Gist of daily Article /The Hindu 17oct 2025

Constraints on Bihar’s Underdevelopment: Ways Forward:
1. Geographic Disadvantage: It is often mentioned as a constraint for development but not as a primary factor. Telangana and Punjab are also landlocked, but they have developed due to the base of their tertiary sector (Telangana -Hyderabad), and strong transport infrastructures and agricultural logistics being practiced in Punjab.

Bihar exports perishables (ex. makhana, litchi, vegetables) that require high transportation costs due to their perishability. As a result there are limited ports to use that will lower transport costs. In terms of improving the mode of transport, inland waterway projects such as the Ganga and benefit studies have been commissioned through the Transport Corporation.
2. Agriculture or Industrialisation:

Bihar is mostly agrarian with approximately 80% of the working population being in agriculture. Bihar has fertile soils and irrigation infrastructure, but productivity is significantly below the national average. Some issues identified are: overall poor civil and social infrastructure and weak investment from the State, and a revival of Green Revolution era approaches such as electrification and irrigation.
Divergent Perspectives: R. Nagaraj:

Agriculture must improve productivity in agriculture province to support high tech industries. M.N. Thakur: Industry is the way forward, and agriculture cannot be relied on to sustain the economy of Bihar.
3. Lessons from the Green Revolution:

It passed Bihar by delimited to the Indo-Gangetic plain before expanding in Malwa (Madhya Pradesh) with State intervention. There is a risk: 1. too much water → ecology stress 2. excessive fertilizers/pesticides à health hazard.

Structural and Policy Challenges:
• Historical freight equalisation policy did a « disservice » to local industrialisation.
o Consequent lost natural advantages in resource intensive industries.
• Internal colonisation and consequences of feudal-capitalist transition.
• Migration for lack of local opportunities, not solely economic necessity.
5. Governance, State Capacity and Political Economy:
• Low state capacity has implications for absorption of funds.
• Many Finance Commission grants remain unspent due to inability to raise matching funds.
• Special status help some, by reducing co-funding clauses.
• But to be effective special status has to be attached to governance reform and institutional capacity.
6. Role of ideology and identity:
• ‘Socialist hangover’ in development planning is often misidentified as caste based resource transfer.
• Lack of coherent Bihari identity / “Bihari asmita” lends itself weak vision for development.
• Need to move from redistribution agenda to one of productive investment.
7. Recommendations for the way forward
• Enhance agriculture through:
o Public investment, modern techniques, sustainable agriculture.
• Promote agro-processing and MSMEs.
• Develop infrastructure, primarily transport and logistics.
• Support governance and institutional capacity to absorb investment.

• Promote industrialisation, aligned with Bihar’s comparative advantages.
• Foster a development-oriented political and social consciousness.

Conclusion:

Bihar’s developmental lag is multi-dimensional—rooted in governance, policy neglect, structural bottlenecks, and political economy. A holistic, sustained, and locally-adapted development model, with support from the Union and a focus on institutional reform, is essential for Bihar to move beyond its ‘frozen transition’.

Article Based Mains Questions : UPSC/PCS/250/200 words

Qn.1 “Geography is not destiny, but it can shape developmental outcomes.”
Critically examine the impact of being landlocked on the economic development of Indian states, with special reference to Bihar. (250 words)

Qn.2 Despite abundant natural resources and a strong agrarian base, Bihar remains underdeveloped. Analyse the structural and policy-level challenges that have hindered Bihar’s economic transformation. Suggest a multi-pronged strategy for its inclusive development. (250 words)