The correct share of various sector in Gross Fixed Capital Formation of Rajasthan in descending order is

Correct — option (3), Construction, Manufacturing, Agriculture, Mining.

Rajasthan's Economic Review 2023-24 gives Gross Fixed Capital Formation (GFCF) by industry in Table 1.6. For 2022-23 (provisional, current prices):

Construction: ₹1,85,069 crore
Manufacturing (Registered): ₹21,127 crore
Agriculture: ₹13,685 crore
Mining: ₹2,614 crore

In descending order that is Construction, Manufacturing, Agriculture, Mining.

The gaps are wide. Construction alone was about 46 per cent of the State's total GFCF of ₹3,99,594 crore, nearly nine times registered manufacturing. Mining was under 1 per cent.

The order is the same in each year the table covers, from 2018-19 to 2022-23.

The idea to remember: construction is by far the largest block of fixed investment in Rajasthan, with manufacturing a distant second and mining last among these four.

Why the others are wrong

• (1)
  Manufacturing, Mining, Agriculture, Construction — This puts construction last, but it was the largest item by far: ₹1,85,069 crore in 2022-23, against ₹21,127 crore for registered manufacturing.

  It also ranks mining above agriculture. Mining (₹2,614 crore) was the smallest of the four, well below agriculture (₹13,685 crore).

• (2)
  Construction, Agriculture, Manufacturing, Mining — The first and last places are right, but the middle two are swapped.

  Registered manufacturing (₹21,127 crore) was ahead of agriculture (₹13,685 crore) in 2022-23, and in every earlier year of the table. Agriculture's weight in the State's output does not carry over to fixed investment, where manufacturing leads it.

• (4)
  Manufacturing, Agriculture, Mining, Construction — This gets the relative order of manufacturing, agriculture and mining right, but puts construction at the bottom.

  Construction was the top item in Rajasthan's GFCF — about 46 per cent of the total in 2022-23 — so it must come first, not last.

Gross Fixed Capital Formation measures investment in fixed assets. The Economic Review defines it as the total value of a producer's acquisitions, less disposals, of fixed assets during the accounting period, plus certain additions to the value of non-produced assets.

In plain terms, it is the buildings, structures, machinery and equipment added in a year, counted before depreciation. Changes in stocks are not part of it.

Rajasthan's GFCF in 2022-23 was ₹3,99,594 crore at current prices, or 29.43 per cent of GSDP, and grew 12.78 per cent over 2021-22. The private sector contributed 78.54 per cent and the public sector 21.46 per cent.

Key facts

• Rajasthan's GFCF in 2022-23 was ₹3,99,594 crore at current prices (provisional), 29.43 per cent of GSDP.
• GFCF in 2022-23 grew 12.78 per cent over 2021-22, according to the Economic Review 2023-24.
• In 2022-23 the private sector accounted for 78.54 per cent of Rajasthan's GFCF and the public sector for 21.46 per cent.
• GFCF by industry, 2022-23: construction ₹1,85,069 crore; registered manufacturing ₹21,127 crore; agriculture ₹13,685 crore; mining ₹2,614 crore.
• The order construction > manufacturing (registered) > agriculture > mining holds in each year from 2018-19 to 2022-23 in Table 1.6.

Common traps

• Output share is not investment share. Agriculture and allied activities were estimated at 26.72 per cent of Rajasthan's GSVA at current prices in 2023-24 (advance estimates), yet agriculture's GFCF in 2022-23 (₹13,685 crore) was below registered manufacturing's (₹21,127 crore).
• The table splits manufacturing. Registered manufacturing is its own line; unregistered manufacturing is grouped with trade, hotels, restaurants, transport and other services. Registered manufacturing alone already exceeds agriculture.
• Construction and manufacturing both fall in the Review's industry sector, but Table 1.6 lists them separately, and construction's GFCF was nearly nine times registered manufacturing's in 2022-23. Treating them as one industry figure hides which comes first.

UnlockIAS will link similar questions from RAS Pre 2023 here once that paper is published on this site.

• practice — not a real PYQ

  According to the Economic Review 2023-24 of Rajasthan, what was the private sector's share in the State's Gross Fixed Capital Formation in 2022-23?

  • (a)21.46 per cent
  • (b)56.20 per cent
  • (c)78.54 per cent
  • (d)29.43 per cent
  Answer(3) — The Review gives the private sector 78.54 per cent. Option (1) is the public sector's share and option (4) is total GFCF as a percentage of GSDP. Option (2) matches neither figure.
• practice — not a real PYQ

  In 2022-23, Rajasthan's Gross Fixed Capital Formation at current prices, as a percentage of its GSDP, was about –

  • (a)12.78 per cent
  • (b)21.46 per cent
  • (c)29.43 per cent
  • (d)46.31 per cent
  Answer(3) — ₹3,99,594 crore of GFCF against GSDP of ₹13,57,851 crore is 29.43 per cent. Option (1) is GFCF's growth over 2021-22, option (2) the public sector's share of GFCF, and option (4) construction's share of total GFCF.