Industry: UPSC Previous Year Questions (Indian Economy)
3 previous year UPSC Prelims questions on Industry (Indian Economy). Choose an option to see the answer and explanation.
Explanations state facts as of the year each question was asked; words like “recently” refer to that year.
Showing 1–3 of 3 questions
UPSC 2012Indian Economy · Industry
Q1. What is/are the recent policy initiative(s) of Government of India to promote the growth of the manufacturing sector? 1. Setting up of National Investment and Manufacturing Zones. 2. Providing the benefit of ‘single window clearance’. 3. Establishing the Technology Acquisition and Development Fund. Select the correct answer using codes given below:
Explanation
Statement 1 is correct: National Investment and Manufacturing Zones(NIMZs) are large areas of land developed as industrial townships with state-of-the-art infrastructure and facilities. They are designed to promote manufacturing investments and boost industrial growth. The Na-tional Manufacturing Policy (2011) proposed the establishment of NIMZs to make India a global manufacturing hub.
Statement 2 is correct: The government has introduced a single window clearance system to simplify and expedite the process of obtaining approvals and clearances for setting up and operating manufacturing units. This reduces bureaucratic delays and improves the ease of doing business.
Statement 3 is correct: The Technology Acquisition and Development Fund (TADF) was established to support the acquisition and development of advanced technologies for the manufacturing sector. It aims to enhance the competitiveness of Indian industries by promoting innovation and technology adoption.
UPSC 2012Indian Economy · Industry
Q2. In India, in the overall index of Industrial Production, the Indices of Eight Core Industries have a combined weight of 37.90%. Which of the following are among those Eight Core industries? 1. Cement 2. Fertilizer 3. Natural Gas 4. Refinery products 5. Textiles Select the correct answer using the codes given below:
Explanation
Eight Core Industries measures combined and individual performance of production in selected eight core industries viz. Coal, Crude Oil, Natural Gas, Refinery Products, Fertilizers, Steel, Cement and Electricity. As of 2024 Eight Core Industries comprise 40.27% of the weight of items included in the Index of Industrial Production (IIP). These industries have a major impact on general economic activities and also industrial activities. They significantly impact most other industries as well. The capital basis of the economy is represented by the core sector. The IIP provides the economic growth rates for various industrial categories over a certain time period.
UPSC 2012Indian Economy · Industry
Q3. Despite having large reserves of coal, why does India import millions of tons of coal? 1. It is the policy of India to save its own coal reserves for the future, and import it from other countries for the present use. 2. Most of the power plants in India are coal-based and they are not able to get sufficient supplies of coal from within the country. 3. Steel companies need a large quantity of coking coal which has to be imported. Which of the statements given above is/are correct?
Explanation
Statement 1 is incorrect: India does not have a policy to save coal reserves for the future. Coal imports are driven by domestic supply shortages and the need for high-quality coking coal, not strategic conservation.
Statement 2 is correct: A significant portion of India’s power plants are coal-based, and domestic coal production often falls short of demand. This forces power plants to rely on coal imports to meet their requirements.
Statement 3 is correct: India has limited reserves of high-quality coking coal, which is essential for steel production. Most of the coking coal used by steel companies is imported from countries like Australia, as domestic production is insufficient and often of lower quality.
Answer key for these questions
Q
UPSC year
Correct answer
1
2012
(d) 1, 2 and 3
2
2012
(c) 1, 2, 3 and 4 only
3
2012
(b) 2 and 3 only
Frequently asked questions
How many previous year UPSC questions are there on Industry?
This page covers 3 previous year UPSC Prelims GS Paper-I questions on Industry (Indian Economy), asked from 1996 to 2025. Each has the correct answer and an explanation.
How should I use previous year UPSC questions for Prelims?
Attempt each question first, then open the answer and read the explanation for every option. Repeat by chapter, and track which statements UPSC reuses across years. Previous year questions show the exam pattern and difficulty level.
Which years are covered for Industry?
Questions on Industry (Indian Economy) are available for 19 years, from 1996 to 2025. Use the Year filter to practise a single paper.