page_title: Sambalpur
section_title: Economy
hierarchical_section_title: Sambalpur / Economy
caption_attribution_description: A view of Sambalpur Road "Fatak" Railway station
context_page_description: Sambalpur is the fifth largest city in the Indian State of Odisha. It is located on the banks of river Mahanadi, with a population of 184,000. Sambalpur Muncipal Corporation is home to over 270,331 people.
  Sambalpur is one of the ancient places of India, with recorded settlements in the prehistoric age. It is the home of Sambalpuri Saree from which the world famous textile derives its name. Since the construction & operationalisation of Hirakud Dam in 1956, Sambalpur has undergone a major transformation, supporting agriculture and metal industries, harbouring many educational institutes and attracting students to Burla, the education hub of Odisha. The city contains many historic buildings and parks, and is also a major communication & commercial hub. It houses the headquarters of Northern Revenue Division & Mahanadi Coalfields Limited.
context_section_description: The economy of Sambalpur is basically dependent on trade. Most of the residents are either salaried or self-employed. Forest products play an important role in the economy in terms of contribution to revenue and domestic product. Kendu leaf, Coromandel ebony or East Indian ebony (Diospyros melanoxylon) also forms part of the local economy, with many bidi manufacturing units functioning in Sambalpur.
  Gole Bazaar is the main merchandising area of the city. It is famous for handloom and other textile products. Other merchandising areas are Khetrajpur, Fatak, V.S.S. marg, Budharaja and farm road. Budharaja is the central hub of the malls and jewellery shops.
  Mahanadi Coalfields Limited, a subsidiary of Coal India Limited located at Sambalpur, produced 100.28 million tonnes (98.70 million long tons; 110.54 million short tons) of coal and had a profit before tax during 2010–2011 at Rs 4039.30 crore. Hirakud, in the vicinity of Sambalpur, was conceptualized as an industrial town by the erstwhile Chief Minister of Odisha, Biju Patnaik. On completion of the Hirakud Dam, power intensive industries such as aluminium smelters, cable manufacturing, steel re-rolling mills etc. established their presence in Hirakud. In the 1970s, Hirakud was a major industrial centre of Odisha, perhaps next only to Rourkela. At this point in time however, the main functional unit at Hirakud is the aluminium smelter of Hindalco and its associated units. The smelter set up by Indal in 1959 at Hirakud and later acquired by Hindalco, was the country's second aluminium smelter operating on grid power sourced from the hydro power station of the Hirakud Dam. It was the first in India to adopt clean coal combustion technology that uses a circulating fluidised bed, which is considered environmentally friendly. Currently the smelter has a capacity of 213,000 tonnes per year (210,000 long tons per year; 235,000 short tons per year), and provides employment to around 1700 persons.
caption: A coal laden goods train at Sambalpur Road
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