Answer:

In its scope and emphasis, each Five YEAR Plan embodies an assessment of the current ECONOMIC and social situation and of the progress of the economy over a period of years and at the same time, it seeks to relate the next phase of development to the country's basic social objectives and the perspective of long-term economic growth. These latter have been set out in Chapters I and II. In drawing up the Third Plan the principal aims have been the following :

to secure an increase in national income of over 5 per cent per annum, the pattern of investment being designed also to sustain this rate of growth during subsequent Plan periods ;

to achieve self-sufficiency in foodgrains and increase agricultural production to meet the requirements of industry and exports;

to EXPAND basic industries like steel, chemicals industries, fuel and power and establish machine-building capacity, so that the requirements of further industrialisation can be met within a period of ten years or so mainly from the country's own resources;

to UTILISE to the fullest possible extent the manpower resources of the country and to ensure a substantial expansion in employment opportunities; and

to establish progressively greater equality of opportunity and to bring about reduction in disparities in income and wealth and a more even distribution of economic power.

2. The period of the Third Plan represents the first stage of a decade or more of intensive development leading to a self-reliant and self-generating economy. As a result of progress achieved during the First and the Second Plan, the foundations for rapid economic growth have been LAID. India's economy is now much larger in size and in the range of its operations and has become both more dynamic and more complex. In all directions there are large and growing demands to be met. Considerable investments have also to be made in projects and programmes whose output will be available only in the course of the Fourth Plan. Thus, the Third Plan will call for the maximum rate of investment that can be achieved.

3. The general pattern of development followed in the Third Plan necessarily flows, in large part, from the basic approach and experience of the Second Plan. However, in some important respect it represents a wider view of the problems of development and calls both for more intensive effort and a greater sense of urgency. In particular, the Third Plan will be directed towards strengthening the agricultural economy, developing industry, power and transport and hastening the process of industrial and technological change, achieving marked progress towards equality of opportunity and the socialist pattern of society, and providing employment for the entire addition to the labour force. Inevitably, a plan of development with these aims will make far reaching demands on the nation. It is essential that the burdens of development during the Third Plan should be equitably distributed and, at each stage, the economic, fiscal and other policies adopted should bring about improvements in the welfare and living standards of the bulk of the people.