Since India began liberalizing its economy, Bareilly has been one of the fastest growing cities in the region. Trade and commerce have flourished in urban areas and followed diversification, though the rural economy of the district is largely agrarian.
Bareilly is equidistant from New Delhi, the capital of India and Lucknow, the capital of Uttar Pradesh, creating potential for industries and settlers.
Retail
Following the arrival of multinational corporations in the city, a significant capital infusion and various investments occurred in different sectors. Bareilly hosts most major global apparel brands including United Colors of Benetton Adidas, Reebok, Levi's, Van Heusen,Wrangler, Red Tape, Blackberry, Mufti, fabindia, woodland, U.S Polo, John Player. Reebok and Nike operate outlet stores. Major shopping areas include Civil Lines and "D.D. Puram".
Industries
The Parsakhera Industrial Zone hosts multinationals including Coca Cola, Camphor & Allied Products Ltd., Paras, Vadilal and Mercury.
The Ahmedabad-based ice-cream maker Vadilal has its manufacturing plant for Northern and Eastern India in Bareilly. Vadilal enjoys a 10–12% market share in the Rs 120-crore Delhi market and around 6–8% in the Rs 200-crore eastern market, which includes territories such as Kolkata, Orissa, Jharkhand and Bihar.
The city is also famous for its zari work (a type of embroidery or fabric decoration), dari (a common type of carpet used in most Indian houses), jhumka, intricate earrings or ear-pendants, surma (Kohl.
'Luddhi Manja' (the glass powder used to coat the string used to fly manja for kite fighting made using a secret recipe of rice, Fevicol and glass. It is in demand in major towns (including Delhi and Mumbai) during Makar Sankranti and Independence Day by the name Bareilly ka