
Eastern India once held a dominant position in the national economy, with states like West Bengal and Bihar significantly contributing to India’s GDP. According to historical economic data from 1960-61, West Bengal ranked third in terms of GDP share, while Bihar was among the top five. This era marked a time when the eastern region played a crucial role in industrial and agricultural output.
Economic Landscape in 1960-61
A look at the GDP share rankings of Indian states in 1960-61 highlights the economic strength of Eastern India:
- Uttar Pradesh – 14.4%
- Maharashtra – 12.5%
- West Bengal – 10.5%
- Tamil Nadu – 8.7%
- Bihar – 7.8%
- Andhra Pradesh – 7.7%
- Madhya Pradesh – 6.3%
- Gujarat – 5.8%
- Karnataka – 5.4%
- Rajasthan – 4.4%
The Rise of Eastern India
During the early decades after independence, Eastern India was home to some of the country’s biggest industrial centers, particularly in West Bengal and Bihar. Kolkata was the financial and commercial hub, while Bihar housed key steel and coal industries in cities like Jamshedpur and Dhanbad. The Damodar Valley Corporation (DVC) and Bokaro Steel Plant were pivotal in boosting industrial growth.