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TENTH AND ELEVENTH FIVE YEAR PLAN 2009-2010

Managerial Economics

Term Paper On

Tenth and Eleventh Five Year Plan comparison 2009-2010

Submitted By

Sandeep Kumar Dhuli

MBA (Semester 1 st)

Reg. No. 10900638

Roll No. RS1902A04

Program Code: 193

Group: G1

Lovely School of Management

Lovely Professional University

Phagwara-144402

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DECLARATION

(Master in Business Administration)

I hereby declare that this term paper titled Tenth and Eleventh Five

Year Plan comparison have been prepared by me during the academic year

2009 2010 under the guidance of Prof. (Miss.) Preeti Singh subject-in-

charge of Managerial Economics (ECO - 515) for RS1902 section of

Lovely school of Management (Lovely Professional University)

Phagwara, Punjab. I also hereby declare that this project report has not been submitted at any time to any other university.

Signature

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UNIVERSITY CERTIFICATE

Master in Business Administration

This is to certify that Sandeep Kumar Dhuli students of MBA general

section RS1902 (LSM) (Semester 1 st) has prepared a term paper on titled Tenth

and Eleventh Five Year Plan comparison

Internal Guide LSM H.O.D

(Prof. Miss. Preeti Singh) (Mr. Suresh Kashyap)

(Signature) (Signature)

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Sr. No. Topics Page No.

* Acknowledgement 6

1. Introduction 7

2. History 8

3. Objective of Planning Commission 11

4. Constitution 12

5. 10th five year plan 13

6. 11th five year plan 18

7. Comparison Between 10 th and 11th plans 21

* Conclusion 26

* Bibliography 29

ACKNOWLEDGEMENT

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I wish to take this opportunity to express my deep sense of gratitude to Prof.

(Miss.) Preeti Singh subject-in-charge of Managerial Economics (ECO-515) for

RS1902 section of Lovely school of Management (Lovely Professional University)

Phagwara, Punjab, for her valuable guidance in this endeavor. She has been a

constant source of inspiration for me and I sincerely thank for her suggestions and

help to prepare this report.

Finally, its my foremost duty to thank the entire Library Staff, who helped

me to complete the project work without which this project would not have been

possible.

Thank you,

Introduction

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In the post-Independence era (i.e., after 1947), the Planning Commission was

set up in India, drawing from the social premises of the Directive Principles of State

Policy which directed that: The State shall strive to promote the welfare of people by

securing and protecting as effectively as it may, a social order, in which justice social,

economic and political shall inform all institutions of national life. And further that:

The State shall, in particular, direct its policy towards securing

That the citizens, men and women equally, have the right to an adequate means

of livelihood.

That the ownership and control of the material resources of the community are

so distributed as best to sub serve the common good

That the operation of the economic system does not result in the concentration of

wealth and means of production to the common detriment

From this, the following functions were assigned to the Planning Commission:

To make an assessment of the material, capital and human resources of the

country, and to augment those resources that are found to be deficient.

To formulate a Plan for the most effective and balanced utilization of the

country's resources after determining the priorities.

To indicate the factors those tend to retard economic development, and

determine the conditions which should be established for the Plans successful

execution.

To determine the nature of machinery this will be necessary for securing

successful implementation of each stage of the Plan in all its aspects.

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To appraise from time to time the progress achieved in the execution of each

stage of the Plan and recommend for adjustments of policy and measures that

such appraisal may show to be necessary.

History In India the first Five-year Plan was launched in 1951 and two subsequent five-

year plans were formulated till 1965, when there was a break because of the Indo-

Pakistan Conflict, Two successive years of drought, devaluation of the currency, a

general rise in prices and erosion of resources disrupted the planning process and after

three Annual Plans between 1966 and 1969, the fourth Five-year plan was started in

1969.

The Eighth Plan would not take off in 1990 due to the fast changing political

situation at the Centre and the years 1990-91 and 1991-92 were treated as Annual

Plans. The Eighth plan was finally launched in 1992 after the initiation of structural

adjustment policies.

Rudimentary economic planning, deriving the sovereign authority of the state,

first began in India in 1930s under the British Raj, and the colonial government of India

formally established a planning board that functioned from 1944 to 1946. Private

industrialists and economist formulated at least three development plans in 1944.

After India gained independence, a formal model of planning was adopted, and

the planning commission, reporting directly to the Prime Minister of India was

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established. Accordingly, the Planning Commission was set up on 15 March 1950, with

Prime Minister Jawaharlal Nehru as the chairman.

For the first eight Plans the emphasis was on a growing public sector with

massive investments in basic and heavy industries, but since the launch of the Ninth

Plan in 1997, the emphasis on the public sector has become less pronounced and the

current thinking on planning in the country, in general, is that it should increasingly be of

an indicative nature.

OrganizationMontek Singh Ahluwalia, current Deputy Chairman of the Planning Commission

of India, at the World Economic Forum.

The composition of the Commission has undergone a lot of change since its

inception. With the Prime Minister as the ex-officio Chairman, the committee has a

nominated Deputy Chairman, who is given the rank of a full Cabinet Minister. Mr.

Montek Singh Ahluwalia is presently the Deputy Chairman of the Commission.

Cabinet Ministers with certain important portfolios act as part-time members of

the Commission, while the full-time members as experts of various fields like

Economics, Industry, Science and General Administration.

The Commission works through its various divisions, of which there are three kinds:

General Planning Divisions

Programme Administration Divisions

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The majority of experts in the Commission are economists, making the

Commission the biggest employer of the Indian Economic Services.

Functions

Assessment of resources of the country

Formulation of Five-Year Plans for effective use of these resources

Determination of priorities, and allocation of resources for the Plans

Determination of requisite machinery for successful implementation of the Plans

Periodical appraisal of the progress of the Plan

To formulate plans for the most effective and balanced utilization of country's

resources.

To indicate the factors which are hampering economic development?

To determine the machinery, which will be necessary for the successful

implementation of each stage of plan?

Functional Area

Agriculture Division

Backward Classes Division

Communication & Information Division

Development Policy Division

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Education Division

Environment & Forest Division

Financial Resources Division

Health, Nutrition & Family Welfare Division

Housing, Urban Development & Water Supply Division

Industry & Minerals Division

International Economic Division

Objective of PlanningCommission

The Planning Commission was set up by a Resolution of the Government of

India in March 1950 in pursuance of declared objectives of the Government to promotea rapid rise in the standard of living of the people by efficient exploitation of the

resources of the country, increasing production and offering opportunities to all for

employment in the service of the community. The Planning Commission was charged

with the responsibility of making assessment of all resources of the country,

augmenting deficient resources, formulating plans for the most effective and balanced

utilization of resources and determining priorities. Jawaharlal Nehru was the first

Chairman of the Planning Commission.

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Constitution

In the context of the formulation of Eleventh Five Year Plan (2007-2012), the following

sector wise WORKING GROUPS/STEERING COMMITTEES/TASK FORCE have been

set up by Planning Commission, to make recommendations on various policy matters.

Agriculture

Backward Classes

Communication & Information

Development Policy

Education

Environment & Forests

Financial Resources

Health & Family Welfare

Housing & Urban Development

Industry & Minerals

Labour, Employment and Manpower

Multi Level Planning

Power & Energy, Energy Policy and Rural Energy

Programme Evaluation Organization

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Rural Development

Social Justice & Women Empowerment

Science & Technology

State Plans

Tourism

Transport

Village & Small Enterprises

Voluntary Action Cell

Water Resources

Women and Child Development

International Economics

10 th five year planCouncil of Scientific and Industrial Research has established a network of

national laboratories/institutes in various parts of the country to undertake research in

diverse fields of science and technology with emphasis on applied research and

utilization of results thereof. There are at present 38 research establishments including

five regional research laboratories. Some of the establishments have set up

experimental, survey field stations to further their research activities and 39 such

stations attached to 16 laboratories are functioning at present.

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The guiding principle for CSIR during the Tenth Five Year Plan (TFYP) is

inherent in its mission, i.e. to provide scientific industrial R&D that maximizes the

economic, environmental and societal benefits for the people of India. CSIR activities

and programmes in the TFYP were operated through following six schemes of which

five were continuing from Ninth Plan and one scheme namely ICT Infrastructure &

Renovation & Refurbishment (IRR) introduced as a new scheme in the Plan:

National Laboratories

National S&T Human Resource Development

Intellectual Property & Technology Management

R&D Management Support

New Millennium Indian Technology Leadership Initiative (NMITLI), and

ICT Infrastructure Renovation & Refurbishment

Among these schemes, National Laboratories under which major R&D

programmes/projects have been undertaken was the major scheme accounting for

more than 75% of CSIR Plan funds.

APPROACH, STRATEGY & POLICY REFORMS DURING TENTHFIVE YEAR PLAN

The activities and the role performed by CSIR were in conformity with the then

prevailing economic, social, industrial, and R&D environment conditions nationally &

internationally.

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The national target of GDP growth of 8% in Tenth Five Year Plan required

organizations to re-examine their strategies & adopt innovative approach. CSIR, as a

dynamic responsive organization as ever in the past, quickly responded to the need.

The CSIR plans were drawn up based on the careful assessment of the needs and the

opportunities, development of core competencies and R&D facilities.

The rationale for drawing programmes were based on the premise that pre-

competitive research being public goods; need to be largely financed through public

funding. In the selection of the programmes the guiding principles were based on:

High levels of novelty and innovativeness;

Global competitive positioning in science and / or technology;

Potential industrial, economic, strategic, societal benefits that could be captured

and accrue to the Indian economy.

As CSIR has a well knit network of laboratories across multi disciplines, aconscious decision was taken to implement programmes in network mode through

establishing synergy within the vast, often niche, and competencies available with the

laboratories. The knowledge networking within and across CSIR laboratories was

affected through identification of network programmes and projects.

The network projects, thus evolved, for the Tenth Five Year Plan period consisted of:

Target oriented core network R&D projects, and

Building of capabilities and facilities.

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OVERVIEW OF PERFORMANCE DURING THE TENTH FIVEYEAR PLAN

CSIR has made significant contributions during the first four years of TFYP in a

wide spectrum of activities, which span from creation of public goods, private goods,

social goods and strategic goods. While maiden flight of SARAS was a landmark in

CSIRs contributions to herald the civil aviation industry in the country, the discovery of

a new molecule, as a potential drug for cure of deadly disease of tuberculosis, CSIRs

instant response to alleviation of hardships of Tsunamis victims were a few of the major

contributions in other spheres. CSIR lead the Team India initiative for setting up the first

ever Traditional Knowledge Digital.

Library (TKDL) to provide a search interface to retrieval of traditional knowledge

information on international patent classification (IPC) and keywords in multiple

languages.

Database has been created on traditional medicinal formulations comprising 13

million A4 size pages of data on transcribed 62000 formulations in Ayurveda, 60000

formulations in Unani, and 1300 formulations in Siddha. TKDL has been receiving wide

international coverage.

As a socially conscious organization CSIR continued its effort to provide the S&T

needed for the masses. During the plan, it promoted employment generation on one

hand and developed diverse technologies to add to the quality of life on the other hand.

These technologies include: ceramic membrane based removal of arsenic and iron from

contaminated ground water; pesticide removal unit for producing potable water, free

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from organic pollutants; setting up of Reverse Osmosis (RO) based desalination plants

in villages; hand operated microfiltration units (with 3 litre /minutes discharge rate)

capable of providing bacteria & virus free water; Ultra Filteration (UF) membrane based

technology requiring no electricity and chemicals to remove germs, cysts, spores,

parasites, bacteria, Cryptosporidium, endotoxin etc.; low sodium salt from bitterns in

place of pure sodium chloride; which is being recommended to patients suffering from

hypertension;etc. CSIR response to Tsunami victims had shown its scientific and

technical skills to mitigate the hardship of those survived.

The initiatives taken by various CSIR laboratories could provide food, drinking

water & shelter to the survivors.

Achievements during the Tenth Five Year PlanSome of the contributions from under the scheme during the Tenth Five year Plan are

summarized as below:

During the Plan the Central Management Support has established Human

Resource Development Centre for organizing and conducting of induction,

orientation, and refresher and skill up-gradation training programmes for different

categories of CSIR staff.

The Centre thus conducted one-day interactive familiarization programs in 32

laboratories including CSIR Hqrs. for familiarization of new format for Annual

Review of Performance (APR) for Group IV scientists.

Improvement in quality & transparency in working, the Centre organized

awareness-cum-implementation programme on ISO 9001: 2000 QMS

certification for HODs, senior scientists, administration & finance personnel from

Hqrs and laboratories.

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Development of Management Information Systems (MIS) for its various HR

activities, Training Need Analysis (TNA), Creation of focused HRD groups in

labs. Computer Based Training (etraining) etc.

A new organ called the Performance Appraisal Boards (PABs) was introduced to

critically review the performance of each laboratory once in every three years.

During the Tenth Plan, CSIRs international programmes had a clear focus on

joint collaborative projects rather than on exchange programmes, as was the

case in previous plans.

The Unit for R&D in Information Products created to catalyze and mobilize

packaging of information products based on CSIR databases.

11 th Five Year Plan

APPROACH AND STRATEGY FOR THE ELEVENTH FIVE YEARPLAN

Indias centralized planning process is governed by seven cardinal policy

objectives: growth; social justice & equity; modernization; self-reliance; food;

productivity and employment.

These would continue to be the guiding principles for the Eleventh Plan (2007-

12) which commences from 1st April, 2007. A very large part of our planning is

concerned with fiscal aspects and physical targets. It must, however, be recognized that

it is the human and natural resources, scientific methods and technologies which are

the fundamental elements in the creation of wealth for higher productivity, increased

efficiency and completely new ways of doing things. The Eleventh Plan, therefore,

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would place emphasis on these components which have received inadequate attention

in the past. Eleventh Plan would be the vehicle that would position the country to be a

super power- economically, strategically and scientifically. For the Eleventh Five Year

Plan the Government of India is envisaging the economy to grow at an annual growth

rate of 8.5%%. This implies that Agricultural Sector will have to grow at a rate of 3.9%,

industry at 9.9%, services at 9.4%, and exports at 16%, while keeping the imports at a

level of 12.1%.

The implicit growth of manufacturing sector which is a subset of industry istargeted for 12%. The above growth rates interwoven with each other, of course, would

depend upon many factors. Some of these factors are internal to the Indian economy

and some are influenced by the external environment. The growth in the agricultural

productivity can be sustained on a long term basis only through continuous

technological progress and these calls for well structured strategies for research &

development. Industrial sector has gained a lot over the past decade or so due to

liberalization and is gradually integrating with the world economy. Some of the sub-

sectors like automobiles, pharmaceuticals, biotechnology products, specialty chemicals,

and textiles have acquired unprecedented level of global competitiveness and need to

be supported to maintain the present edge. The Eleventh Plan is also placing special

emphasis on infrastructure and skill development, the two crucial and critical catalysts

for growth.

The services sector is currently the fastest growing sector of economy

accounting for about 54% of GDP. It is estimated that this sector has the potential for

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creating 40 million jobs and generating additional $ 200 billion annual income by 2020.

In the Eleventh Plan, the government is placing special focus on this sector so that its

potential to create employment as growth parameter is fully realized.

ELEVENTH FIVE YEAR PLAN PROGRAMMES & ACTIVITIESThe bold and the daring approach proposed for the XI Plan by the Planning

Commission to achieve new vistas of growth, is expected to provide enough

opportunities to convert growth potential of 8.5% into reality. This however calls for a

total departure from the past practices in developmental planning and implementation,

by working out new management strategies involving coordination and stronger

linkages for more effective implementation.

The first five following schemes would be the continuing schemes with new

programmes/projects/tasks & activities, the sixth scheme would be the new scheme:

National Laboratories

National S&T Human Resource Development

Intellectual Property & Technology Management,

R&D Management Support

New Millennium Indian Technology Leadership Initiative and

Setting up of a Translational Research Institute

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Comparison between 10 th and

11th

five year plan

The main objectives of the 10th Five-Year Plan

were:

Reduction of poverty ratio by 5 percentage points by 2007;

Providing gainful and high-quality employment at least to the addition to the

labour force;

All children in India in school by 2003; all children to complete 5 years of

schooling by 2007;

Reduction in gender gaps in literacy and wage rates by at least 50% by 2007;

Reduction in the decadal rate of population growth between 2001 and 2011 to

16.2%;

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Increase in Literacy Rates to 75 per cent within the Tenth Plan period (2002 to

2007);

Reduction of Infant mortality rate (IMR) to 45 per 1000 live births by 2007 and to

28 by 2012;

Reduction of Maternal Mortality Ratio (MMR) to 2 per 1000 live births by 2007

and to 1 by 2012;

Increase in forest and tree cover to 25 per cent by 2007 and 33 per cent by

2012;

All villages to have sustained access to potable drinking water within the Plan

period;

Cleaning of all major polluted rivers by 2007 and other notified stretches by

2012;

Economic Growth further accelerated during this period and crosses over 8% by

2006.

The eleventh plan has the following objectives:

1. Income & Poverty

Accelerate GDP growth from 8% to 10% and then maintain at 10% in the 12th

Plan in order to double per capita income by 2016-17

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Increase agricultural GDP growth rate to 4% per year to ensure a broader spread

of benefits

Create 70 million new work opportunities.

Reduce educated unemployment to below 5%.

Raise real wage rate of unskilled workers by 20 percent.

Reduce the headcount ratio of consumption poverty by 10 percentage points.

2. Education

Reduce dropout rates of children from elementary school from 52.2% in 2003-04

to 20% by 2011-12.

Develop minimum standards of educational attainment in elementary school, and

by regular testing monitor effectiveness of education to ensure quality.

Increase literacy rate for persons of age 7 years or above to 85%.

Lower gender gap in literacy to 10 percentage points.

Increase the percentage of each cohort going to higher education from the

present 10% to 15% by the end of the plan.

3. Health

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Reduce infant mortality rate to 28 and maternal mortality ratio to 1 per 1000 live

births.

Reduce Total Fertility Rate to 2.1

Provide clean drinking water for all by 2009 and ensure that there are no slip-

backs.

Reduce malnutrition among children of age group 0-3 to half its present level.

Reduce anemia among women and girls by 50% by the end of the plan.

4. Women and Children

Raise the sex ratio for age group 0-6 to 935 by 2011-12 and to 950 by 2016-17

Ensure that at least 33 percent of the direct and indirect beneficiaries of all

government schemes are women and girl children.

Ensure that all children enjoy a safe childhood, without any compulsion to work.

5. Infrastructure

Ensure electricity connection to all villages and BPL households by 2009 and

round-the-clock power.

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Ensure all-weather road connection to all habitation with population 1000 and

above (500 in hilly and tribal areas) by 2009, and ensure coverage of all

significant habitation by 2015.

Connect every village by telephone by November 2007 and provide broadband

connectivity to all villages by 2012.

Provide homestead sites to all by 2012 and step up the pace of house

construction for rural poor to cover all the poor by 2016-17.

6. Environment

Increase forest and tree cover by 5 percentage points.

Attain WHO standards of air quality in all major cities by 2011-12.

Treat all urban waste water by 2011-12 to clean river waters.

Increase energy efficiency by 20 percentage points by 2016-17.

Tenth Plan Eleventh Plan

Types of Data

o Tenth Plan

1. Contains no section on the unorganized sector or home-based

workers

2. Laid down a three-fold strategy for empowering women

3. No reference to best practices

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4. Contains a specific chapter on Women titled Women and Child.

5. Only includes data from the Census of India.

Type of Data

o Eleventh Plan

1. Includes a section on the unorganized sector and home-based

workers and female concentrations in both.

2. Uses a five-fold strategy to empower women: specific locations

of women are identified, and specific issues highlighted.3. Inclusion of Best Practice boxes throughout the document

4. Has renamed the chapter Womens Agency and Child Rights

and includes a gender perspective across sectors.

5. Includes data from the Census, UN bodies, academics and well-

known civil society organizations.

ConclusionUpon reviewing this experience, several pointers emerge for consideration by feminist

economists who engage in public policy:

Firstly, the value of working within national spaces, unencumbered by

international rubrics: international advisories, platform choices and methods

advised usually linked to funding and to state machineries of governance cannot

tether advocacy.

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Secondly, the value of pulling together women economists who have engaged

with the world of women whether by studying action, innovation, reality in the

fields, or through research into specific areas but with special reference to

womens link to them as collectivities or networks or friend groups. This kind of

space has a double advantage: they learn from each other and they also can

deal with the outside.

Thirdly, to highlight the importance of shifting if not drawing more serious

attention to the location of women in economies and their role as economic

agents apart from social actors. While education, health, gender relations and

social services are all crucial inputs especially for women in deprivation, their

role as economic agents need to be brought to the fore immediately. Most bail

out packages, pack women into the safety-net areas, invest in free food, nutrition

for their babies and so on. But one of the most crucial roles women play is to

bring income to the household, apart from their own interest in earning a living.

Fourthly, with the knowledge of the impact of the recent financial crisis on

women and more deeply so, there is need for strong global advocacy by feminist

economists to draw attention to women as earners, whether in the formal or

informal economy. Such an emphasis may be required more in relation to

developing countries.

Fifthly, there is a need to understand and highlight the difference between the

South and North in these domains. The emphasis on the care economy and the

clubbing together of womens roles in production and reproduction, are in some

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ways the concepts of the North, and more crucially relevant there. This is not to

say that the double burden of earning and caring is not a universal phenomenon

which also gives unity to the concept of an identity called woman, related to the

stereotypical roles; the question is one of what is crucial, at what time, and

where.

Finally, even more than social input, the crying need in countries like India is for

the State and society to understand the economic roles that women, especially at the

lower end of the income scale, are engaged with. Strong support with infrastructure,funding for organization, upgrading of skills and most of all labour protection laws, are

needed urgently.

In the South, women have been the major workers in the export industries,

drawn in for their willingness to work monotonously for low wages without security. The

crisis in exports, i.e., the market depression, has assaulted these vulnerable women.

There is a lesson here for understanding womens location in economic growth

strategies and especially differentiating the North-South.

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http://planningcommission.nic.in/

http://en.wikipedia.org/wiki/

http://www.wworld.org/programs/regions/africa/amina_mama.htm

http://dataserver.nic.in/rti/doc_rti/func.pdf

http://planningcommission.nic.in/aboutus/index.html

http://www.genderandaids.org

Planning Commission, Government of India. Eleventh FiveYear Plan 2007-2012. 2 Vols. New Delhi: OUP, 2008.

Also at http://planningcommission.nic.in/plans/planrel/11thf.htm

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