Economy of Boudh district is primarily agrarian in nature. Fisheries and animal husbandry also contribute greatly to the economy. Small scales industries are also a booming sector in the economic scenario of Boudh district especially the textiles and mining industries. Paddy is the principle crop and is grown in about 75% of the total cultivated land area. The different irrigation projects include Salki Medium Irrigation project, Minor Irrigation project, Lift Irrigation project, Diversion weir, Dugwell and others.
Fisheries are a huge profit making sector of Boudh district. Available water resources have helped to enhance the growth of pisciculture in the district. Boudh fish farm is one of the good breeding and rearing government farm of the state of Odisha, having 8.5 acre of water area comprising 4.80 acre of breeder tanks and 3.70 acre nursery tanks. FFDA (fish farmers development agency) has been set up at Boudh district to popularise fish culture as an alternative way of employment generation and eradication of poverty. The institution provides training to the selected beneficiaries, assists in construction and renovation water resources, arrange credit from nationalised banks. The most important gain from FFDA is that aquaculture as a commercially gainful activity has been fully established.
Animal husbandry is an indispensable part of Boudh district`s economic system. The prime objective of this sector is to boost the production of milk, egg and meat by adopting modern scientific method. To improve the socio-economic condition by providing self-employment opportunities to unemployed youth and to raise the family income is also an important part of their agenda. More than 75% of the rural households own livestock and earn their supplementary income. Livestock production is an essential part of the rural livelihood systems. Livestock production takes place in millions of small holders, scattered throughout Boudh District. Improvement in livestock production is an important alley for increasing the income of marginal and small farmers and landless labourers, for the uncertainties of crop production. Animal health care service, breeding service, feed and fodder development, and marketing facilities are among the services provided by this sector.
Industries are an upcoming sector to boost the economy of Boudh district. Small scale industries of Boudh district include food based industries, chemical based industries, engineering based industries, textile based industries, forest based industries and metallurgical based industries. The mining industry is quite a profit making industry. Their principle objective is to lease out the potential mineral bearing areas to the interested entrepreneurs and collect the royalty on the mineral off take from the leased out area. The Textile zone of Boudh district is functioning since 9th December 1985 and it provides employment to a total population of 6700 weavers. Government of India as well as Government of Odisha has launched various Developmental schemes like central sponsored Central scheme and State Schemes for the development of weaver`s co-operative societies and weavers of Boudh District.
The economy of Boudh district is supported both by agriculture and small scale industries.