Which among the following Industrial Policy Resolutions assigned the public sector a dominant role in the Indian economy by dividing industries into three schedules?
- ((a))
Industrial Policy Resolution of 1948
- ((b))
Industrial Policy Resolution of 1977
- ((c))
Industrial Policy Resolution of 1980
- ((d))
Industrial Policy Resolution of 1956
Show Answer
Industrial Policy Resolution of 1956
The correct answer is Industrial Policy Resolution of 1956.

Key Points
- The Industrial Policy Resolution of 1956 was a landmark policy document that emphasized the public sector's dominant role in the Indian economy.
- It divided industries into three schedules:
- Schedule A: Industries exclusively under the public sector.
- Schedule B: Industries progressively taken up by the public sector, but where private sector participation was allowed.
- Schedule C: Industries left open to the private sector.
- This resolution was guided by the principles of socialism and sought to establish a mixed economy in India.
- The resolution aimed to achieve rapid industrialization, reduce income inequalities, and provide equal opportunities for all citizens.
- It laid the foundation for creating a self-reliant economy by prioritizing sectors like heavy industries, infrastructure, and defense under public ownership.

Additional Information
- Industrial Policy Resolution of 1948:
- This was the first industrial policy introduced by independent India, laying the groundwork for industrial development.
- It categorized industries into public and private sectors but did not assign a dominant role to the public sector.
- The policy focused on achieving economic growth through private sector participation while reserving certain key industries for government control, such as arms, atomic energy, and railways.
- Industrial Policy Resolution of 1977:
- This resolution was introduced by the Janata Party government and focused on promoting small-scale industries and rural development.
- It emphasized decentralization, regional development, and self-reliance but did not prioritize the public sector over the private sector.
- The policy aimed at reducing the monopoly of large industries and encouraging labor-intensive methods to boost employment.
- Industrial Policy Resolution of 1980:
- This resolution marked a shift towards liberalization and aimed to remove inefficiencies in the public sector.
- It focused on promoting export-oriented industries and integrating the Indian economy with global markets.
- The resolution introduced measures to revive sick industries and promote balanced regional development.