The Indian Economy Since 1991, 2nd Edition

21

Agriculture Trade

K. P. Mani

21.1 Introduction

The Government of India, in July 1991, announced a series of reforms related to industry, trade, agriculture, exchange rate, fiscal and financial policies, to achieve macro-economic stability and to arrest the deterioration in the balance of payments position and also to assimilate with global strategies as a consequence of globalization. The reforms in trade policy had been announced by the exchange rate adjustment on May 1991, with a major thrust on export competitiveness followed by a supplementary policy on August 1991. The objectives of the reforms in trade policy were to provide a self-corrective mechanism to rectify the imbalances between exports and imports, which had resulted in the deterioration ...