In India, what was the share of industrial sector in GDP in 1950-1951?
Show answer & explanation
Correct answer: B
Explanation
Correct Answer:
Option 2 (13%)
Explanation:
At the time of independence, the Indian economy was primarily based on agriculture. In the fiscal year 1950-1951, the industrial sector's share of India's gross domestic product (GDP) was only 13%. In contrast, the agricultural sector's contribution was over 50%. This low contribution of the industrial sector was primarily due to the slow pace of industrialization in India during British rule.
Additional Facts:
Growth: After focusing on heavy industries through the Five-Year Plans (especially the Second Five-Year Plan), the share of industries in GDP gradually increased.
Current Status: Today, the industrial sector's contribution hovers around 25-28%, while the service sector has become the largest contributor.
Employment: In 1950-51, the industrial sector employed only a small portion of the population.
Possible questions for upcoming exams:
Which Five-Year Plan is known as the 'Industrial Plan'?
(Answer: Second Five-Year Plan - Mahalanobis Model)
What was the share of agriculture in Indian GDP in 1950-51?
(Answer: Approximately 51-55%)
In which year was the 'New Industrial Policy' announced in India?
(Answer: 1991)