Bihar

India's easternmost state of Bihar is landlocked and shares borders with Nepal, Uttar Pradesh, Jharkhand, and West Bengal. The Gross State Domestic Product (GSDP) of Bihar increased at a significant Compound Annual Growth Rate (CAGR) of 6.5 percent from 2011–12 to 2017–18. As a result, Bihar now contributes more to India's overall GDP. The state's economic progress can be attributed to factors such as increased capital expenditure, industrial expansion, improved logistics, and enhanced public infrastructure.

The overall industrial scenario in the Bihar is mainly of two types i.e. Agro-based (about 90%) and Non-Agro based (about 10%). The most important agro-based industries in the state are Sugar and Dairy having strong backward and forward linkages, and therefore create substantial employments and livelihoods. As per the state’s identified priority sectors textile and leather is one of the key sectors and is highly incentivized in the Textile and Leather Policy, 2022.

This sector is having significant ground level spread across the fourteen districts i.e. Bhagalpur, Banka, Gaya, Nalanda, Nawada, Madhubani,Aurangabad, Rohtas, Kaimur, Patna, Siwan, Purnea, Katihar, and Paschim Champaran of Bihar. The Bhagalpur silk and its products are well recognised nationally and internationally and its export from the state has increased significantly. The Bihar state has been ranked as 2nd largest exporter of silk after the Karnataka at the national level (Bihar Economic Survey, 2023).

The State of Bihar signed the Letter of Undertaking (LoU) with the Ministry of MSME, Government of India on 10th September 2022. It submitted its Strategic Investment Plan (SIP) on August 2023 and RPC approved projects worth Rs. 135.75 Cr for Bihar.

The list of Approved interventions is as follows:

• Capacity Building of MSME and Different Stakeholders in Bihar
• Implementation of Centralised Integrated Management System (CIMS)
• MSME Kendra
• Enhancing MSMEs through Export Promotion and other business support with special focus on Geographical Identification (GI) products of Bihar:
• Strengthening Textile industry through the development of Banana Fiber and Water Hyacinth