Discuss the process of planning in India.

Planning in India is a complex process consisting of five broad stages. Constitutionally the subject of social and economic planning is placed in Concurrent list. India has adopted five year planning system.

Five Stages of Planning process in India.

First Stage:

First stage of planning begins three years before the commencement of a new plan. Economic status and problems are detected by means of conducting studies. Based on the results of these studies a broad framework for the plan is drawn, which is then placed before the Cabinet. After that goes to NDC, it then indicates the rate of growth and broad priorities that are targeted in the plan.

Second Stage:

In second stage Planning Commission works out general dimensions of the plan in the light of guidelines of given by the NDC and a draft memorandum outlining the features of the plan is prepared.

Third Stage:

Draft memorandum is then placed before National Development Council which considers it and then work for preparation of draft outline of the plan begins. The state and central ministries are then invited to comment on the plan. After NDC’s approval, this plan is circulated for public discussion. It is then considered by informal consultative committee of Parliament and also by Parliament as whole.

Fourth Stage:

In fourth stage Planning Commission discusses the plan with central ministries and state governments organized industries and private sector is also included in the discussion. Planning Commission then prepares a paper in which principal features of the issues requiring more consideration are outlined. This paper is then placed before the NDC and Central Cabinet for their consideration. Final report on the plan’ is based on the conclusion reached on this paper.

Fifth Stage:

A draft of final report, after consideration of central ministries and state governments is submitted for approval of NDC and Central Cabinet. After their approval, it is presented before Parliament for discussion and approval. After the formulation of comprehensive five year plan, it is divided into annual plans for implementation convenience and resources. The plan is implement by the state governments.