In 1991, the new Industrial Policy was adopted. It improved the structure of Indian industries. 

Here are some of its achievements and failures:

Its achievements are :

1. The rate of industrial development increased after adopting this policy. In the decade prior to economic reforms, this was 7.8 per cent in 1980-90, which increased to 13.0 per cent in 1995-96. It remained at 11.5 percent in 2006- 2007. 

2. The foreign capital investment increased as a result of the new industrial policy. Both, FDI and FII increased. 

3. According to UNCTAD investment report of 2010, it was 34.6 billion dollars in 2009. 

4. Foreign technology was encouraged by which India became world famous and productivity of industries increased by the import of foreign technology. 

5. Foreign Exchange Resieve of India increased. After that, the IMF included India in the category of creditor nations. 

6. The industries in the public sector got a competitive atmosphere, which improved their performance and execution.

Failures of New industrial Policy :

1. After the adoption of this policy, unemployment did not decrease substantially. The rate and magnitude of unemployment both are increasing. 

2. Many industries became sick or closed down under the new Industrial Policy. They could not arrange sufficient resources to adopt expensive foreign technology. 

3. Indian industries could not compete with foreign industries, which posed a threat to their existence and many industries went out of the competition. 

4. The dependence of Indian industries on foreign technology increased, which has been termed as Economic Colonialism by various experts. 

5. Foreign investments could not even touch some sectors. 

6. Small scale industries and cottage industries could not compete with foreign industries.

Conclusion : Thus, we can say that under the new Industrial Policy, many reformative and stabilizing efforts were made. Indian industries were able to exhibit their capabilities in the global market. But, decline of Indian cottage and small scale industries, increased dependence on foreign capital, problem of unemployment etc. emerged as the negative effects of the new Industrial Policy upon the Indian economy.