What is the trade-strategy, which India adopted in the first-seven Five-Year Plans?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. Inward-looking trade strategy.
During the first seven Five-Year Plans, India adopted an inward-looking trade strategy aimed at promoting self-reliance and reducing dependence on foreign goods. This approach focused on import substitution, where domestic industries were encouraged to produce goods that were otherwise imported. High tariffs, import quotas, and licensing systems were implemented to protect local industries. The goal was to develop a strong industrial base within the country and achieve economic independence in the early post-independence period.