Read the following given passage and answer the question:
The Second FYP stressed on heavy industries. It was drafted by a team of economists and planners under the leadership of P.C. Mahalanobis. If the first plan had preached patience, the second wanted to bring about quick structural transformation by making changes simultaneously in all possible directions. Before this plan was finalised, the Congress party at its session held at Avadi near the then Madras city, passed an important resolution. It declared that 'socialist pattern of society' was its goal. This was reflected in the Second Plan. The government imposed substantial tariffs on imports in order to protect domestic industries. Such protected environment helped both public and private sector industries to grow. As savings and investment were growing in this period, a bulk of these industries like electricity, railways, steel, machineries and communication could be developed in the public sector. Indeed, such a push for industrialisation marked a turning point in India's development. It, however, has its problems as well. India was technologically backward, so it had to spend precious foreign exchange to buy technology from the global market. That apart, as industry attracted more investment than agriculture, the possibility of food shortage loomed large. The Indian planners found balancing industry and agriculture really difficult. The Third Plan was not significantly different from the Second. Critics pointed out that the plan strategies from this time around displayed an unmistakable "urban bias". Others thought that industry was wrongly given priority over agriculture. There were also those who wanted focus on agriculture- related industries rather than heavy ones.
What was the basic objective of the Second Five Year Plan? Choose the correct option from the following.
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → Industrial Sector
Option (1) Agrarian Sector — Incorrect. The agrarian sector, with investment in dams and irrigation, was the main concern of the First Five Year Plan, because agriculture had been hit hardest by Partition.
Option (2) Industrial Sector — Correct. The Second Plan stressed heavy industries and wanted a quick structural transformation of the economy. Industries like electricity, railways, steel, machineries and communication were developed in the public sector, and this push for industrialisation marked a turning point in India’s development.
Option (3) Service Sector — Incorrect. The service sector covers activities such as trade, transport, banking and communication services.
Option (4) Mixed Economy — Incorrect. A mixed economy, in which the state and private enterprise both take part in production, describes India’s model of development as a whole. It is not a sector that a plan builds up; the Second Plan helped industries of both the public and the private sector to grow.
NCERT (2026-27): “The First Five Year Plan … The First Five Year Plan (1951–1956) sought to get the country’s economy out of the cycle of poverty. K.N. Raj, a young economist involved in drafting the plan, argued that India should ‘hasten slowly’ for the first two decades as a fast rate of development might endanger democracy. The First Five Year Plan addressed, mainly, the agrarian sector including investment in dams and irrigation. Agricultural sector was hit hardest by Partition and needed urgent attention. Huge allocations were made for largescale projects like the Bhakhra Nangal Dam.… Rapid Industrialisation … The Second FYP stressed on heavy industries. It was drafted by a team of economists and planners under the leadership of P. C. Mahalanobis. If the first plan had preached patience, the second wanted to bring about quick structural transformation by making changes simultaneously in all possible directions.… Rapid Industrialisation … As savings and investment were growing in this period, a bulk of these industries like electricity, railways, steel, machineries and communication could be developed in the public sector. Indeed, such a push for industrialisation marked a turning point in India’s development.” |