The Industrial Policy Resolution of 1956 classified industries into how many categories?
Show answer & explanation
Correct answer: B
Explanation
Correct Answer:
Three
Explanation:
The Industrial Policy Resolution (IPR) of 1956 classified industries into three distinct categories based on their role and ownership:
Schedule A: Industries exclusively reserved for the public sector (state-owned).
Schedule B: Industries in which the private sector could supplement the efforts of the state, with the state taking primary responsibility for setting up new enterprises.
Schedule C: Remaining industries left open to the private sector.
Key Points:
The 1956 Industrial Policy Resolution formed the basis of India's Second Five-Year Plan, which emphasized rapid industrialization with a focus on heavy industries.
It gave the government a commanding role in the economy while recognizing the complementary role of the private sector.
Important Questions and Answers:
Question: Which Five-Year Plan was guided by the Industrial Policy Resolution of 1956?
Answer: The Second Five-Year Plan (1956–1961).
Question: Under the IPR 1956, industries exclusively reserved for the public sector were placed in which schedule?
Answer: Schedule A.