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State in North American country basically (7)

Ross

I believe the answer is:

indiana

I'm a little stuck... Click here to teach me more about this clue!

'state in north' is the definition.
'indiana' can be an answer for 'state' (I've seen this before). I am unsure of the 'in north' bit.

'american country basically' is the wordplay.
'american' becomes 'indian' (Indian is an example).
'country basically' becomes 'a' (I am not sure about this - if you are sure you should believe this answer much more).
'indian'+'a'='INDIANA'

Can you help me to learn more?

(Other definitions for indiana that I've seen before include "Gary's place" , "Midwestern state" , "___ Jones (Raiders of the Lost Ark)" , "State in which one may find Gary" , "state of America" .)

I've seen this clue in The Hindu.
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