Indian Industrial Policies

·        Industrial Policies were Launched in 1948.1956, 1997, 1980 and 1991.

·        Industrial Policy 1956 is called ‘Economic Constitution of India’ and gave public sector the strategic edge.

·        Industrial Policy 1991 opened up the economy.

·        The Main aims were: (a) to end license-permitraj; (b) to integrate Indian economy with the outer world: (c)to remove restrictions on FDI and (d) to Reform public sectors.

Public Sector Enterprises (PSEs)

·        Industries requiring compulsory licensing (a) distillation and brewing of alcoholic drinks; (b) cigar and cigarettes of totacco; (c) electronic aerospace and defence equipment; (d) industrial explosives; (e) specific hazardous chemicals;

·        Areas reserved for public sector are (a) atomic energy – production, separation and enrichment of fissionable materials; and (b) railways.

·        Present policy on PSEs is to (a) not to privatize profit-making companies and to modernize and revice sick companies; (b) not to bring government stake in PSEs below 51%;(c) to adopt intial public offering route to disinvestment.

·        There are 249 Central PSEs as on 31^st March 2010.

Navratnas and Maharatnas

·        The Concept of Navratnas was started in 1997. At present there are 14 Navratnas and 65 Miniratnas.

·        Navratnas Bharat  Electronics Ltd, BPCL,HAL,HPCL,MTNL,NALCO,National  Mineral Development Corporation, Nevyeli Lignite Company Ltd, Oil India Ltd, Power Finace Company Ltd, Power Frid Corporation of India Ltd, Power Grid Corporation of India Ltd, Rashtriya Ispat Nigam Ltd, Rural Electrification Corporation Ltd and Shipping Corporation of India Ltd.

·        Maharatnas were started in 2009, Seven Maharatnas  are ONGC,Sail,IOC,NTPC and Coal India Ltd, BHEL and GAIL (India) Ltd.

Committees

·        Hazari Committee on Industrial Policy.

·        Subimal Dutt Committee on Industrial licensing.

·        Abid Hussain Committee on Small Scale Industry.

·        C Rangarajan  Committee on disinvestment.

·        Memoradum of Understandings (MoU) Arjun Sengupta.

Small Scale Industry

·        A new thurst to small scale industry.given in Industrail Policy of 1977.

·        MSMED Act,2006 and new definition,.

·        Contributes 8% to GDP, 45% to all manufactures and 40% to exports.

·        According to the 4^th Census (2009) of SSIs, 67% of the MSME are in manufacturing and 33% are in services sector.

Major Industries in India Iron and Steel

·        First Steel Industry at Kulti, Paschim Bengal-Bengal Iron Works Company was established in 1870.

·        First large scale steel plant – TISCO at Jamshedpur (1907) was followed by IISCO at Burnpur (1919), Paschimbanga.

·        The first public sector unit was Visvesvaraya iron and steel works at Bhadrawati.

·        Presently India is the 4^th largest  producer of steel and comes 1^st in the production of sponge iron.

Manufacture       Investment Limit                ServiceUnit                    Investment Unit

Micro                     upto Rs 25 lakhs                             Micro                           upto

Small                      Rs 25 lakhs Rs 5 crore                   Small                            Rs10 lakhs Rs 2 crore

Medium                  Rs 5 crore Rs 10 crore                   Mediu m                       Rs 2 crore Rs 5 crore

Location                                                                      Assistance

Rourkela (Odisha)                                                     Gemany

Bhilai (Mp)                                                                Russia

Durgapur (Paschim Bangal)                         Britain

Bokaro (Jharkhand)                                                   Russia

Vishakhapatnam (AP)                                                Russia

Jute Industry

·        First modernized industrial unit was established at Rishra in Paschimbanga in 1855.

·        India ranks No. 1 in jute production and No 2 in raw jute exports after Bangladesh.

·        More than 2/3 rd jute industry is concentrated in Paschimbanga.

Cottan and Textile Industry

·        Largestorganized and broad-based industry accounting for 4% of GDP, 20% of manufacture value added and one third of total exports earning.

·        The first Indian modernized cotton cloth mill was established in 1818  at fort Golster (Calcutta). The second mill named Bombay Spinning and Weaving Company, established in 1854 at Bombay by KGN Daber.

·        The Multi-Fibre Agreement (MFA) under World Trade Organisation ended on 31^st December, 2004, inally integrating textile sector into WTO rules.

Cement Industryf

·        First Cement producing unit was set up at paschimbanga, Porbandar (Gujarat), in 1914.

·        India is the second largest producer of cement in the world.

Fertilizer Industry

·        First fertilizer industry at Ranipet (Chennai) in 1906.

·        India meets its 85% requirement of urea indigenously.

·        India is the third Largest producer of fertilizers in the world after china and USA, NPK consumption ratio in 2008-09  was 4.6 : 2: 1.

Sugar Industry

·        India is the second Largest producer of sugar in the world with a 22% share.

·        It is the second largest agro-based industry in the country.

BB mahajan Committee  is related to sugar industry. Sugar Development fund was set up in 1982