Prior to 1991, the Indian government had put barriers to foreign trade and foreign investment.
India allowed imports of only essential items such as machinery, fertilisers, petroleum,etc. The government gave protection to domestic producers.
7
Jayalekshmi J answered this
Anwr.
4
Gungun answered this
prior to 1991, government had put trade barriers to foreign trade and foreign investment.
It was considered necessary to protect the producers within the country from foreign competition because the industries have just emerged in 1950s and 1960s and competition at that stage would have not have allowed these industries to come up.
Thus,India allowed imports of only some essential sunstances.