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Economy

Agriculture is basic to Assam's economy. Rice is grown on about two-thirds of the cultivated area; tea and jute are also important crops, and their sale accounts for a major portion of Assam's income. Other significant crops include oilseeds, peas, beans, canola (rapeseed), sugarcane, and fruits. Oil and coal are found in upper Assam, and the state produces about one-sixth of India's petroleum and natural gas.

Assam tea

Assam's biggest contribution to the world is its tea. Assam produces some of the finest teas in the world (see Assam tea). Other than the Chinese tea variety Camellia sinensis, Assam is the only region in the world that has its own variety of tea, called Camellia assamica. Assam tea is grown at elevations near sea level, giving it a malty sweetness and an earthy flavor, as opposed to the more floral aroma of highland (e.g. Darjeeling, Taiwanese) teas.

The tea industry developed by the British planters brought in labor from Bihar and Orissa and their descendents form a significant demographic group in the state.

Industry

Assam is an important producer of silk of different kinds and known for weaving of silk products into saris and fabrics. Production of tusser and other silks and weaving of fabrics is an important occupation for a number of people. Other types of industries are food products, wood and wood products, chemicals and chemical products, non-metallic mineral products.

Tea and oil are of prime importance to Assam's economy and also plays a significant role in the economy and life of the state. At Digboy on the border with Burma, Assam has the oldest Indian oil venture and one of the oldest in the world.

Assam oil

Assam also produces crude oil and natural gas. Assam is the second place in the world (after Titusville in the United States) where petroleum was discovered. The second oldest oil well in the world still produces crude oil. Most of the oilfields of Assam are located in the Upper Assam region of the Brahmaputra Valley.


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