Mandi, which is situated at the intersection of National Highways 20, 21, and 70, is one of Himachal Pradesh's towns that is growing the fastest. It serves as a gateway to the Jammu and Kashmir region's Kullu, Lahaul, and Leh Ladakh. Since the city serves as the administrative centre of the District, all of the District depends on it for trade, commerce, services, and government. Around 79% of the total population depends on agriculture and related activities for a living, hence the region's economy is primarily agrarian.