India Policy Forum 2004 by Suman Bery, Barry P. Bosworth, Arvind Panagariya PDF

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7 percent in 2001–02. Traditionally, India has also restricted exports of several commodities. As part of its liberalization policy, the government began to reduce the number of products subject to export controls in 1989–90. But until the July 1991 reforms, exports of 439 items were still subject to controls, including (in declining order of severity) prohibition (185 items), licensing (55 items), quantitative ceilings (38 items), canalization (49 items), and prespecified terms and conditions (112 items).

Automatic approval is available for foreign equity in software and almost all areas of electronics. Full foreign ownership is permitted in information technology units set up exclusively for exports. These units can be set up under several schemes including export-oriented units, export processing zones, special economic zones, software technology parks, and electronics hardware technology parks. The infrastructure sector has also been opened to foreign investment. Full foreign ownership under the automatic route is permitted in projects for construction and maintenance of roads, highways, vehicular bridges, toll roads, vehicular tunnels, ports, and harbors.

Composition of Merchandise Imports, India, 1987–88, 1992–93, and 2001–02 Percent of total imports except as indicated 1987–88 1992–93 2001–02 Bulk imports Petroleum, crude and products Bulk consumption goods Cereals and cereal preparations Edible oils Pulses Sugar Other bulk items Fertilizers Crude Sulphur and unroasted iron pyrites Manufactured Nonferrous metals Paper, paperboards, manufactures, including newsprint Crude rubber, including synthetic and reclaimed Pulp and waste paper Metalliferrous ores, metal scrap, etc.

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