When was the first Industrial Policy announced in independent India?
- (a)1948
- (b)1950
- (c)1951
- (d)1952
Answer
Why
Correct — A. Independent India's first statement of industrial policy was the Industrial Policy Resolution of 1948.
It laid the base of a mixed economy, reserving some industries for the State and leaving the rest to private enterprise under varying degrees of control.
The next resolution came only in 1956 → option (a).
Why the others are wrong
- (b)1950 — 1950 is the year of the Planning Commission, set up on 15 March 1950, and of the Constitution coming into force. The first industrial policy came two years earlier.
- (c)1951 — 1951 brought the Industries (Development and Regulation) Act, which introduced industrial licensing, and the First Five-Year Plan. The first policy resolution was three years older.
- (d)1952 — 1952 is the year the National Development Council was set up, on 6 August. Industrial policy had been announced four years earlier, in 1948.
Concept
India's industrial policy has come as a series of dated declarations.
The 1948 Resolution laid the base of the mixed economy. The 1956 Resolution sorted industries into schedules and reserved the core ones, Schedule A, for the State.
Statements followed in 1977 and 1980, before the New Industrial Policy of 1991 began liberalisation and ended licensing for most industries.
The stem asks for the first policy. The Planning Commission (1950), the First Plan and the licensing Act (both 1951) all came after it.
Key facts
- The Industrial Policy Resolution of 1948 was independent India's first industrial policy.
- The Industries (Development and Regulation) Act, 1951 introduced industrial licensing.
- The Industrial Policy Resolution of 1956 reserved Schedule A industries exclusively for the State.
- The Planning Commission was set up on 15 March 1950.
Study next
Common traps
- Choosing 1951 because the Industries (Development and Regulation) Act and the First Plan date from then: the policy resolution came first, in 1948.
- Confusing the 1948 Resolution with the 1956 one, which brought in the three schedules.
Industrial policy returns at 24 Sep 2024, 16:00, GA Q.17, which asks which policy began liberalisation (keyed 1991), and at 13 Sep 2024, 16:00, GA Q.3, on the objectives of the Industrial Policy Statement 1980.
Related PYQs
No directly related past PYQ was found.