REVIEW OF FIVE YEAR PLANS

(INDIRA GANDHI PERIOD) (JUNE 1966 TO MARCH 1977) (JAN. 1982 TO OCT. 1984)

Presented by Aadya agrawal Anant prakash Ranjana chauhan Richa agrawal M.Arch sem-2

WHY FIVE YEAR PLANS

In the introduction to the Five Year Plans, Jawaharlal Nehru said "Planning is a continuous movement towards desired goals". The basic objectives of planning in India can be grouped under four heads Growth Modernization Self-reliance Social Justice. The economy of India is based in part on planning through five-year plans, which are developed, executed and monitored by the planning commission.

BACKGROUND

Attack on India by China in the year 1962.

India was struck by drought in 1963.

For the second time in the year 1971 war between India and Pakistan. Recession

Due to all of these reasons India could not focus on long term goals. Instead, it responded to the need of the hour. 4th Five Year Plan an alteration in the socio economic structure of the society was observed and started taking measures to overcome the crisis.

ANNUAL PLAN
ANNUAL PLAN 1966-1967 Regular planning was disrupted when the country came under severe shocks, namely hostilities with Pakistan(1965), droughts for two successive years (196566 & 1966-67), devaluation of rupee (1966) and inflationary pressure. Due to these circumstances, 3 annual plans were prepared

ANNUAL PLAN

1967-1968

ANNUAL PLAN

1968-1969

4TH FIVE YEAR PLAN (1969-1974)

The Fourth Five Year Plan was initially focused towards the development of countrys industrial sector but as a result of the wars, a major segment of the allotted funds was diverted towards the war needs. OBJECTIVES

To reform and restructure government expenditure agenda( defense became one major expense) To facilitated growth in exports. To alter the socio economic structure of the society due to droughts and wars.

ISSUES CONSIDERED A gap was created between the people of the rural areas and those of the urban areas.

REASON FOR CONSIDERATION Initial plans from the planning commission concentrated over the rural strengthening. Country was low in economic ability to sustain a long term goal planning Fourth Five Year Plan was put off by three years due to these impacts

Due to recession, famine and drought, India did not pay much heed to long term goal The process of implementation of the Five Year Plans was disrupted in 1966 (severe drought in the country and aggressions from China and Pakistan.) The intervention period between the Third and Fourth Five Year Plans had annual plans

Wars and Natural calamities

FOURTH PLAN OUTLAY

Projected national income growth at 5.7 percent/ yr; realized rate - 3.3 percent

TRANSPORT

Goods traffic carried by rail has increased by 42 per cent between 1960-61 and 1968-69.By road has increased by 135 per cent. Passenger traffic by rail has increased between 1960-61 and 1968-69 by 37 per cent and that by road by 72 per cent. New railway lines and road network was extended and new brigdes were developed for better connection.

POWER

Electricity generation was very significant during 4th five year plan, as in many thermal stations and power stations were installed.

INDUSTRY

There is a considerable volume of underemployment of manpower depending on agriculture & many employed in traditional manufacturing industry, using very poor techniques. Focus was given to non-farm employment opportunities, boom to industries related to metals, machine tool production, communication, transport, petroleum, coal, etc.

REGIONAL AND URBAN DEVELOPMENT

Regional studies of metropolitan regions around Delhi, Greater Bombay and Calcutta were initiated. By 1968, almost all the States had introduced Town Planning Legislation with varying scope. During the period 196369, interim development plans for 40 cities were completed. They provided necessary guidelines to Government departments and public authorities in the use of land. There is a provision of Rs. 188 Crores in the States sector for urban development, housing and metropolitan schemes. Decentralization of urban area by dispersal through suitable creation of smaller centers in the rest of the area.

HOUSING

Appropriate lay-outs made for the growth in villages, Basic amenities such as water and sanitation in rural and urban sector. To support the development in housing sector HUDCO was established in 1970. Government provides accommodation to its employees. Special attention to the growth of small industries in rural areas and small towns.

AGRICULTURE

Green Revolution in India advanced agriculture. Focus was given to agriculture field with high yielding seeds , which provided the increase in production needed to make India self-sufficient in food grains, thus improving agriculture of India.

OTHER SCHEMES:

Small farmers development agency Antyodhya (scheme for allocation of food grains to poor families.) Drought-prone areas programs (scheme for drought affected people.) Crash scheme for rural employment

The schemes were basically for poor so as to remove poverty.

ACHIEVEMENTS

Served as a stepping stone for the economic growth Food grains production increased. Evolution of three tier system (Panchayati Raj) in Indian governance. Regional and urban development was taken into consideration. Industrial growth Importance of a labor intensive production technology in India.

5TH FIVE YEAR PLAN (1974-1979)

o

The world economy was in a troublesome state which had a negative impact on the Indian economy.

Therefore, priority was given to the food and energy sectors.

OBJECTIVES

To enhance agricultural productivity To reduce rate of rural and urban unemployment. To emphasize on household industries like carpet weaving, handlooms, sericulture, and handicrafts
To encourage import substitution in areas like industrial machinery, chemicals, paper, iron and steel and non ferrous metals. Improving the agricultural condition by implementing land reform measures.

PLAN OUTLAY
The break-down of outlay was

Agriculture
Energy Transport & communication Education

Housing
Communication

ULCRA

Formation of (ULCRA) Urban Land Ceiling & Regulation Act 1976.

The Urban Land (Ceiling & Regulation) Act was enacted to prevent concentration of land holding in urban areas and to make available urban land for construction of houses for the middle and low income groups.
Hereafter ULCRA was to facilitate the availability and affordability of urban land by increasing its supply in the market and by establishing an efficient land market.

The ULCRA provided for imposition of a ceiling on both ownership and possession of vacant land.
Acquisition of excess vacant land by the state government with powers to dispose of the land for the common good. The ULCRA came into force in 1976 and covered towns with a population of more than two lakh as per the 1971 Census.

EFFECTS OF ULCRA
The implementation of the ULCRA in the states and UTs was, however, dismal mainly due to :

Absence of clarity. Compensation provided for the acquired land was very little, which often led to lengthy litigation disputes. The maximum compensation was Rs.10 per sq. meter and the total compensation could not exceed Rs.2 lakhs per owner. This made landowners reluctant to declare their vacant land as surplus. The Govt. of India decided to repeal the Act with the passing of the Urban Land (Ceiling and Regulation) Repeal Act, 1999. Various states subsequently repealed the Act.

TRANSPORT

New railway lines were laid.

Adequate development in Bridges and roads and highways.

DTC buses were incorporated in plan for good road network. Indian Airlines were acquired during this plan and International airline authority of India was developed.

HOUSING

The main thrust of the programmes in the Fifth Plan is directed towards backward sections of the society. This is sought to be achieved by augmenting the programmes for the construction of housing colonies by State Housing Boards and development of new low cost housing designs and materials, rural sanitation and waste water treatment.

DDP (DESERT DEVELOPMENT PROGRAM)

The program implemented in the lot arid deserts covering 131 Blocks in 21 Districts in five States - Rajasthan, Haryana, Gujarat, Himachal Pradesh, and Jammu & Kashmir. Thus the program covered both hot and cold desert areas of the country. The major activities under the program were:
o
o o o

Afforestation
Ground water development and utilisation, Construction of water harvesting structures, Rural electrification for energising tube wells or pump sets, and

Development of agriculture , horticulture and animal husbandry

HOUSING

The main thrust of the programmes in the Fifth Plan is directed towards backward sections of the society. This is sought to be achieved by augmenting the programmes for the construction of housing colonies by State Housing Boards and development of new low cost housing designs and materials, rural sanitation and waste water treatment.

PROBLEMS

The fifth plan was discontinued by the new Janta government (March 1977July 1979) in the fourth year itself. The world economy was in a troublesome state This had a negative impact on the Indian economy Prices in the energy and food sector skyrocketed and as a consequence inflation became inevitable

ACHIEVEMENTS

Increase in food grain production. Introduction to National Highway system and enactment of the Electricity Supply Act in 1975. Better transport & communication infrastructure Low cost-Housing schemes for rural sectors. Environment was emphasised

6TH FIVE YEAR PLAN (1980-1985)

o o

6th Five Yr Plan -- Known as Janata Govt. Plan The main objective of the Sixth Five Year Plan was to reduce poverty and attain self-reliance in the agricultural sector, but there were some other important aspects which also constituted the Sixth Five Year Plan and they are as follows:

OBJECTIVES

To improve productivity level To initiate modernization for achieving economic and technological self-reliance To control poverty and unemployment To develop indigenous energy sources and efficient energy usage To promote improved quality of life of the citizens To introduce Minimum Needs Program for the poor Aimed for rapid industrial development, especially in the area of information technology Marked the beginning of economic liberalization Price controls were eliminated and ration shops were closed - led to an increase in food prices and an increased cost of living Family planning concept introduced but not forcibly Planned GDP growth - 5.1 percent a year, achieved 5.4 percent

STRATEGIES
The Sixth Five Year Plan laid emphasis on :

Strengthening the infrastructure for agriculture and industry sectors. Opportunities for employment in the rural areas and the unorganised sector. Meeting the minimum basic needs of the people. Taking a systematic approach in dealing with inter-related problems. Focusing on the participation of the common people in the development of schemes for the local people.

Reduction of inequality in terms of income and wealth.

Improving the living conditions of the people.

The major rural development programmes during this period were

Integrated Rural Development Programme (IRDP), National Rural Employment Programmes, Development of Women and Children in Rural Areas (DWCRA)

THE NATIONAL RURAL EMPLOYMENT PREOGRAMMES (NREP)

NREP aims at providing supplementary employment opportunities to rural workers particularly during the lean periods of the year when they are not able to find gainful employment. It also aims at creation of rural economy and steady rise in the income level of the rural poor and thereby bring about improvement in the quality of life of the villagers.

THE DEVELOPMENT OF WOMEN AND CHILDREN IN RURAL AREAS

The Development of Women and Chlldren in Rural Areas (DWCRA) is a centrally sponsored scheme started in 1982. The objectives of the programme are to focus attention on the women members of the families of the target group so as to increase their income and also to provide supporting services needed to enable them to take up income generating activities. Besides providing financial support, it also aimed at increasing women's access to other welfare services.

GOALS:
PROGRAMME THRUSTS DURING THE SIXTH PLAN

Removal of Poverty: Accelerated Rural Development

Promoting Opportunities for Gainful Employment

Agriculture and Allied Activities: The achievement of an overall annual rate of growth of the economy at around 5 per cent during the 1980-85 Plan is crucially dependent upon an acceleration in the

performance of the agricultural sector.

o

Industry and Infrastructure: Industry: A major challenge to be faced in the Sixth Plan is to secure a substantial acceleration in the rate of industrial growth. It is envisaged that industrial production in the country will grow at an average annual rate of 8-9 per cent during the Plan. Also, improved functioning of the infrastructure, particularly coal, power and railways, is an essential condition for the realization of the industrial growth target. In addition, in order to make efficient use of scarce capital, much greater attention will have to be paid to securing greater efficiency and competitiveness in the functioning of our industry.

GOALS:
PROGRAMME THRUSTS DURING THE SIXTH PLAN Health: While the coverage under minimum needs programme has necessarily to be limited, health care as such should be viewed as a total system consisting of appropriate steps in

environmental sanitation supply of safe drinking water nutrition health education immunization family-planning

ACHIEVEMENTS

Speedy industrial development Emphasis on the information technology sector self sufficiency in food science and technology also made a significant advance several successful programs on improvement of public health government in the Indian healthcare sector Government investments in the Indian healthcare sector

REFERENCES
1. 2. 3. 4.

4th Five year draft plan- planningcommission.nic.in 5th Five year draft plan- planningcommission.nic.in 6th Five year draft plan- planningcommission.nic.in Ten point programme of 1967, India: The Years of Indira Gandhi , Yogendra Kumar Malik, Dhirendra Kumar Vajpeyi Economic planning in India: Institutional Framework (book)

5.