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Freight equalisation policy was adopted by the government of India to facilitate the equal growth of industry all over the country. This meant a factory could be set up anywhere in India and the transportation of minerals would be subsidised by the central government. The policy was introduced in 1952, and remained in force until 1993.

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  • Freight equalisation policy (en)
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  • Freight equalisation policy was adopted by the government of India to facilitate the equal growth of industry all over the country. This meant a factory could be set up anywhere in India and the transportation of minerals would be subsidised by the central government. The policy was introduced in 1952, and remained in force until 1993. (en)
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  • Freight equalisation policy was adopted by the government of India to facilitate the equal growth of industry all over the country. This meant a factory could be set up anywhere in India and the transportation of minerals would be subsidised by the central government. The policy was introduced in 1952, and remained in force until 1993. The policy hurt the economic prospects of the mineral-rich states like Bihar (including present-day Jharkhand), West Bengal, Madhya Pradesh (including present-day Chhattisgarh), Uttar Pradesh and Odisha, since it weakened the incentives for private capital to establish production facilities in these areas. As a result of the policy, businesses preferred setting up industrial locations closer to the coastal trade hubs and markets in other parts of the country. (en)
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