The portfolio has been handed over to state Finance Minister Amit Mitra.
Following the reshuffle, Chatterjee has been left with Parliamentary Affairs, IT and Electronics departments.
Banerjee has also inducted two new faces into the ministry.
Shashi Panja, an MLA from Shyampukur constituency in the Kolkata, was sworn in as the Minister of State with Independent Charge and given portfolio of Women and Child Development department.
Binay Burman, an MLA from Mathabhanga in the state's Cooch Behar district, is the new Forest Minister after replacing Hiten Burman.
Banerjee appointed Shyamapada Mukherjee as the Minister of the textile department.
Meanwhile, Becharam Manna, who holds the portfolio of Minster of State for Agriculture and Agriculture Marketing departments, has been given the additional responsibility as Minster of State for Land.
The reshuffle of her 31-month-old cabinet came on Thursday after Banerjee pulled up several "non-performing ministers".
On Dec 20, the chief minister had reviewed the performance of all departments and pulled up non-performing ministers and bureaucrats at a meeting here, said reports.
Banerjee last reshuffled her cabinet in November 2012 with the inclusion of eight new ministers, including two who had then quit the Congress to join the Trinamool Congress (TMC).
--IBNS (Posted on 26-12-2013)