Regional Development Dichotomy – A Strategic Plan for a Balanced Development for Vagra-Dahej Sub Region, Bharuch, India
Jay Mittal, Sweta Byahut
Abstract
Gujarat is a leading industrial state in the Indian union with a long coastline dotted with 40 of the country’s142
ports. The state has been promised $296.42 billion (USD) via 5,500 industrial memorandum, which has created
economic growth of 7.7 percent in the last decade. Many of these investments are concentrated around the coast
or large urban agglomerations. VagraDahej is a coastal sub region in Gujarat located near a high concentration
corridor of industrial conglomeration. Thesubregion cityhas a population of 82,000 people living in its 68
villages that offer promising economic opportunities. However, is paradoxically experiencing natural resource
degeneration and out-migration of the local people. VagraDahej contributes about $3 billion USD annually
through excise duty and taxes to the state and national income through its largest ‘On-land’ petroleum reserves in
India. It has the only liquid cargo port and chemical terminal in the country, large-scale investments in
petrochemical, metallurgical, and other port-based industrial investments ranging from $.60to $900 million USD
per unit. Agriculture, fishing, salt farming, and natural resource based activities are traditional sources of
economy; where the most local population is engaged in the sub region. VagraDahej is under serious threats of
salinity ingress, droughts, low agriculture productivity, declining traditional economy, and out migration
attributed to weak land use planning, non-judicious use of water, compounded by unstable climatic conditions,
topography, and poor soils with low permeability and inherent salinity. The sub region faces a serious
development dichotomy with a ratio of annual average earnings of local people, to the total wealth generated
from the available resources and investments in the sub region being abysmally low. These research findings are
based on secondary data analysis, field surveys, and consultations with the stakeholders in field and sector
experts. This paper assesses development potential and constraints in the sub region and attempts to prepare
future development strategies to attain balanced regional development. This paper emphasizes natural resource
regeneration (land, water and soil conservation) and thus attempts to create options for livelihood regeneration
in the rapidly industrializing coastal region of Gujarat.
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