Madhya Pradesh Economy is based on agriculture, forest products, industries, mineral resources, and cottage industry sectors. The gross domestic product of the state amounted to Rs. 304,720 million in 1990, in 1995 this figure amounted to Rs. 478,410 million, and in 2000 this figure stood at Rs. 737,150 million.
The Economy of Madhya Pradesh depends mainly on the agricultural sector as more than 80% of the people of the state depend on this sector for their livelihood. The agricultural sector contributes around 46% to the state's economy. The various kinds of crops grown in the state of Madhya Pradesh are rice, pulses, wheat, oilseeds, grams, soybeans, and maize. The state contributes 20% to the total production of pulses in the country. In Madhya Pradesh, the total production of food grain was around 14.10 million metric tonne in 2004- 2005. This sector has given a major boost to the Economy in Madhya Pradesh.
The Economy in the state of Madhya Pradesh also gets its revenue from the forest products sector as the state has a forest cover of around 1.7 million hectares. The various kinds of forest products available in the state of Madhya Pradesh are teak wood, sal wood, and bamboos. These products are sold all over the country thus contributing to the Economy in Madhya Pradesh. The Economy of Madhya Pradesh gets its revenue from the industrial sector which contributes 26% to the state's economy. The main industries in the state are of telecommunications, information technology, automobiles, and electronics. Madhya Pradesh is the 2nd biggest cement producer in the country for it contributes 13% to the total cement production in India. This sector has contributed a great deal to the growth of the Economy in Madhya Pradesh.
Madhya Pradesh Economy also depends for its revenue on the mineral resources sector for the state has a rich storehouse of minerals. The various kinds of minerals found in the state are dolomite, limestone, copper ore, bauxite, coal. Madhya Pradesh produced 52683 thousand metric tonne of coal. The mineral sector has helped to boost the Economy of the state of Madhya Pradesh. The Economy of Madhya Pradesh gets its revenue from the cottage industry of the state. The various kinds of cottage industry products found in Madhya Pradesh are clay toys, leather toys, wool products, hand loom cloth, and chanderi sarees. These products are sold all over the country and even exported to foreign countries. The cottage industry sector has thus helped the Economy of Madhya Pradesh to grow.
Madhya Pradesh Economy has grown due to the contribution of many sectors. That the economy of the state continues to grow, the Madhya Pradesh government must give boost to the sectors that contribute to its growth.