INTRODUCTION.
The Industries (Development and Regulation) Act provides the conceptual
and legal framework for industrial development and industries in India. It is
briefly known as the IDR Act. The act was enacted in 1951 and a number of
amendments have been made in the Act.
The licensing policy for industries is determined under this act.
Section 11-B provides the power to specify the definition of SSI in
consideration of factors relating to:
Investment of unit in fixed assets
Nature of ownership
Objective of Industrial Policy
Objective of Industrial Policy
he Industrial Policy concentrates on deregulating Indian Industry, allowing the industry freedom and flexibilit
responding to market forces and providing a policy regime that facilitates and fosters the growth of Ind
Industry.
The Industrial policy of India was announced by the Central Government in the Resolution No. 1(3)-44(13)48
6th April, 1948 and was later approved by the Central Legislature. It aimed to centrally control the developm
and regulation of a number of important industries which affected the economy of the whole country and
development of such industries needed to be governed by the economic factors of all-India import. Thus,
Industries (Development and Regulation) Bill was introduced to achieve this objective. After being passed
both the Houses of Parliament, the Bill received the assent of the President on 31st October, 1951. Finally
came into force on 8th May, 1952 as The Industries (Development and Regulation) Act, 1951 (65 of 1951). T
Act seeks to secure the planning of future development on healthy and balanced lines by the licensing of all n
undertakings by the Central Government. The Act confers power on the Government to make rules for
registration of existing undertakings to regulate the production and development of industries in the F
Schedule and consultation with Provincial Governments on these matters. The Act also provides for
constitution of a Central Advisory Council. Prior consultation with the Central Advisory Council would
obligatory before the Central Government takes measures regarding revocation of a license or taking over
control and management of any industrial concern. The Industries (Development and Regulation) Act, 1951
undergone several amendments from time to time which are mentioned hereunder:
) The main features of the objectives of the Industrial Policy of the Government of India may be classified
follows:
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to maintain a sustained growth in productivity;
to achieve optimal utilization of human resources;
to enhance gainful employment;
to attain international competitiveness, and
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traThe Industries (Development and Regulation) Amendment Act, 1974 (32 of 1974).
The Industries (Development and Regulation) Amendment Act, 1979 (17 of 1979).
The Industries (Development and Regulation) Amendment Act, 1984 (4 of 1984).
The 6Delegated Legislansform India into a major partner and player in the global arena
OBJECTIVES OF INDUSTRIAL REGULATION ACT 1951.
The “industrial regulation act” 1951 extends to whole of India and was made
the act was enacted to provide for the development and regulation of certain i
are the state objects are as follows.
.To implement the industial policy :- The basics act is to provide central go
implementing industrial policy.
. Regulation and development of countries:- The act has an object is to pro
central gout and the regulation of a numbers of important industries.
planning and development :- the act provide that the planning and future developme
should be secured by licensing by the central gout to make rules for the registration
undertakings.
.The act applies to whole India. Its provisions are applied to all indus
manufacturing any of the items mention in industries undertakings inc
schedules act. Thus it covers the total of 79 important industries, exclu
present.
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