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The artisan experience has been used to demonstrate opinions regarding the British rule’s impact on India’s economy and has been a controversial subject matter in Indian history. The traditional industries have modernised and are playing a crucial part in Indian industrialization. There is a slight dispute among the historians in addition to the statement stating the economic contact between industrialising Europe and India which impacts the Indian industry. The government policy regarding the traditional industries refers to some type of the government policies that strive to alter the production structure that is contemplated to recommend better prospects for growth in the economy.
Traditional industries: Perception
The rapid growth of the traditional industry enables the country to manufacture a variety of consumer goods in huge amounts and at a low cost. This will help the industry in enhancing the growth of the economy and it will eliminate the vulnerability of other countries to supply the essential goods. . In the past, the economy was being stabilised based on agriculture and when the industry developed the stability of the economy changed a lot as different modes to increase the economy appeared.
Traditional industries: Policies
Subsidising export industries and import-substitution-industrialization (ISI), when trade obstacles are temporarily put on some vital sectors, such as manufacturing, are two traditional forms of industrial strategy. Certain industries are given time to develop (learning by doing) and upgrade by selectively safeguarding them. These restrictions are abolished once the selected industries have shown to be competitive enough to enter the international market. Support for links between enterprises and support for upstream technology are examples of more recent industrial policy. According to the traditional industries, various policies are being made which are:
- The Indian policy statement implies that the investment from big industrial houses and the investment from foreign companies were being permitted. Larger industries were responsible for looking at the rural area and starting their operations to ensure the development of that area based on traditional industries.
- The policy also stated the control and regulation of uncertified production access capabilities being installed for industrial houses.
- It further stated the simplification and extension of automatic expansion which implies that the execution of the production in the business is being simplified by imposing the policy which benefits the future expansion of the company.
Traditional industries: Classification
Traditional industries are being classified into three sectors which are (i) primary sector including agriculture, mining, fishing, (ii) secondary sector including construction and manufacturing and tertiary sector with service, commerce and finance sector. The classification also highlights the division based on the functions or activities such as agriculture, service operations, extraction and manufacturing. The economy of a country is determined by the primary industries mainly. Heavy, or large-scale, secondary industry is distinguished from light, or small-scale, secondary industry. The service industry involves all different services from regular work or finance.
Conclusion
Different industrial policies are implemented based on the classification of industry and required policies. Industrial policies are interventionist policies that are common in countries with a mixed economy. Many industrial strategies have components in common with other interventionist practises, such as trade policy. Industrial policy is typically considered as distinct from wider macroeconomic policies such as credit tightening and capital gains taxation. Analysing the traditional industry and relevant policies can address the understanding of traditional governance approaches while it may help to make changes ion political environment to support industrial growth and country economy.
