Resolution on Industrial Policy 1956

The 1956 resolution on industrial policy was a significant event in the history of Indian economic policy. It aimed to achieve a socialist pattern of society through a mixed economy in which the public and private sectors would coexist as complementary elements.

Reservation of Industries

One of the crucial aspects of the resolution was the reservation of certain industries for the public sector. The government believed that these industries were vital for the country's economic development and would be better managed by the state.

The number of industries reserved for the public sector was 17. These industries were deemed to be "strategic" and included:

1. Arms and ammunition and allied items of defence equipment, defence aircraft and warships.
2. Atomic energy.
3. Iron and steel.
4. Heavy castings and forgings of iron and steel.
5. Heavy plant and machinery required for iron and steel production.
6. Coal, lignite, and graphite.
7. Mineral oils.
8. Mining of iron ore, manganese ore, chrome ore, gypsum, sulphur, gold and diamond.
9. Mining of copper, lead, zinc, and tin.
10. Mining of bauxite, magnesium, and mica.
11. Telecommunications.
12. Railways.
13. Shipping.
14. Airways.
15. Generation and distribution of electricity.
16. Fertilizers.
17. Atomic minerals and mineral concentrates.

The reservation of these industries for the public sector meant that no private enterprise could operate in these areas without the government's permission. The government was responsible for setting up and managing these industries.

Conclusion

The 1956 resolution on industrial policy was a landmark event in the history of Indian economic policy. The reservation of certain industries for the public sector was a crucial aspect of the resolution, and it aimed to achieve a socialist pattern of society through a mixed economy. The reservation of 17 industries for the public sector was a significant step towards achieving this goal.