Articles
Import Export in India- License Raj
by Micky B. Professional WritterThe license raj was one of the most dark and horrible period for the Indian economy. Here was a period where the growth of the economy was not only stagnated, but also brought to its knees. The results of the license raj did not vanish just after the liberalization of the Indian economy, the effects were felt for as long as 1995. The numbers tell us that the fact was there till at least 1995, when the growth rate of even Pakistan was hired than India’s. But today the effects of the License Raj are long gone and the Indian economy is the 2nd fastest growing economy in the world. But what was the license raj all about and why did the Indian economy go into the dark ages because of it? Today import export in India is a booming business.
Some of the factors that led to the license raj were:
- The lack of foreign currency in the country was always a problem with the nation. The major issue at the time of independence was that the Indian Rupee matched the UD Dollar in value, but was not accepted as its alternate when it came to International trade. As India was still a novice in matters of Infrastructure and development, she has to buy a large amount of her infrastructure and development needs (both industrial and public welfare) from foreign nations. This lead to the Indian government wanting to save as much foreign currency it could eat. Thus, implementing the policy of all exports is good and all imports are bad. But in the end such a closed economic policy caused the economic downfall of the 1990’s.
- Another major factor that pushed the government of the decision to implement the license raj was the need to save and develop domestic industry from the international competition. The government wanted to improve the product quality of the nation's industries so that they would be foreign currency earners. But without international knowledge in a number of fields the country's industries could, never compete with international players. Import export in India is powering the economy today.
The license raj can be seen by a huge amount of cynicism as a plague for the Indian economy. But just like the Black Dearth of Europe ushering in an age of age development and culture, the License Raj brought after it a sea to cover a gulf!! The economy boomed when people and the market were made stakeholders in it and were allowed to determine its fate. The chief lesson that India learnt from the License Raj was that even with good intentions at heart a closed economic policy is the doorway to doom. One must however not completely discredit the License Raj as a period of no good- India became a powerhouse of Steel manufacturing during this period and also became one of the largest exporters of cloth and tea during this period. Import export in India has never seen such a good period as today.
To know more details about Indian exports data, Indian imports data, Export import data, or any other types of information about trade data in India, visit at www.seair.co.in
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About Micky B. 
Professional Writter
122 connections, 0 recommendations, 448 honor points.Joined APSense since, April 30th, 2013, From New Delhi, India.
Created on Dec 31st 1969 18:00. Viewed 0 times.
