Punjab produces 19% of wheat, 10% of rice, 10% of milk, 20% of honey, 48% of mushroom and 5% of cotton in the country. In terms of wheat production, it generates the third largest marketable surplus after Canada and Australia; while in case of rice, its market surplus is second only to Thailand.

Major industries in Punjab include food processing, tractors and auto components, agro-based parts, bicycle and bicycle parts, sports goods, light engineering goods, metal and alloys, chemical products and textiles. The state has also emerged as a key hub for textile-based industries, including yarn, readymade garments and hosiery. The clusters around food and dairy products are the other major sectors of the state.


Largest producer of wheat and rice in India 

Machine Tools

Largest producer of machine, hand tools and bicycle components in India 

Horticulture crops

Leading producer of horticulture crops - carrot, peas, mandarin, radish and melon

Food Processing

Agriculture and allied sectors account for approximately 21% of Punjab’s GSDP against an all India average of 14%. The state enjoys high yield for various agricultural produce that includes wheat, paddy, cotton, lychee, guava and orange.

It has a sound infrastructure in place for agro and food processing sector, while also occupying 40% share in India’s total warehousing and storage capacity. The state provides investment opportunities in areas such as integrated logistics hub, milk processing, agribiotech and micro-irrigation techniques, warehouses and silos, cold storage infrastructure and packaging.

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Light Engineering

Punjab has a rich industrial base of MSME units belonging to bicycle parts, auto components, hosiery, sports goods and agricultural implements.

The state accounts for 92% of India’s production of bicycle parts and 75% of bicycle production of India. Light Engineering is an important sector for the state with Jalandhar, Ludhiana, Patiala, Sangrur, Moga, Hoshiarpur and Mohali districts being host to thousands of light engineering companies. Punjab is also developing a new Industrial Estate at Nabha for light engineering and a Light Engineering Park along the Eastern Dedicated Freight Corridor and the Amritsar Kolkata Industrial Corridor.

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Textile and Garments

Punjab is the leading hub for textile-based industries such as apparel manufacturing, spinning and hosiery exports with Ludhiana being the biggest manufacturing cluster in North India.

The state accounts for 95% of India’s woollen knitwear production, 85% of India’s sewing machine production and 75% of India’s sports goods production. The state has emerged to be the second largest cotton and blended yarn producer in the country. Punjab is also setting up a Technical Textile Park to explore international partnerships for technology sourcing and joint ventures.

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Renewable Power

Punjab offers a conducive environment to encourage power generation from renewable energy sources.

The state is strategically placed to harness solar energy in a big way. It was ranked number one amongst all Indian states for progress in solar energy by World Bank in 2015. The state aims to harness 5,400 MW (15%) energy from renewable sources of energy by 2022. It has launched two unique policies to support the sector—New and Renewable Sources of Energy (NRSE) Policy and Net Metering Policy.

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Urbanisation Rate

Females/ 1000 Males

Female/Male Ratio

Male/Female Ratio


68% of Punjab's population is in the working age group of 15-59 years.

About 75% of total population of Punjab is directly dependent on agriculture sector for their livelihood. The state's population of 28 mn is equivalent to the population of Australia.

Upcoming Projects

Upcoming projects:

  • Ludhiana Mega Food Park, Mohali Knowledge City, Greenfield Light Engineering Park along Eastern Dedicated Freight Corridor and Chandigarh Medicity
  • Greenfield Light Engineering Cluster, along with the Eastern Dedicated Freight Corridor and the Amritsar Kolkata Industrial Corridor (AKIC)
  • 3 Mega Food Parks, namely, Punjab Agro Industries Corporation, Ludhiana; Mega Food Park, Fazilka and Sukhjit Starch & Chemical, Kapurthala
  • Mohali Biotechnology Park, being set up on over 32 ha of land in Knowledge City, Mohali
  • Supply Clusters around Rail Coach Factory, Kapurthala and DCW, Patiala
  • Automobile Manufacturing Park, alongside AKIC 
  • FDDI Skill Centre in Leather Cluster in Jalandhar
  • Sports Goods Park in Jalandhar
  • Smart Cities Mission, for which Ludhiana, Jalandhar and Amritsar are the cities identified in Punjab
  • Eastern Dedicated Freight Corridor, with an electrified single-track segment of 447 km between Punjab, Haryana and Uttar Pradesh
  • Open

    Punjab Agricultural Policy 2013

    Aims to address various interlinked concerns related to curr…

  • Open

    Punjab Industrial Policy 2017

    To develop world class infrastructure for the industry and t…

  • Open

    Punjab State Youth Policy 2017

    To develop an integrated approach to meet the challenges fac…

Data on Map

Major Investors