Strategy of industrial dispersal and decentralized development: a case study

Democratic planning in India is a grand exercise in achieving a balance between centralization and dispersion of power and in building up a decentralized socialist society in which an induced, accelerated pace of economic growth is to be acheniard with an increasing amount of social and economic justice within a broad-based democratic frame work through peaceful methods.
A case for decentralized industrial production has been made in Article 43 of the Constitution of India. The Five-Year Plans have aimed at the reduction of disparities as between, and the removal of economic and social disadvantages of the different regions in the country. They have advocated balanced industrial development. A Committee set up by the Small-Scale Industries Board of the Government of India in 1961 went into the question of dispersal of industry in this country. A Working Group, appointed by the Planning Com mission to recommend criteria for identifying the backward areas in the economy, submitted its report in 1969. Another Working Group, appointed by the Government of India, suggested in 1969 certain fiscal and financial incentives for starting industries in such areas,
The Research Programmes Committee of the Planning Commission decided in 1961 62 to sponsor research studies in the problem of dispersal and decentralized development of industry in different parts of the country. The present work was undertaken with that end in view. It examines the problem in the context of the State of Bihar with particular reference to the Patna and Chotanagpur divisions. A field investigation was planned and conducted for the purpose and its findings are incorporated in this report. This research project was financed by a grant from the Research Programmes Committee and the costs of printing of this report were met by another grant from it.