India has made sufficient achievement in industrial development during the last 5 decades and has emerged as the 10th largest industrialized country of the world
and yet industrial development and pattern has been characterized by a number of shortcoming or deficiency
- Failure to achieve balanced regional growth of industries:- industrial development India has failed to achieve balanced regional growth most of the new industry have located themselves in area where industry has been already highly concurated
- concentration of wealth:- the pattern of industrialisation in the country has been resulting concentration of economic power in the hand of few large Industries house and thus failed to achieve the objective of planning in reducing concentration of wealth and economic power
- improper locational basse:-industrial location in several instances were established without reference to cost effective. Each state famous for within its boundaries beside the locational decisions are often politically motivated
- underutilization of installed capacities:- another shortcoming of Indian industry has been under utilisation of installed productive capacity is an industrial unit in India which have been built with heavy investment is is essentially so in the case of public sector undertaking
- high lost industrial structure :-India's industrial structure has become a high cost structure adversely affecting the domestic as also International demand for Indian industrial goods
- failure to generate adequate employment:- the process of industrialisation has not been able to make a Dent on the problem of unemployment the high capital intensity of Public Sector Investment generated a very small amount of employment
- neglect of the small and medium sector:- the process of industrialisation and Rapid expansion of large sector have resulted in comparative neglect of the small and medium Sector this is evidenced by the data factory classified according to value of plant and machinery by the annual survey of industries
- unsatisfactory performance of the public sector industries:- performance of the public sector industrial undertaking both at the centre and state level has the most discouraging not just from the point of view of the rate of return on investment in them but even from the point of view of the various objective they are expected to attend public sector undertaking has been having like a heavy milestone around the neck of Indian economy stunning its Rapid growth
- industrial sickness:- in the private industrial sector a growing number of industrial unit are becoming sick wide spread sickness has indeed become a major problem of this sector
- shortage of industrial raw material:- in agriculture the major source of industrial material is still dependent on monsoon natural calamities like drought flood etc agricultural production as well as the places which have inter linking effect
