In the first seven plans, trade was characterized by what is commonly called an inward looking trade strategy. Technically, this strategy is called _ _ _ _ _ _ _ _ _ _ .

Import substitution strategy

The correct answer is option (4) : Import substitution strategy

In the first seven plans, trade was characterised by what is commonly called an inward looking trade strategy. Technically, this strategy is called import substitution. This policy aimed at replacing or substituting imports with domestic production. For example, instead of importing vehicles made in a foreign country, industries would be encouraged to produce them in India itself. In this policy the government protected the domestic industries from foreign competition. Protection from imports took two forms: tariffs and quotas.