Joint sector guidelines for policy

Abstract

This paper argues that the joint sector needs to be encouraged because of the significant role it can play in the social control of private industry, in the promotion of industrial growth, in the mobilisation of resources, and in broad-basing of entrepreneur ship. Indeed, joint sector enterprises may be permitted in all industries which are not reserved exclusively for the State or the small-scale sector, and the sector can be defined without modifying the Industrial Policy Resolution of 1956. The paper also recommends various financial and organisational arrangements for making the joint sector experiment successful. The paper is divided into eight sections. The background and scope of the study are discussed in Section I. Section 11 traces the evolution of the concept, and analyses the experience of the country in respect of existing joint sector enterprises. Sections III to VII are devoted to the different issues pertaining to the joint sector. A summary of the recommendations is given in Section VIII. [The views expressed in this paper are those of the authors and not necessarily of the organisation to which they belong. The authors are grateful to V L Mote for his participation in the early stages of preparing this paper.]