Karve Committee (1955) is related to:

Question

Accepted Answer

The correct option is 1:
The Karve Committee, officially known as the Village and Small-Scale Industries Committee, was constituted by the Planning Commission (now NITI Aayog) in 1955 under the chairmanship of Dattatreya Gopal Karve. Its primary mandate was to look into the possibility of utilizing small-scale industries for promoting comprehensive rural development, aligning with the objectives of India's Second Five-Year Plan (1956–1961), which heavily focused on industrialization. The committee strongly recommended the promotion of these industries due to their high employment potential, lower capital requirement, and role in achieving decentralized industrial growth and reducing regional imbalances. The recommendations of this committee were pivotal in India’s industrial policy framework, leading to measures like reserving the production of certain goods exclusively for the small-scale sector.

The incorrect option is 2:
Core Industries refer to the basic industries that form the backbone of the economy, such as coal, crude oil, natural gas, refinery products, fertilizers, steel, cement, and electricity. While these were critical during the Second Five-Year Plan, they were managed by public sector units and guided by industrial policies, not the Karve Committee, which focused specifically on the cottage and small-scale sector.

The incorrect option is 3:
Credit creation is the primary function of commercial banks and is regulated by the Reserve Bank of India (RBI). Although the small-scale sector requires credit, the Karve Committee’s mandate was industrial policy and structural development, not the general process of credit creation within the banking system. Various other committees and institutions, such as NABARD and SIDBI, are historically related to credit in the rural and industrial sectors.

The incorrect option is 4:
Foresting and Animal Husbandry fall under the purview of agriculture and allied activities. While the Karve Committee aimed for rural development, its specific focus was industrial development in villages through small-scale units. Other organizations and commissions focus directly on the development and promotion of primary sectors like forestry and animal husbandry.