This book assesses the performance of Indian industries from the perspectives of trade, investment, policy, and development incentives. It evaluates the relevance and the macro- and microeconomic impact of industrial policy on growth in different sectors of industry.
The book examines India’s key policy initiatives and economic and institutional plans through many decades and examines their short and long-term effects on industrial environment and performance. It measures India’s strategic policies and efforts to promote industrialization against similar initiatives in countries like Germany, Japan, South Korea, and Taiwan. The volume also contextualizes the performance of different sectors of industry such as automobiles, electronics and information technology, and pharmaceuticals, among others, within the larger framework of global economic scenario and competition.
This book will be of great interest to researchers and students of economics, political economy, industrial development and policy, and South Asia studies.
Table of Contents
List of figures. List of Tables. List of Abbreviations. Preface. 1. Introduction 2. Industrial Policy and Performance: The Key Issues 3. The Indian Context of Industrial Policy and Performance 4. India’s Industrial Performance: Assessments and Policy Linkages 5. Intensity of Competition in Indian Industry 6. Concluding Observations 7. References. Index.
Nitya Nanda is Director of the Council for Social Development, a social science think tank based in New Delhi. His areas of interest include international trade, industrialization, development and environment issues. He has been a consultant for several UN organizations, including UNCTAD, UNESCAP, and UNDP, and the European Commission. He has also been a consultant for different government ministries and agencies in India and contributed to formulating policies. He has published many articles in journals and edited books, as well as pieces in magazines and newspapers. He has also authored and edited several volumes, including Expanding Frontiers of Global Trade Rules (2009), Hydro-Politics in GBM Basin (2015), and India’s Resource Security (2018).
This most valuable book analyzes the industrialization experience of India since independence, situated in its wider global context. It traces the evolution of industrial policy in India, shaped by economic and political factors, to assess its impact on performance. In doing so, it highlights the critical importance of industrial policy as a determinant of both successes and failures. The author argues that the absence of industrial policy after economic liberalization in 1991 is the reason for the premature deindustrialization since then, to stress that rethinking industrial policy is essential to revive the manufacturing sector as a source of economic growth and employment creation. The book makes an important contribution to our understanding of complex issues and contentious debates on industrialization. It should interest students, researchers and policy practitioners in India and elsewhere in the developing world.
Deepak Nayyar, Emeritus Professor of Economics, Jawaharlal Nehru University, New Delhi; Honorary Fellow of Balliol College, Oxford, and former Vice Chancellor, University of Delhi
This volume provides a balanced and well researched discussion of the evolution of industrial policy in India, and of its likely impact on economic performance, since the 1950s. It debunks the commonly held view that the best industrial policy is no policy. Such research is very timely given the premature de-industrialization of India, despite the recent rapid growth acceleration. It is a ‘must read’ for those engaged in public policy design and the study of alternative development theories and for graduate students in economics.
Giovanni Andrea Cornia, Honorary Professor of Economics, University of Florence and former Director, UNU-WIDER, Helsinki
This is a comprehensive work on industrial policy by Nitya Nanda as he covers multiple facets of industrial policy for developing countries and with specific focus on India. Given the renewed focus on industrial policy and the role of state in India, this will be an extremely relevant book for students, academicians, and policymakers.
Parthapratim Pal, Professor, Indian Institute of Management Calcutta, Kolkata
I am happy that such a study has been conducted. The volume should be of immense use to policy makers in their effort to re-orient the industrial policy to bring a competitive manufacturing sector in the country quickly. It should also encourage other researchers to explore new interpretations and to boldly experiment with different measures. It is an essential reading for students and researchers interested in industrialisation in India.
K S Chalapati Rao, Professor, Institute for Studies in Industrial Development, New Delhi