Hello dear student !

India's Industrial Policy is the government action to influence the ownership and structure of the industry and its performace.

According to this policy , industries are classified into three main groups -

Cottage and household sector

Tiny sector

Small scale industries

Hope this helps

Hello,

In April 1956 , Parliament of India adopted a resolution called Indian Policy Resolution of 1956.  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 (THREE FOLD CLASSIFICATION) of industries which were more sharply defined. These categories were:

• Schedule A: those industries which were to be an exclusive responsibility of the state

This comprised 17 industrial areas which were strictly under the Central Government. The companies of this area were known as CPSE (central Public Sector Undertakings). These included key industries such as Defence Equipment; Atomic Energy; Iron & Steel and heavy plants / machineries required for iron & steel production; Heavy power plants; Coal & Lignite; Mining & processing of key minerals; Railways and Air Transport; Aircraft & ship building

• 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

This category comprised 12 industries that were put to the State Governments to take measures and was left to the state government to follow up with the private sector with provisions of compulsory licensing. However, states were not given monopoly over these industries. They had to be state owned but private sector was expected to supplement the efforts of the State. States were expected to facilitate and encourage development of these industries in the private sector, in accordance with the programmes formulated under the Five Year Plans.

The schedule B industries included other than central monopoly; machine tools; ferro alloys, steel tools; raw material needed for manufacturing of drugs, dyes and plastics; essential drugs and antibiotics; fertilizers; synthetic rubber; chemical pulp, road and sea transport.

• Schedule C: all the remaining industries and their future development would, in general be left to the initiative and enterprise of the private sector.

Hope this was helpful.