Meaning Of Privatization
Privatization could, therefore be defined as the transfer of ownership, operating and/ development rights from the public to the private sector; and the application of private sector objectives and discipline in the operation and management of public enterprises, combined in most cases with the transfer of commercial and financial risks to their management.
Privatization is to be understood no merely in the structure sense of who owns an enterprise, but in the substantive sense of how far the operations of enterprises are brought within the discipline of market forces through measure such as liberalization and deregulation. Privatization encompasses a broad spectrum of possibilities, between denationalization at one end and market discipline at the other. Broadly, it may consist of Divestiture and non-divestiture …show more content…
It is a remarkable recovery from the previous year’s performance which was about 171 MT and it has bettered the previous best production of 176.4 MT in1990-91.The sterling performance on the farm front and the reforms have helped the boost of Rs. 7600 crores in 1992-93, as against the previous year’s Rs 6200 crores. For instance we have sold rice worth Rs. 900 crores in the international market during 1992-93. Beside the share of agriculture export in the overall foreign exchange earnings of the country is just 15 per cent now and this can be pushed to 30 percent by the end of the Eight five year plan. Foodgrains production of 191.1 million tons in 1994-95 was a record in the country’s history and was higher (3.7percent) than the previous year. Foodgrains account for about 63 percent of country’s agriculture output and hence even marginal declines in foodgrains production had a ‘ripple effect’ on rest of the economy. The most unexpected development was the late realization in 1996 that the wheat harvest was just about 62.6 million tons, lower by about 3 million tons over the preceding year. The reasons for decline in production of Rabi foodgrain crops. Thus, 1996-97 emerged as one of the best years in respect of food grain production pushing up the overall growth of agriculture production to a record level of 9.3 percent. Major setback was seen in wheat whose production was lower by 3.5 million tons and coarse whose production had dropped by over 3 million tons. Table 15.1 shows the trend of growth in agriculture should however; be seen over a large time span order to even out annual seasonal effects on growth. The country’s performance in agriculture during the last two decades has been reasonable