Import Substitution

This video is part of the Editorial Discussion by G.V.Rao on 15-12-2017. Here he discussed various aspects of "Import Substitution" in detail, which will certainly benefit the students.

[PremKumar-cwmu]

If it's possible plz make it in Telugu, sir even tho we are strong in English sometimes it's diff to understand & recall but it in mother tongue We can grasp the concepts easily, thoroughly &exhaustively. So please make the editorial in Telugu&English ... It will helpful for UPSC mains, we will crack & I should crack.

[ranjeetdubey]

i think is good link to provide in video in gs.

[cloud-tutorials]

Am sorry to say this is wrong analysis. Import Substitution does not always make nation poor. In economics there is a concept of comparative advantage, locally make what you are good at and export what you cannot. Saying this, the main factor was adoption of central planning and products made by public sector units was one reason for slow economic growth in India. It was surprising that Government produced scooters and cars till 1990's. Indians are good at doing world class business, this is seen in other countries. Import substation is good we have enough labor and potential which can produce it. Oil we don't have resources, we have no other option but to import. Take defense goods, we have potential to manufacture it, but this can happen only when private players are encouraged. China is currently working towards import substitution in many sectors for which it has potential.