Effect of The Industrial Policy, 1956 on industries was         .

The correct answer is industries started to get diversified

Key Points

• Industrial Policy Resolution 1956.
  • The Policy Resolution of 1956, laid the following objectives for the growth of the Industrial sector:
  • To accelerate the rate of growth and to speed up the pace of Industrialization. Hence a is correct.
  • To develop heavy industries and machine-making industries.
  • Expansion of Public Sector.
  • To reduce disparities in Income and Wealth.

Additional Information 

• Industrial Policy Resolution of 1956 (IPR 1956) is a resolution adopted by the Indian parliament in April 1956.
• It was the second comprehensive statement on the industrial development of India after the Industrial Policy of 1948.
• The 1956 policy continued to constitute the basic economic policy for a long time. This fact has been confirmed in all the Five-Year Plans of India.
• According to this resolution, the objective of the social and economic policy in India was the establishment of a socialistic pattern of society. It provided more powers to the governmental machinery.
• It laid down three categories of industries which were more sharply defined. These categories were:
  • Schedule A: those industries which were to be an exclusive responsibility of the state.
  • Schedule B: those which were to be progressively state-owned and in which the state would generally set up new enterprises, but in which private enterprise would be expected only to supplement the effort of the state; and
  • Schedule C: all the remaining industries and their future development would, in general be left to the initiative and enterprise of the private sector.