Five Year Plans of India

From 1947 to 2017;
In India economy was based on the concept of planning. The concept of economic planning in India is derived from Russia. Planning was done by Planning Commission of India. They publish Five Year Plans of India on every five years. The Planning commission was abolished in 2014 replaced by NITI Ayog.

It is history. Now, We will analyse all the 12 five year plans of India.

Five Year Plan

Timeline of Five Year Plans

The timeline of Five Year Plans was

Plan Holidays19661969
Rolling Plan19781980
Annual Plans19901992
Understanding the table
  • Other than the numbering of Plan three-term used, these are the short term plans.
    1. Plan Holidays, due to failure of the third plan government was forced to declare the Plan holidays from 1966-67, 1967-68, 1968-69.
      These are three plans the main reasons for plan holidays were the war, lack of resources and an increase in inflation.
    2. Rolling Plan, this was because of Janata Government rejected the 5th five-year plan and introduced a new 6th five-year plan(1978–1980). This plan again rejected by the Indian National Congress in 1980 and renamed it a rolling plan and created a new plan
    3. Annual Plans, The Eighth Plan could not take off in 1990 due to the fast-changing political situation at the centre and the years 1990–91 and 1991–92 were treated as Annual Plans.
Objective and Outcome of All plans
First Plan
  • Its main focus was on the agricultural development of the country.
  • This plan was successful and achieved a growth rate of 3.6%. (more than its target)
Second Plan
  • It’s main focus was on the industrial development of the country.
  • This plan was successful and achieved a growth rate of 4.1%
Third Plan
  • It’s main objective was to make the economy independent and to reach the self-active position of take-off.
  • Due to china war, this plan could not achieve its growth target of 5.6%.
Plan Holiday
  • The duration of the plan holiday was from 1966 to 1969.
  • During this plan, annual plans were made and equal priority was given to agriculture its allied sectors and the industry sector.
Fourth Plan
  • Two main objectives of this plan i.e.
    • growth with stability
    • progressive achievement of self-reliance.
  • This plan failed and could achieve a growth rate of 3.3% only against the target of 5.7%.
Fifth Plan
  • In this plan top priority was given to agriculture, next came to industry and mines.
  • this plan was successful which achieved the growth of 4.8% against the target of 4.4%.
Sixth Plan
  • The basic objective of this plan was poverty eradication and technological self-reliance.
  • Its growth target was 5.2% but it achieved 5.7%.
Seventh Plan
  • Objectives of this plan include the establishment of the self-sufficient economy, opportunities for productive employment.
  • Its growth target was 5.0% but it achieved 6.0%.
Annual Plans
  • two annual programmes are formed in 1990-91& 1991-92.
Eight Plan
  • the top priority was given to the development of the human resources i.e. employment, education, and public health.
  • This plan was successful and got an annual growth rate of 6.8% against the target of 5.6%.
Ninth Plan
  • focuses of this plan was “growth with justice and equity”.
  • It was launched in the 50th year of independence of India.
  • This plan failed to achieve the growth target of 7% and grow only at the rate of 5.6%.
Tenth Plan
  • It aims to double the PCI of India in the next 10 years.
  • It aims to reduce the poverty ratio by 15% till 2012.
  • Its growth target was 8.0% but it achieved only 7.2%.
Eleventh Plan
  • Its main theme was “faster and more inclusive growth”.
  • Its growth rate target was 8.1% but it achieved only 7.9%.

Twelfth Plan
  • Its main theme is “Faster, More Inclusive and Sustainable Growth”.
  • The Twelfth Five-Year Plan of the Government of India has been decided to achieve a growth rate of 8.2% but the National Development Council (NDC) on 27 December 2012 approved a growth rate of 8% for the Twelfth Plan.


The Government of India set up the Planning Commission of India in 1950. The Commission was entrusted with the task of designing a suitable economic policy for India. It was agreed that India would follow a Mixed Economy ‘ where both the public and private sectors would co – exist for the economic development of the nation.

The First Five – Year Plan was formulated in 1951. It was from the period 1951-1955. This Plan primarily dealt with the crisis of partition and just tried to complete the unfinished projects. The main problem of independent India, that was the rehabilitation of the refugees, was solved.

The Second Five Year Plans ( 1956-61 ) focused mainly on the development of heavy industries in India such as Iron and steel, mainly in the public sector. Emphasis was also laid on the construction of dams for facilitation of agriculture. The second plan witnessed the construction of three steel plants in the public sector. Dams were referred to as the Temples of Modern India’ by Nehru.

The first dam to be built in independent India was the Bhakra Jawaharlal Nehru visits Bhilai Steel Nangal Dam. Dams also helped in the prevention of floods and the generation of hydro electric power. Efforts were made to increase agricultural production for the attainment of a self – sufficient economy.

Modern methods of farming and irrigation, use of good quality seeds , use of technology in irrigation, Plant water conservation and education of farmers was initiated for the development of agriculture. The establishment and expansion of industries continued in the Third Five Year Plan. New industries related to electrical appliances, drugs farming equipments, military equipments, clothing in the Parliament. The Prime Minister assured the functioning of his Cabinet of Ministers democratically as well as collectively. The Federal structure of the the States.

The centre avoided undue interference in The government passed the Scientific Policy Resolution in 1958 for the promotion of science etc. were established. The establishment of and pharmaceuticals , consumer goods , computers industries helped to provide employment to millions of labourers. Laws were enacted to prevent the exploitation of workers in the mills and industries.

Establishment of Democratic Institutions

The Indian leaders , particularly Nehru , believed in strengthening the roots of democracy in India so that people have faith in the parliamentary institutions. Freedom was given to the development and growth of Press and Courts.

The decisions of the courts were final and to be obeyed by all. Efforts were made to develop the Parliament of India into an ideal institution full of dignity , prestige and power. Due respect was given to the views of the opposition party country was maintained by giving several to powers the functioning of the States.

Indian Polity Section-II (Part I to Part IVA)

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