Industrial Policy Resolution of 1948
Industrial Policy Resolution of 1956
Industrial Policy Resolution of 1973
Industrial Policy Resolution of 1977
Industrial Policy Resolution of 1980
The New Industrial Policy of 1991
Introduction
The industrial policy means the procedures, principles, policies rules and regulations which control the industrial undertaking of the country and pattern of industrialization. It explains the approach of Government in context to the development of industrial sector. In India the key objective of the economic policy is to achieve self-reliance in all sectors of the economy and to develop socialistic pattern of society. The industrial policy in the pre-reform period i.e. before1991 put greater emphasis on the state intervention in the field of industrial development. These policies no doubt have resulted into the creation of diversified industrial structure but caused a number of inefficiencies, distortions and rigidities in the system. Thus during late 70’s and 80’s, Government initiated liberalization measures in the industrial policy framework. The drastic liberalization measures were however, carried out in 1991.
Industrial Policies Prior to 1991
Industrial Policy Resolution, 1948
The first important industrial policy statement was made in the Industrial policy Resolution (IPR), 1948. The main thrust of IPR, 1948 was to lay down the foundation of mixed economy whereby the private and public sector was accepted as important components in the development of industrial economy of India. The policy divided the industries into four broad categories:
(i) Industries with Exclusive State Monopoly: It included industries engaged in the activity of atomic energy, railways and arms and ammunition.
(ii) Industries with Government Control: It included the industries of national importance and so needs to be registered. 18 such industries were put under this category eg. fertilizers, heavy chemical, heavy machinery etc.
(iii) Industries in the Mixed Sector: It included the industries where private and public sector were allowed to operate. Government was allowed to review the situation to acquire any existing private undertaking.
(iv)Industries under Private Sector: Industries not covered by above categories fell in this category.
IPR, 1948 gave public sector vast area to operate. Government took the role of catalytic agent of industrial development. The resolution assigned complementary role to small-scale and cottage industries. The foreign capital which was seen with suspect in the pre-independent era was recognized as an important tool to speedup up industrial development
Industrial Policy Resolution of 1948
Industrial Policy Resolution of 1956
Industrial Policy Resolution of 1973
Industrial Policy Resolution of 1977
Industrial Policy Resolution of 1980
The New Industrial Policy of 1991
Introduction
The industrial policy means the procedures, principles, policies rules and regulations which control the industrial undertaking of the country and pattern of industrialization. It explains the approach of Government in context to the development of industrial sector. In India the key objective of the economic policy is to achieve self-reliance in all sectors of the economy and to develop socialistic pattern of society. The industrial policy in the pre-reform period i.e. before1991 put greater emphasis on the state intervention in the field of industrial development. These policies no doubt have resulted into the creation of diversified industrial structure but caused a number of inefficiencies, distortions and rigidities in the system. Thus during late 70’s and 80’s, Government initiated liberalization measures in the industrial policy framework. The drastic liberalization measures were however, carried out in 1991.
Industrial Policies Prior to 1991
Industrial Policy Resolution, 1948
The first important industrial policy statement was made in the Industrial policy Resolution (IPR), 1948. The main thrust of IPR, 1948 was to lay down the foundation of mixed economy whereby the private and public sector was accepted as important components in the development of industrial economy of India. The policy divided the industries into four broad categories:
(i) Industries with Exclusive State Monopoly: It included industries engaged in the activity of atomic energy, railways and arms and ammunition.
(ii) Industries with Government Control: It included the industries of national importance and so needs to be registered. 18 such industries were put under this category eg. fertilizers, heavy chemical, heavy machinery etc.
(iii) Industries in the Mixed Sector: It included the industries where private and public sector were allowed to operate. Government was allowed to review the situation to acquire any existing private undertaking.
(iv)Industries under Private Sector: Industries not covered by above categories fell in this category.
IPR, 1948 gave public sector vast area to operate. Government took the role of catalytic agent of industrial development. The resolution assigned complementary role to small-scale and cottage industries. The foreign capital which was seen with suspect in the pre-independent era was recognized as an important tool to speedup up industrial development
Industrial policy is an important document that sets the tone in implementing, promoting the regulatory roles of the government.
It was an effort to expand the industrialization and uplift the economy to its deserved heights.
It signified the involvement of Indian government in the development of industrial sector.
Industrial growth of a country is guided and regulated through its industrial policies.
Industrial policy is an important document that sets the tone in implementing, promoting the regulatory roles of the government.
It was an effort to expand the industrialization and uplift the economy to its deserved heights.
It signified the involvement of Indian government in the development of industrial sector.
Industrial growth of a country is guided and regulated through its industrial policies.
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An appraisal view/ analysis of economic reforms during 1991 industrial reforms period in India. Change in Indian Economy after LPG reforms 1991 with data. Suitable for all purposes. Main topics with detial are- Goals of Economic Reforms. GDP growth and Poverty Reduction. GDP growth and Employment Growth Rate. Improvement in industrial relations. Increase in productivity and Real Wage earnings. Neglect of Agriculture. Reforms and Industrial Growth. Performance of Public Sector. Economic reforms and inflation. Growth in infrastructure. Foreign trade and balance of payment. Foreign Investment. Regional Disparities. Social Infrastructure and Human Development. Conclusion
Industrial policy is a document that sets the tone in implementing, promoting the regulatory roles of the government. It was an effort to expand the industrialization and uplift the economy to its deserved heights. It signified the involvement of the Indian government in the development of the industrial sector.
An industrial policy (IP) or industrial strategy of a country is its official strategic effort to encourage the development and growth of all or part of the economy, often focused on all or part of the manufacturing sector.
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3. Industrial policies were adopted :
to assist the investors
to strengthen the industrial base of the
economy
to define various sectors where public and
private sector can invest
to set a framework of industrialization
4. Industrial Policy 1948
Division of industrial sector- resolution divided industries
into four categories :-
Industries where State had a monopoly.
Mixed sector.
The field of government control.
The field of private enterprise.
5. Industrial Policy 1956
Objectives:-
To accelerate rate of growth and speed up
industrialization.
To develop heavy industries and machine making
industries.
To expand public sector.
To build up large co-operative sector.
To prevent monopolies and concentration of economic
powers in few hands.
6. Industrial Policy 1956
Division of industrial sector- resolution divided industries
into three categories :-
Monopoly of the State
Mixed sector of public and private enterprise.
Industries left for private sector.
• Interdependence of public and private sector
• Private sector can expand subject to rules and regulation
• Deduction of regional inequality
7. __The liberalisation Trends__
Exemption from licensing.
Relaxation to MRTP and FERA companies.
Enhancement of investment limits for SSI and
Ancillary Units.
Delicensing.
Development of Backward Areas.
8. __Industrial Policy 1991__
Objectives:-
To build on the gains already made.
To correct distortions or weaknesses that might have
crept in.
To maintain a sustained growth in productivity and
gainful employment.
To attain international competitiveness.
9. __Industrial Policy 1991__
Features-
Abolition of licensing policy.
Public sector’s role had been diluted
Board of Industrial Financial Reconstruction(BIFR)
was established to reconstruct sick industries
Special Zones were being setup
MRTP limit goes.
Free entry to foreign Investment and Technology.
10. Industrial growth can be determinedunder followingfour phases:-
Phase I (1951-65)
Building up of strong industrial base.
Phase II (1965-80)
Industrial Deceleration and Structural Retrogression.
Phase III (1981-91)
The Period of Industrial Recovery.
Phase IV (1991-92 onwards)