Home > Business > A Rural Renaissance: How Livelihoods in Kalahandi Are Blooming Through Industrial Partnership

A Rural Renaissance: How Livelihoods in Kalahandi Are Blooming Through Industrial Partnership

By ISHWAR CHANDRA NAIK

 

 

For decades, Kalahandi district in Odisha has been known for its traditional handicrafts, rich biodiversity, and abundant water resources essential for irrigation. A lesser-known fact about the region is its wealth of natural resources — especially bauxite, which exists in abundance. Yet, for many years, Kalahandi stood as a stark symbol of rural deprivation in India. Once synonymous with starvation deaths and chronic drought, the region gained national attention under the term ‘Kalahandi Syndrome’, a grim reminder of systemic neglect and human suffering.

Poverty and hunger were deeply entrenched. Bhawanipatna, now the district headquarters, was then a remote outpost marked by broken roads, minimal access to healthcare and education, and little to no economic activity. In 2001, Kalahandi contributed less than 1 per cent to Odisha’s Gross District Domestic Product (GDDP), with a per capita income of around Rs 19,000. Recurring droughts further compounded the hardship, especially for communities dependent on subsistence farming. These challenges reflected deeper structural issues, including a lack of irrigation, poor infrastructure, and fragile institutional support.

Fast forward to today — Kalahandi is rewriting its story through a sustained model of inclusive industrial partnership and community development. The district now stands as a compelling example of transformation, where grassroots livelihoods are being reshaped through ongoing collaboration between industry, government, and the community. The presence of Vedanta’s alumina refinery in Lanjigarh has played a central role in this transformation, catalyzing broad-based economic activity and community development. The refinery has fostered an ecosystem geared towards reshaping the local economy by building sustainable income models.

This revival is most evident in the diversification of livelihoods across sectors such as agriculture, skill development, women-led enterprises, and heritage-based micro-industries. Agriculture, once restricted to rain-fed paddy and millet, has been revitalized with the introduction of high-value crops like strawberries, bananas, and nursery plantations — enabled by drip irrigation, solar lift systems, and farmer training. Allied activities like goat rearing, fisheries, and integrated farming are helping families move from subsistence to surplus, fostering financial resilience. As of 2023–24, the district’s contribution to GDDP has risen by nearly 300 per cent from its early-2000s baseline. To top it off, the per capita income now exceeds Rs 89,000.

Skill development has emerged as a cornerstone of this progress. Under the Skill Development Program (SDP) in Lanjigarh, hundreds of rural youths are receiving technical training in trades like welding, electrical, and computer operations. These initiatives are creating viable employment pathways within the district and significantly reducing migration. All this development has been made possible through modernization by the Lanjigarh refinery in collaboration with the community.

Women are leading change as well, reviving traditional arts like Saura and Dhokra, and running micro-enterprises producing items such as phenyl, agarbatti, and textiles. These ventures are reshaping gender roles while enhancing household incomes. This momentum has sparked a vibrant network of informal enterprises such as salons, kiosks, repair shops, and digital services, catering to a diversifying rural economy.

To ensure this ecosystem remains viable and continues to uplift local communities, it is essential that industries operating here have consistent access to key resources — particularly bauxite. Without this, the long-term sustainability of current operations may be at risk, potentially reversing the socio-economic progress achieved so far. What stands today as a model of rural transformation must be safeguarded through forward-looking policies, proactive support for existing industries, a clear understanding of their requirements, efficient resource allocation, and a shared vision for inclusive growth. This is not just about better infrastructure or access to services, but about transforming how people in this remote hinterland work, earn, and envision their future.

Kalahandi still has scope for further development, especially in far-flung blocks that remain disconnected from opportunity. In Kalahandi, industry is not just an investor — it is a lifeline. Its continued success, however, depends on forward-looking policy, efficient resource allocation, and a shared vision for inclusive growth.

In an era where India must balance growth with inclusion and equity, Kalahandi stands as a living blueprint. It shows what’s possible when industrial investment is channelled toward building long-term value — where livelihoods are not an afterthought but a core part of the growth strategy, and where communities are not passive recipients but active partners in the journey forward.

 

 

(The author is an Assistant Professor of Sociology at Ravenshaw University, Cuttack.)

About admin

Leave a Reply

Your email address will not be published. Required fields are marked *

*