This document summarizes India's import and export policies during the pre-reform period. For imports, it discusses import restrictions, import substitution, and liberalization in the 1980s. Import restrictions took the form of quantitative restrictions to control import expenditures. Import substitution focused on domestic production of consumer goods, capital goods, and reducing dependence on imported technology. For exports, it outlines three phases from 1952-1973 with increasing steps to promote exports. Export promotion policies included cash compensatory support and assistance to Export Promotion Councils. Shortcomings included trading and production problems.

1. EXIM Policy: The Pre- Reform
Period

2. Import Policy
The import policy of India in pre - reform period
has two constituents:- Import Restrictions and
Import substitution. Import policy in pre reform
period incorporates discussion on :-
• Import restriction
• Import substitution
• Import liberalization in 1980s

3. 1) Import restrictions- Under Mahalanobis strategy
of development, the Govt. had to import machinery,
industrial raw materials.
• As against this, the export earnings remain
stagnant. Thus, the govt. had to curtail the import
expenditure. These restrictions took the form of
quantitative restrictions (QRs). Imports were
classified under banned items,resticted items and
under Open General Licence (OGL).
2) Import Substitution- It has three phases:
a) It took the form of domestic production of
consumer goods.
b) Emphasis shifted to replacement of import of
capital goods.
c) Emphasis was on reducing the dependence on
imported technology.

4. 3) Import liberalization in 1980s- Its broad detail
measures are outlined below-
• Policy for import of capital goods
• Policy for import of raw materials
• Policy for import of technology
Export Policy: The Pre- Reform Period
The three Phases of Export Policy-
• Phase I- It is divided into two sub - periods:-a)
1952-1966 and b) 1966- 1973.
• Phase II -The government undertook a number of
steps to increase exports.
• Phase III - It emphasized technological
upgradation.

5. Export Promotion Policies
• Cash Compensatory Support- It is not cash
support rather it is a scheme introduced by Govt.
to provide cash assistance to exporters.
• Assistance to EPCs- Assistance was granted in
form of grant- in – aids to Export Promotion
Councils to undertake a) Market research , b)
participation in exhibitions ,c) Trade delegations.
Shortcomings of Export Policy in Pre-
Reform Period
• Trading Problems
• Production Problems