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MSMEs and Industrial Policies in India: A Critical Evaluation

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  • Kumar A, Ajai
  • Kumar B, Pradeep

Abstract

Starting with the industry policy resolution of 1956, MSMEs have been given considerable attention in the industrial policies announced in India. Although the Mahalanobis model adopted for the Second Five Year plan emphasized the growth of heavy industries, the small scale and consumer goods industries had been given due consideration. The industrial policy statement of 1977 gave an explicit support to the development of MSMEs in India. The industrial policy of 1980s and the new industrial policy of 1991 had nothing to offer newly to the progress of MSMEs. Nevertheless, in recent times a number of measures have been initiated to boost the MSME sector, and the results of which have been reflected on its growing contribution to India’s GDP, employment generation and exports.

Suggested Citation

  • Kumar A, Ajai & Kumar B, Pradeep, 2024. "MSMEs and Industrial Policies in India: A Critical Evaluation," MPRA Paper 121481, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:121481
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    File URL: https://mpra.ub.uni-muenchen.de/121481/1/MPRA_paper_121481.pdf
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    References listed on IDEAS

    as
    1. Kaplinsky, Raphael, 1997. "India's industrial development: An interpretative survey," World Development, Elsevier, vol. 25(5), pages 681-694, May.
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    More about this item

    Keywords

    MSMEs; Industrial Policy; Five Year Plans; Big Push; Manufacturing; Liberalization;
    All these keywords.

    JEL classification:

    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General

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