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How Far Has Indian Industry Travelled down the Deregulatory Road?

Asie.Visions 5, June 2008

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Since 1991 India's economic reform programme has set out to alter the production structure by increasing the role of markets in the economy, directly through privatisation, or by way of reduction in state investments and interventions, and indirectly through domestic deregulation and trade liberalisation. The overall effect of these measures have been to bring an end to India's relative economic isolation from the rest of the world economy. There is no doubt that there has been an increased degree of integration of the Indian economy with the global economy in the 1990s. This has led to a fundamental shift in Indian developmental strategy, away from Nehruvian socialism based on import-substitution industrialisation to an export-oriented industrialisation strategy.

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