Industries

(Development and
Regulation) Act, 1951
Prof. Dhaval Bhatt
 Objectives of Industrial Policy of the
Government
 To maintain a sustained growth in productivity;
 To enhance gainful employment;
 To achieve optimal utilisation of human
resources;
 To attain international competitiveness; and
 To transform India into a major partner and
player in the global arena
 The Policy focus is on –
 Deregulating Indian industry;
 Allowingthe industry freedom and flexibility in
responding to market forces;
 Providing a policy regime that facilitates and
fosters growth of Indian industry
 Scheme of the Act
 IDRA, 1951 has been enacted keeping three major
aspects related to Scheduled Industries, which
became objectives of this Act. This Act is applicable
for only 38 Industries mentioned in Schedule I of
IDRA, 1951.
 Objectives of IDRA, 1951
 To Develop Scheduled Industries;
 To Regulate Scheduled Industries; and
 To Control Scheduled Industries.
 Control over Industries
 Regulating Supply and Prices
 Investigation of Scheduled Industries
 Investigation of Company in Liquidation
 Powers of Govt after investigation
 therehas been or is likely to be, a substantial fall in the
volume of production without justification; or
 there has been or is likely to be a marked deterioration
in the quality of any article, which could have been or
can be avoided; or
 there has been or is likely to be a rise in the price of any
article, for which there is no justification; or
 itis necessary to take any such action for the purpose of
conserving any resources of national importance.
 the industrial undertaking is being managed in a manner
highly detrimental to the scheduled industry or to public
interest
 Central Advisory Council
 The Central Government to establish Central Advisory Council, for
advising the Government on matters concerning the development
and regulation of scheduled industries.
 It shall consist of:
 a chairman and
 such other members not exceeding 30 in number, to be appointed by
the Central Government from among persons who are, in its opinion,
capable of representing:
 the interest of owners of industrial undertakings;
 persons employed in industrial undertakings;
 consumers of goods manufactured or produced by Scheduled Industries
and
 such other class of persons, as in the opinion of the Central Government
 Development Council
 It empowers the Central Government to establish a
Development Council consisting of such members who, in the
opinion of the Central Government, are persons capable of
representing the interests of owners of industrial undertakings
in the scheduled industry or group of scheduled industries;
 persons having special knowledge of matters relating to the technical or
other aspects of the scheduled industry or group of scheduled industries;
 persons capable of representing the interests of persons employed in
industrial undertakings in the scheduled industry or group of scheduled
industries and
 persons not belonging to any of the aforesaid categories, who are capable
of representing the interests of consumers of goods manufactured or
produced by the scheduled industry or group of scheduled industries.