The Planning Commission and The 5 Year Plans: India After Independence



Lifting India and Indians out of poverty, and building a modern technical and industrial base were among the major objectives of the new nation. In 1950, the government set up a Planning Commission to help design and execute suitable policies for economic development. There was a broad agreement on what was called a �mixed economy� model.

 

Here, both the State and the private sector would play important and complementary roles in increasing production and generating jobs. What, specifically, these roles were to be � which industries should be initiated by the state and by the market, how to achieve a balance between the different regions and states � was to be defined by the Planning Commission.

 

In 1956, the Second Five Year Plan was formulated. This focused strongly on the development of heavy industries such as steel, and on the building of large dams. These sectors would be under the control of the State.

 

This focus on heavy industry and the effort at state regulation of the economy was to guide economic policy for the next few decades. This approach had many strong supporters, but also some vocal critics. Some felt that it had put inadequate emphasis on agriculture. Others argued that it had neglected primary education. Still, others believed that it had not taken account of the environmental implications of economic policies.

 

As Mahatma Gandhi�s follower, Mira Behn wrote in 1949, by �science and machinery he [mankind] may get huge returns for a time, but ultimately will come desolation. We have got to study Nature�s balance, and develop our lives within her laws, if we are to survive as a physically healthy and morally decent species.�

 

Read More: B.R. Ambedkar and His Quest For Equality: Women, Caste, and Reform

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